The year 2014 will be remembered as the year of big data breaches, a time when the failures of point of sale (POS) systems of large firms like Target, Neiman Marcus, and UPS all hit the headlines. The breaches forced household names like these to beef up their security, so now many theorize that cyber attackers will set their sights on smaller, weaker companies. No matter the size of your organization, it’s crucial to have a reliable and secure POS system.
It Helps Your Business Run More Efficiently
Image via Flickr by Walmart Corporate
We all remember tapping our fingers while we impatiently waited for an old credit card machine to dial into the network to authorize a transaction. A reliable POS system is certainly an improvement on those old days. It keeps your checkout queues moving quickly, which keeps customers happy and minimizes the chance that they’ll reconsider their purchases.
However, if your POS system is unreliable, it will have the opposite effect. When a POS system goes down, you could be unable to process payments for hours or even days until the problem is fixed. Just think of the impact this failure could have on your bottom line.
Many of the most reliable POS systems have a feature called redundancy, which keeps the system running if the network, server, or Internet goes down. Redundancy might allow workstations to operate independently if the network fails, or allow credit card processing through a dialup connection or virtual private network if the Wi-Fi fails.
It Keeps Customer Details Safe
The data breaches of 2014 reminded businesses of the importance of secure POS systems. We saw the fallout of large companies that had not taken due diligence in these areas. The news broke of hackers that accessed the debit and credit card information of shoppers at a number of retailers. Amongst those affected were approximately 350,000 Neiman Marcus customers. The fallout from this incident continues today.
In 2014, several of these Neiman Marcus customers lodged a class-action lawsuit for at least $5 million in damages. The court sided with the retailer, who claimed the customers had no injury, as all fraudulent charges were reimbursed by their card companies. However, the case has been appealed, with the shoppers maintaining they weren’t compensated for the time and money it took to deal with the matter.
The conclusion is that whether Neiman Marcus wins or loses, it’s never likely to win back those customers, or others who question the security of its POS system.
Reliability is of the utmost importance when it comes to mobile payments, that’s why it’s cruical to invest in secure payment solutions for your business. A dependable POS keeps your customer details safe, so shoppers feel comfortable shopping with you, and your reputation stays intact. This security is even more important for merchants who accept payments outside of a standard store environment through mobile credit card processing.
It Keeps Customers Happy
As every good business knows, the customer is always right. Customers are the backbone of any organization, and keeping them happy is always the chief concern. Investing in a reliable and secure POS system is an excellent way to do this. Reliable means a system which allows shoppers to obtain the goods they want when they want them, to avoid long lines held up waiting for payments to go through, and to own their purchases sooner. Secure means it keeps their sensitive information safe and allows them to shop with your organization with confidence.
It Bolsters Customer Loyalty
As outlined above, a reliable and secure system improves the customer experience for shoppers. When shoppers have a good experience, they’re more likely to repeat it. So adopting a secure and reliable POS system could be a great way for your business to encourage customer loyalty.
It’s worth noting that your chance of selling to an existing customer is estimated at between 60 to 70 percent, compared to just 5 to 10 percent for a new customer. It also costs six times more to attract a new customer than it does to keep an existing one.
A reliable and secure POS system doesn’t just help your business generate revenue; it’s also crucial for maintaining a good reputation and cultivating brand loyalty. For these reasons, its importance cannot be overstated.