The POS is, specifically, the time and place where a retail transaction is completed. During the POS, the retailer will calculate the amount owed by the customer, indicate the amount, prepare an invoice or bill for the customer, which could be a cash register printout, and indicate the options which the customer to make payment in exchange for goods or after a service is provided and after receiving the payment, the retailer issues a receipt in printout or sent electronically.
Calculating for the total amount of which a customer has to pay the retailer, a variety of tools may be used by the retailer, and these are: weighing scales, bar-code scanners, and cash registers. To make a payment, the following measures are available: payment terminals, touch screens and other hardware and software options. Most retail businesses are adopting the POS system because the system does away with the need for price tags. Further, the current POS software may include features that are useful for specific functions, such as inventory management, CRM (Customer Relationship Management) financials, or warehousing.
Sales data analysis, sales history or report, and integration of bar-code scanners and credit card authorization ability are the main features of the POS system, which are benefitting retailers who are utilizing it. With an analysis of sales data, the retailer can figure out how well the items on the shelves sell and, therefore, can adjust the purchasing volume accordingly. With the sales history or report, purchasing decisions are helping inventory levels stay low, so that the report can aid a retailer in the purchasing decisions for seasonal items. With the integration of bar-code scanner and credit card swipe capability which are linked into the computer-based cash register, the price of the goods are accurately reflected.
Smart Ideas: Retail Revisited
The POS system has features that can truly benefit a retailer, and they are: user-friendly graphical interface, the system allows for inventory codes to enter either manually or automatically via a bar-code scanner, offer a variety of ways to keep track of pricing, such as percentage of cost, margin percentage and custom formulas, automatically updates inventory and accounts receivable records, provides sales tracking options, provides audit trails to easily trace any security problems such as thefts, supports numerous tax rates.
Finding Similarities Between Retail and Life
The reporting capabilities of the POS system include a comprehensive data of sales, costs, and profits by individual inventory items or by a salesperson or by category for a day, month and year. By using the POS system software, multiple formats for invoices, accounting statements and price tags may be formulated. Additional reporting may further include day-end cash reconciliation work sheets and inventory management.