Why Low Cost POS Systems Work in 2023
Running a restaurant can be an expensive endeavor, with high labor costs, rising food prices, and overhead expenses. That’s why it’s important to find ways to save money wherever you can. One area where restaurants can save money is by using a low-cost POS system. In this blog post, we’ll explore the advantages of using a low-cost POS system and why low cost doesn’t mean low quality in 2023.
The Evolution of POS Technology
POS technology has come a long way since the first cash registers were introduced in the late 19th century. Today’s POS systems are more advanced and sophisticated than ever before. They are faster, more user-friendly, and offer a wide range of features that can help restaurants run more efficiently and effectively.
Modern POS systems have moved beyond basic functions like cash management and inventory tracking to provide solutions that address a variety of restaurant needs, including order management, tableside payments, customer loyalty programs, and even employee scheduling.
Thanks to advancements in technology, newer POS systems have become more affordable, faster, and more reliable. The introduction of cloud-based systems and software-as-a-service (SaaS) models have eliminated the need for expensive hardware, server installation, and maintenance. Instead, restaurants can access their POS system through an internet connection, reducing their upfront investment and ongoing maintenance costs.
Additionally, newer POS systems are built with the latest hardware and software technology, allowing for faster processing speeds and improved connectivity. This means that restaurants can process transactions and manage their whole operation more efficiently.
The Cost of Expensive POS Systems
Traditional or legacy POS systems are notorious for being expensive, with upfront costs that can run into the thousands of dollars, as well as ongoing maintenance costs, hardware upgrades, and software licensing fees. For small or independent restaurants, this can be a significant barrier to entry, preventing them from investing in a quality POS system that can improve their operations and customer experiences.
These systems can cost upwards of $3000 to get started, and then have monthly fees of hundreds or thousands of dollars, without taking into account credit card transaction fees. Long story short, the costs can add up quickly.
In the past, point of sale (POS) systems were developed as proprietary, closed systems that required extensive hardware and software development and investment. This often meant that the systems were expensive, and the cost of development was passed on to the end user. We see these residual effects of this in todays expensive POS market.
The Advantages of New, Low-Cost POS Systems
Beyond basic price point, low cost or newer options have quite a few benefits for restaurants.
- Affordability: The most obvious advantage of low-cost POS systems is their affordability. Cloud-based systems eliminate the need for expensive hardware, server installation, and maintenance costs.
- Ease of use: Low-cost POS systems are designed to be user-friendly and are built with modern restaurateurs and customers in mind. This means they require minimal training, which makes them easy to use for employees. This can help to reduce errors and increase efficiency, leading to a better customer experience.
- Technology: The advancement of technology has come a long way since the first POS. Newer systems are simply built with newer, better code & technology systems. This also allows them to pivot faster, implement more features, for a fraction of the price.
- Accessibility: Cloud-based POS systems can be accessed from anywhere with an internet connection, allowing restaurant owners and managers to manage their business remotely. This means they can monitor sales and inventory, adjust menus, and manage staff schedules from anywhere, providing greater flexibility and control over their operations.
- Customization: Low-cost POS systems often offer customizable features and integrations, allowing restaurants to tailor their POS system to their specific needs. For example, OrderUp offers hybrid ordering solutions that combine both in-person and mobile QR code ordering & payments, as well as online ordering, promotions and much more.
- Scalability: As a business grows, it may need to add more features or capabilities to its POS system. Low-cost POS systems can often scale with the business, adding additional features and capabilities as needed, without requiring significant additional investment. Plus, this often means customers play a role in the future development of the product.
Increased Efficiency and Better Customer Experience
With a low-cost POS system like OrderUp’s, restaurants can streamline their operations and increase efficiency. Features like digital QR code ordering, tableside payments, and inventory management can help reduce errors and wait times, allowing staff to focus on providing a better customer experience. Moreover, newer POS systems like OrderUp’s are built with the latest technology allowing for the addition of new features which improve customer experience.
Low Cost Doesn’t Mean Low Quality in 2023
In the past, low cost POS systems were often associated with poor quality because they lacked the features and reliability of more expensive systems.
However, in 2023, the situation is quite different. Thanks to advancements in technology and a shift towards cloud-based systems, low cost POS systems are now able to offer many of the same features and capabilities as their expensive counterparts. These systems are also much more reliable and stable, thanks to improvements in hardware and software.
Low cost POS systems have undergone a significant transformation in recent years, and are now able to offer many of the same benefits as expensive systems, without sacrificing quality or reliability.
At OrderUp, we provide a simple and affordable point of sale system for restaurants. We don’t charge any monthly fees ($0/month), and all our features are included. We have traditional POS functionality like order entry, card & cash payments, staff clock-in-clock-out and promotions. But we also offer Hybrid Mobile Ordering where guests can order from the staff or from their phone, and pay from the staff or their phone. Beyond that, we have a great experienced team in both hospitality and building innovative technologies.
We’d love to hear from you. Cheers.