Digital transformation and point of sale solutions are hardly strangers. In fact, their relationship stretches back more than half a century. Ever since IBM launched the IBM 3650, widely recognised as the first electronic or computerised POS system, all the way back in 1973, you could say that POS has been involved in an ongoing process of digital transformation, riding waves of successive technological breakthroughs to keep reinventing itself as smarter, bigger, faster, more efficient and more versatile.
There are few signs of this cycle slowing down anytime soon. No sooner have business owners gotten to grips with cloud, mobile and self-service POS, now they have the likes of AI, ‘smart’ integrated IoT systems and, a little further down the line, quantum computing to think about.
No one wants to be left behind as new technologies emerge and, certainly as far as customer-facing industries are concerned, repeatedly tear up the rulebook on customer experience and engagement. But constant change can be disorienting and confusing, not to mention expensive. Ripping out an old POS to invest in the latest all-singing, all-dancing model comes with risks.
Is it really going to make that much of a difference to your business? Will you get positive returns on your investment? Does it have a purpose beyond simply wanting to keep up with the Joneses?
These are key questions every business should ask before embarking on yet another cycle of digital transformation. As far as upgrading and updating POS goes, we recommend using the following three maxims to help ensure you get the most out of it.
All digital transformation should align with strategic goals
Change for the sake of change is often a recipe for disaster in business. With POS, it can mean spending a lot of money on a system that brings little or no material benefit, leaving you stuck with equipment neither your customers nor your staff particularly want.
Successful digital transformation starts with having a reason to do it in the first place. With POS, this could be your existing system getting slow and clunky, or repair bills mounting up. Or it could be the realisation that an upgrade will deliver tangible benefits in speed, efficiency, sales throughput, CX etc.
Whatever the reason, it must be clearly evidenced by data. And it should furthermore also align with strategic goals. For example, is there any point opting for a faster POS if you have no issues with current sales throughput or wait times, and your strategy is based on increasing average order value rather than customer footfall?
It should solve operational challenges
Picking up on the above example, one of the most common reasons businesses look to upgrade their POS system is to ease bottlenecks in transaction processing and cut down on wait times for customers. Self-service kiosks, for example, have proven to be very successful in cutting queues in sectors like QSR restaurants and supermarkets, solving an operational challenge that was damaging customer satisfaction and imposing a ceiling on sales volumes.
New POS technology doesn’t emerge out of a vacuum, and is usually developed with solving specific challenges in mind (although, as we’ve seen with kiosks, the potential applications can often extend well beyond the original design intention). Successful digital transformations solve problems, so look into what any new POS tech you are considering is capable of, and then match that to your needs.
It should improve the customer (and staff) experience
Finally, even with the breath-taking pace of innovation that keeps all of us involved in POS on our toes, it’s worth reminding ourselves that POS technology per se is not the solution to our problems – it’s a tool that helps people do things in faster, more efficient and more convenient ways.
Kiosks haven’t transformed ordering in QRS restaurants in a way that has slashed wait times and increased average order values because of anything inherent in the technology. They’ve done it because customers like using them. The large displays, the easy-to-use touchscreens, the feeling of being in control of ordering their own meal at their own pace – it’s the experience that makes all the difference.
Successful digital transformation in POS should put people first. It’s therefore important to have a clear understanding of what the people who matter in your business (staff and customers) want. And then match that to the solutions available.
Get in touch with the AURES UK team to talk about the latest in POS technology and find out how to make your next POS transformation a success.