Looking to upgrade the POS terminal component of your retail technology infrastructure? Don’t make your selection lightly—or you risk choosing hardware that will neither meet all of your operation’s needs nor allow you to maximize your investment. The right POS terminal purchasing decision is heavily predicated on many factors. Let’s take a look at five key things to consider when selecting a point of sale terminal for a retail installation.
1. How many transactions do I expect the POS terminal to handle daily?
This will impact the type of central processing unit (CPU) and processing speed needed in order for the POS terminal to “keep up” with transaction volumes. If the POS computer has inadequate processing power, it will take longer to complete each transaction—making it difficult for a high volume of sales to be rung up and completed in a reasonable amount of time.
For light-to-moderate store traffic, a terminal equipped with a CPU that has a processing speed of 1.86GHz, should be a good fit. Heavier store traffic likely necessitates a unit that features a CPU with a processing speed of 2.0GHz.
2. What type(s) of payments do I plan to process via the POS terminal?
The more varied the roster of payment types accepted in your store(s), the better, as it increases the likelihood of cultivating repeat customers, maintaining your operation’s competitive edge, and increasing sales. This means going beyond taking payments via cash, checks, and credit/debit cards with magnetic stripes.
With the increasing number of chip-enabled credit and debit cards now being issued, selecting an EMV-compliant terminal that can accommodate transactions completed using these cards and, as such, complies with the Europay/MasterCard/Visa (EMV) standard is important. Another reason to choose EMV-compliant POS hardware: As of October 1, 2015, merchants are liable for fraudulent card-present transactions executed in their stores, unless their terminal handles chip-enabled cards.
The popularity of contactless payments and mobile wallet services (e.g., Apple Pay) that harness near-field communications (NFC) technology also make an NFC reader a highly desirable feature for any POS terminal.
3. How “tough” is my retail environment?
Some retail environments are tougher on POS equipment than others – for example, the nature of your business means long hours of usage daily, or temperature extremes come into play. Your POS terminal should be able to withstand the rigors of your specific operation. All retail environments are tough on POS equipment due to the nature of the environment, therefore a ruggedized system is recommended over any consumer-grade option.
4. Do I intend to expand my retail business within the next few years?
If you intend to expand the scope of your retail operation in the near future (and really, even if you don’t because such growth might happen regardless), you need a POS that can grow with the business. Opt for a terminal that is scalable and upgradeable; new components and capabilities, like different POS peripherals and additional processing power, should be easy to add in order to satisfy changing needs and to accommodate the opening of new stores.
Consider, too, that delays in repairing your terminals are impediments to growth. For this reason, choose a field-serviceable unit so repairs can be promptly handled in-store rather than on the manufacturers’ premises, which can involve several days or more between returning the POS terminal to the vendor for service, and waiting for it to be shipped back to the store. A rackable motherboard simplifies both upgrades and service.
5. How many POS lanes or stations will my store(s) have?
You’ll need one POS terminal for each lane and station, even if space is tight. To save space, select an all-in-one POS terminal with integrated peripherals.
Choosing a POS terminal can appear to be a daunting task, but it doesn’t have to be. Taking the above five factors into account as you shop and plan will make the job easer—and increase the likelihood of ending up with a POS terminal that’s right for your business.
