What is a POS register? Introducing the different types!

To begin with, POS register is an abbreviation of “Points of Sales,” which literally means “point-of-sale information management.”
A cash register equipped with a system that records and aggregates information—such as how much money was received from the customer and how much change was given back—when a product is sold is called a POS register.
Because it automatically records and aggregates information, it allows you to analyze all kinds of data, making it an indispensable tool for developing business strategies.
You may also have heard a similar term, “POS system,” in addition to POS register. Strictly speaking, the POS system refers to the mechanism itself, while a POS register is the actual register into which that mechanism has been implemented.
Since their meanings differ slightly, it’s good to keep this distinction in mind.

Nowadays, more and more stores are using POS registers, but until recently, cash registers were the norm.
They were affectionately nicknamed “gacha registers.”
Cash registers didn’t have features like data analysis and were limited to basic checkout functions, so the initial cost to install them was kept very low.
However, since many stores now place importance on things like sales analysis, their use has declined over time, and they have almost completely disappeared from sight.

Here are eight specific things you can do with a POS register.

You can register product information one item at a time.
In addition to basic details such as cost price and manufacturer information, you can also manage, for each product, how many units were sold in a day and how much stock you have.
This makes it possible to accurately distinguish between high-demand best-selling products and those that are not.

Data can be collected at the moment a product is purchased.
You can aggregate in real time “when,” “where,” “what kind of products,” and “to what kind of customers” the items were sold, allowing you to check sales trends at any time.

By scanning barcodes, you can instantly read information such as the product’s manufacturer and quantity.
As a result, there is no need for manual data entry, enabling smooth checkout processing.
It also eliminates errors, making it extremely convenient.

Recently, more and more companies have begun not only selling in physical stores but also introducing online sales through e-commerce sites.
With a POS register, you can handle everything not only for in-store management but also for inventory control on e-commerce sites and analysis of sales data.

Our POS registers can of course handle cash payments, and they also support cashless payments such as credit cards and electronic money services like PayPay.

Some POS registers also have functions that allow you to manage staff attendance.
Because certain POS registers are equipped with features that accurately record clock-in and clock-out times, you can eliminate the need for time cards and time recorders, which also helps reduce costs.
In addition, you can manage staff work schedules, making shift adjustments easy.
Since POS registers can also assign different access permissions, you can delegate tasks not only to the store manager but also to other staff members.

If you operate a chain with multiple locations nationwide, you can link all of the data together and check sales status and other information in real time.
In addition, even when you are not on site, you can grasp each store’s inventory levels, eliminating the need to contact the store to ask about stock availability.

You can not only manage sales for each individual product, but also fully grasp which products or menu items tend to be purchased together.
Because you can also check sales data by day of the week and time of day, a POS register allows you to develop business strategies from a variety of perspectives.

What kinds of benefits can you gain by introducing a POS register system?

I’ll introduce them one by one.

By introducing a POS register, you can minimize the work required at checkout and enable smooth payment processing.
In addition, since everything, including closing out the register, is managed as data, you can also reduce the effort needed for post-shift tasks.

As business performance improves, it’s not uncommon for owners to open multiple locations.
When that happens, some may feel anxious because managing sales and other data becomes more complicated. However, POS registers can be linked across multiple stores, allowing you to constantly monitor information.
This eliminates the need to contact each store individually to ask for updates, making it extremely convenient.

With a POS register, you can track in real time what kinds of products have been sold and how much inventory remains.
This helps prevent popular items from going out of stock and allows you to quickly identify unsold products that should be cleared out.
You can also use past data to analyze which products sold well during the same period last year, helping to improve store performance.
In other words, a single register can also handle marketing tasks.

A POS register keeps records so you can see who performed which tasks and when.
Because of this, you can also check whether the cashier staff are doing anything improper, which provides peace of mind.
In addition, you can preset product prices in advance, which helps prevent input errors such as entering the wrong amount.
Even when running campaigns or sales, you can change the prices beforehand, so even beginners can quickly get the hang of it, making things easier for the staff as well.

By introducing a POS register, you can reduce the tasks that were previously necessary, making it possible to operate with fewer staff and thereby cut personnel costs.
In addition, some stores have devised ways to significantly reduce costs, such as making the POS register unmanned and having customers use it on a self-service basis, so substantial cost savings can be expected.

Introducing a POS register benefits not only your staff but also your customers.
It reduces the time required at checkout, allowing for faster service.
In addition, it eliminates input errors at the register and lets you track popular products in real time, which helps prevent items from going out of stock.
As a result, you can improve customer satisfaction more than ever before.

Next, let’s look at the disadvantages of POS registers.

Compared to traditional cash registers, POS registers have higher initial installation costs.
Depending on the type, some POS registers also incur a monthly fee.
Therefore, make sure to review your store’s budget situation carefully before making a decision.

Because POS registers work together and collect data between POS terminals, an internet connection is required.
Without an internet connection, you cannot make use of their main strengths—data utilization and accounting operations—so when introducing a POS register, be sure to set up the necessary network environment as well.

POS registers are extremely convenient because they offer a wide range of functions, but some people see this as a drawback.
If there are too many features, setting everything up can feel troublesome, and people who are not good with machines may find it difficult to use properly and end up feeling overwhelmed.
In addition, small shops and similar businesses may feel that they do not need such extensive data analysis, so be sure to make a careful decision based on the specific situation of your store.

With a manual cash register, even if a power outage occurs, it doesn’t really cause any problems, but a POS register can’t even perform checkout operations without electricity.
Power outages themselves don’t happen very often, but you need to think in advance about measures to take in case something does happen.
Some stores seem to keep a backup cash register on hand, so if you’re concerned, it’s a good idea to prepare one.

Because POS registers operate over the internet, there is a risk of virus infection and data theft.
If confidential information is stolen, all customer personal information may be leaked, causing you to lose your social credibility.
To prevent this, it is essential to strengthen your security measures.
Depending on the company providing the POS register, there may be plans where security measures are offered as an optional add-on, so consider these proactively and ensure thorough information management.

When introducing a POS register, you must first perform the initial POS setup.
The main task during initial setup is registering product information, but if you enter prices or product details incorrectly, the mistake will only be discovered at checkout and will cause inconvenience to your customers.
Be sure to proceed carefully, checking each entry as you go.

Next, let’s look at the types of POS registers and the price range for each.
There are three types of POS registers: PC-based, terminal-based, and tablet-based.
I will explain the features of each.

With a PC-based POS register, you can use an ordinary computer as a POS system.
Therefore, if you already own a computer of some kind, you can simply download the system and start using it the same day, so there are no initial setup costs.
However, you will need to prepare not only the computer but also peripheral devices such as a receipt printer, so you should plan a budget of around 300,000 to 400,000 yen.

Terminal-type POS registers are the most commonly installed type of POS system.
Because they are designed specifically for POS use, features such as automatic change dispensers are included by default.
However, the initial cost to install this all-in-one system is very high, typically around 500,000 to 1,000,000 yen.
In addition, repair costs can also be quite expensive, so if your budget is tight, you should consider other types of POS systems.

Tablet-based POS registers let you use devices like iPads as POS systems.
Because they’re tablets, they’re smaller, lighter, and more portable than other types of POS registers. Their functions are comparable to other POS systems, so they’re extremely convenient.
The only initial cost is the tablet itself, which can be kept to around 30,000–40,000 yen.
If you also need a receipt printer, you’ll have to purchase that separately, but even then, the total cost will be much lower than for PC-based or terminal-type POS systems.

In this article, we introduced the basic information about POS registers, including their types and prices.

These days, most stores have introduced POS registers, but there are probably people who are about to open a shop and are considering installing a POS register, as well as people who find the POS register they’re currently using in their store difficult to use and are thinking about replacing it.

If you’re considering introducing a POS register, this article is definitely worth using as a reference.