Evaluating the Pros and Cons of Cloud-Based Retail POS System
For retailers looking to increase sales, a good POS system is an essential tool. It also helps keep an overview of stock and deliver high-quality customer service. However, it can be difficult for people who aren’t tech-savvy to decide which POS system to choose for their business.
Nevertheless, there’s no denying that the global market for POS (point of sale) software has grown significantly and will continue to do so. It is expected to reach the $42.5 billion mark by 2027, increasing more than three times from 2018 ($12.23 billion).
Moreover, web-based, cloud POS systems have become more and more prominent in recent years. They’re primarily a viable alternative for small and medium retailers. But is a cloud-based retail POS system the best choice for everyone? Let’s look at the pros and cons!
1. Pro: Independent of Hardware
Cloud-based POS systems can be accessed via a browser, which means retailers don’t need to invest in dedicated hardware for their point of sale needs. As long as businesses have an internet connection, they can run the software on a PC, tablet, or phone.
2. Pro: Mobility
Engaging customers is easier with a mobile POS, which sales associates can use to look up information and close the sales directly on the shop floor. Cloud-based software allows retailers to also utilize tablets or mobile phones as a POS without any extra cost.
Flexibility and mobility on the shop floors are perfect for small and medium-sized businesses that can utilize one or two POS devices all around the shop.
3. Pro & Con: Subscription Pricing
Subscription pricing can both be a pro and a con depending on the size of the retailer. The benefits of subscription pricing include little or no upfront costs and a monthly fee covering not only the software but also data backup and future upgrades (in most cases).
However, it may not be convenient for retailers of all sizes, depending on the number of devices and features you need. In such a case, monthly subscription charges can be almost as much as traditional software.
4. Pro: Minimum IT Knowledge Requirements
Small and medium-sized retailers have limited IT knowledge, and hiring external consultants is an expensive option. However, with cloud-based POS software, the provider handles any related issues directly, meaning there’s no need for in-house IT knowledge.
5. Con: Connectivity
Cloud-based POS software always requires internet connectivity which means that services will be affected if the internet connection is down. However, this isn’t that big of a problem as most businesses already have uninterrupted internet connectivity, and thus, minimal disruptions.
6. Pro: Access Data Anywhere, Anytime
Since all data is saved instantaneously on the cloud, managers can keep track of all sales remotely. Moreover, they can update prices and places too, with just an internet connection. This is ideal for managers who may be working from home, especially during the pandemic.
7. Con: No Customization
Cloud-based POS software, or any other SaaS for that matter, doesn’t allow customizations to the software due to its deployment model. This won’t be much of a hassle for small and medium-sized retailers. However, larger retailers may look to tailor the software to their unique needs.
Get Retail POS Systems with CardLogic
In short, a cloud-based retail POS system is a great option for small and medium-sized retailers. If you are looking to get personalized POS solutions, CardLogic Systems can help.
We are a payment processing company, so get in touch with us today to learn more about our POS solutions.
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