Point of sale (POS) systems streamline customer checkouts at retail shops and restaurants. They also help small business owners manage day-to-day operations, from inventory to orders. But retailers and restaurants use POS software differently. While food service companies need order and table management, stores focus on customer and stock-keeping features.
Comparing restaurant vs. retail POS systems can help you find the right solution for your company. Explore the following examples to see how differences between restaurant and retail POS systems affect operations.
What is a point of sale (POS) terminal?
POS terminals are the hardware and software solutions that small businesses use to record sales and process payments. Most cloud-based POS systems for retail stores and restaurants offer mobile and countertop versions for checking out customers.
How retail stores use POS software to improve operations
Small retail businesses use POS systems as operations hubs, overseeing sales, inventory, and product performance. A well-designed POS platform speeds up checkouts and automates stock alerts or purchase reorders, helping retailers increase customer satisfaction and efficiency.
Store associates use barcode scanners and touchscreen displays at the counter to ring up items or process returns and exchanges quickly. They can access shoppers’ contact information, purchase history, and preferences through built-in customer relationship management features and loyalty programs. Integrated or stand-alone credit card machines let customers pay using their preferred method.
On the back-end, retailers use a POS system with inventory management to track stock levels, automate reorder alerts, and manage pricing updates, discounts, or changes to stock-keeping units (SKUs) and variants. E-commerce integrations sync multichannel sales so associates have the latest inventory and customer data.
Owners and managers use POS analytics and reports to identify top-selling items and high-volume days or hours. They can customize dashboards for real-time inventory level updates and sales information.
How restaurants use POS software to boost efficiency
Sit-down and fast-casual restaurants use POS systems to coordinate front and back-of-house crews, manage costs, and improve service speed and order accuracy. From internet-connected devices, small business owners can view real-time sales and labor reports, end-of-day breakdowns, and insights into menu item popularity.
Small retail businesses use POS systems as operations hubs, overseeing sales, inventory, and product performance.
Managers use recipe-based costing and real-time inventory tracking tools to prevent spoilage and control costs. They can also update menu availability and specials using fixed or mobile terminals. Hosts use floor management features for seating and waitlists, while restaurant staff enter in-house, to-go, and delivery orders into stationary or handheld units.
Custom modifiers let employees quickly and accurately input orders without typing special instructions. Delivery and reservation platform integrations can reduce time spent entering orders or customer data. And once your staff hits send, kitchens receive orders via kitchen display systems (KDS) or printers. At checkout, servers can accommodate guest requests to divide items or split tickets and accept payment using the POS provider or third-party payment processors.
Best POS providers for restaurants compared to retail solutions
Choosing the right POS system for your company can improve customer experiences and help you manage inventory, sales, and labor costs. The following vendors offer industry-specific POS solutions for restaurants and retail stores with multiple subscription tiers to accommodate small to mid-sized businesses.
Popular retail POS systems
Features, prices, and hardware options vary between POS systems for small retail stores. Here are a few examples for different budgets and needs:
- Square for Retail: This mobile POS system offers paid and free POS plans with support for online sales and refund management. Square for Retail is a popular pick for startups and small shops.
- Lightspeed Retail POS: Retailers with thousands of SKUs or multiple stores appreciate Lightspeed Retail’s built-in supplier catalog and robust inventory management tools.
- Shopify POS: E-commerce plans include POS Lite, which supports in-person payments. Stores with a lot of foot traffic benefit from Shopify POS Pro features like real-time retail analytics and enhanced customer profiles.
Top POS systems for restaurants
Cloud-based restaurant POS systems range from simple, quick-service solutions for coffee shops and food trucks to full-service software for coordinating front and back-of-house teams. Check out the following examples:
- Toast: This industry favorite offers a user-friendly
interface, seamless integration with delivery services, and kitchen
display systems. Toast also has financing options for POS hardware. - Clover: With omnichannel menu management tools and hardware options for full and quick-service restaurants, Clover fits into many different kitchen and order flows.
- TouchBistro: This iPad-based restaurant POS system is
easy to navigate, whether you’re customizing floor plans or menus or
entering tableside orders. TouchBistro’s plans include staff management.
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Published
Jessica Elliott
