Should you consider a multifunction POS terminal?

Should you consider a multifunction POS terminal?

Point-of-sale (POS) terminals are the main method by which credit and debit cards, checks and electronic-benefits transfers (EBTs) are processed. The terminals are usually equipped with a computer, monitor, printer, bar-code scanner, magnetic-strip reader and cash drawer. Additional peripherals may include a weight scale, customer-signature-capture screen and a PIN pad.

Recently, retailers have favored purchasing multifunction POS terminals rather than single-function ones. Such "all-in-one" terminals typically use touch-screen technology with a computer built into the monitor chassis. Multifunction terminals are able to perform the functions of what used to constitute several individual peripherals, while saving on merchant counter space and equipment costs. Moreover, the POS-system software can be programmed to handle a variety of customer transactions, such as sales, exchanges, returns, layaways, BOGO (buy one get one) and item discounts. POS software can even be set up to anticipate upcoming promotions and coupons, as well as foreign-currency payments. Because of these advantages, multifunction terminals are able to save retailers considerable time and expense when handling retail purchases. Customers are also more likely to purchase from that merchant because their transactions take less time to complete.

Newer multifunction POS terminals also are designed with PCI-standards compliance in mind. The Payment Card Industry Data Security Standard was established by the Payment Card Industry Security Standards Council (PCI SSC) to ensure that merchants who process, store or transmit credit card information do so in a secure environment. The PCI SSC is an independent body that was actually created by the credit card issuers; it is the responsibility of the issuers to enforce compliance with the standards set out by the council. Merchants who invest in updated POS terminals are better able to comply with PCI security standards and ensure that the payment information of their customers remains secure.

That said, a multifunction terminal is only one part of a POS system. Additional computers handle other retail functions, such as inventory control, stocking and transfer of products between different locations. Other POS features include reporting capability, such as capturing sales trends and analyzing the costs and profits of the business. Such features help a merchant better understand where the business is heading and where it needs improvement.

Published: April 20,2023