When it comes to a point-of-sale system, anyone can take a credit card. That’s the easy part.
What’s more difficult — and what separates a good point-of-sale system from a bad one — is the reporting on the backend. Having great reporting can make a real difference in your small business.
Here are four types of reporting you’ll want to have incorporated one way or another into your point-of-sale:
Revenue is key to any small business so it makes sense to start with this one. A good point of sale system includes robust sales reporting that can break down sales into different time frames and also break sales down by product, service or menu item. Seeing which items are selling and which ones are not selling is obviously interesting to a business owner.
On top of that, it’s important to be able to see which promotions are driving sales and which employees are booking the most profit. If one employee is selling double what another employee is selling, that might indicate a need for retraining for the one that’s not selling very much.
The sales reporting tell us how money is being spent but the customer reporting tell us a little something about who’s spending the money. If possible, this will be tied to your loyalty program where you can link the revenue to individuals with email addresses.
If you have the customer’s email address and you know that they like a certain item, you can email them when you run a promotion on that item or when you might be running low on that item. Segmenting the customers in your database according to their likes can help you send them the right message at the right time to entice them to return to your restaurant or retail shop for a repeat visit.
Labor reporting should help you get a handle on one of your biggest costs, employees. It’s important to keep track of how much labor is costing you because it’s one of the few expenses that can be somewhat managed and optimized.
A good point-of-sale system will include information on the employees, when they worked and when they clocked out. The system should also include information on how many sales they rung up. As we noted above, there might be a need for retraining if you see that one of your employees is ringing up far more sales than another.
In addition, the point-of-sale should provide a quick payroll summary for any given time period. Naturally, that type of report can help you understand cash flow for the period.
Next to the sales reporting, inventory might be the next most important reporting tool a business owner would need. If you can get inventory right, you can help propel profits by only ordering what you need based on what you consume. It’s a tough equation but one that can make a huge difference to your small business.
In some cases, the point-of-sale software might go a step further and help you re-order items that are running low in inventory.
Want to learn more about how to get reporting integrated with your point-of-sale system? Contact us today for a demonstration.