The modernization of restaurants has led to an abundance of new technology on the scene. A POS (point of sale) system is one of the most popular innovations, revolutionizing how restaurants are managed. Restaurant POS systems pave the way for various features and functionalities, both in the front and back of the house.
In this guide, we’ll break down what a restaurant pos system is and how your restaurant can utilize it to improve the customer experience and drive more revenue.
What is a Restaurant POS?
A restaurant POS system is a computer system used to manage and streamline a restaurant’s operations. POS stands for “point of sale,” which refers to the time and place a sales transaction is completed.
Today, a POS system does much more than accept payment from customers. Restaurant staff utilizes POS systems to send orders to a kitchen display system (KDS) so chefs can prepare food efficiently and effectively. In addition, a POS system can also record sales data so managers can track inventory and accurately order more ingredients.
A modern restaurant POS system comprises two parts – restaurant hardware and restaurant software. These two elements work together to power the POS system’s seamless functionality.
Below, we will go through the ins and outs of both restaurant pos hardware and software.
Restaurant POS hardware is the physical tool that is used to collect information. It is a durable touch screen that can take orders, payments, and more. A few essential pieces of hardware are needed for the POS system to operate.
- POS terminal – the central hub of the restaurant POS system, allows staff to process orders and payments.
- Cash drawer – enables cash transactions, as well as securely storing cash and change.
- Printer – generates receipts and order tickets – streamlines communication between the kitchen, servers, and customers.
- Barcode scanner – this product reads the barcode to make adding items quick and accurate.
- Credit card reader – or payment cube – to accept contactless orders via credit or debit card.
In addition to the hardware for the POS terminal, other technologies are available that can accept orders and payments. These include tableside ordering tablets and kiosks.
For instance, CAKE’s mobile ordering solution effortlessly integrates with the restaurant POS. Your servers can update orders on the POS, and it’s available on the tableside ordering tablet and vice versa. This device uses the same interface as the POS, so no training is required to get your team up to speed.
Kiosks also serve as an efficient order and payment system for restaurants. CAKE’s kiosks offer secure and contactless experiences, a top priority for many consumers. Nearly seven out of 10 adults reported they’re likely to order and pay using contactless or mobile payment options.
Restaurant software is what makes the hardware run. This management software is integral in helping your business run smoothly with both front and back-end capabilities. There’s a range of software restauranteurs can use, but some vital solutions are:
Front of house
- Online ordering & curbside pickup
- Reservation & waitlist management
Back of house
- Menu management
- Real-time reports
One of the most widely used and sought-after restaurant management software is online ordering and curbside pickup. Online food ordering has grown 300% faster than dine-in since 2014, accounting for roughly 40% of restaurant sales. In addition to boosting sales, online ordering can reduce order errors. How? If you have a POS provider like CAKE, that directly integrates with your restaurant POS, it sends food orders straight to the kitchen, eliminating the need to enter the items twice.
Managing and optimizing your reservations is vital for restaurateurs. With reservation and waitlist management software, like CAKE’s Guest Manager, your restaurant can efficiently communicate with guests, and servers have a 360-degree view of your sections for better table management.
Menu items and pricing are crucial to the overall operation of your business, which is why menu management software is a key piece of the puzzle. This restaurant POS software allows staff to swiftly make menu adjustments, whether with food items or prices, and the ability to track stocks in real-time to monitor what items are available.
Viewing your restaurant metrics in real-time is beneficial for your restaurant’s success. With CAKE’s real-time reports, you can monitor everything from sales to payments and payroll to taxes. These reports can also give insight into your customer’s preferences, reservations, tables, and more.
How a Restaurant POS System Works:
A restaurant POS system has many different features and functionalities to operate. Its hardware and software are designed to join forces and streamline various restaurant or bar tasks. The POS terminal is the central hub where transactions are placed and information is recorded.
As mentioned, a restaurant POS system can do much more than ring in orders and cash customers out. It can manage various aspects of a restaurant’s or bar’s operations, including inventory, sales, customer relationships, and more. By analyzing data, it gives restaurant owners the ability to make informed decisions on menu planning, pricing, and marketing.
A restaurant POS can also assist in employee management; tracking hours worked, and accurate payroll processing. As well as monitoring employee performance by recording individual sales and customer interactions. This feature can motivate staff to provide excellent service for recognition, ultimately enhancing the overall dining experience for guests.
Overall, the POS system plays a vital role in streamlining restaurant or bar operations for increased efficiency and success.
4 Benefits of a Restaurant POS System:
Now that we’ve explored the ins and outs of a restaurant POS system, let’s dive into the four key benefits it offers:
1. Saves Time and Money
A restaurant POS system can save a restaurant time and money by automating many of its operations. These range from order processing to payment handling and inventory management. Each of these minimizes room for errors and boosts efficiency.
With a cloud-based restaurant POS system, you can cut back on labor and the dollars spent on server upkeep and hardware. Both factors are cheaper and more efficient, giving you the tools to make smarter decisions and more time to do what you do best: manage your restaurant.
2. Stores Valuable Data
A POS system can provide a restaurant with valuable insights into its sales, customers, and employees. It can record sales transactions, offering an overview of pricing and what menu items are getting the most traction. This data collected enables restaurant owners to make informed decisions about inventory management, menu optimization, and pricing strategies.
In addition, restaurant POS systems have advanced security features when processing payments. Many offer PCI-compliant transactions to keep your customer’s data secure. This is essential not only for security reasons but also for gaining your customer’s trust. Part of a great guest experience is being free of any financial risks!
3. Better Inventory Management
A restaurant POS system can help a restaurant better manage its inventory and make more informed purchasing decisions. By tracking sales and ingredient usage, the POS system can provide accurate information on stock levels and consumption patterns. This is extremely beneficial in helping restaurateurs anticipate demand and prevention of items going out of stock.
POS systems have the ability to integrate with inventory software management providers, for example, Orca. Through Orca, you can automate inventory and ordering processes. Their inventory and ordering system learns to prevent theft, waste, and over-billing while keeping you organized.
4. Improved Employee Experience
A restaurant POS system can help a restaurant better manage its employees by tracking their time worked, sales, and customers. Through real-time tracking of time worked, the POS system minimizes payroll errors and provides accurate and efficient processing.
Through tracking employee sales, owners and managers can identify top-performing staff and reward their exceptional service. This also gives them insight into the staff that might not be performing as well – allowing them to provide training where needed.
Using CAKE for Restaurant POS System
CAKE’s POS system is undoubtedly the best choice for your restaurant business due to its features and seamless functionality. The user-friendly interface ensures easy adoption, minimizing training time and maximizing overall efficiency. Its integration with tableside ordering and kiosks provides streamlined order processing, enhanced accuracy, and customer satisfaction.
What sets CAKE’s restaurant POS apart from its competition? Our all-in-one POS software streamlines restaurant operations, making your job just a little bit easier. Our hardware includes online ordering, tableside ordering, kiosks, and more. Join the countless restaurants that have chosen CAKE POS as their preferred choice, as we were ranked an emerging favorite on Capterra’s Shortlist of Best Restaurant POS Software.
Ultimately, CAKE POS’ advanced features and user-friendly design make it the perfect solution to reach new heights of success. Take your restaurant to the next level when you get started with your free demo today!