You already know how important a POS system is for your business. The right POS system can be the difference between happy customers and grumpy ones, smooth transactions and clunky ones, and profitable sales or missed opportunities.
But what is a cloud-based POS? And why should your small business switch to one? Let’s get started.
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What is a Cloud-Based POS
A cloud-based point-of-sale (POS) system means you don’t have hardware on site for your store or restaurant. All the software and hardware is hosted remotely, by a third-party provider. No need for expensive on-site servers or IT staff to manage them. Everything runs off-site, securely, through the internet.
Cloud technology has changed the way we do business. Gone are the days of old hardware and clunky software. Everything lives online – data storage to applications. Here are some of the real benefits of cloud software.
Related: What is POS? The Definitive Definition and Guide to Point of Sale Systems
Integrated POS
Manage sales, inventory and customer data like never before with a cloud-based POS, it’s a game changer. It’s easy to use software that lets you access your point of sale from anywhere, no matter where work takes you.
You won’t have to worry about payments or customer loyalty programs because an integrated POS does it all for you. And if your online store is connected to the system, the possibilities are endless! Share sales and inventory data between the two and make decisions in no time.
Cloud-Based POS Characteristics and Benefits
One of the biggest benefits of cloud computing is accessibility – it’s available anywhere you have an internet connection. You can check inventory numbers from your bed at home or update orders while waiting in line at your favorite coffee shop.
Another big benefit is scalability – it gives businesses flexibility rather than being locked into specific models or payment plans that don’t cater to their needs over time; it reduces start-up costs since most vendors only charge monthly subscription fees, whereas smaller vendor lock-ins could mean big investments in high-end routers and physical infrastructure to store massive amounts of data offline.
Plus, most providers offer security measures that far surpass those of typical hardware vendors; people are used to using out-of-the-box solutions like cash registers or traditional POS terminals which can be stolen and have errors in their accounting mechanisms.
Plus, the investment in a Cloud-Based Point-of-Sale system can help you track customer preferences and inventory in real-time, auto order and select custom reports to reduce manual data entry. And an omnichannel presence.
Traditional vs Cloud-Based Point-of-Sale Systems
Traditional POS systems run software and store data on internal servers within your premises. This means you need to have an IT administrator whose main job is to manage the hardware/software infrastructure for the company.
Cloud-based POS systems are web-hosted – you don’t have to deal with setting up servers, firewalls or maintaining them after installation. You can contract a cloud POS provider to set up and configure your account before you start in a limited configuration mode that can scale as you grow/need.
For Businesses
The importance of a cloud-based POS system for businesses can’t be stressed enough. It has multiple modules such as inventory management to monitor store contents based on variables like size, color and profit ratio to avoid stock obsolescence.
It simplifies employee management by automating tasks like scheduling, approval times and salary data processing. Powerful sales analytics tools also give owners insight into top selling items across locations.
When choosing the right solution for your business consider:
1. Customer support and training options such as phone consultations and walk-through/demo videos that vary depending on the support package you choose. Good customer service is a must.
2. Security measures that protect sensitive transactional information from identity theft scams through banking-level encryption.
3. Reporting that allows client-specific custom performance thresholds/business reports via online dashboard portals to register executed procedures (e.g. what was bought, returned) or custom graphic-trending charts to show yearly trends with macroeconomic variables.
4. Omnichannel presence that makes the customer experience smooth whether the customer is shopping online or in-store.
5. Flexible pricing to pay as you go, choose the plan that suits you and adjust as needed while offering scalability without additional hardware or software licenses.
6. Flexible POS integration to integrate with existing infrastructure and add functionality without buying additional software or hardware. Since the data is in the cloud it can be accessed from any device and location.
Cloud-Based Point-of-Sale Systems Examples
If you’re interested in cloud-based point-of-sale systems there are many to choose from. The key is finding one that fits your industry and demographic. Luckily there are many popular vendors to choose from.
Shopify, Square Point of Sale, Lightspeed, TouchBistro, and Toast POS are all established providers of cloud-based POS software for small to medium sized businesses. Each platform has features for different sectors in retail, marketing and supply chain management.
What makes these cloud-based solutions different is they are all-in-one: they offer end-to-end solutions with white-glove service/education programs at a fraction of the cost of enterprise-level solutions for big corporations.
Whether you’re looking for software with inventory tracking or an interface that makes customer transactions seamless – you’ll find many options with these providers.
Related: The 10 Best Small Business POS Systems
Summary
A cloud-based POS is a technology that processes transactions and runs the business over the Internet.
Cloud-based POS software can help businesses streamline and scale while being secure. It’s cost effective and solves many business problems. But do your research before you buy as every business is different. Overall, it’s a big part of business today.
