By Retail Brew Staff
less than 3 min read
Definition:
Whether you’re a mom-and-pop shop or a national chain, your point of sale (POS) system can make or break the checkout experience. At a fundamental level, a POS system is where money changes hands and data gets collected, where commerce meets the customer. But today’s POS systems do more than simply ring up items. They process purchases, track sales data, and manage inventory in real time. For retailers, the right POS system can streamline operations, reduce shrink, and enhance the customer experience. For customers, it’s the final step in the shopping journey—where they tap, swipe, or insert to close the deal.
Origins of POS
POS tech has come a long way since the days of the loud, mechanical cash register invented in the 1870s. Fast forward to the 1970s, and IBM introduced computerized cash registers that could process transactions and store data. Then came the cloud. In the early 2000s, cloud-based POS systems like Square and Shopify changed the game, letting even the smallest businesses accept card payments, track inventory, and analyze customer behavior from a tablet or phone. Today’s POS systems are modular, mobile, and made for omnichannel retail.
POS in context
As Retail Brew previously reported, “Point of sale (POS) inventory management systems help owners remotely track inventory, while closely monitoring sales. This is one component that sets Walmart apart from the rest of the industry. The company has a patented vendor-managed inventory POS model that shows stock visibility and management, and minimizes stock loss.”
