Point of Purchase vs. Point of Sale: What is The Difference?
If you’ve heard of the terms Point of Sale (POS) and Point of Purchase (POP) before, its likely that they’ve caused you a great deal of confusion. POS and POP should be considered two sides of the same coin; both describing the interaction between a business and it’s customers. Despite their similarities, its important to understand their differences.
Here, we’ll dive into what distinguishes the two from one another.
Point of Purchase (POP): An Overview
To summarise, Point of Purchase refers to the physical and/or online location where a purchase is about to be, or could be, made. POP could encapsulate the entire store, but more common examples of POP could include a shops display windows, the way in which products are displayed within the store and branding/marketing on individual products themselves.
Point of Purchase marketing is part of the point of purchase, which specifically refers to marketing strategies used by a location or business to encourage the purchase of their products. Product displays, discount signage and more general forms of in-store advertising are all examples of POP marketing. Online, POP marketing could refer to a “Customers also viewed” section or a “Complete the look” section, which are cleverly designed to cross-sell you related items.
If you’ve visited a business with specific items in mind and left with more than you were intending to buy, you’ve been a victim of a successful POP marketing strategy.
Point of Sale (POS): An Overview
The Point of Sale (POS) refers to where the customer completes a transaction with a store or business. In a physical form, this would be represented by the cash register, till, card machine or EPOS system. Online, it would be the checkout basket.
POS can also refer to the point-of-sale system as a whole, which incorporates a number of different software’s, designed to centralise business functions into a single system. POS technology has continued to evolve, with common integrations now available:
• Payment processing, with full contactless support
• Sales reporting
• Inventory management
• Customer/employee management
• Marketing tools and assistance
• Reports and analytics
• Accounting software integration
What Can Your EPOS System Do For You?
EPOS systems are becoming more significant for businesses who are starting up or expanding. These systems are a combination of hardware and software, allowing for the efficient management of your business. EPOS systems have gone through a vast number of developments in recent years and are no longer reserved for the recording of in-store sales. These systems can now be tailored for a variety of different industries, to help integrate stock systems, accounting and purchasing behaviour software.
But what can these systems do benefit your business? EPOS systems have both specialist software and hardware, to support different functions and increase efficiency: This includes:
- A receipt printer – small printing devices use ink or thermal paper to create a record for either a refund or proof of purchase.
- A tablet – to replace your traditional payment methods, now more then ever due to Covid, moving around spaces could increase chances of infections, having a tablet for restaurants or cafes and having pay at table options can help reduce any spread and make your store safer and more welcoming.
- A barcode scanner – reading barcodes to identify a product and give the correct pricing
- PDQ machines – a card payment machine used for chip and pin as well as contactless payments that accept Apple Pay, Android Pay and other smart payment methods.
- A cash drawer – a lockable draw to store your cash safely
With an EPOS system, it’s integrated approach to business management can help you to process payments, assign staff roles and simplify your inventory management. With a powerful EPOS solution, your business will be able to collect and analyse data, such as:
• Customer lists – these help to tailor offers, discounts and loyalty programs to your existing customers
• Tracking employee activity – see what actions your employees are taking on the system and at what time. This can help identify areas where further training may be required, as well as discover fraudulent behaviour.
• Monitor sales trends – with access to your inventory and sales history, your EPOS system can identify popular products, which should be prioritised for marketing. On the other hand, it can identify products that should be stocked less often, or even removed from your shelves.
Benefit From an Integrated EPOS Solution Today
Increase customer satisfaction and save time and money by adopting Reposs' smart EPOS system that offers built-in stock management capabilities, Reposs fraud technology, integrated payments and advanced reporting.
For any retailer that manages a complex inventory and wishes to take control and benefit from a birds-eye view of their store's individual product performance, Reposs' EPOS system is the answer.