Point of Sale (POS) processing is widely used in the developed countries of the world. The point of sale Industry in Canada is representative of what is present in other, similar countries. We are going to take a quick look at point of sale processing, the point of sale industry, and its status in Canada.
The philosophy of point of sale processing is to integrate all of the work to handle a retail customer transaction (sale) and to do it at the time the transaction occurs. Even if we can't integrate all of it, there are major benefits from integrating as much as possible. This integration lowers costs and reduces the error rate. The concept has been around for quite awhile, but it took some time for hardware and software to be up to the job.
Suppose a customer makes a purchase at a retailer with point of sale processing. Not only is an invoice prepared, but the store's inventory database is probably updated to subtract whatever was purchased. If the customer pays by debit or credit card, the payment is validated and settlement of the payment is initiated.
Point of sale processing was first implemented by grocery stores and other large retailers in the late 70s. The technology was initially very expensive, but has become fairly economical since then. Some level of point of sale processing is almost universal in retail stores and other retail establishments today.
Larger retailers may do much of their system development and operations internally, though even they must connect to some sort of financial institution to authorize and settle payments. The smaller retailers are very reliant on point of sale service companies.
These companies typically provide the retailer with point of sale equipment that is ready to use. They install and configure the equipment and build whatever supporting networks may be required. They will train the retailer's staff in the use of the system. They operate the servers and other central site equipment needed to support the retailer's point of sale equipment. They help diagnose and solve any problems that may arise.
Turnkey systems are very important in point of sale processing. A turnkey system is one that can be just plugged in and used, as in turns the key, such as a car or a cable box. Turnkey point of sale terminals are a key product of POS service companies.
Canada is well supplied with POS service companies. Some are regional and some operate nationally. They provide turnkey point of sale systems to retail companies. They do significant software development for these systems, but I am not aware of any significant equipment that they are designing or manufacturing.
Canadian retail companies benefit greatly from point of sale processing. Canadian point of sale service companies are largely responsible for implementing this. The POS industry in Canada is largely built on these point of sale service companies.
The philosophy of point of sale processing is to integrate all of the work to handle a retail customer transaction (sale) and to do it at the time the transaction occurs. Even if we can't integrate all of it, there are major benefits from integrating as much as possible. This integration lowers costs and reduces the error rate. The concept has been around for quite awhile, but it took some time for hardware and software to be up to the job.
Suppose a customer makes a purchase at a retailer with point of sale processing. Not only is an invoice prepared, but the store's inventory database is probably updated to subtract whatever was purchased. If the customer pays by debit or credit card, the payment is validated and settlement of the payment is initiated.
Point of sale processing was first implemented by grocery stores and other large retailers in the late 70s. The technology was initially very expensive, but has become fairly economical since then. Some level of point of sale processing is almost universal in retail stores and other retail establishments today.
Larger retailers may do much of their system development and operations internally, though even they must connect to some sort of financial institution to authorize and settle payments. The smaller retailers are very reliant on point of sale service companies.
These companies typically provide the retailer with point of sale equipment that is ready to use. They install and configure the equipment and build whatever supporting networks may be required. They will train the retailer's staff in the use of the system. They operate the servers and other central site equipment needed to support the retailer's point of sale equipment. They help diagnose and solve any problems that may arise.
Turnkey systems are very important in point of sale processing. A turnkey system is one that can be just plugged in and used, as in turns the key, such as a car or a cable box. Turnkey point of sale terminals are a key product of POS service companies.
Canada is well supplied with POS service companies. Some are regional and some operate nationally. They provide turnkey point of sale systems to retail companies. They do significant software development for these systems, but I am not aware of any significant equipment that they are designing or manufacturing.
Canadian retail companies benefit greatly from point of sale processing. Canadian point of sale service companies are largely responsible for implementing this. The POS industry in Canada is largely built on these point of sale service companies.
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