Ecommerce Platform Comparison Chart – Features and Cost Breakdown
Finding the right ecommerce platform can feel overwhelming, can’t it? With the industry thriving and…
Read More >>If you own a retail business, ask yourself this question: Is my POS system built for retail?
Most new businesses rush into purchasing POS software. They know it’s important, but they lock into software without exploring all options.
Commonly, we see businesses that aren’t using a strong retail POS system, or they’re using a POS system that isn’t designed for the type of retail they’re doing. For example, a convenience store using Square or Clover would create problems (for some reasons we’ll cover below).
Typically, the best retail POS systems tend to be modular (e.g., support a variety of peripheral POS equipment) and have powerful, customizable inventory management settings. Inventory management is very important in a retail POS, especially for businesses that carry lots of products with variants or that sell 1000s of different products and in volume.
Did You Know?
According to B2B Reviews, the global retail POS market is on track for impressive growth, jumping from $15.8 billion in 2020 to an expected $34.4 billion by 2026.
These numbers showcase the growing importance of the retail POS system, and if you’re a retailer, you’d know better.
Have a look at this smart retail POS system to smooth things up for your business.
Interested in learning more about options for the best POS system for retail? This guide covers must-have features, key benefits, and different types of retail POS systems you might consider.
Plus, we touch on why FTx POS is the best POS system for retail and why your business should consider it.
A retail POS system that facilitates transactions at checkout. You can think of it like a digital cash register, ledger log, and inventory all rolled into one.
In other words, POS systems are essential for modern retail. However, not all POS systems work for retail.
In fact, many are restaurant-style systems. These systems prioritize features like open checks, table management, and ingredient or kit inventory. Other systems might be more retail-based, but for small, independent brands that maybe carry 10-20 different stock keeping units (SKUs).
As your retail brand expands, you need a POS system that grows with you – one that connects seamlessly to additional registers, provides powerful inventory management tools, and includes other essential features to support your success.
Leading retail point-of-sale systems don’t just facilitate transactions. They also have these important features that drive retail efficiency.
The first two (inventory and barcode scanning) are must-have features. Retailers need these features to perform essential day-to-day tasks. However, there are also some other key features that top retail POS systems have:
Retail tends to involve a greater variety of products and more frequent stock updates (compared to restaurants). Retail POS systems therefore need robust inventory tracking features.
For one, the system should include SKU management or a pricebook manager to edit prices, products, vendors, and more. Effective retail inventory software will also include automatic reordering, vendor/purchase order management, real-time inventory levels, and more.
Retailers rely heavily on barcodes at the register. Scanning items in ensures better price accuracy, faster transaction speeds, and improved inventory accuracy. In addition, the best POS systems for retail also allow you to print and customize barcodes and perform price lookups from a barcode scan.
Collecting customer data is useful in retail (and restaurants). So, this is a must-have feature for any type of POS system. However, great retail CRM-POS tools are designed to build customer loyalty and drive repeat visits.
Look for marketing automations, email integration, and loyalty program app integration.
Depending on the type of retail business, exchanges and returns tend to be more common. Therefore, the best retail POS systems allow you to manage and monitor this type of transaction.
Retail POS systems should have features to manage these processes efficiently, including refund options and store credit.
This is a feature of inventory management, particularly the ability to customize inventory to match your product mix.
Retailers often have product variations for color, size, or material. They might also sell items by case or individual unit. A robust retail POS includes inventory tools to customize and facilitate these unique functions.
In general, the first two features are must-haves in retail operations. The other three tend to be nice-to-have but will certainly make retail operations smoother and more efficient.
Request a demo. Explore the robust retail POS features in FTx POS. Schedule your platform walk-through today with a retail POS expert.
Choosing the right POS system creates tons of value for your business. A POS can help you cut costs, sell more, be more efficient, and reduce theft, for instance.
Here are some key tasks that POS systems for retail can help you do:
Inventory management is a key functionality of a retail POS. Therefore, your POS system’s inventory platform should come with basic-to-advanced features like:
With the right POS inventory software, you can improve inventory efficiency – which has a bunch of downstream effects like reduced holding costs and shrinkage, better inventory turnover ratios, and efficient product data management.
Price inconsistency is a real problem for multi-location or omnichannel retailers. You need consistency across your ecommerce site and brick-and-mortar locations for the best customer experience.
With a customizable POS system, you can build your pricebook to best suit your business. This will allow you to set up:
Basically, this feature gives you peace of mind that what’s being charged at the register is accurate. Pricebook management tools are key for maximizing profit margin.
For large retail operations, managers can’t be in the store every day. That’s why cloud-based POS reconciliation tools are so important.
A retail POS will include tools to automate and manage:
Basically, just like a cash drawer count sheet, the tender amounts would be entered on the computer. Then, totals for card payments, gift cards, and other tenders could be entered, and a balance report is run.
This will provide your accounting team or corporate office with fast data about cash variances and issues with stores/cashiers in terms of balancing a drawer and help you monitor for potential issues like excessive refunds, price overrides, or other potential indicators of theft.
Your retail POS system helps you speed up checkout. For high-volume retailers that serve multiple customers per day, a fast POS is very important. Some features that can speed up checkout include:
Your POS collects a lot of data. About customers, inventory, sales, reconciliation issues, etc.
As a reporting hub, there’s a lot of data you can start to monitor, like:
Your sales reports. Use your POS to monitor day-to-day sales (noticing trends or anomalies); you can also measure sales on a weekly or year-over-year basis to watch for ongoing growth.
When it comes to selecting a POS system, there are a lot of different types. But here are two big distinctions you should know.
First, POS systems can be cloud-based or on-premises (which requires an on-site server). And second, you have modular systems, all-in-one, or proprietary POS platforms for retail. Let’s take a closer look:
Most modern POS systems are cloud-based primarily because cloud-based software tends to be easier to maintain, support, and deliver updates to customers.
With a cloud system, your POS hardware connects to the cloud to access your software and data. Think of it like Netflix. You can access your favorite TV shows from anywhere, and updates and new features get added to the platform automatically. This type of system tends to have lower startup costs, and they can be launched much faster than legacy systems. However, they do require more.
This type of system is used if a business wants greater control over its data and more customization. The system runs independent of an internet connection and is stored on a local server. This type of system is slower and more costly to build.
Looking to understand the differences between cloud and on-premise solutions so you can make the right choice?
Read this: Cloud-based Vs. On-Premise: Choosing the Right POS System
You can also choose a POS by the type of hardware it uses. The three most common include:
1. Proprietary POS – This system uses specific hardware. For example, Clover POS only runs on Clover devices. The advantage is that this type of system is fast to launch. However, it also greatly limits you.
2. Modular POS – A modular system means you can mix and match hardware devices if compatible with the operating system. For example, FTx POS is a Windows-based system, and it’s compatible with a wide range of Windows POS devices. This type of system allows you to customize and may help to lower costs.
3. All-in-One Systems – In an all-in-one (AIO) system, all of the hardware is available in a single unit. The HP Engage systems, for example, are technically AIO systems – the monitor, barcode scanner, and receipt printer are all housed in a single column. However, the HP Engage also supports modular devices as well.
Interesting Read: Retail & Ecommerce Payments Made Simple: 2025 Guide to POS Transactions
There are so many points to consider when choosing retail POS software; we’ve covered them here:
FTx POS is a POS system designed for and by retailers. Our software has been battle-tested in our network of convenience stores, with many of the features built and tested to solve numerous remote management and performance tasks in retail.
Here are some reasons our software stands out:
You get not just a POS, but also one of the best POS inventory platforms, with features like:
Don’t go for a proprietary system that stifles your creativity. Lightspeed, for example, requires you to use their credit card processing service, as well as many of their hardware solutions. Clover and Square both require you to use their hardware.
With FTx POS, you can customize these features:
FasTrax has decades of combined experience serving retail businesses. Our software was built for growing multi-store retail locations.
Proven Track Record: Our company’s experience in managing a network of 60+ retail stores gives us a deep understanding of the specific challenges and opportunities faced by retailers.
Industry-Specific Knowledge: This expertise allows us to develop FTx POS with features that address the unique needs of the retail industry, ensuring that it is a powerful and effective tool for your business.
Take control of your operation, no matter where you are, with these tools:
With FTx POS, you can confidently manage your retail operations, optimize inventory, enhance customer satisfaction, and drive business growth.
Now that we’ve explored the essential features, how do you navigate the sea of options to find the best POS system for retail stores?
Here’s a strategic approach, drawing upon the very elements that make a POS truly impactful:
1. Define Business-Specific Needs: What are the unique demands of your retail operation? Consider your inventory size, whether you manage multiple locations, and any specific workflows that are critical to your success. For instance, a boutique clothing store will have different needs than a bustling grocery store.
2. Prioritize Ease of Use: A powerful system is only as good as its usability. Can your staff navigate it intuitively? A clunky interface leads to errors and frustration. Opt for a top-rated retail POS system known for its user-friendliness for both your team and you.
3. Check Hardware Compatibility: Will the new system work with your existing scanners, printers, and payment terminals? If not, factor in the cost of new hardware. Sometimes, an integrated solution offers better long-term value.
4. Seek Industry-Specific Tools: Does the system cater to the nuances of your industry? For apparel, look for matrix inventory (size/color). For groceries, robust barcode scanning is crucial. The best retail POS often comes with tailored features.
5. Ensure Strong Inventory Features: This is the backbone of retail. Your chosen system must offer robust inventory management capabilities, including tracking, alerts for low stock, and, ideally, features like cycle counting.
Manage Inventory Like You’ve Never Before – Easy & Automated
6. Review Support Availability: What happens when you encounter an issue? Evaluate the vendor’s customer support – is it 24/7? Is on-site or remote assistance available? Reliable support is invaluable.
7. Confirm Third-Party Integrations: Your POS shouldn’t be an island. Check if it seamlessly integrates with your accounting software, e-commerce platform (if you have one), and CRM tools.
8. Analyze Reporting/Analytics: Data is power. Look for a system that provides insightful reports on sales trends, inventory performance, and customer behavior. This data will drive smarter business decisions.
9. Support for All Payment Types: In today’s diverse payment landscape, your POS needs to accept various methods, including EMV chip cards, contactless payments, and mobile wallets.
10. Choose Cloud vs. On-Premises Wisely: Cloud-based systems offer scalability and accessibility, while on-premises solutions provide more control over data. Consider your business needs and technical infrastructure.
11. Verify Transparent Pricing: Understand the full cost, including any monthly fees, transaction fees, or costs for add-ons. Beware of hidden charges or overly long-term contracts.
12. Look for Loyalty Program Support: Building customer loyalty is crucial. See if the POS has built-in loyalty program features or integrates with loyalty apps.
13. Test via Demo or Free Trial: Before committing, always request a live demo or take advantage of a free trial to experience the system firsthand.
14. Check Update/Security Frequency: How often does the vendor release software updates and security patches? Regular updates are vital for performance and protecting your data.
Choosing the right point-of-sale systems for retail is not just about processing transactions; it’s about equipping your business with the tools it needs to thrive in a competitive market. By focusing on the features that truly matter and carefully evaluating your options, you can select a system that streamlines operations, enhances customer experiences, and ultimately drives growth.
A POS (Point of Sale) system is a computerized system used to process sales transactions in retail stores. It's essential for retail businesses as it streamlines operations, manages inventory, tracks sales data, and provides valuable insights for decision-making.
Consider factors like your business size, transaction volume, payment methods, inventory needs, and budget. Look for a system that offers essential features, integrates with other business software, and provides reliable support.
The cost varies based on factors like features, hardware, and software. Expect a range from a few hundred dollars to thousands, depending on your needs.
Essential features include:
A POS system can enhance customer experience by:
Expect comprehensive training on system usage and ongoing technical support. A reliable provider will offer timely assistance and updates to ensure your system operates smoothly.
Learn more about this topic. See these related posts on the FTx POS blog.
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