If you are like the many business owners looking to upgrade their POS technology from outdated, slow systems to robust, feature-rich solutions in 2020, congratulations—you’ve made the first step towards setting your business up for success and growth. New, cutting-edge POS technology can help you increase profits, boost customer satisfaction, and get ahead of the competition.
However, it’s important to make sure you consider your POS investment carefully, and choose the best system for your needs.
Start by asking yourself these questions:
Is Legacy or Cloud-Based POS Software Best for Your Business?
Legacy POS software
With a legacy POS system, you would purchase the license outright and install the system on your server. The solution would be hosted entirely onsite, and maintenance is usually performed through an additional support plan that you would need to purchase to keep your system up-to-date. This does come with a considerable up-front cost, but you have the benefit of owning the solution.
Cloud-based POS software
If you aren’t ready to make the initial investment up-front, cloud-based POS software is available on a software-as-a-service (SaaS) model. With this, you pay one monthly fee to get everything you need. With this model, all software upgrades, security patches, and maintenance are handled by the software vendor, so you can be sure that you’re always running the most recent version of the software.
Each type has its benefits. The legacy POS software may be cheaper in the long run, but you may end up paying more for maintenance and support. The cloud-based software makes it easy to budget, but you could end up paying more depending on the vendor. Also investigate your options for payment processing, and see what applicable fees are present. Make sure you look at the total lifetime costs of the software when you compare prices.
Check out our free e-book: The Ultimate Guide to Navigating Your POS Technology Upgrade
What Does Your Business Need in Terms of POS Hardware?
The hardware you use may depend on your industry. To determine this, take a look at your needs and your industry. Hardware costs can vary based on these. High-traffic retail businesses and messy kitchens require rugged hardware that can withstand the rigors of these environments, whereas more low-key establishments value a sleek aesthetic and clean cable management. Also consider how many stations will need to be installed, as you’ll have to multiply hardware costs for each station. You may even consider purchasing an all-in-one POS system, which combines both basic hardware and necessary software, and adding on any peripherals you may need.
Some critical POS hardware components include:
- POS terminals
- Mobile POS tablets
- Touchscreen monitors
- Receipt printers
- Cash drawers
- Credit and debit card readers
- Barcode scanners
- Kitchen printers
- Backup power supply
While this is a list of the most popular hardware components, it is by no means comprehensive. A provider with experience in your industry can help you determine what hardware you will need.
Have You Considered the Total Cost of Ownership (TCO)?
The total cost of ownership can be difficult to estimate, since you’ll have to sift through all the possible fees, maintenance costs, and more. There are a few factors you can look at to get a better understanding of what the TCO will be. Consider the following:
- Warranty and repair
- Hidden repair costs
- Credit card processing fees
Making a POS investment is a smart move—with the latest software developments, these solutions are more powerful and profitable than ever. It’s important to look for a reputable POS partner, like the experts at Touch Dynamic, to ensure that you are making a smart move for your business and you have a good understanding of what the total costs will be. For more information on Touch Dynamic’s POS hardware solutions, and how they can help your business in 2020, contact us today!