At PanaEpos we regularly speak with business owners who openly admit that they didn't give their EPoS purchase enough thought, consequently they are contracting in to an EPoS system that doesn't do what was promised, functions poorly and cost's a fortune to run.
We have combined our knowledge to cover some of the points that should be explored when buying an EPoS system. It should be a very careful process, it’s not the same as purchasing a TV or a Dishwasher. When introduced to your business, EPoS will be an integral cog so it's important to choose the right till from the right provider from the beginning. This EPoS Buyers Guide is to help you sift through your options and narrow it down to the right solution.
Where do I start?
Some choose comparison websites. These websites are paid by an EPoS company for every lead they send to them, usually these leads are £20 each and it's irrelevant if an EPoS company converts it into a sale. So you can imagine, every EPoS company that subscribes to these leads which is usually about 5-6 at depending on which comparison website you use, will want to convert that lead. Consequently, you will have at least 5-6 calls a day from EPoS companies with very enthusiastic sales people trying to close the deal with you before the other company beats them to it. As a busy business owner without a lot of spare time, you will find it quite frustrating!
We would suggest going direct to the EPoS company, search the internet for local and national providers but we would suggest the best way to do your research is face to face, if you have friends using an EPoS system ask them how their experiences, or just walk in to a business and ask the owner. We have always found that business owners are happy to share their experiences.
MPoS or Static
Mobile PoS, or MPoS is a solution which people choose mostly based on two reason’s - budget and looks. I would recommend that those two reasons sit fairly low down on your list of priorities. MPoS is usually a pretty looking till, it’s usually a tablet based system with a dock or a stand. The common problems with these devices are usually made for the consumer market and they break easily because they are not built considering that they may have heavy use in a shop or a bar (imagine spilling a drink on an IPad). They are also regularly stolen because the opportunist thief will see them as something that can just be wiped and sold on Ebay. A static, purpose built EPoS terminal is built to withstand the heavy daily use in a business. A decent till screen will be IP52 rated, making a common drink spill in a pub or club not an issue. The operating system that's running on purpose built terminal will be setup for EPoS software (ie Windows IOT10) and in normal circumstances you will be able to have Teamviewer installed to allow engineers access to guide your till user on how to correct user errors, some MPoS wont allow this.
Cloud or Local
There are two ways of storing the data generated by your EPoS till;
Locally - Either on your till or on a fixed server
Cloud – Using the internet to send your data to the cloud.
With a locally stored system your information is stored on site giving you constant access to the information regardless of internet access. This means that if your business has poor internet then you won’t have problems with the till posting figures to the cloud or being able to access the information whilst on site. The problems occur with this option in the event of break-in, fire, or hardware malfunction, you are open to losing vital data. Locally stored options also limit the amount of third party software options that you are able to integrate with your till software.
With a Cloud based system a lot more opportunities are opened up, software integrations, real time data and one of the key advantages is remote access to data which, if you are not on site 24/7, can be a big help to make instant changes and reports on any device with a browser and internet access. Even though the information is not stored on site, it is probably more secure. Most Cloud based EPoS software companies store their information on the same servers which are used by big banks and it also means the responsibility sits with the software provider to make sure they follow the correct GDPR guidelines for storing customer data. Most new EPoS buyers will invest in cloud-based software; however, we recommend you ask the EPoS company one question before you do.
'What happens if my internet goes down?'
Most EPoS software is designed to carry on as normal and you won’t notice any difference. Whilst the internet is down, the information is being stored locally on your till and will post to the cloud once a connection is re-established. However, some EpoS software fails spectacularly when internet connection is lost. A couple of examples in hospitality are that it stops communicating with attached hardware like a printer, if you work in hospitality and use a kitchen printer to send orders to the kitchen, this flaw can cause pandemonium, especially if you don’t know if the internet has gone down and you’re happily carrying on with service thinking that the orders are posting to the kitchen! Another problem with buggy software is that if the internet goes down, the table plan stops updating, so if you are storing information to a table on one till, it doesn’t update on another till, which leaves your business open to big losses in revenue if the bill is generated from a till which hasn’t been updated.
Most importantly, don’t take the EPoS company’s word for it, ask to see the till physically and let them guide you through a transaction so you can see it interacting with your desired peripherals when off line. Buyers of a till who didn't see it physically beforehand can find it very difficult to get their money back if it doesn’t live up to their expectations.
The answer to the local or cloud question, is not one or the other, the best option is to go for both. Reputable EPoS companies will provide their buyers with a solution that will store up to date information on the till with access with subscription with the option to add cloud access. This means the till is designed to work in offline mode exactly the same as it works when connected to the internet and should you wish to access and control your till remotely the option is there for you. It also means that you're not paying for a service that your not using.
Can you network? Can you program a till? Do you have the time?
Setting up a till is what consumes the most time in an EPoS buyers process and if your not experienced in using the software that you’re buying, you can find this initial part of using your new till frustrating. Most EPoS buyers choose to leave it with the EPoS company to program the device, install it and train them and their staff to use it. With this being the case, most Face to Face EPoS providers will usually include this in the price, rather than have it as an add on. Speaking from a Local EPoS providers perspective it’s important for our reputation to leave our client in a position where their till is up and running and all users are fully trained and confident in maintaining the system. POS in a box or solutions that are sold as a hardware and software package over the phone or internet usually don't come with installation or programming as part of the package, that’s not to say that it can’t be added, but will normally come at quite a cost, making the solution more expensive than that of a local EPoS company.
Own Provider or Re-seller
These are the two main types of EPoS providers. An Own Provider is usually a national company that has developed and owns it own software, sometimes hardware as well. A Re-seller is as it sounds, a company that sells software developed by a software company and hardware built and supplied by an EPoS terminal company like J2, Panasonic or Aures. Usually you will find that the Own Providers software is young, check out the age of the company that’s selling it, compare it again a more established provider of EPoS Software provider like Clover or ICR Touch. This is usually a good guide of how reliable the software is, newer software is more likely to have bugs and still be in the early stages of basic development so some of the features that you may expect as standard wont exist.
What happens if you fall out with your EPoS company can they remotely switch your till off?
It’s always worth looking at the t’s and c’s to see what happens if you stop paying your bill. If your business is going through a rough patch and you decide that you need to trim some of the luxury’s off the monthly outgoings, support payments are usually one the first to go. Some ‘Own Provider’ EPoS companies reaction to their support being cancelled will be to remotely lock you out of your back office and till. It's possible for them to do this because you never own the software on your machine, they are renting it to you either via monthly support charges or if your not paying for support you will be billed for a ‘Annual Software Licence Renewal Fee’, usually around £200 +vat. EPoS re-seller’s are normally different, in most instances you own the licence so they wont have option to lock you out of the back office or till and if you fall out with them, you can simply ask another re-seller if they can take on the maintenance or support of your till/licence.
What happens after I have bought the till?
After sales support is the most important consideration when buying EPoS. Introducing EPoS into your business normally mean that it becomes a large part of the daily running of your business. If it doesn't work as well as it should, it can be disruptive to you and your staff. A few things to think about are;
1. Do I want telephone based support or a mix of face to face and telephone support?
Most business opt for a mixture, this means that they can get instant help on the phone rather than waiting for a engineer to get to them but they are safe in the knowledge that if its a hardware malfunction they can get it fixed the next day or swapped for a new one. Telephone only based support means that you have to pack up the hardware, send it back and wait for it for arrive at the EPoS companies office before they will send you a replacement or fix yours, sometimes that process can take weeks which is okay providing your business can run without a till for weeks. Larger EPoS companies will tell you that they have face to face engineers, just check how many and check how big their customer base is, this will give you a good idea of how soon an engineer can get to you in the event of a problem.
2. What happens if I don’t opt for support?
Ask the EPoS company as sometimes not opting for support will mean that you will be stuck with a ‘software licence renewal fee’ (usually around £200). This information isn’t always volunteered so make sure you check, because it you dispute it later they can remotely turn your till off!
3. What level of support do I need?
There is no ‘one size fits all’ for support, you may or may not be open weekends, you may or may not be open until 3am, so your EPoS provider will have a variety of options available for you. Also consider if you would like ongoing warranty, it costs extra but it peace of mind.
4. Can I get training for new members of staff?
You may be in a industry with a high staff turnover, in which case it’s worth finding out about ongoing training for new staff members. Explore if its face to face or telephone based, or as some companies now offer training via webinars or YouTube guides and decide which is best for you and your staff.
5. Who manufactures the hardware?
This is important because it will determine how often it fails. Reputable EPoS hardware lasts and will rarely stop working, a premium EPoS terminal may last 10-12 years with a regular service and parts are mostly guaranteed to be produced for at least 7 years after you have bought the system. Cheaper no name devices branded with the EPoS companies name will last a significantly less amount of time and is liable for consistent faults. These are usually dealt with with the 'disposable approach' ie, chuck it away and by another one.
Do your due diligence
Research the company that you are buying from, look a review sites and focus more on the bad reviews, what are the points that have been made in that review? If you are considering that company, ask them if that particular problem still exists with the software, hardware or level of service. Whilst review sites are helpful for potential buyers, they are open to abuse, cases exists where EPoS companies have reviewed themselves or given incentive's to customers to leave a good review. They best way to find out the level service is to ask a business owners who is using an EPoS system what their experience is of that company, you will hear the most honest opinions that way.
Add on’s and App Stores
Every EPoS company will have optional extras, here’s a quick guide to those features and what you can expect to pay for them.
Cost's per provider | ||||
Feature | Description | Own Provider 1 | Own Provider 2 | Typical Reseller Prices |
Loyalty | Rewarding customers with points/£'s or BOGOF | £25 PM | £20 PM | Free |
Accounts Integration | Real time transfer of accounts data to cloud accounts package | £10/£25 PM (Sage/Xero) | $19.95 - $39.00 | £25 PM Xero |
Bulk Import | Import of products and prices via a spreadsheet to EPoS Software | £15 PM | Not Offered | Free |
Multi Site | Management of more than one site via one back office | £25 PM | Unk | Free |
API | Background link to integrate third party software/hardware | £15 PM | Unk | £15 PM |
Shopify | Transfer of data to and from Shopify website to the till | £35 PM | £50/£99 (Standard/Plus) | £35 PM |
GiftAid | For keeping a track of gift aid donations in charity shops | Free | Not Offered | Free |
CCTV Integration | Allows a transaction text overlay on a CCTV image to help prevent fraud | £25 PM | Not Offered | Free |
Caller ID | Automatically brings up customers account when they call | £25 PM | Nor Offered | £15 PM |
Support Standard for 2 tills | Usually for businesses that arent open late or weekends | £60 PM | $78 | £29.95 PM |
Support Premium for 2 tills | Usually for businesses that are open late or weekends | £85 PM | $78 | £59.95 PM |
Takeaway | Remote ordering software | £30 PM + | Not offered | £30 PM |
What do you expect your software to include?
What you might consider as standard EPoS offering, may be classed as an add on in some EPoS companies. This is common with Loyalty Software, Multiple Sites, Bulk Uploading of Products to name a few, so when your asking if it does something, check to see if it cost's extra, not asking can cost your business up to £70 - £80 extra a month!
What does it work out on costs over a 3 year period.
Most businesses that are investing in EPoS will be with the view that they will still be with the same EPoS provider in a three years time. So when budgeting work out the costs over a 3 year period. The things to consider are;
Initial Hardware/Software Costs
Networking and Installation Costs
Programming Costs
App Costs
Support Costs
Licence Renewal Fees
Warranty Costs (if you choose to extend it)
T’s and C’s
Extremely boring I know! But read them and read them carefully, because if there is anything to hide it will be in there!