Nearly 9 out of 10 Americans now utilize some form of digital payment. With this trend rapidly on the rise, restaurants today confront the challenge of offering a variety of payment options, including emerging contactless payment. The ultimate solution? A modern POS system equipped with diverse payment gateways.
Traditional cash registers often lack efficiency, and relying solely on cash or credit cards can deter customers who prefer contactless payment methods. If your restaurant is grappling with these issues, it’s a clear sign that you need to update your payment solutions and embrace technology. So why fall behind?
With several POS solutions available, each featuring different digital payment solutions, selecting the one that best fits your needs can be daunting. But we’re here to assist you. Join us in this blog post where we explore market options and provide comparisons to help you make an informed choice.
Are you ready to streamline your operations, reduce long waits at your checkout, and increase revenue? Keep reading to learn how.
How Digital Payment Challenges are Shaping the Restaurant Industry
The COVID-19 pandemic accelerated the global adoption of digital payments, driving consistent growth in the sector. As a result, the projected market size for online payment gateways is expected to reach USD 34.80 billion by 2029.
Digital wallets, such as Apple Pay, PayPal, and Alipay, are forecasted to be the fastest-growing payment methods, fueled by the convenience they offer to customers. Mobile-based payments are also experiencing high demand worldwide.
In every industry, integrating a payment gateway has become essential for organizations. This enables businesses to collect payments securely through customers’ preferred banks without compromising sensitive data.
For restaurants, adopting new contactless digital payment options is imperative. On average, restaurants now generate 67% of their sales through digitally placed orders. From self-ordering kiosks to contactless payments, the industry is adapting to the evolving landscape, largely facilitated by cloud-based POS systems.
Modern POS System: A Gate for Digital Payment Options
Whether you aim to diversify your restaurant’s payment options for in-store and online ordering services or prioritize providing secure payment channels for your customers, a modern POS system is your ultimate solution.
Through seamlessly integrated POS and contactless payment systems, restaurants can ensure consistent ordering experiences, regardless of how orders are placed. Now, let’s explore the multi-payment facilities that POS systems provide:
- Diverse Payment Methods: Modern POS systems support a variety of payment methods, including credit/debit cards, mobile payments, and contactless transactions. This flexibility enhances convenience and streamlines the checkout process, resulting in shorter wait times and improved customer satisfaction.
- Efficient Order Taking: Servers can take orders directly at the table using handheld devices, reducing errors and enhancing the speed of service.
- Customization and Modifications: POS systems allow for easy customization of orders, accommodating special requests and dietary preferences without hassle.
- Split Payments: Also they can handle split payments, allowing customers to pay their share of the bill separately.
By equipping your restaurant with a modern POS system, you unlock the power of diverse digital payments, ultimately creating a smoother and more convenient experience for your customers. But, how exactly does this magic of accepting contactless payments through a POS system work?
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How does the Contactless Payment Work?
Contactless payments, also known as “tap-and-go” transactions, are made using contactless-enabled devices such as smartphones, cards, or even wearable devices.
- Near-Field Communication (NFC): Contactless payments primarily use NFC technology, allowing wireless communication between two devices, such as a contactless card and a card reader.
- Tokenization: It sends a unique, one-time token to the payment terminal, that can only be used to make that specific purchase at the point-of-sale system. So it adds security to the transaction.
- Mobile Devices: Mobile devices also use NFC technology to process payments. Customers can add a credit card to a digital wallet like Apple Pay, Samsung Pay, or Google Pay. Then, when they hold their phone near the card reader, it will prompt them to confirm their purchase.
Within just a few seconds, the payment process will be finished when the terminal reads the payment information and completes the transaction.
Why Digital Payment is a Secure Solution?
Digital payment has become a preferred mode of payment for many consumers, and for good reason. It offers a secure solution for businesses to accept payments and ensures a smooth transaction process. With the use of a robust POS system, operators can provide customers with a secure way to pay through various payment methods, such as tap, insert, or swipe options.
The POS system comes with features like user permissions, transaction tracking, and encryption, which enhance security measures and reduce the risk of fraud. With user permissions, businesses can control who has access to sensitive information, ensuring that only authorized personnel can access it.
Transaction tracking enables businesses to monitor all transactions and identify any discrepancies, while encryption protects sensitive information by encoding it, making it unreadable to unauthorized third parties.
Assessing POS Systems: Digital Payment Features and Overall Costs
Today’s POS systems prioritize enhancing transactions by offering various payment options, including digital methods. However, determining the best solution for your restaurant involves considering factors such as complexity, flexibility, and budget-friendliness.
It’s crucial to assess what features are included in the standard version and which are customizable solutions that require additional payment. To provide an overview of the options available, here is a breakdown of four suitable POS solutions for restaurants.
| POS System | Toast | Square | Clover | iPos |
| Standard Plan Cost | $69.00/month | $60.00/month | $59.95/month | 0.00/month |
| Contactless dining (QR-code ordering) | Included | Included | Included | Included |
| Mobile Payment | Pay Extra | Pay Extra | Pay Extra | Included |
| Online Ordering | Pay Extra | Free tier included | Included | Included |
| Dynamic Pricing | Pay Extra | Included | No | Included |
Although this table provides a glimpse of popular options based on features available in a standard version, factors affecting the purchasing decision also includeupfront payments and processing fees. Additionally, the costs for adding features not included in the standard plan can vary widely based on the specific needs of your business.
Furthermore, it’s important to note that these costs are subject to change, and it’s always best to contact the POS provider directly for the most accurate and up-to-date information.
Final Statement for Payment Solutions
In summary, modern POS systems are not only optimizing multiple payment options, but they are also ensuring secure transactions, thereby enhancing the overall dining experience for customers and streamlining operations for restaurant owners.
They are indeed a game-changer in the restaurant industry, providing a safe and efficient way to accept all sorts of payments including digital emergent ones.
By carefully considering your restaurant’s specific needs and budget, you can choose the best POS system that offers the right combination of features, ease of use, scalability, and affordability.
Remember, the ideal POS system should not only streamline payments but also empower your restaurant with valuable data for informed business decisions. If you are wishing embracing this new trend, iPos can help. Get a demo and discover how!
