- Learn more about the importance of POS systems today and how you can use them in your business. [POS system](https://smartpossoftware.com) have changed a lot over time. In the age of digitalization, they are particularly important. For this reason, we would like to take a closer look at the POS systems below, including the advantages and disadvantages as well as possible functions and areas of application. The question about costs is also answered. However, first, it is necessary to define what a POS system is. **What is a POS? ** The three letters “POS” are used as an acronym for “Point of Sale.” In some cases, they also stand for “point of service”. Originally, POS was just the place where the cash register was located within a store. Today this is designed through POS systems. Modern cash registers can do much more than just support the payment process; even if it is still the heart of a POS system. Over the years, POS systems have increasingly developed into an important linchpin in companies. Not least to continue to meet the high customer expectations of our digital age. **Point of Service ** In general usage, there is no clear distinction between point-of-sale and point-of-service. In principle, however, [POS Software](https://smartpossoftware.com) serves the sales process, while point- of-service systems cover the entire process from ordering through processing to billing or receipt. The term “point-of-service system” is also mostly used in service companies or the catering industry. **Advantages of a POS** Using a point-of-service or point-of-sale system can bring numerous advantages for retail or catering companies. POS systems enable companies to comprehensively serve numerous customers or guests at the same time and offer them a modern user experience. **The most important advantages of a POS system include:** Personalized guest experiences, 360° view of guests and customers, Creation and implementation of analyses for profitable offers, increasing profit margins, Avoidance of losses through software-based warnings in the event of abnormalities and Securing customer data. **Disadvantages ** The advantages of an adequate POS system always outweigh the potential disadvantages. Nevertheless, companies should always keep in mind that the introduction of (new) software always involves a corresponding amount of effort. This is particularly the case if hardware also needs to be obtained and set up. In the case of updates, employees also have to be trained in the new interface. Last but not least, it should be mentioned that the cost factor can also be significant and the purchase of a (new) [Restaurant POS Software](https://smartpossoftware.com/restaurant-pos-software.html) can therefore represent a significant investment. **Functions of a POS system** Numerous cash register systems available on the market can be upgraded to full-featured POS systems using additional components. These mostly include functions from the following areas: **Ordering process** customer-specific work processes that go beyond the ordering process itself (e.g. table reservations in restaurants), Order processing (e.g. printing the work receipt), Boning and Implementation of the principles for data access and the verifiability of digital documents. Comprehensive POS systems are therefore an integral part of every modern catering business in today's age. **POS and ERP ** Business software such as a [POS Reseller](https://smartpossoftware.com/pos- reseller-program.html) system can only develop its full potential if it can be integrated as fully and seamlessly as possible into the company's existing IT infrastructure. The connection to the in-house ERP system as the heart of the IT infrastructure plays a central role. A connection to the CRM system, in which all important customer data is stored, can also help to create a more complete picture of your customers, meet their requirements, and provide them with tailor-made, personalized offers. **Cost of a POS system ** The costs of a POS system depend on various factors and can therefore vary greatly from company to company. Basically, the higher the requirements for a POS system, the higher the costs usually are. Nevertheless, it is worth purchasing. Last but not least, the introduction of a [POS Blog](https://smartpossoftware.com/pages/) should reduce costs and increase profit margins.
