A Point of Sale (POS) Terminal is a computerized replacement for the conventional cash register. It can process credit/debit card payments, manage inventory and track and store sales data.
With technological inventions making breakthroughs, POS Terminals have evolved since the time they were introduced in the market. Today, they are used in various sectors of the market such as general retail stores, healthcare, entertainment, food and beverage, hospitality etc.
There are numerous POS Machines available and one must make an intuitive choice while selecting one. The POS Machine that caters best to the distinct needs of one’s Business Sector should be chosen.
It is crucial for all vendors to understand the basic classification of POS Terminals. A Touch POS Terminals a computerized POS Terminal with a touchscreen functioning. It eliminates the necessity for a keyboard and a mouse and is thus, easier and faster to operate.
This POS Terminal is also more compact and saves floor space. Some of the Brands dealing with Touch POS Terminals are: HP, Possiflex, Essae and NEC. An All in one POS Terminal is another type of POS Terminal that provides a complete POS Solution as it includes touch screen facility, a thermal printer, barcode scanner, card reader as well as a key board.
Brands that sell all-in-one POS Terminals are Possiflex and Essae. The third type of POS Terminals is the Modular POS Terminal. One of the key features of this type of POS Terminal is its durability and ability to withstand harsh environments. This POS Terminal is a simple computer system that performs various retail functions. It comes with a receipt printer and a barcode scanner. HP is a Brand that deals in Modular POS Terminals.
In today’s economy, where the demand for Digital Payments is on the rise, the market for POS Hardware and POS Solutions looks promising. Besides this, the other general advantages of using a POS Terminal such as easy handing of transactions, cloud-based storage and higher ROI are a few other reasons as to why we need POS Terminals.
Despite the logical reasons related to demand and efficiency, POS Terminals are yet to circulate to remote corners of the country. One of the setbacks about purchasing POS Terminals as faced by Retailers is related to the Merchant Discount Rate (MDR).
The MDR is a fee paid by merchants to banks for inter-bank card transactions. The Merchant pays this fee to the bank issuing the card and thus, these banks benefit more from credit card transactions. The ideal solution would be to alter the MDR and ensure a more equitable distribution between the bank issuing the card and the bank processing the transaction. This way, both parties benefit equally and catering to the demand for POS Terminals is easier.
POS Terminals have revolutionized the Retail sector, no doubt. But their market is yet to be utilised to its full potential. We shall have to wait to witness further transformation in this market.