Cloud-based point-of-sale (POS) systems are becoming more commonplace every year—now taking over 50% of the POS market, up from 30% in 2017.
Are you a small business owner considering upgrading to a cloud-based POS system? Or just want to know what cloud-based POS systems can do?
Let’s review their key capabilities, advantages, and how they stack up against traditional systems.
What is a cloud-based POS?
Legacy point-of-sale systems store all the data on a local, physical server on the business premises. Cloud POS systems, on the other hand, store data on a secure online server.
A cloud POS system allows businesses to process transactions, keep track of inventory, and view retail data. It also offers features like customer relationship management, employee scheduling, and detailed reporting, making it a comprehensive solution for managing all aspects of a business.
Since a cloud-based system stores its data online rather than on a local server, it offers greater accessibility and functionality. It’s not the hardware that matters—it’s the software. As such, many cloud-based systems are provided through a software-as-a-service (SaaS) model rather than a one-off, upfront payment.
Advantages of cloud POS systems
Inventory management
A cloud system is necessary for all businesses operating online and physical retail stores. Connecting your in-store sales to your online transactions lets you efficiently streamline inventory tracking, ensuring your online shop always shows the correct amount of available stock without updating it manually.
You’ll never need to worry about customers ordering products from your e-commerce shop only to find out they’ve already been sold in-store.
Better analytics
Since you can combine business data from multiple channels, you also get more accurate analytics from all of your sales. The ability to better identify trends and acquire more exact reporting allows you to find out what’s selling well and improve on any weak points.
Greater accessibility
With a cloud POS system, you can access your data as long as you have a device with an internet connection—ideal for business owners with multiple retail stores.
Many cloud POS systems are designed to work seamlessly on mobile devices, making them convenient for processing payments at festivals and markets, where portability and ease of use are essential.
Integration with other systems
Cloud POS software is often designed to integrate with other web-based software. For instance, you can combine your BizEx POS system with your ERP system, instantly capturing customer balances, credit limits, stock information, and sales data for reporting and analytics.
These integrations make running your business more efficient and streamlined.
Better customer experience
Depending on your POS provider, you can access features that directly improve the customer experience.
For example, the BizEx POS system allows you to create a Customer Loyalty System by creating new accounts with customer data on the spot. Customers can then use their accounts to accrue loyalty points to use in-store and online.
They can also purchase on-account and pay later, ensuring you don’t miss any sales from interested customers.
Cloud POS systems vs Legacy POS systems
Accessibility
Cloud systems store data in external servers and can be accessed as long as you have a device with internet connectivity—and even when you don’t, they usually have an offline mode so you can keep your business running.
In contrast, legacy POS systems store data on local servers, restricting access and functionality to on-site business premises only.
Cost
Many cloud POS systems are designed to work with existing hardware, so as long as you have an internet-enabled device (whether mobile or desktop), you only have to pay for the POS software itself. Cloud POS systems also tend to be more flexible with costs, offering scalable pricing depending on how many locations or users you have.
Traditional POS systems, on the other hand, have higher hardware costs upfront. You also need to consider the cost of maintenance and repairs for the POS hardware.
Safety
If a traditional POS system has a data security risk, you may need to hire a technician to fix the issue.
However, cloud POS systems are always connected to the Internet, so they can easily update software to fix exploits. Cloud systems also don’t require backing up, as online servers automatically store data.
Upgrade to a cloud-based POS system with BizEx
Whether you manage a retail store or hospitality business, you can take advantage of the benefits of a cloud point-of-sale system.
Discover greater efficiency and a better customer experience with BizEx. We provide secure POS software to process payments, keep track of sales, manage inventory, and more, integrating with your existing hardware.
Talk to us today to learn how our payment system could be the perfect partner for your enterprise.