Retail technology is changing so rapidly that small businesses at times struggle to keep up. When it comes to processing payments, you can expect new trends coming up this year. And if you own a small retail business, it’s critical to know these changes. Keeping up with POS (or point of sale) system trends will give your business an edge against the competition. So, what are these trends that are bound to shape retail transactions in 2021?
Increasing use of mobile wallets and electronic payments
The best POS systems for small business take into account changing consumer behavior. Of these changes, the most significant would be mobile use. And since there are many practical uses of a mobile phone, more people are adapting to e-wallets and mobile payments for convenience. This way, they can store their credit card information online which reduces the likelihood of losing their cards or having them stolen. Additionally, paying using an e-wallet is faster. Depending on the app used by the buyer, interest rates may also be lower.
POS systems should be capable of accepting these transactions to give customers flexibility in choosing a payment method.
Cloud technology makes it easier for small business owners to store and access important POS data. If the POS system is cloud-based, you can access information anywhere you are and by using different devices. If you run many stores, cloud technology will help you monitor business activity and keep your data in sync.
Custom marketing options
Customers today demand a more personalized marketing approach. It helps enhance customer engagement and also encourages loyalty. The good thing is, data gathered using POS terminals can help you strategize better. For example, you can generate reports that show repeat customer transactions. This will allow you to tailor-fit a rewards program for loyal clients. You can also plan promotions that will help your business gain new customers and retain loyal ones.
Leverage big data
Small businesses can also take advantage of big data to improve their business operations. Analytics and reports generated through the POS terminal give detailed insight on specific matters. For instance, you can observe trends when it comes to seasonal products. You can also track inventory using the system. Most importantly, these reports empower the business owner in making data-driven decisions.
Operate using multiple channels
Nowadays, a majority of small businesses sell online while at the same time operating a physical store. Multiple commerce channels open doors to a wider reach and 24/7 operations. The flexibility of operating using different channels will ensure that the business remains flexible no matter the circumstances. In line with this, you’ll need a POS system that seamlessly responds to each commerce channel. It needs to be enabled to process physical transactions, while at the same time fulfill online orders.
This year, you’ll see more POS terminals using sleek hardware such as tablets and mobile phones. Updated hardware will allow you to serve your customers better. An iPad-enabled POS, for instance, makes it convenient to process payments for restaurant clients. Similarly, if you enable mobile payments, you need to have the right hardware for smoother implementation.