All Restaurant Owner Facing Without Using Point Of Sale Software

challenges all restaurant owner facing without using POS Software
The article covers some critical problems or challenges that restaurant owners face without a Point of Sale software. It also describes the ways POS is helpful in eliminating those challenges and revitalizing your restaurant business.

POS (Point of Sale) System is getting highly popular among retail and restaurant business owners. It is used to simplify the transactions, track profits, cashflow, inventory, staffing, etc. However, most old-fashioned restaurants haven’t yet utilized this all-in-one tool. This ultimately slowing down their restaurant business in many ways.

Let’s take a look at some of the critical challenges that the restaurant owners face when they don’t use Point of Sale software.


critical challenges facing without using POS

1. Only Cash Payment Accepted

The present Covid-19 pandemic has promoted cashless payment in every way possible. As the lockdowns are ending and restaurants are opening, most of the customers are preferring cashless payments that include billing through credit, debit cards, and smartphones. In such cases, the POS software becomes a necessity to accept cashless payments. Thus, a restaurant without POS systems will face a tremendous loss as most of the customers will go for restaurants that facilitate cashless payments.

Additionally, cashless transactions through POS, streamline the business working and eliminate the efforts for managing and depositing cash into the bank.

2. No Tracking of Profits

In a comprehensive POS system, the data of every transaction is already saved in the POS system. The key advantage of using a Point of Sale for your restaurant is that it enables constant tracking of daily expenditure and income. Thus, with the readily-available data, you can easily track your sales and profits at any point of time. Additionally, you can understand how much cash flow is available to prepare for abrupt situations like lockdowns or curfews. 

However, without a POS system, such accurate tracking is nearly impossible and consumes a considerable amount of time while doing it manually. It will need a lot of paperwork and trigger headaches while calculating the profits.

3. Time Wasted

Think about taking out the billing book, pen, your calculator, and then writing and calculating the order while there are already 10 customers waiting for the bill. Thus, manual tasks for calculating bills, transactions, weekly profits, etc. are extremely time-consuming as compared to the tasks via POS software. POS software automates these repetitive tasks and as a result, saves time!

4. Manual Mistakes

When it comes to the manual way of doing tasks, there is a high probability of mistakes. Mistakes in billing will definitely bring customer disputes and again your time and energy would be wasted in resolving those issues. With a bad billing experience, the customer will think twice before coming to your restaurant next time.

In Covid-19 lockdowns, every business around the globe has understood the importance of retaining customers. Months of closed restaurants due to lockdowns has extremely affected the financial position of restaurant business owners. Therefore, effortless customer experience has become a key strategy to retain customers.

5. Where’s the Inventory? How Much Will I Need?

Lack of information about inventory or food stocks is another drawback of sticking to the old-fashioned way of doing business. Managing food stocks and costs are important to keep the restaurant business profitable. Stock management gets more challenging when you receive a ton of orders at a time. Thus, in such cases, many restaurant owners buy a huge amount of stock, resulting in food waste at the end of the day.

POS software enables the owner to keep an eye on inventory. It gives accurate figures for every food product’s movements and daily consumption details. These figures greatly help to reduce food wastage and make sure that enough stock is available in the kitchen.

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6. Provision of Discounts to Lure Customers

Discounts and offers are prominent methods to gain more customers, generate profits, and overcome any incurred losses. 

Without POS software, the restaurant owner doesn’t know the exact profits and losses in the business. Thus, they are always unaware of what to change and keep facing losses and lower sales.

On the other hand, if the restaurant owners utilize POS software, they can use it to store customer data, monitor the profits and losses, and accordingly offer discounts on bills. Therefore, performing these bunch of tasks simultaneously is nearly impossible with manual efforts.

7. Online Ordering

In recent years, the food industry has evolved tremendously as online food delivery platforms stepped-in. These platforms tie-up with restaurants to deliver food at the customer’s doorstep. 

As these platforms are completely online, they seek restaurants that are already using a POS tool with third-party integrations. As soon as an online food delivery platform sends a request to the Point of Sale integration, it notifies the user and a ticket gets raised for a food order.

In the online food delivery business, there is no place for offline restaurants as all the tasks demand speed and accuracy. Thus, while most of the customers are ordering food online, offline restaurants find it challenging to match up with their POS-enabled competitors.

8. Poor Staff Management

Staff management and payroll generation are extremely tedious tasks. Time-keeping tasks like worker attendance, need an automated tool like Point of Sale. In critical times like Covid-19, most of the workers have left and returned to their states. However, as the lockdowns are easing, hiring new staff and generating payrolls have become challenging tasks for restaurant owners. 

Therefore, a good POS software that does the above-mentioned tasks is definitely a plus for restaurants. Restaurant businesses don’t have to worry about staff attendance and payroll management. Additionally, few advanced features of POS will let you monitor the performance of employees and take corrective actions to keep the staff working efficiently.

As we conclude, a restaurant without a Point of Sale software onboard can face numerous challenges with daily operations. As the world is moving towards digitalization, restaurants cannot survive with the old mindset and conventional ways of doing business. They should at least upgrade with Point of Sale software to streamline their restaurant operations. Poor staff management, higher idle time, stock issues, fewer profits, etc. challenges are enough to throw a business in the veil of losses. Thus, it’s time for restaurants to upgrade with POS software and embrace the speed while making significant profits.


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