Cash registers are slowly becoming a thing of the past and that’s a good thing. Today, customers seek a more seamless shopping experience and aren’t too keen on waiting in line in front of a checkout counter.
That being said, retail payment processing has evolved exponentially and retailers who embrace new payment process methods in retail are the ones who will thrive in the industry. One way that retailers can stay ahead of the curve is to implement modern POS systems.
Let’s explore some of the current trends in retail payment processing and how innovative POS solutions can help retailers keep up with these trends.
1. The sudden rise of AI and ML
Today, the concepts of machine learning (ML) and artificial intelligence (AI) aren’t just concepts—they’re realities. These new and innovative technologies are changing the retail landscape and a reliable POS system can help retailers access their benefits:
Security
AI can quickly learn the spending and buying patterns of customers and identify any abnormalities and flag them in real time. To do this, AI scours large amounts of transactional information to see if there is any fraudulent activity. Modern POS systems use AI and ML and this can protect customers and reduce chargeback costs for retailers.
Frictionless checkout
ML algorithms can help retailers personalise a customer’s checkout experience. Many POS systems come equipped with ML, allowing retailers to identify preferred payment methods, streamline the checkout process, and get suggestions for loyalty programmes. This may encourage customers to return in the future.
Data-driven decisions
Data-driven insights play a huge role in helping retailers stay ahead of the curve. Many modern POS systems have analytics tools that provide valuable data on factors such as customer buying patterns, allowing retailers to come up with personalised loyalty programmes and promotions.
2. The popularity of mobile wallets
Bulky wallets filled with cash and cards are going extinct; now they’re replaced by digital wallets, like Google Pay and Apple Pay, which are much more convenient and secure. However, future trends go beyond these options:
Hassle-free transactions
Nowadays, customers can complete their transactions with just a tap and a wave of their smartphones. Modern POS systems with contactless payment capabilities can accommodate these transactions with special POS terminals. Thanks to frictionless transactions, checkouts can be sped up considerably.
Increased security
Modern POS systems can be integrated with wallets that use tokenisation. What this does is that instead of transmitting card details when a transaction is made, the system uses a unique code. This way, retailers can prevent hackers from intercepting the data during the transaction.
Loyalty integration
Many POS solutions can integrate with store-specific coupons and loyalty programmes. This can create a seamless experience, allowing customers to access discounts, redeem points, and more.
3. The spread of biometric security
Facial recognition, iris scans, and fingerprint scans are no longer the stuff of science fiction. Thanks to biometric security, transactions can be made more secure and convenient for customers.
Future-proof
Biometrics isn’t widespread in the retail industry but POS systems are designed to incorporate biometrics in the future. Even if a retailer hasn’t taken up biometrics, modern POS systems are flexible enough to incorporate it when the time comes.
Enhanced security
Even without ultra-modern security solutions like biometrics, POS systems come with other advanced security features like encryption, password management, and access control to safeguard customer data.
4. The growing trend of Buy Now, Pay Later
Also called BNPL for short, this popular payment option allows customers to pay off their purchases in small amounts over a certain period. This payment method is very popular among younger customers. Here’s how a POS system can handle it:
Integration for BNPL options
Modern POS systems can integrate with BNPL providers like Afterpay, allowing customers to choose their ideal BNPL option without much hassle.
Staying ahead of the curve
Retail payment processing is all about convenience, personalisation, and security. Here are some steps, in addition to acquiring a modern POS system, that retailers can take to stay ahead:
- Partner with fintechs: Fintech companies are the pioneers of payment innovation so by partnering, retailers may be able to access the latest fintech technology. These technologies may be integrated into POS systems to give customers a better checkout experience
- Keep up with the trends: The retail landscape is changing frequently, so retailers must keep an eye out for the latest trends and adapt. Retailers should consistently review their payment processing strategies and make software updates to their POS systems to access new payment processing technologies
Speak to WITMEG for innovative retail payment process solutions
Seamless payment processing is key to improving customer satisfaction. With the help of a modern POS system, retailers can make the checkout process hassle-free for customers through artificial intelligence, BNPL options, and biometric security for safer transactions.
Get in touch with WITMEG to access innovative EPOS solutions for retail and streamline your payment processes today.
FAQs
Are EPOS systems suitable for small businesses?
Yes, modern EPOS systems are designed to work with businesses both big and small.
How much does an EPOS system cost me?
The price depends on the number of features you want, how many users you have, and the functionalities you need. Some EPOS providers may accept a one-time payment while others may charge a monthly subscription.
Is it difficult to set up an EPOS system?
Many modern EPOS systems are very easy to set up and use, even if your retail staff has no experience with these systems.