One of the main reasons the cloud-based point of sale (POS) is making waves in the retail sector is that one by one every company is realizing the advantages and convenience of using mobile devices as cash registers. Cloud point-of-sale systems are online software that enable businesses to process customer transactions and streamline business operations. Cloud Point of Sale (POS) systems operate through an app or browser and are easy to setup and use while being cost-effective as compared to the installation of a local POS requiring an on-site server. According to a recent survey, over 61% of merchants are inclined to have their next POS system to be cloud-based and this is because cloud POS eliminates the need for an on-site serve and seamlessly moves the traffic flow to some other datacentre.
Cloud POS – Rising Popularity and Adoption
Cloud-based solutions are much more in demand these days owing to their tangible benefits such as cost-effectiveness, simplicity and convenience, flexibility, and function. Cloud point of sale systems change how businesses acquire their POS. with cloud POS, merchants and businesses can pay a monthly rental to access the software instead of buying the hardware upfront at high costs and licensing the software. Cloud offers a significantly lower acquisition and cost model as it does not require expensive hardware. Over the years, some providers have started modifying their fee structure to minimize or avoid per-terminal fees and add-ons for connecting third-party services. Hardware costs are often included in the rental agreement which ensures it gets replaced every few years and included in the monthly rental. Cloud POS can easily be adopted in various stages of operations depending on the requirement and budgets and is often equipped with modern, cloud-native programming languages.
Cloud POS runs on familiar, small devices such as tablets and can be used with both modern devices and client terminals that can enable merchants to leverage benefits from the system longer than the devices’ normal life. Some Cloud POS systems offer real-time analytics, business intelligence insights, actionable alerts, and ability to act on the information from a smartphone. Cloud POS is provides as a service and this allows provider to develop and release new features more quickly as compared to client-server POS.
Cloud POS has robust security measures in place ensuring data confidentiality through end-to-end encrypted communications, restricting access to data and protecting it, and offering robust critical system backups and storing them separate from the cloud services. The pay-per-use model of cloud POS and robust security measures have boosted their adoption in the retail sector. According to Reports and Data, The global cloud point of sale market is expected to reach a staggering USD 8,050.7 million in 2028, registering a robust CAGR of 19.60% during the forecast period, 2021-2028. ( Source : https://www.reportsanddata.com/ )
Cloud POS – A Crucial Part of Retail Industry
Cloud POS is a point-of-sale system wherein information for transaction processing comes from a remote cloud service that helps retailers store and process all the data online and helps them manage all the store operations including sales, purchases, inventory, accounting, and other important aspects of transaction processing. Cloud-based POS can be deployed as Software-as-a-Service (SaaS) that can easily accessed using internet. Shifting to a cloud-based POS system can ensure cost savings while simultaneously bringing about increase in productivity and visibility to small and medium businesses. Moreover, it has become easier to engage customers with a mobile POS by enabling the associates to look up information and complete transactions on the floor. Cloud-based POS helps retailers use mobile phones or tablets as a point-of-sale device at minimal cost allowing flexibility and cost-saving for medium and small businesses. In addition, technical knowledge regarding cloud-based software and its problems are handled and solved directly by the provider which ensures the issues are taken care of immediately and expertly.
One of the major advantages of cloud POS is remote access – which allows organizations to access their system and data from anywhere in the world. Cloud POS also offers real-time synchronization feature in which the data between online and offline can be seamlessly updated in real-time. Advanced Cloud POS systems equip businesses with in-store PS solutions, online integration, real-time reports and analytics available from the device, cloud-based web portal, and mobile apps for seamless maneuver. Retail cloud POS solutions enable stores to easily handle sales with robust tools and solutions to enhance in-store experience of the customers. Data obtained from the POS system can help businesses calculate and run marketing campaigns which in turn can encourage customers to shop and increase footfall. Cloud POS can enable stores to set flexible promotions that are based on certain items, order amount, and membership tiers, among others which the system them applies automatically on the purchase, in turn, saving time and efforts to carry out tasks manually.
Owing to the advantages of POS system, many retail businesses across the globe are implementing these systems. Integrated cloud POS system allows retailers to track their inventory across multiple stores in different locations to find out availability of items that the customers are looking for. Cloud POS systems also enables retailers to create self-service kiosks for the customers to help them search for items they want themselves. Cloud POS systems ensures all the sensitive data of customers are stored securely and properly. Since all the data is stored in cloud and not the computers, these systems eliminate the risk of data loss that can be caused due to any viruses, damaged systems, or unauthorized access. Advanced POS systems also enable quick product return processes and cancellation and return can be processed through the system in just a few clicks. These key factors have significantly boosted the adoption of POS systems across the retail sector and with new and advanced POS systems being introduced in the market, the adoption is expected to soar over the coming years.
Cloud POS – Safety and Security
Cloud computing has emerged as one of the most viable options for retail businesses when it comes to data security and protection. Cloud offers a flexible solution which strengthens endpoint and network defenses, boosts efficiency, provides all-time access to critical applications, and doesn’t necessitate additional hardware costs. Cloud-based POS systems have been crucial for retailers as it not only saves valuable floor space by eliminating the need for bulky cash registers but also streamlines business operations to enable retailers to meet demands of the workflow. Cloud-based solutions have enabled businesses to ensure data encryption and store data on a remote server with added layers of redundancy to protect data from malicious or unauthorized access. Cloud-based POS systems also alleviates the burden of inviting complications and problems of hosting and maintaining an on-site server. In addition, cloud POS combines advanced and leading technology solutions to ensure the businesses run smoothly.
Cloud POS offers a sense of security in cases where something happens to the data, it can be easily retrieved from encrypted servers. Maintenance of cloud POS system is easy and there is no need for manual installation of updates as it occurs automatically from time to time. While the technology is rapidly advancing, it has become important for restaurants and retail stores to equip their outlets with a robust management software that looks after every aspect of the outlet. the more versatile the cloud POS, the more it is equipped to ensure seamless operations as they can easily endure rigorous, fast-paced, and demanding environment of retail sector and restaurants.
Bhakti Shuke is a content writer at ReportsAndData with a zeal for designing and developing all sorts of first-rate content. She is passionate about science and healthcare but also has a fervor to stay updated with the latest happenings in the world. When she is not writing, she can be found immersed in a book pretending the outside world doesn’t exist.