EPOS systems are known to provide handy functionality to businesses in a wide array of industries.
Excelling at basic operations such as stock management, inventory control, recording keeping, and more, many often overlook the financial savings these devices bring to the table.
To prove just how effective EPOS systems are at maximising a business’ cost savings, our blog this week dives into exactly how this happens. Keep reading to find out how EPOS systems can save your business thousands of pounds each year!
When it comes to inventory, sometimes, less is more.
While many business owners believe that more products bring in more business, both product selection and stocking need to be done carefully. Not all products sell – jumping the gun and ordering excess stock can often cause huge losses. In fact, even if you’ve done all your research, certain stock items just won’t budge no matter how hard you try.
Supply Chain Digest recently found that on average, 43% of the stock is non-moving. So, how can each business identify which these are, minus the exhausting data analysis?
Through EPOS systems, of course.
Here, your device will automatically identify which of your products are not selling, which take time to move off the shelf and a range of other relevant data.
In terms of restaurants and cafes, the University of Arizona recently found that 11.3% of food is wasted. EPOS combats this through the provision of accurate inventory levels and by eliminating miscommunication between the kitchen staff and waiters.
In retail settings, it has been estimated that discounts often amount to around 4.2% of a business’ revenue.
Often, poor data tracking and monitoring, confusion of authority, ineffective discount schemes, and inadequate planning are the main culprits behind such loss. With EPOS systems in place, however, tracking staff discounts and how they are administered help with curtailing ineffective discounting.
Here, by monitoring discount rates and through role-based restriction, and other tools, EPOS users see a whopping 34% reduction in discounting.
For hospitality businesses, discounts amount to around 2.2% of revenue. Through the same EPOS tools and functions outlined above, a 32% reduction in discounting can be enjoyed.
In retail settings, shrinkage is often a common concern. According to RetailResearch.org, around 35% of shrinkage is due to employee theft and a further 16% the result of internal errors.
Even in the hospitality industry, the University of Florida recently demonstrated that theft results in the loss of around 2% of revenue – 43% of which is the work of employees.
In this regard, EPOS systems once more provide support beyond measure. With fully-functional audit-controls and reporting as well as secure staff access, this number is halved with the click of a few buttons.
In both retail and the hospitality industry, upselling and cross-selling are significant ways in which revenue is increased.
Upselling is the process where customers are persuaded to buy add-ons, upgrades, or even something more expensive than what they’ve already chosen. Cross-selling, on the other hand, refers to where buyers are convinced to purchase items in addition to what they’ve already bought.
With EPOS systems, upselling and cross-selling becomes very much more effective, increasing order size by 7% in the hospitality industry and 4% in retail settings. This is done through useful pop-ups that alert staff about available sales that can be made. This can be enhanced through the provision of targeted employee training.
With EPOS systems in place, automated reporting and more efficient stock-taking results in an average of 5 hours being saved per week, for both the hospitality and retail industries.
With this chunk of time now saved, employees can focus more on selling and increasing the revenue of the business.
When it comes to cost savings for businesses in the retail and hospitality industries, EPOS systems are the perfect solution. With the ability to drive down costs in a statistically significant manner, these devices never fail to impress.
By choosing these tools for your business, watch your revenue increase overnight.