The first business transactions formed what is known as the barter system. In this system, one good was exchanged for another. When money was invented, we could place a more accurate value on products and services. Presently, everything can be bought for a certain amount of money. You just pay the amount at a shop’s cash register and then take the purchased item with you. A point of sale terminal is the new term used to refer to a cash register.
As the name suggests, this system is used for managing transactions at the point of sales. This refers to the time and place at which a transaction takes place. The first POS system, comprising of the cash register, was invented by James Ritty in 1879. His employees were embezzling money from his business, which led him to invent a machine that would keep track of the transactions taking place in his shop. Thus, the retail Pos system came into being.
James Ritty sold his brilliant invention to Jacob Eckhert of the National Manufacturing Company. Later, the NMC changed its name to National Cash Register. The manually operated cash register got an update. The newer version had bells added to it, along with the option of producing a receipt. In 1906, the cash register went electronic. After that, great developments were made and the retail Pos system rapidly popularity.
The more modern, computerized version was first developed in the 1970s. The latest technologies were integrated into the traditional POS system. The POS system made inventory management very easy for retail store owners. Within the next 20 years or so, more upgrades were made. Credit card readers and barcode scanners started being used commonly, so POS systems were upgraded again. Some POS systems even integrated entire computer systems into them.
In more recent years, the POS system has gone mobile. With cloud computing, entire stores can be run online. Online systems have made lives infinitely easier for both retailers and customers. The iPad POS is now widely used by many sellers. It lowers costs for them and is also portable. In using the POS, restaurant owners are also not far behind. The restaurant servers can now let customers pay bills electronically, reducing waiting time. Similarly, the POS has now taken over all kinds of businesses selling a variety of goods and services.
The modern-day POS system is not just a cash register. It is capable of managing the entire inventory management system as well. The stock is automatically updated in the database after every transaction, reducing cost by a wide margin for business owners. Hence, the POS is truly a blessing.