Point of Sale System and Return on Investment

One of the biggest considerations when buying a point of sale system is making sure that you will be getting a return on investment. As point of sale software or systems are invariably expensive, this means that the system must either:

Save money by reducing expenses
Save money by reducing time (fewer employees required)
Increasing sales as more resources can be spent on interacting with your customers
Increasing profit margins

If your point of sale system can deliver against any or all of these factors then you will be on to a good thing.


Measuring the ROI of your Point of Sale System

A good point of sale system will make it very easy to do the following:

Make it very easy to print labels, change prices and experiment with changing prices
Identify which of your employees are generating the most sales
Identify which are your bestselling items in terms of volumes and revenues
Eliminate pricing errors which may be affecting you profit margins

Indeed, the greatest benefit of a good point of sale system is that it will allow you to monitor and track the performance of each employee and each product being sold.

point of sale system

It is important to monitor employees so that you can performance manage weaker employees and reward your highest performers. It will also allow you to take a stick and/or carrot approach to improving the performance of your employees.

It is also important to track and monitor your individual products. A good point of sale system would, for instance, allow you to instantly mark up or down the price of individual products by, say, 20%. Tracking how successful or otherwise these price amendments are and whether they are improving or harming your bottom line is critical to optimising your sales. While a reduction in price, may help to drive more sales, if the increase in volume fails to compensate for the decrease in profit then the promotion of that product may not be a sound business decision. Testing product price points is a basic tenet of good business; however without point of sale systems this was only possible on a small scale or with one or two products at a time. Now point of sale systems allow business owners to make a quick and easy judgement over pricing across multiple products simultaneously by providing all the data required to ensure that products are being most optimally priced. This is sure to provide significant return on investment over time.
Using a Point of Sale System for Inventory Management

If you don’t have sufficient inventory you will be likely to lose sales as shoppers buy from your competition. Point of sale systems can help to prevent this by allowing you to track the rate at which products are selling and thereby allowing you to track how many you need to order in advance in order to keep up with demand. However, stock too much of a product which isn’t selling and you will have tied up valuable cash and shelf space in products which nobody wants. This again can be avoided by using a point of sale system.

Source:  http://id.berita.yahoo.com/teknologi/