What are restaurant point of sale systems?
Point of sale systems are used to track purchasing and customer data. With this system, the restaurant manages its sales, inventory, and orders. The information can also be used for marketing purposes. With all these functions, a point of sale system has become an integral part of restaurants today.
4 Targets All Good Restaurant Point of Sale Systems Must Meet
What is a Restaurant Point of Sale System?
A restaurant point of sale system can be defined as an end-to-end solution for managing the daily operations in a restaurant. Restaurant POS systems help restaurant owners track sales and cash flow and improve accuracy in inventory management and control, menu management, employee management and customer support. They also generate detailed sales reports and forecasts to help grow the business.
POS software can additionally handle online orders, table management and loyalty programs. A modern POS system comes with both, software hardware that helps a restaurant reduce time-consuming labour and simplify operations.
Each style of food operationbe it full service, fast casual or quick servicehave different requirements. And there are different types of POS systems that meet these needs.
POS system apps are cloud based programs that can be downloaded on a compatible mobile device.
- A mobile POS system works well for business like food trucks that need a full-feature management system that's flexible and mobile.
- A touch screen POS system works on tablets, smartphones, computers and kiosks. (Some POS systems come with their own hardware options so operators don't have to rely on third party devices.) A touch screen point sale system allows for tableside ordering and can process more orders quickly.
- Cloud based restaurant POS systems (either Android or iPad POS) record transactions in real time and provide easy access to data, anytime, anywhere. It is best suited for businesses with multiple restaurant POS systems or locations.
Evolution of the Restaurant POS System
The evolution of the modern Pos System can be traced back to 1879 when saloon owner James Ritty invented the cash register. He sold his invention to National Cash Register Corporation (NCR) in 1884, who then added a cash drawer and paper roll for receipts to the machine. By the middle of the 1900s, the cash register became a digital machine, with an LCD screen, credit card magnetic strips and thermal printing to accept cash and print out receipts.
The first electronic cash register was introduced in 1970s and with the advent of the internet in the 1980s, the POS system could connect the front house with the back house virtually. Gene Mosher developed the first point sale software that had a touch screen interface for counter service.
Modern restaurant point sale systems offer streamlined processes to help restaurants track and manage inventory, employees and workflow. The point sale system can also generate detailed reports and analytics of the restaurant's financial operations and provide access to cloud based sales reports. It offers customers tableside ordering and contactless payment options and also online ordering delivery.
Read on to understand how a restaurant POS system can help a business improve its workflow and efficiency.
Your point of sale system is the first place to start when looking for ways to improve your business’s bottom line.
Does it meet the 4 targets all good restaurant point of sale systems must meet?
4 Goals of a POS System- No. 1 Achieve High Sales Volume
A restaurant is a business and the ultimate aim of any business is to increase revenue and profits. The surest way to do that is by increasing sales. A restaurant POS system will improve sales and profit margins in the following ways-
- Better efficiency- A modern POS system comes with inbuilt order management tools that make order processing easier and quicker. Automation reduces the turnaround time.
- Reduces error- With management tools for table management and tableside ordering human error is reduced while making reservations or taking orders. This improves customer experience.
- Payment processing - When staff at fine dining or full service restaurants uses mobile POS apps for tableside ordering and card processing it reduces turnaround time by 20% during a restaurant's busiest hours. When your POS system has inbuilt credit card processing, you save money on transactions via credit cards as you don't have to pay processing fees.
- Reduced waiting- A good POS software with order management and table management tools will cut down on wait time and help you get repeat customers.
No. 2 Improve Customer Service
A POS system helps a restaurant improve its customer service by tracking and managing customers metrics. It uses these to customize loyalty programs based on their past orders and preferences.
A POS system helps staff enhance their table service by showing them a customer's past orders. This prompts them to inquire if the customer wants a repeat of their favoured drink or dish, making customers feel valued.
A point sale system also provides real time inventory management and tracking which tells a restaurant if a particular item is in stock. This enables the restaurant to adjust menu items and inform customers immediately if an item is unavailable, and recommend other Best Food options instead.
You can track customer trends and behavior with a restaurant POS software. The online ordering features of a POS system saves customer preferences and enables the restaurant to create demand-Based Marketing campaigns.
A manager can improve customer experience by implementing a customer loyalty program. They can also use the gift card feature offered by a point sale system. This allows customers to use gift cards when they like and Get Free meals and other promotional offers. Free online ordering also helps draw more customers to a restaurant.
No. 3 Employee Management
A good restaurant POS software like PlumPOS from Hubworks has features for employee management that automates scheduling, attendance, payroll and HR. Using the employee management system can help reduce the gap between predicted and actual labor costs and help you control your Labor Costs by tracking employee work hours.
A point sale system helps you monitor staff performancechecking how long they spend at each table and identifying which staff can better handle busy shifts. Good performance can then be rewarded.
A cloud based employee management system allows your staff to access their schedules anytime, and from anywhere. By tracking ordered items a restaurant POS can help reduce employee theft, and catch unauthorized discounts or freebies. This makes employees more accountable.
It’s hard to select the best point of sale system for your restaurant if you don’t know the criteria it should meet.
This article evaluates the four key functions restaurant point of sale systems should perform for better business growth.
The best restaurant POS systems should help restaurant owners efficiently run their business and streamline the workflow. A good POS system is a combination of POS hardware and software best suited to a restaurant's unique needs.
A competent restaurant management system will streamline processes, like taking customer orders, accepting online orders, managing bills, streamlining inventory, and running loyalty programs. It should be able to integrate with other software like third party delivery apps and kitchen display systems. A restaurant management POS system should help a manager streamline the inventory Supply Chain so that it can manage its costs efficiently.
A restaurant point sale system stores and tracks past data to help with sales forecasting. The data gained from POS system reports can also help you optimize your menu design and influence how a customer spends money by offering specials on slow-moving menu items. It also helps schedule employees as per the restaurant's requirements.
A good point sale software will help streamline kitchen management and ensure better coordination with front house so that orders are streamlined on the kitchen display system. A restaurant POS system generates reports and analytics that help a manager or owner make decisions on inventory management and ordering, sales forecasts and budgeting.
5 Best Restaurant POS Systems in the Market
If you're in the market for a good restaurant point sale solution that will help grow your business, here's a list of the best restaurant solutions-
1. PlumPOS by Hubworks
PlumPOS is an app on the Hubworks app store that can simplify online ordering delivery, create loyalty programs, offer contactless payments, take care of employee management and inventory management and handle self service kiosks.
This point sale system offers table management, payment processing, cloud based reports and analytics, inventory management and technical support.
3. Square POS
This restaurant POS provides a free plan and paid POS options, as well as add ons like payroll and loyalty programs in its paid options.
4. Revel POS
Revel offers integration with bar and management software and provides features like inventory management, employee management, accounting and reporting and analytics.
5. Toast POS
This restaurant point sale system is known for its management tools for tableside ordering; reporting and analytics and customer relationship management.
Once you review the features included in these point sale systems, you can take a decision on the best POS system to suit your restaurant management needs.
Running a restaurant is difficult, but keeping the books and inventory up to date can be even more challenging.
This article covers the ways that restaurant point of sale systems can streamline your business and help it grow.