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Point of Sale Hardware Guide

Last updated on Jan 29, 2025

Point of sale (POS) equipment is crucial in handling business transactions. From processing payments efficiently to managing inventory and generating reports, a well-chosen POS system and hardware helps you streamline your business and improve overall customer satisfaction. When selecting POS tools for your business, it's important to consider your specific needs and requirements when choosing the POS hardware components that meet your operational demands.


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What Is Point of Sale Equipment?

employee using a POS system

Point of sale equipment, also known as point of purchase equipment, is where you ring up customers and accept payments. In the age of smart kitchens, modern POS systems are entirely digital, eliminating the need for traditional cash registers. All you need to set up a modern POS system is a POS app and an internet-enabled device such as a tablet or phone. This flexibility and convenience make modern POS systems a popular choice for businesses of all sizes looking to improve their efficiency and customer service.

A point-of-sale system consists of both hardware and software that work together to enable your business to make sales efficiently. This system allows your business to accept payments from customers and keep track of sales data, inventory levels, and customer information. By utilizing a POS system, restaurants can increase the efficiency of their operations and enhance the overall customer experience.

Cash Register vs POS System

A cash register, or till, is a cash management machine that calculates a sale's total, records the sale, and contains a drawer for storing cash. Cash registers are a popular choice due to their affordability and ease of setup. They are ideal for businesses that only need to ring up and complete transactions, store money, and print out receipts. Since they require minimal training to use effectively, cash registers are a convenient option for small businesses or those with limited technical expertise. However, it's important to note that cash registers have limited technology and provide limited reporting capabilities; you may need to manually track financials and inventory, which can be time-consuming and prone to errors. Additionally, cash register purchases may not be as quick as POS systems, as they lack the advanced features and automation that POS systems offer.

POS systems combine point-of-sale hardware and software to offer detailed reporting on inventory management, employee management, and marketing, giving you valuable insights into your business performance. They can also collect and store customer data, enabling you to run loyalty programs and implement promotions to drive customer engagement. POS systems can be integrated with accounting software and e-commerce platforms, allowing seamless data transfer and enhanced functionality. They are designed to be user-friendly and intuitive, making them a practical choice for businesses of all sizes. While POS systems have a larger upfront cost with hardware and software requirements, as well as monthly software fees, the benefits they offer in terms of efficiency, automation, and data analysis can outweigh the initial investment for most businesses.

What Is Needed for a POS System?

When setting up a Point of Sale (POS) system for your business, you can invest in several pieces of hardware to streamline your payment process. While the exact equipment you'll require depends on your business type, understanding what hardware is available for POS systems will help you make informed decisions for your establishment.

1. POS Computer

POS computer

A point of sale (POS) computer system is a modern alternative to traditional cash registers in commercial settings. These systems enable you to calculate and process transactions quickly and accurately, improving customer service and reducing wait times. They are equipped with user-friendly interfaces that make it easy for employees to input sales information, apply discounts, and process payments efficiently.

  • Connects with other POS hardware and software either through USB ports or wirelessly via Wi-Fi
  • Quickly processes purchases
  • Intuitive use requires minimal training

2. Cash Drawer

cash drawer

If your establishment accepts cash as a form of payment, a cash drawer is a necessary piece of equipment to keep your money safe and secure. Cash drawers are designed to securely store cash, coins, receipts, and other valuables during business operations. There are two main types of cash drawers available: manually operated and electronically operated. Manually operated cash drawers require employees to open and close the drawer physically, while electronically operated cash drawers typically open automatically when a sale is settled. The cashier is then responsible for pushing it closed..

  • Electronically operated cash drawers can be connected to POS software to track when the drawer is opened.
  • Electronically operated cash drawers stay locked to employees until a sale is made
  • Manually operated cash drawers are less expensive.

3. Mobile Computers

POS Computer

Mobile computers, also known as mobile POS systems, combine PC and scanning functions into a single, handheld device, allowing users to track deliveries, monitor inventory, and manage orders and sales efficiently. They're designed to keep your establishment's data up to date and your staff connected, regardless of their location. With the ability to access real-time information on-the-go, mobile computers provide a convenient solution for businesses seeking to improve productivity and efficiency.

  • Mobile POS computers incorporate a customer-facing display.
  • Showcase pertinent information during transactions.
  • Provides access to real-time information from anywhere.

4. Card Reader

card reader

A card reader is an essential component of any modern point-of-sale (POS) system, allowing your customers to securely pay by credit card while in-store. With the ability to accept payments via chip card or a magnetic stripe card, a reliable card reader ensures smooth and efficient transactions for both you and your customers. When it comes to processing payments, security is paramount.

  • Card readers can accept payments via chip card or a magnetic stripe card
  • Often equipped with advanced encryption technology to safeguard sensitive payment information.
  • Provides data that helps you navigate chargebacks

5. Barcode Scanners

barcode scanner

Barcode scanners read an item's barcode to bring up its price and details during transactions, ensuring accuracy and speed at the point of sale. They play a crucial role in inventory management by allowing businesses to track stock levels accurately and monitor product movement. When considering which barcode scanner to invest in, determine whether the scanner needs to read 1D or 2D barcodes.

  • Hands-free scanners are ideal for high-volume businesses.
  • Corded scanners are a suitable option for businesses that require a direct connection to a PC via a cable.
  • Cordless scanners offer wireless connectivity, providing added mobility for users who need to move around while scanning items.

6. Label Printers

label printers

Thermal label printers are a crucial tool for foodservice and retail establishments that need to sell or ship food and packaged goods. There are two main methods to consider: direct thermal and thermal transfer. Direct thermal printers apply heat to chemically treated paper to create a label. These printers are cost-effective and do not require ink or toner. However, direct thermal labels may fade over time and are typically limited to printing in black only.

On the other hand, thermal transfer printers utilize heat to bond a thin film of wax or resin coating onto a label. They can be used with a wide range of colored ribbons, allowing for more customization options. Despite their advantages, thermal transfer printers require ribbons, which can add to the overall cost of operation compared to direct thermal printers.

  • Thermal transfer printers utilize heat to bond a thin film of wax or resin coating onto a label and can be used with a wide range of colored ribbons.
  • Direct thermal printers operate by applying heat to chemically treated paper to create a label and typically only print in black and white.
  • Direct thermal transfer printers are less expensive than thermal transfer printers.

7. Receipt Printers

receipt printers

Receipt printers provide customers with tangible proof of their purchase. When purchasing a receipt printer for your business, consider the printing method used by the receipt printer. Direct thermal printers apply heat directly to specially treated thermal paper. Impact printers, also known as dot matrix printers, utilize tiny pins on a print head in conjunction with an ink ribbon to create a series of dots that form the printed characters on the paper.

Thermal printers offer fast and quiet printing and do not require ink or toner, saving your business money over time. However, their images do not last long, they can only print black on white, they're not suitable for high-heat environments, and they cost more upfront. In contrast, impact printers are a cost-effective option that is designed to work in high-heat environments, making them great for food trucks. They produce high-quality, long-lasting images, can often print in two colors, and can create carbon copies. The drawbacks of an impact printer are their slower print speed and higher printing noise levels.

  • Thermal printers are fast, quiet printing, and do not require ink or toner.
  • Impact printers are cost-effective and designed for high-heat environments.
  • Thermal printers are more expensive than impact printers and impact printers are slower than thermal printers.

8. ID Scanners

ID scanners

If you serve alcohol at your establishment, ID scanners can prevent the sale of alcohol to minors. They are designed to quickly and accurately scan and verify government-issued identification such as driver's licenses, passports, and ID cards. They can also help you maintain detailed records of age verification checks, which can be valuable in the event of an audit or compliance inspection.

  • ID scanners provide fast and accurate age verification.
  • Consider factors such as scanning speed, accuracy, compatibility with your existing POS system, and ease of use.
  • Look for features such as barcode scanning capabilities, data storage options, and user-friendly interfaces.

9. Restaurant Pagers

restaurant pagers

Restaurant pagers enable management and staff members to quickly send alerts to other employees when they're needed or to guests when their tables are ready. They streamline communication processes and improve overall efficiency in your restaurant. When choosing restaurant pagers for your establishment, consider factors such as range, durability, and ease of use.

  • Pagers increase employee communication.
  • Look for models with a long-range capability.
  • We also offer kits that contain restaurant pagers, a connect transmitter, and charging bases.

10. Kitchen Display Systems (KDS)

woman entering information to a computer screen in a restaurant

Kitchen display systems offer a modern solution that eliminates the reliance on paper tickets and manual order management in food service operations. By utilizing a digital display, orders are efficiently transmitted from the point of sale (POS) system directly to the kitchen display. This streamlined process ensures that updates are provided in real-time, enabling chefs and kitchen staff to maintain organization and prioritize orders according to their urgency.

  • You can tailor the display layout to align with your requirements.
  • Promote effective communication between front-of-house and back-of-house staff.
  • Eliminates time spent deciphering handwritten orders or searching for misplaced tickets.

How Point of Sale Equipment Should Be Used

When it comes to using point of sale (POS) equipment in your commercial establishment, there are several key factors to keep in mind to ensure smooth operations and efficient transactions. Here are some important considerations for using POS equipment effectively:

  • Training and Familiarization: It is crucial to provide thorough training to your staff on how to use the POS equipment. Make sure they are familiar with the functionalities, buttons, and features of the system to avoid errors during transactions.
  • Accuracy and Precision: Encourage your staff to input information accurately into the POS system to prevent mistakes in pricing, inventory management, and customer transactions. Double-checking entries can help maintain precision in your records.
  • Security Measures: Implement security measures such as unique login credentials for each staff member, regular password updates, and restricted access to sensitive information within the POS system to safeguard against unauthorized use or data breaches.
  • Maintenance and Cleaning: Regularly clean and maintain your POS equipment to ensure optimal performance. Dust and debris can accumulate on touchscreens, scanners, and card readers, affecting their functionality over time.
  • Backup and Data Management: Create regular backups of your POS data to prevent loss in case of system failures or technical glitches. Consider cloud-based storage solutions for secure data management and easy access to transaction records.
  • Integration with Other Systems: If your business uses additional software or systems such as inventory management or accounting software, ensure that your POS equipment can seamlessly integrate with these systems for accurate data synchronization.
  • Customer Engagement: Utilize POS equipment features such as customer displays, loyalty programs, and promotional pop-ups to engage with customers and enhance their shopping experience. Personalized promotions and discounts can encourage repeat business and customer loyalty.
The information provided on this website does not, and is not intended to, constitute legal advice. Please refer to our Content Policy for more details.

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