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Things to consider before implementing a cloud-based POS system

Cloud-based POS system has brought about numerous positive changes to businesses, simplifying various processes, allowing great flexibility and performing a wide, useful range of functions that traditional systems could not satisfactorily fulfil. Whether you’re a merchant planning to purchase a cloud POS system for your own retail store, or just simply wanting to better understand this type of technology, this article is just for you. By the end of this article, you’ll find the answer to the question of what to consider before implementing a cloud-based POS system.

implement cloud-based pos

I. Costs of cloud-based POS system

As a matter of fact, the initial cost of a cloud POS is lower than that of a traditional POS. Instead of paying hefty fees for setup, licensing and maintenance, which is the case of traditional POS, merchants opting for cloud POS only need to pay a monthly subscription for access to the software. This makes cloud POS a practical option for small, newly-established businesses. 

However, just like any purchase decisions to be made when running a business, there are a number of considerations that a business owner should keep in mind. First, look for the plans offered by the POS vendors that stay within your budget. A cloud POS can cost you any amount between $20 and $200 per month. After you have narrowed down your options, explore the features that come with your chosen plans in more detail. You’d want to learn if the vendors charge more for add-ons such as loyalty functionality, 24/7 customer service or connecting third-party services. Another point to consider is whether to sign a long-term service contract with the vendor, as the price can be reduced for committed clients. 

Business owners also need to evaluate credit card processing fee options. With different processors come different prices and benefits. Make sure to choose the right fit for your business which provides you transparent credit card processing fees, reliable customer support and no requirement for long-term contracts. Read more about What is a POS System!

II. Functionality and features

However satisfied you are with the favourable price you’ve managed to deal with the vendor, or with the excellent customer service, if the system can’t function as you expected, then your investment would mean nothing. Functionality and features are certainly of the key considerations before purchasing a cloud POS system, yet it’s almost too easy to overlook these important factors. Below are some common questions to address:

1. Is an open application programming interface (API) integrated into the cloud POS?

Open APIs allow connection between all the platforms that clients need to drive their business. They assist many business services taking place around the POS, such as accounts, inventory, sales, orders, loyalty, tracking, tables, mobile or online ordering/payment and delivery. As the business expands, business owners can streamline a specific process by developing specialised apps using open APIs.

2. Which advanced integration is available?

Modern technology has made it possible for merchants to integrate a number of advanced business and marketing functions into their cloud-based POS systems. For example, any customer can make a payment from anywhere within a business premise and not just at the front counter as they’d have to do with a traditional POS system, and then get receipts via their cell phone. External accounting, digital loyalty programs and rewards system can also be integrated into the cloud POS.

3. In which language is the software written?

For the system to function properly and to ensure ease of integration with third-party vendors, look for providers who offer software written in a modern, cloud-native language and steer clear of those using the no-longer supported legacy code.

4. Is it possible to upgrade existing systems or do I have to entirely replace them?

Many merchants are not exactly willing to get rid of their current devices which have cost them thousands of dollars. Therefore, instead of throwing them away, merchants can research cost-effective upgrading options to develop the current systems to modern cloud POS systems. 

5. How much offline functionality do I retain if network connectivity is unavailable?

Cloud POS is largely internet-based systems, and as connectivity issues arise from time to time, your cloud-based software will also be affected. Therefore it’s important to have your vendor clarified what will happen in case of interrupted Internet connection. Ask the vendor if you’ll still be able to access data, make sales or perform other business tasks; when and how will the data be backed up or synced, and if extra fees are required for offline solutions. 

III. Data security risks

Taking your POS to the cloud means having to transfer your data to a remote server, and to many business owners, this doesn’t sound very appealing. Company’s data is among the most valuable assets and it’s crucial to keep data security a top priority. You’ll need to understand how your data will be imported, what risks are involved, and what solutions the vendors have to ensure the security of your data.

IV. Customer service after implementing the system 

Although cloud POS systems make a lot of businesses process much simpler, that does not necessarily mean that running this system will always be plain sailing. Problems might arise along the way, and this is where customer service comes in. Make sure that you’re working with a trusted vendor who is ready to give you strong and timely support. Study their support options, learning if they offer a written user guide, a live chat service, or how much time it takes for a response, etc. Don’t trust the provider’s self-advertised, impeccable customer service right away. Sometimes you need to examine reviews or even test out the customer service before deciding to sign a contract.

Though relatively young compared with traditional POS systems, cloud-based POS has achieved significant market penetration and will continue to grow exponentially, providing advanced solutions that help businesses streamline processes, operate with greater efficiency and eventually yield a higher profit. Cloud POS system seems to be a perfect choice, especially for small business owners. However, before you decide to take your POS to the cloud, it’s only right to fully understand the benefits and gauge all the risks that come with the cloud technology. 

Have other cloud-based POS system concerns? 

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Traditional VS Cloud-based POS : Everything you should know

Point of Sale (POS) is reshaping the way money-makers take care of their business spine. Whether it’s a traditional or cloud-based POS, they’re both an all-in-one system that registers all data needed for operation, including sales level, inventory information and management functions into one single place, aiming to optimize any other unnecessary, time-consuming, effort-costed processes.

Understand the Concepts

Round-table discussions are set around traditional vs. cloud-based POS, therefore, dig a little deeper into the two’s distinctions might help you in making the right decision.

Traditional POS vs Cloud-based POS

(Source: Ginesys.in)

Traditional POS

To mention “tradition” is to talk about the old, conventional aspect. Traditional POS is a POS system connected to a local on-premise server, which means data from soups to nuts are thoroughly stored in one specific location: most of the time your company’s internal computers.

With no third-party participated, traditional POS seems to be significantly proactive in the way it operates and manages the information.

Cloud-based POS

In contrast with traditional POS, cloud-based POS applies the on-demand technologies of the 4.0 industrial revolution to meet its personal purposes.

Using the internet and cloud computing, cloud-based POS is capable of storing data online (on the website, alternative sources, etc). This creation diversifies your options other than limiting you to a single utility, therefore, enhances the suitability and efficiency of your business.

Comparison of Traditional and Cloud-based POS

As the definitions point out, there is little similarity between traditional POS and cloud-based POS, except for the fact that both of them is a system meant for goods/services order and cash-in recording.

For the record, the table below clearly points out the differences between these 2 types of POS:

traditional vs cloud-based pos

Criteria Traditional POS Cloud-based POS
Data Accessibility Low. Traditional POS is basically an on-premise server, so it can only be accessed from one specific location, which is usually your office High. Cloud-based POS stores data in another source, allowing users to access from wherever they are and whichever devices they use (laptop, mobile phone, tablet, etc).
Internet Connection Doesn’t require. Traditional POS runs based on an offline fashion. Require. Without the Internet, devices can’t transmit the data to cloud-server to store information.
Consolidation Low. No real-time examination is executed in traditional POS. GMs have to wait til’ the end of the day to check what happened during the day. High. Data is updated in real-time for GMs to grasp the whole situation anytime from anywhere.
Versatility Low. Only the person using the POS at the moment can see and alter the information. High. People can add, change and adjust information from every location and whenever they want.
Speed Slow. Traditional POS systems have considerably laid-back processing speed and jeopardise data. Fast. A cloud-based POS also provides faster billing and receipt processing speeds, cutting down on the amount of time a customer needs to wait.
Downtime High. A traditional Windows point-of-sale system is susceptible to viruses, system crashes and corruption. Average. A cloud-based POS can be unavailable for use when the Internet is off.
Hardware Big, heavy and bucky. Usually requires maintenance. Light and portable (mobile phones, tablets, laptops, etc).
Integration Average. Since traditional POS is offline, there is a limit in applications involved. High. Cloud-based POS opens spaces for a variety of integration, such as electronic gifts, loyalty, online ordering, social marketing, CRM, etc.
Cost Efficiency Low. Any traditional POS update requires buying new software or RIP and even specialists to install, and because of the complicated hardware, maintenance cost also included as part of fixed cost. High. The cost for installing a cloud-based POS is significantly lower than a traditional one (about half the cost) because these systems only require a monthly or annual subscription and no additional support fees.
Updates Low. Because traditional POS upgrade process is quite complex, the time-periods among new versions are often long. High. Thanks to Cloud-based POS ease of use and its online integration, manufacturers frequently release new versions to maximise customer experiences.
Security Low. All information is stored in one place so in case of emergency (housefire, data breach, etc), nothing will be saved. High. All data is saved on a highly secured server. Even when the system crashes, the data remains there since they are backed up automatically in the cloud, and can be restored easily

BOTTOM LINE:

All in all, each comes with its own merits. Still, cloud-based POS seems like having the upper-hand. It not only has a multi-access server, easy consolidation, less downtime, speedy data processing, frequent updates but also better mobility, excellent integration, stronger security – and especially cheaper. With cloud-based POS, everything is fast, convenient and fun, for GMs the most parts. That may explain the popularity of cloud-based POS in these recent years.

However, talking of proactivity, traditional POS might be a better suit. Needing no Internet connection to operate in many cases is a plus point as it doesn’t rely on any other man and can be happy itself. So if your restaurant or your retail store is in a quite remote area which happens to have terrible Wifi, try traditional POS. This way you don’t need to wait till forever to have Internet signal to check your customer out.

The lesson here is, instead of thinking which one is more superior, think about which one is more superior to your company. Sometimes it’s better to go a different path than other ones.

In Savvycom…

We encourage both traditional and cloud-based POS as long as it is a good fit for your business model. We not only listen to your stories, understanding what you need but also give advice for you to make the wisest decision and build the perfect POS system accordingly.

Following that platinum rule, we gave birth to is CRAVE Vend, a smart cloud-based POS as well as one of our proudest children moulded by numerous blood, sweat and tears.

When our business customer proposes their idea of a magical all-in-one POS, we know cloud-based is the right choice. CRAVE Vend, under the hands of our skilfull engineers, is out of sheer a basic cloud-based POS: it is an outstanding cost-effective, smart customer engagement system performing various conveniences to both customers and the retailer.

By thoroughly extracting insights from the customers, it lifts cloud-based POS’s convenience up to the next level through providing Crave fleet (a feature improving delivery tracking), QuickBooks sync to reduce manual entries and errors, the ability to manage eCoupon and deliver them to customers’ smartphone, integrating social networks for marketing and sales purposes, etc.

We are not trying to employ a syrup singing voice here, but our engineering team has literally done their best to get the most out of cloud-based POS’s innovative potential to simplify the process and gift the loveliest journey to our customer.

Should you are still confused about which one to choose or are searching for a POS developer for your business, we – Savvycom, is more than willing to lend you a hand.

Book a free consultation now!

CRAVE Vend – A Fantastic Deal App

HIGHLIGHTS
CRAVE Vend is used Secured Card Payment that integrates best in class secured card readers.
Ultimate tracking technology. CRAVE Fleet supports delivery speed, reduces ingredient & gas cost and employee time.
Driving extreme values for consumers and retailers with a cost-effective, smart customer engagement system.

CRAVE Vend isn’t just a POS – it’s better in every way.

A solid, reliable e-Commerce platform is at the very core of an online business. Anything less just won’t work, and will likely cost you valuable sales. Utilising responsive web design in concert with a well-designed e-Commerce platform gives your customers a full-service easy-to-shop experience, and keeps them coming back again and again.
Savvycom knew that not all businesses have the same needs, therefore cookie-cutter, one-size-fits-all templates are not always the best solutions for the unique business.

We built, and continue improving Crave Vend platform to simplify: The task of having an online presence and eMenu creation for restaurants owners, and for all of us, hungry people, to order food from cravevend.com website and/or from Android/iOS smartphones. Crave Vend allows a lot of helpful functions: locate food merchants, view merchants rich menu, securely order for delivery or pickup, save favourite items and restaurants, email receipts.
Crave Vend integrated Ultimate Online Ordering. This feature helps increase sales, productivity and reduces waiting time for customers: A win-win for customers & merchants. Online orders go directly to your POS system to confirm and print to kitchen printer. No more call from a third party, or customers during a busy time. For the most efficient payment, Crave Vend integrated MercuryPay® – the fast, reliable, secure payment gateway, known as award-winning processing payment.
With Mercury, this system accepts the most common payment types and card brands, while enjoying reliable uptime, real-time transaction viewing, same day or next day funding capability and promotional payment options.
Utilising Flexible Menu Management, Crave Vend provides easy menu setup, quickly add/remove items, one-touch disable/enable items. All menu information is synchronised to the cloud for coordinated changes across the entire system including an online menu from a single device. This facilitates merchants to control inventory, get real-time email and push notification alert.
Mercury security payment of ecommerce platform Savvycom

DON’T WAIT INLINE! ORDER ONLINE!

Connects consumers and merchants with unique features that simplify the ordering experience.
stationary POS of ecommerce platform by savvycom

CRAVE Kiosk – Self Service Kiosk
Improves onsite productivity with less staff. Offers speedy service, entices customer’s CRAVING with rich media, imagery and nutritional information.
CRAVE Fleet – Delivery Tracking
Improve delivery speed and reduce gas cost, employee time with integrated tracking technology. Take credit card payment at the customer’s site.
Cloud support
Menu, accounts, orders and other info are secured in the cloud and accessible by you only from anywhere. Your employees can only access data relevant to their work.
eCoupon
Use CRAVEVEND back office to create, manage your eCoupons and deliver them to your customers’ smartphone.
Connect us for various frontier technology services and IT excellence:

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Traditional Vs. Mobile POS System: Which is best for your business?

Point of sale (POS) technology has been one of the biggest beneficiaries of the leaps and bounds taken by online and cloud-based systems in recent years. As tools have increasingly been able to cut cords and become mobile, POS platforms have started to fully embrace this revolution by offering mobile payment solutions that can work independently of a fixed terminal.
However, many companies continue to employ their traditional, stationary POS terminals, preferring to maintain the status quo and keep familiar systems in place. It is important for you to understand the difference between traditional and cloud-based POS systems so that you can choose the system that fits the needs of your business.

POS system, traditional POS, mobile POS system, POS solutions

Traditional vs. Mobile POS System: What is a better solution?

Traditional POS System

traditional pos system, pos system solution

How Traditional POS System looks like

A traditional POS system, also known as “on-premise” or “legacy”, runs on closed networks and the data is stored on local servers. A simple analogy of this is storing your family photos in your computer at home, which cannot be accessed from anywhere else.

Mobile POS System

Mobile POS system solutions, mobile POS, POS system

Mobile POS System as an innovative Mobile Payment Gate

Mobile POS system, also called cloud-based or Software as a Service POS (SaaS-POS), is web-based and runs on a cloud service, meaning that the data is accessible online. For example, all of your data is stored in a place such as Google Drive or Dropbox which can be assessed and shared from anywhere with internet.

Comparison between Traditional and Mobile POS Systems

Data accessibility

Traditional:
The data can only be accessed on-site, meaning that you have to be physically present in a business facility to make any changes to the menu or items, to check employee clock-ins, to see sales report.
Mobile:
Many newer POS platforms include dynamic data analysis and reporting so you can assess the data from anywhere, anytime. The manager can monitor all of the reporting in real-time from anywhere with internet access using any device such as desktop, tablet, mobile, or laptop. Moreover, he can make any changes online, giving remote accessibility and eliminating the need to be there in person to do everything.

Cost efficiency

Traditional:
Traditional terminals are the excellent cash register and help collect sales data, but not much else. Traditional POS systems usually have high upfront costs. In addition, they require a maintenance fee because it performs remotely, which requires additional labour and time. Additionally, in case the system crashes, the cost of re-installation can be expensive.
Mobile:
On the other hands, Mobile POS is often cheaper because the installation is not as complex and it can be installed on existing computers, tablets or smartphones. The software is also updated automatically by the service providers, in which the cost is already included in the monthly or yearly charges. However, in the long-run, the cost may be as expensive as traditional POS because the size of the business can affect the cost of the subscription.

Frequent updates

Traditional:
For many legacy systems, the server needs to be updated manually on-site. These legacy systems need to be updated manually, so the POS software is only upgraded once per year at best.
Mobile:
For SaaS POS systems, the provider implements the updates automatically and remotely, meaning there is no need for on-site visits to update the system. They usually update more frequently than the on-premise systems, and it updates in real-time, ensuring that you are always utilizing the current version of the software.

Innovative Hardware

Traditional:
The hardware of the traditional system is usually quite big, bulky, and heavy. Additionally, POS terminals are sold separately. The most common size of the traditional POS screen is 15 inches. It is not portable but it may prevent theft.
Mobile:
Cloud-based POS, unlike the traditional POS, uses portable devices, such as tablets and mobile phones and has very few hardware requirements. Moreover, SaaS POS system such as Ambur let you install their services on any internet-connected device, and allow for integrating credit card readers, receipt printers, and other tools as you need.

Integrated Systems

Traditional:
For on-premise POS systems, it is often difficult to integrate new modules, and features, and updates. This makes it harder to customize the system, and the business has to use it as is.
Mobile:
In the case of the SaaS POS system, it is possible to fully integrate higher functionality modules and connect with third-party software programs to customize the POS according to the business’s needs. Moreover, advanced cloud-based systems feature CRM for restaurants solutions that allow owners to influence loyalty programs, online ordering, and email marketing based on historical customer data.

Crave Vend case study for Mobile POS System by Savvycom

crave application, POS crave

Traditional POS terminals are not going away anytime soon, however, mobile POS systems are an excellent alternative for a small business in need of an agile and comprehensive point of sale solution. The needs of each business are different, but each business should have a POS system that matches their requirements and values. Taking these POS systems into consideration, Savvycom has designed and developed the Crave Vend app, which enables users to discover fantastic deals while promoting local businesses in the era of digital technology. Crave Vend allows a lot of helpful functions such as locate food merchants, view merchants rich menu, securely order for delivery or pickup, save favourite items and restaurants. Here are some features of Crave Vend:

    • Ultimate Online Ordering. This feature helps increase sales, productivity and reduces waiting time for customers: A win-win for customers & merchants. Online orders go directly to your POS system to confirm and print to the kitchen printer. No more call from a third party, or customers during the busy time.
    • MercuryPay. This is the fast, reliable, secure payment gateway. Moreover, Mercury accepts the most common payment types and card brands, while enjoying reliable uptime, real-time transaction viewing, same day or next day funding capability and promotional payment options.
    • Flexible Menu Management. Crave Vend provides easy, quickly add/ remove items, one-touch disable/ enable items. All menu information is synchronized to the cloud for coordinated changes across the entire system including the online menu from a single device. This facilitates merchants to control inventory, get the real-time email and push notification alert.

CRAVE Vend isn’t just a POS – it’s better in every way!!!
Book a free consultation now
For further information, please contact us to get free quote and consultancy:

  • Phone: +84 24 3202 9222
  • Hotline: +84326752886
  • Email: [email protected]
  • Head Office: 12th floor, Viet A Tower, Duy Tan Street, Hanoi, Vietnam
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