Point of sale terminals : Features you need and things to avoid

Point-of-sale (POS) terminals are essential in today's cashless world. In 2024, cash only accounted for 12% of all transactions in the UK. POS terminals are necessary (obviously). The problem is you must choose from an array of options. Many of these have very different features and payment processing fees.

You'll also have to consider cyber security and fraud protection. If that wasn't confusing enough, other factors, like comparability with existing accounting and analytics software, can further complicate your choice.

Luckily, you can simplify the process. First, define your must-have features and characteristics. Then, seek a point-of-sale terminal that gives you the traits you need.

What features does your point-of-sale terminal need?

Point-of-sale terminals must be efficient and secure, but they should also enhance the customer experience. In other words, they have to be user-friendly and accept the payment types customers want to use.

The best terminals will also make things easier behind the scenes. They should work with your existing software and have robust security features.

Let's look more closely at these must-haves.

A user-friendly interface

The term 'user-friendly' can mean different things in different industries. A terminal for retail payments will be very different from a payment system at a food and beverage kiosk.

However, all POS terminals must have two traits. They need to be intuitive to use and easy to navigate. In the leisure sector, this often means touchscreen terminals with clear directions to guide customers through the payment process.

Easy integration

One of the biggest problems businesses encounter with payment processing terminals is a lack of integration. Managers may have a mindset that says, 'we'll just make it work'. They ignore the potential for time-saving. With the proper integrations, you can automate bookkeeping and transfer data directly to analytics platforms. If this happens automatically, you save hours employees would have had to spend on manual data entry, and you reduce the likelihood of errors.

Integrations can help you manage operations by automatically tracking inventory. This feature can be invaluable in F&B and retail businesses. Connections with CRM software can also help track purchase history for personalisation or loyalty rewards.

Cost effectiveness

Transaction fees can impact costs, but you should also consider other expenses.

The provider should be transparent about transaction, interchange, and gateway fees. This honesty allows you to compare different payment processing options. Also, consider costs for renting or purchasing the terminals and other incidental costs, such as charge-back fees, batch processing fees, or return fees.

Immediately write off any terminal provider who isn't upfront about all these costs.

Also, it's important to differentiate between cost and value. A feature-rich, customisable platform that integrates with your existing software and has robust security features provides more value than a cheaper provider that doesn't detail its cyber-security features and only offers non-customisable terminals.

Cloud-based

Cloud-based POS systems bring several advantages. Most importantly, they are accessible from anywhere. Managers can track sales and see data in real time from anywhere. This feature is invaluable for a business with multiple locations. Even if you only have one location and are always onsite, cloud-based systems give you the chance to scale up in the future. You can grow without having to change your payment processing setup.

Cloud-based POS software gets updated automatically, and there is a much lower risk of downtime because you don't have to rely on servers in a single location.

Robust security

Your guests trust you to keep their payment and personal information safe. If their card number gets stolen on your platform, they are likely not going to blame the terminal provider. They are going to blame you for not selecting a more secure terminal.

Encryption and active fraud monitoring features are essential for POS terminals and payment processors.

Such security measures are necessary to comply with regulations. All UK businesses that accept card or electronic payments must adhere to the Payment Card Industry Data Security Standard (PCI DSS). Banks can potentially fine companies that don't comply, and companies could face liability problems if customer's payment details get stolen due to a lack of PCI DSS practices.

You should verify compliance with PCI standards before signing on with a POS terminal provider.

Payment processing capabilities

Terminals should accept debit and credit cards, but you should also consider the other payment methods guests might want to use. For instance, some guests might want to use mobile wallets that rely on near-field communication (NFC). You might also offer QR code scanning and the ability to use loyalty rewards or coupon codes.

While you don't need to be capable of taking payment methods your customers never use, you should consider non-card payments.

How a unified commerce platform helps

A unified commerce platform streamlines integration and reduces security vulnerabilities. You don't have to worry about whether your terminals are comparable with your accounting and CRM software, and you limit the cyber security risks of relying on too many third-party integrations.

Here is a closer look at the advantages of relying on a unified commerce platform like the one offered by Smeetz.

•          Consistency: Customers have the same experience whether they purchase through your POS terminal or online.

•          Better data management: Inventory, sales, and customer data update in real time across all channels. Also, there is no need for multiple databases or systems, so administration is streamlined.

•          Accurate accounting: Accounting information gets updated automatically. You can see sales and reports in real time, and you don't have to spend time or risk mistakes with manual financial data entry.

•          Security: A unified commerce platform ensures encryption and monitoring across all payment channels. Hackers will find it almost impossible to get into your system. In the unlikely event that someone is able to breach your defences, they will have a hard time remaining undetected for long.

Smeetz offers a unified commerce platform for the leisure and entertainment industries. We provide point-of-sale services that integrate seamlessly with analytics, sales, loyalty programs, and dynamic pricing tools. You can easily manage every aspect of your business in one place. When it comes to the overall value of payment processing, it is hard to beat such security and integration features.

Reach out to us todayto learn more or get ademo of our POS services.