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One of the most important aspects of running and growing a restaurant is having an efficient way to make sales. With an optimized, user-friendly, flexible restaurant POS system, you have the tools to process each transaction and manage everything that comes before, after, and in between all in one place — regardless of whether you own a quick-service restaurant or a full-service restaurant. Streamlining your operations with POS software can also reduce labor costs and open up ways to maximize your staff and increase overall efficiency.
In the face of business challenges such as labor shortages or increased economic uncertainty, your POS system can have a profound impact on the success of your operations. So it’s critical to understand and evaluate all the POS factors that matter most for your table management, menu items, and business health.
Choosing a POS system for your restaurant
When choosing or upgrading a POS system for your restaurant, you’ll want to look for seamless migration, enhanced functionality, and future-proofed, reliable technology. Here’s a quick rundown of the types of POS systems available:
Traditional POS
Traditional POS systems, also called legacy or on-premise POS systems, are connected to local servers on a closed network. Restaurants often choose legacy POS providers because they see their peers using them; want to choose their own credit card processor to negotiate rates; have staff who are already familiar with legacy systems; or perceive them to be more secure, reliable, and feature rich. However, legacy POS systems typically have less flexibility for payment processing than cloud or mobile restaurant POS systems, requiring payment processing and data access at stationary terminals at your store location. Legacy POS software also requires upfront payment of licensing fees. And if you want to update your software, you’ll likely have to buy new versions and have them installed by a professional technician.
Cloud POS
A cloud POS is a system that allows you to process payments securely through the cloud (i.e., the internet) on any device, including tablets and smartphones. This means you can access your transaction and sales history from anywhere and manage your business however and from wherever you choose. For restaurants with multiple locations, having centralized access to store information or the ability to perform standardized system updates for every location at once can dramatically increase efficiency. Cloud POS systems also typically offer better flexibility for restaurants who have diversified revenue streams, so if you plan on expanding you business (think ghost kitchens, pop-ups, food trucks, onsite events or retail) a POS system that offers an ecosystem of tools within one app may be your best bet. One drawback with some cloud POS systems is that they can lack of first-part omnichannel solutions for specific services like takeout or reservations. However, there are integrated third-party solutions which can solve for this. The total cost of ownership is typically lower for cloud POS systems.
Mobile POS
A mobile POS is a type of cloud-based POS system that refers exclusively to handheld devices and devices that allow customer flexibility (i.e., tableside ordering and payments). These restaurant POS systems make it easier to eliminate traffic jams at the counter and ultimately empower your customers to check out their way, a feature that 52% of customers listed as key to a satisfactory restaurant experience. With Square for Restaurants you can choose from two mobile hardware options: Square Terminal, which comes with a built-in receipt printer, or the pocket-sized Square Mobile POS kit.
Cloud POS Offers the Features that Matter
If you want refreshingly seamless restaurant tech, it may be time to switch from a legacy POS system to a cloud POS system. Here’s why:
Versatility and agility
While legacy POS systems have traditionally been seen as more appropriate for larger, complex restaurants or chains, a cloud POS offers the flexibility and agility to operate across verticals, making it simpler to integrate new business endeavors, such as pop-ups, food trucks, on-site events, or retail shops.
Access to advanced functionality
Both legacy and cloud POS systems provide essential POS functionality and can cater to a wide variety of restaurant types. But while some legacy POS providers offer advanced functionality for complex restaurant businesses and large chains, that complexity can be a burden to less complicated operations. Legacy users have access to advanced analytics and inventory management, for example, but Square also provides these features through its hundreds of industry partners, allowing for more versatility for even highly sophisticated restaurant operations.
Easy integrations
With Square restaurateurs can enjoy versatile POS solutions that allow for easy integration when you want to launch new revenue streams, such as catering, retail, or tableside payments. While legacy providers focus primarily on traditional restaurant setups, the Square platform is versatile enough to support multiple revenue streams and ordering channels. And you can take website orders with the Square for Restaurants Free plan.
Omnichannel customization
With a comprehensive suite of first-party omnichannel solutions, including seamless integration across web, mobile ordering, and kiosks, Square provides restaurateurs customization to fit any business style or expansion. It’s worth noting that when using a cloud based POS system your business may need to rely on third-party solutions, which can lead to a fragmented user experience and additional costs.
Pricing
Whether you’re just starting out or expanding, costs are always a primary factor when it comes to how you operate your business. POS systems, on average, cost between a few hundred to a few thousand dollars, and those prices are on the higher end for traditional POS systems that require upfront software fees, maintenance fees, hidden fees, and more. Square for Restaurants makes it simple to understand costs with transparent pricing that ensures you always know what you’re paying for, from the initial investment to ongoing support.
There are no commitments or misleading contracts and Square also makes it easier to cut monthly costs by consolidating your operational efforts with banking, marketing, payroll, and loyalty programs, all available through Square.
Whether you’re on the hunt for the first POS system for your restaurant or interested in making a switch, always remember to make a decision that makes the most sense for your business, your staff, and your customers.
Supported onboarding
Legacy POS systems typically require more hands-on support during installation and extensive staff training due to the complexity of the technology. As a result, setup and onboarding periods can be lengthy.
With its intuitive UI/UX design, Square makes it easy to train staff and onboard new employees quickly. Training on Square can take as little as an hour. Plus, you can onboard in a way that works best for your team, either working directly with the Square sales team or by deploying the simple-to-implement POS on your own. Square provides 24/7 customer support with all of its paid plans.
The best part about Square for Restaurants customer support is that [if there are] any issues, if it’s not on the online forum, they’ll give you a number that you can call back with a reference immediately. … I can get someone on the phone in minutes and have this problem handled.”
Amante Domingo → Chef & Owner of The Russell Restaurant
Keeping your staff and your customers happy is always top of mind. With a cloud POS system, you can make your staff’s lives easier with simple clocking in and out procedures, straightforward shift reporting, and by sharing projected pay stubs with them directly. Square also gives your staff autonomy by allowing them to choose how they would like to be paid — check, direct deposit, or Cash App.
Streamlined kitchen operations
Integrating your POS solution with a tool that communicates with your back of house and sends orders directly to your kitchen boosts efficiency and order accuracy. The Square Kitchen Display System is flexible enough to work with how your kitchen operates, ensuring that online and delivery orders are sent to your kitchen staff in an organized and effective way.
You can also streamline your kitchen operations by integrating your POS with other apps in the Square App Marketplace. For example, you could integrate with Craver to create online ordering options with the choice of delivery or in-store or curbside pickup, keeping it simple for your restaurant and painless for your customers.
Customer engagement
A big part of growing your restaurant business is maintaining customers. Square makes customer engagement a priority with customizable marketing tools and robust first-party solutions, including SMS marketing capabilities, which are not widely available among most POS system providers.
Mobile POS systems give you the flexibility to take tableside orders and payments, which empowers your customers to dine and pay how they choose. Cloud POS systems also make it easier to connect with customers. You can offer a loyalty program, share updates and discounts via SMS or email marketing, and understand customer behavior with insights and guest profiles.
Easy to purchase, bring-your-own device flexibility
If you’re ready to streamline and simplify your restaurant operations, you can purchase the Square suite of first-party hardware at retailers such as Best Buy, Apple, and Amazon with clear pricing and out-of-the-box functionality. Legacy POS plan pricing is custom tailored to the seller. Additionally, restaurant proprietors may have to take additional steps to meet PCI compliance, while Square offerings are PCI compliant right out of the box. Plus, unlike with legacy POS systems, Square allows you to bring your own system. That means you don’t have to buy new equipment but can use your own iPads with a quick download of the Square app.
Make the switch
When it comes to knowing how your restaurant is performing, a POS system with intuitive features and straightforward data reports can help you do so with ease. With easy-to-understand features from Square, you can get your staff trained in minutes and reduce order errors with intuitive order entry while also having the ability to view comprehensive sales and inventory reports in real time.
With archaic restaurant POS systems, it’s like trying to drive an 18-wheeler on a winding road at 200 mph. You can’t make corrections in real time. With Square it’s like driving a Porsche where you’re able to react and adjust to things. ”
Bill Brooks → General Manager, Torch and Crown Brewing Company
Whether you’re on the hunt for the first POS system for your restaurant or interested in making a switch, always remember to make a decision that makes the most sense for your business, your staff, and your customers.
