With the rise of digital payments and increasing use of credit cards, merchants must keep up with payment trends. When customers sense that their preferred methods of payments are being met, they will be more likely to revisit stores and talk positively about the company. With cash, credit cards and contactless payments all working as viable payments options, it’s important to have a point of sale hardware system that allows your customers to pay whichever way is easiest for them. As of 2017, 44 percent of consumers preferred debit cards as their main payment method and the next most common method was credit cards at 33 percent. Additionally, about 10% loaded a credit card to a mobile wallet and 9% loaded debit card to a mobile wallet for digital payments.
The smartest way to choose the best point of sale equipment for your company is to understand what your options are and how easy they are for your customers to use. We’ve broken down the new developments for point of sale hardware this year to help you find the right fit for your business.
1. Mobile Payments
The younger generations are growing more comfortable with digital payments because of their security and ease of use. Unlike credit cards with magnetic stripe readers that require signatures, mobile wallets have consumer information encrypted, making it nearly impossible to commit credit card fraud.
Apart from the security they offer, mobile payments are also quick and seamless. Customers often need to be in and out and waiting in long lines for transactions to get completed is a hassle. Compatible software in point of sale technology reads card information in seconds and prevents long wait times and frustrated customers.
Frictionless payments are also becoming popular because it means less time in the store, and oftentimes it means less time talking with sales associates and feeling pressure to buy things they might not want. Last year, frictionless payments were expected to reach nearly $3.2 trillion globally in sales. Besides their ease of use, they also make for a more satisfying buying experience simply for the elimination of strain trying to remember PIN codes for those with multiple cards and for feeling more natural overall, much like shopping online in the comfort of the customer’s own home.
Equip your company with payment terminals that welcome all types of payments. You’ll turn away fewer customers who only came in with the option of paying through Apply Pay or Google Pay or for customers who forgot the cash at home and only have a card handy. ID TECH offers many countertop or non-permanent options such as the VP3600, the VP3300 or the VP8800.
2. Chip Reader Technology
You probably remember when you had to wait for receipts to print out in order to authenticate a transaction with a customer’s signature. An EMV terminal would read a magnetic stripe on the side of the card and the payment would process after that. You might still use this technology.
Around 2015, companies nationwide began switching over to chip-reading technology to verify payments because they were much more secure than magnetic stripes. From 2015 to 2016, Mastercard noted a 54 percent decrease in counterfeit fraud costs among merchants that switched to the new point of sale hardware that had chip readers. The reason for the decrease is in the technology of the chip. Instead of using a stripe that contains information that stays the same from swipe to swipe, the chip encrypts information and the data changes from payment to payment.
3. Tablet Point of Sale Hardware
Mobility is the key to quick transactions. Does your business constantly see long lines with frustrated customers? One way companies are making points of sale even easier is by adding the element of immediacy. Instead of introducing your customers to an item they plan on purchasing and then walking all the way to the register and having them get in line to make their purchase, bring the transaction to them. The new point of sale hardware can be attached to tablets to generate faster payments.
When customers notice that their time is a priority to your salespeople, they’ll be more likely to revisit your store, and chances are they’ll spread a good word on your behalf. Tablets also create a stronger workflow on the floor. Lines will shorten, more foot traffic will ensue and more transactions will boost your numbers.
4. Cloud-Based Software Compatibility
The latest point of sale hardware is compatible with cloud-based software that enables merchants to safely and efficiently store patron data. In terms of trends, nearly 61 percent of merchants want their next point of sale system to be cloud-based. Having more accurate knowledge of recorded sales and current inventory gives you a stronger peace of mind that your business is working effectively.
Optimize your profitability with point of sale hardware such as ID TECH’s countertop payment solutions. You can forget about bulky hardware from the past and introduce new, sleek payment terminals designed to fit your modern workplace. The best part is that there is minimal learning involved. Get started on conducting transactions right after installation. Spend less time tracking mistakes and more time on your customer’s in-store experience. Cloud-based point of sale hardware is enabled with smart software to prevent errors and to minimize workflow inconsistencies.
Remote abilities also come with cloud technology. Workflows vary when different staff members are working. You may also notice a decrease in work efficiency on the days you aren’t working if you’re a manager. Have the power to remotely track business analytics so you have statistics to bring up at work meetings or more concrete examples of when sales drop or rise.
5. Point of Sale Hardware that Tracks Analytics
Along with the cloud-based technology, analytical knowledge comes with a new point of service hardware. It’s built into compatible software and allows merchants to analyze consumer habits in real time. Whether it’s foot traffic or consumer spending data, merchants will be able to determine what to sell, when to sell and how to sell. The new point of service hardware encompasses all the technology that is changing consumerism and manufacturing. It takes the insecurity and guesswork out of selling goods and what consumers are looking for.
Because analytics can tell you about trends in foot traffic, you can also plan better for how many employees you’ll need on the floor at certain points of the day. Having a solid ratio of employees to patrons means there will be less wait times to talk with store associates and customer service satisfaction rates will rise. Use the Near Field Communication (NFC) enabled contactless payment options or other mobile payment options from ID TECH to monitor out of stock sales and hourly sales data to maximize your workflow and more intelligently track trends unique to your business.
Interested in learning more? Contact us today!
Adapting your business to technological trends and taking part in the shift towards a point of sale hardware that allows for digital payments, credit or debit card payments and cash payments tells your customers that you are listening to them. Point of service hardware might seem like a big expense at first, but the investment you make will soon show positive effects. You’ll notice a heightened awareness of sales trends and more organized flow on the sales floor. With cloud computing technology, you can keep track of how your customers prefer to shop and the products they tend to purchase. This in turn influences patron and employee relationships to grow — increasing customer satisfaction rates, positive business reviews, and sales. If you have more questions about our company or the products we offer, reach out! We’d love to hear from you and we always appreciate the feedback.