Is a mobile POS right for small businesses?
April 17, 2015

Accepting mobile payments gives retailers and restaurants more flexibility while keeping operating costs low. A mobile point-of-sale solution helps retailers better accommodate customer preferences and reduce checkout times. Because mobile has increased the speed at which transactions occur in the retail environment, many people have become less patient, according to The Point of Sale News. In fact, people perceive wait times based on the number of other customers in line, which means retailers could lose business during peak hours. Mobile POS reduces the chances of this happening because it provides an alternative to a traditional checkout line.

Mobile helps small businesses keep up
Technology changes rapidly, and larger businesses constantly update their systems to adapt to shifting customer preferences. While small retailers may not have the same resources to regularly upgrade their technology, mobile devices are here to stay. Mobile POS can help small businesses level the playing field with larger competitors. Consumers are becoming more aware of mobile payments and expect retailers to offer these solutions.

As customer expectations for a quality increase, smaller retailers can offer great service with mobile POS tools.

Mobile POS driving tipping point in restaurants
Mobile POS systems have become popular in a variety of restaurants because servers can bring the devices directly to the table to collect payments. Traditionally, customers were asked to include a tip after their cards had been swiped, but mobile POS enables diners to include it in the payment. Some systems calculate suggested tip amounts, such as 15 percent or 20 percent of the total. In addition, some restaurants choose to leave out the 15 percent option to encourage customers to give more, CBS MoneyWatch reported. Eateries can also set 18 percent as the lowest suggested amount.

These systems are not designed to make tipping more complicated for customers. In fact, the pre-set calculations make it easier for diners, especially if the bill is being split multiple ways. Mobile POS systems still offer an option for customers to input a different amount for tip.

CBS MoneyWatch said mobile POS has increased the bottom line for businesses that depend on gratuities. In many instances, 20 percent is now the most common rate. Suggesting gratuities also increased the overall number of people who tip.

Not only can mobile POS systems improve the bottom line for small companies, but they also give merchants quicker access to funds. Depositing paper checks and cash and processing automated clearinghouse payments takes time, which can interrupt cash flow for small companies.

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