The best point-of-sale (POS) systems do more than just process transactions. The best systems also offer software capabilities that streamline your daily workflow, combining tools such as employee scheduling, customer loyalty programs and inventory tracking into one sleek platform. But how do you determine which one is the right fit for your needs?
Forbes Advisor has evaluated dozens of POS systems by price, ease of use and functionality to bring you this ranking of the best POS systems for Australian small businesses in 2024.
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Wix
Starting price
From $15 per month
Drag-and-Drop Editor
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Free plan available, 900+ designer-made templates
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Shopify POS
Price starts at
Cost of your Shopify plan
Free trial
Yes
Key features
In-person and mobile POS, order management, customer profiles
3
Bluehost
E-Commerce Starting Price
$15 AUD
Drag-and-Drop Interface
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A POS system, also known as a point-of-sale system, is a hardware and software solution used to conduct transactions. This could be anything from selling a product to managing inventory or tracking customer data. A POS system can be as straightforward as a card reader or as complex as an all-in-one solution that includes features such as loyalty, scheduling, front of house, inventory management, customer relationship management (CRM) and e-commerce.
POS systems are used by businesses of all sizes in a variety of industries, including retail, restaurants, hospitality and services. If you’re running a business that relies on transactions of any kind, then a POS system is likely a good fit for you.
A point-of-sale system guides customers through a series of steps that end with a successful purchase. In most cases, it works in the following way:
A POS system can do much more than track sales. The right software can provide crucial insight into customer behavior, enable real-time tracking of inventory and much more.
To choose the best POS system, first consider whether or not the system offers the tools and features your business needs–now and in the future. Ideally, a POS system should make it easy and affordable to accept payments no matter where you are selling or how customers are paying. Additionally, look at the bigger picture in terms of pricing.
Depending on your sales volume, it may or may not be worth opting for a POS system with a higher monthly rate if it comes with the benefit of lower transaction costs.
When choosing a POS system, the first step is to consider what features you need. Do you need basic transaction processing, or do you need more advanced features such as loyalty, appointment scheduling, inventory management and email marketing?
Here are some common POS software features to look for:
In addition to software, you’ll also need to consider hardware when choosing a POS system. The type of hardware you need will depend on the type of business you have and the features you’re looking for.
Here are some common POS hardware features to look for:
There are many types of POS systems on the market, from simple card readers to all-in-one solutions. The best POS system for your business will depend on your specific needs.
Here’s a rundown of the different types you might encounter.
Hospitality POS
A hospitality POS system is a specialised type of POS system that’s designed for restaurants. These systems typically include features such as table management, kitchen display systems and online ordering. Most will also have inventory management, so you can auto-reorder ingredients as they get low. There are even POS systems with features ideal for managing bars.
Retail POS
A retail POS system is designed for retail businesses. These systems typically include features such as inventory management, customer loyalty programs and gift cards. Some retail POS systems also offer appointment scheduling and reporting.
iPad POS
An iPad POS system is a type of mobile POS system that uses an iPad as the main point-of-sale terminal. These systems are becoming increasingly popular due to their portability and ease of use. Many iPad POS systems come with built-in features such as credit card processing, scheduling and receipt printing.
Mobile POS
A mobile POS system is a type of POS system that can be used on a mobile device, such as a smartphone or tablet. People are relying more on these systems because of their portability and easy setup. Many mobile POS systems come with built-in features such as credit card processing, inventory management and receipt printing.
Android POS
An Android POS system is a type of mobile POS system that uses an Android device as the main point-of-sale terminal. Due to their mobility and simple-to-use interface, these systems are increasing in popularity, too. Most Android POS systems come with features such as credit card processing, barcode scanning and receipt printing.
Cloud POS
A cloud POS system is a type of POS system that’s hosted in the cloud. This means that all of your data is stored online, making it easy to access from anywhere. Cloud POS systems are becoming more popular because they’re easier to set up and use than traditional POS systems. They also typically come with features such as inventory management, customer loyalty programs and gift cards.
POS Terminal
A POS terminal is a type of POS system that’s designed for businesses that need to process credit and debit cards. These terminals typically come with features such as EMV compliance, PCI compliance and fraud prevention.
The cost of a POS system will vary depending on the type and features you need. Generally, the more features you want, the more you can expect to pay.
Some companies lend you a POS system in exchange for a monthly fee, while others require that you purchase the system outright.
More expensive POS features include:
To reduce costs, you can look for a POS system that comes with a free trial period. This will allow you to test out the system before committing to a long-term contract. You can also look for discounts, such as seasonal promotions or referral programs. However, the easiest way to pare down costs is to only pay for the services you need.
When considering the cost of a POS system, you’ll also need to factor in the costs of hardware, such as receipt printers and barcode scanners. These can range in price from a few hundred dollars to a few thousand, depending on the quality and features you need.
After paying for hardware and software, you usually have to pay processing or transaction fees. These are typically a percentage of the total sale, plus a small per-transaction fee. For example, if you’re paying 2.5% plus $0.10 per transaction, and you make a sale for $100, your total fee would be $2.60.
When you’re choosing an option, you’ll need to decide whether you want a point-of-sale (POS) system or a cash register. Both have their pros and cons, so it’s important to choose the one that best suits your needs.
POS systems are typically more expensive than cash registers, but they offer more features and functionality. Cash registers only track sales and print receipts, while POS systems can track inventory, customers, employees and sales.
POS systems also typically offer features such as loyalty programs, gift cards and reporting, while cash registers typically do not.
POS systems are a good choice for businesses that want to track inventory, customers and sales. They’re also a good choice for businesses that want to offer loyalty programs, gift cards and reporting. However, they’re unnecessary for businesses that only need to track sales.
Ultimately, while a POS system is ideal for businesses wanting more features, cash registers are still a good choice for businesses that cannot afford a POS system.
Once you’ve chosen a POS system, you’ll need to learn how to use it. Luckily, most POS systems are easy to use and come with training materials or customer support.
To determine the best POS systems, Forbes Advisor looked at a variety of factors, including monthly fees, hardware costs, features, ease of use and integrations. We also considered each company’s reputation and real user reviews.
When it comes to price, we looked at the monthly fees for each POS system. We also considered whether there was a free option or trial available. For features, we considered the range of features each POS system offers as well as how easy they are to use. We looked at integrations to see which POS systems work with popular accounting software or e-commerce platforms.
User reviews were also a factor in our decision-making process. To get a sense of what actual users think about a POS system, we read through customer reviews. Finally, we considered each company’s reputation. We looked at awards they’ve won and positive press they’ve received.
There are a number of important POS system trends to be aware of this year. Here are the ones you should be paying attention to so that your business stays competitive.
The COVID-19 pandemic was a major impetus behind the shift toward cashless and touchless payment options. In a world concerned with hygiene and lowering transmission rates, technologies that allowed touchless payment became an essential part of purchasing infrastructure. This technology includes tap-and-go credit and debit cards and digital wallets that can be accessed through a smartphone or smartwatch.
These payment methods are not only hygienic but also offer the consumer increased speed, convenience and security in their purchases. These factors have contributed to the continued popularity of these methods even as the pandemic has subsided.
Gone are the days when POS systems had to be run from large, clunky, stationary computer systems. Hardware that works with POS systems is now more advanced and mobile than ever, allowing more flexibility for store associates and the business as a whole. Expect to see more smartphones, tablets, Bluetooth technology, secure order pickup lockers, electronic shelf labels and smart self-checkout solutions in 2023.
This more advanced hardware has been made possible by both physical and virtual improvements in technology. Without the advancements in software powering these devices, they would have offered a more limited level of functionality.
Cloud-based technology has taken the business world by storm in recent years and will continue to do so into 2023 and beyond. POS systems based in the cloud can be updated and integrated easily with other business operations, and they back up and store data securely automatically. Cloud POS systems also come with significantly lower price tags―usually in a software-as-a-service (SaaS) format―making them more accessible to businesses that also have budget constraints.
The cloud allows POS systems to operate over an internet connection, which has paved the way for these systems to be used on mobile devices. Traditionally, POS systems would be tethered to centralised computer stations reliant on physical connections. Now, this software can be used on mobile devices in any location, increasing the system’s flexibility and improving a business’ overall productivity.
With the rise of cloud technology, self-service infrastructure is also advancing in leaps and bounds. In addition to traditional self-service checkouts, such as you’d see in a grocery or retail store, self-service can now be used in other applications, such as all-in-one restaurant ordering/payment and brand-new storefronts in which checkout and payment isn’t necessary at all (Amazon Go).
In 2023, we will see a greater emphasis on these technologies as they are convenient, cost-effective and can reduce errors in the ordering and checkout process.
A customer’s shopping experience can be personalised by offering messages, offers and products that are selected and tailored to a customer’s individual behavior and preferences. Companies can also show that they value their customers by ensuring that they proactively direct them to their preferred channels, keep their checkout information at the ready for increased convenience, allow them to switch between applications and communication channels effortlessly and connect them automatically with the best resources to meet their needs.
Customers know that companies collect data about them every time they use the internet, and they now expect that this data will be used to improve their experience with the company. There is no doubt businesses will continue to allocate resources to make these services a priority.
Featured Partners
1
Wix
Starting price
From $15 per month
Drag-and-Drop Editor
Yes
Standout Features
Free plan available, 900+ designer-made templates
2
Shopify POS
Price starts at
Cost of your Shopify plan
Free trial
Yes
Key features
In-person and mobile POS, order management, customer profiles
3
Bluehost
E-Commerce Starting Price
$15 AUD
Drag-and-Drop Interface
Yes
Standout Features
Wishlists, marketplace selling, unlimited products
A POS system is a software and hardware system that businesses use to take payments, track sales, manage inventory and connect to other business systems. With its reports and analytics, business owners can also make informed decisions about their business.
The best POS system for your business depends on a variety of factors, including the type of business you have, your budget and the features you need. For many situations, it makes sense to invest in the best system you can afford, and preferably, the system can grow with your business.
The cost of a POS system depends on the features you need and the size of your business. Some systems are free, while others can cost hundreds or even thousands of dollars per month.
Yes, you can use a POS with an e-commerce store. In fact, many POS systems integrate with popular e-commerce platforms, such as Shopify and WooCommerce. Inventory syncs between your POS system and e-commerce store, so you can keep track of stock levels in real time.
A point of purchase (POP) is the location where the customer makes a purchase, like in a store or online. The point of sale system (POS) is the technology that facilitates the purchase.
