Modern point-of-sale (POS) terminals can fit in the palm of your hand or affix to your countertop. Most provide real-time access to sales and inventory data through an internet connection, serving as a central operational hub. Explore the different types of POS terminals to find the right fit for your small business.
What is a POS terminal?
A point-of-sale or POS terminal is a device and application used to process payments and manage sales. POS terminals can be mobile, virtual, or hardwired and may include a card reader, keypad, or touchscreen. There are different types of POS machines, like kiosks for self-service or tableside units for order-taking and payments.
Popular types of POS terminals for small businesses
The type of POS terminal your business chooses will depend on your sales channels, business model, and users. Retailers and restaurants needing countertop solutions may prefer all-in-one point-of-sale systems, whereas portable options, like mobile POS terminals, can better fit service-based companies.
Mobile POS terminals and apps
This type of POS terminal can be an iOS or Android smartphone. The vendor provides a mobile POS app and may offer a free card reader. Food truck owners, artists, and anyone selling in the field benefit from this portability. These POS systems typically support multiple payment methods, including mobile wallets, and some can use your cellphone as a barcode scanner for estimating inventory.
Tablets for POS
Tablet-based POS systems use Android or iOS hardware as the POS terminals. The larger surface is more user-friendly than mobile phones, yet not as bulky as traditional cash registers. Retail and restaurant POS systems can add tablet stands for fixed counter use or equip employees with tablets for taking orders or signing up customers for loyalty programs anywhere in the store.
Online POS terminals
An online POS terminal lets businesses process transactions through existing hardware, like a laptop, tablet, or computer, connected to Wi-Fi or the internet. Several vendors offer web browser or virtual terminal capabilities, including e-commerce and free POS systems. However, providers' processing fees and available features for basic inventory management vary.
Multichannel POS software and hardware
Small businesses use multichannel POS systems to accept payments simultaneously across several channels while managing orders, inventory, and transactions from one spot. A simple retail setup might involve a counter terminal and an online store. You can use the terminal or POS apps and built-in inventory management tools to see real-time stock-level updates that reflect in-store and e-commerce sales.
Understanding where and how your customers pay can help you choose the right POS system for your small business.
Self-serve POS kiosks
A self-service kiosk POS lets customers browse restaurant menus, check in at hotels, and find product information in retail stores. These units can sit on tables or be freestanding machines. Casual dining or fast-food restaurants can lower labor costs by allowing guests to enter orders and pay through self-serve POS terminals.
Terminal POS systems
A terminal POS system is what you usually see in retail stores. It might have a fixed physical machine for customers to tap, insert, or slide their card, a built-in or stand-alone receipt printer, and an employee-facing POS display. Many platforms sync with accounting and inventory management software and allow role-based views on devices.
POS terminal providers for small businesses
Understanding where and how your customers pay can help you choose the right POS system for your small business. If your clients pay over the phone, look for an affordable virtual terminal plus solutions for additional sales channels.
To find the best POS system, consider how machines, features, and costs differ among vendors:
- Toast: This terminal-based restaurant or retail system offers online store features and hardware options, like hand-held units and kiosks.
- Square: This solution has a free POS for smartphones and iPad-driven kiosks, register kits, and terminals.
- Shopify: The popular e-commerce store offers wired POS terminals for in-store sales and tap-and-chip card readers for countertop or mobile sales.
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