Advantages of a mobile point of sale system (mPOS)

What is a Mobile Point Of Sale System (MPOS)?

A mobile point of sale or mPOS system allows businesses to accept payments using a mobile device rather than a traditional credit card terminal or cash register. An mPOS generally involves a smartphone or tablet that has been equipped with a card reader attachment. 

This allows businesses to accept payments from virtually anywhere with just their smartphones. In addition to handling transactions, these systems deliver a variety of valuable services, such as Inventory tracking, sales metrics, and security features.

How Do MPOS Systems Work?

Accepting payments is now easier than ever, thanks to mobile point-of-sale (mPOS) technology. 

When a customer is ready to check out, the merchant opens their mPOS app and swipes their card through the attached reader. Card details are instantly encrypted and sent to the payment processor for authorisation. 

Customers then verify the transaction with their signature or PIN. Once complete, merchants can instantly email customers, a digital receipt from their mobile. mPOS does this entire payment process from anywhere, allowing merchants to check out customers quickly.

Advantages Of MPOS:

1. Increased mobility:

One of the biggest advantages of mPOS is the mobility it provides. Merchants can accept payments from any location rather than being tied to a fixed terminal. This allows for things like remote pickup & delivery and temporary pop-up shops to easily accept payments.

2. Lower upfront costs:

Traditional cards and cash registers require large upfront investments that some small businesses can’t afford. An mPOS system has a much lower barrier to entry, often costing just a few thousand rupees for the smartphone/tablet, card reader, and monthly service fees. This makes mPOS more accessible for solopreneurs and microbusinesses.

3. Easy acceptance of different payment methods:

Many mPOS providers allow merchants to accept mobile wallets, P2P payments, and other alternative payment types in addition to major credit and debit cards. This gives businesses a competitive advantage by allowing customers to use their preferred payment methods.

4. Real-time reporting and analytics:

Most mPOS apps provide real-time sales data, inventory management, and reporting features. Merchants have access to tools that give them insights into things like top selling items, times of day that are busiest, payment method breakdowns, and more – right from their phones.

5. Inventory management:

Many mPOS solutions integrate with inventory management features that allow merchants to easily track product quantities in stock. Items can be added to an online catalog and their stock levels adjusted in real-time as sales are processed. 

6. Customer relationship management (CRM):

Advanced mPOS platforms offer CRM functionality that allows merchants to capture customer details during transactions. Features then allow effective customer communication via targeted marketing campaigns, loyalty programs, automated receipts, and more. This drives repeat business.

7. Omnichannel capabilities:

Leading mPOS providers enable merchants to seamlessly sync online and physical store sales. This allows things like buy online, and continuity of shopping experiences across channels. Customers have a consistent brand experience, no matter how they choose to shop.

8. Easy-to-use interface:

Most mPOS apps are designed with intuitive interfaces that require little training. Features are accessible with just a few taps on a touchscreen. This makes mPOS a good option for small businesses. The interface is also customisable based on individual merchant needs.

9. Scalability:

As a business grows, an mPOS system can scale along with it. Additional mobile devices and card readers can be added as needed. Larger merchants may transit fully integrated POS systems, but the initial investment in mPOS remains low risk.

10. Eco friendly receipts:

Digital receipts sent directly to customer’s emails eliminate the need for paper. This has environmental benefits and allows merchants to include additional marketing messages or loyalty program signups on receipts. Customers also have a digital record of purchases for returns or expense tracking.

11. Geo-targeting capabilities:

Location data captured by mPOS solutions enables powerful geo-targeting features. Businesses can create promotions that are activated when customers enter a specific radius around a specific location. This improves foot traffic and walk-in conversion rates.

12. Improved Security:

MPOS devices use advanced encryption to securely transmit payment and customer data. The data is encrypted both during transmission from the device to the payment processor as well as when stored on the device. This helps prevent theft or hacking of sensitive financial information.

13. Integrations with third-party apps:

mPOS providers offer robust APIs and integration capabilities. This allows merchants to easily connect their point of sale with other software like accounting, inventory, delivery, and specialised industry apps.

14. Shorter checkout and return lines:

According to Qminder, 75% of customers wouldn’t wait longer than 5 minutes in a queue, meaning slow service equals slow sales. However, mPOS allows merchants to take payments anywhere, helping shorten checkout and return lines. This helps customers during peak periods.

15. Multi-User Role Management

Advanced mPOS systems allow role based access,  cashiers, supervisors, and managers can each have specific permissions. This ensures better accountability, transparency, and control over daily operations.

How NTT DATA Payment Services India Supports MPOS

NTT DATA Payment Services India offers a complete payment solution to advance both your offline and online businesses. From online payment gateway and mPOS to IVR payments and Bharat QR Scan and Pay, we ensure convenience and safety for all your payments.

Our full-featured mPOS solution delivers the key advantages outlined above, ensuring fast and secure card processing through our partnerships with major payment networks. Merchants benefit from our simple and transparent pricing, as well as integration-ready APIs. 

Conclusion

mPOS systems provide a comprehensive and cost-effective solution for businesses of all sizes to accept payments anytime, anywhere. Beyond just payments, mPOS platforms offer valuable insights into operations through reporting and analytics tools. 

When partnered with NTT DATA Payment Services India, mPOS simplifies core business functions on a single integrated platform. Its advantages in flexibility, scalability and customer experience make it the payment acceptance solution of choice.

FAQs

1. What is an MPOS system?

An mPOS, or mobile point of sale, system allows businesses to accept payments using a mobile device like a smartphone or tablet equipped with a card reader instead of a traditional credit card terminal.

2. What are the main advantages of MPOS?

Key benefits include increased mobility, lower upfront costs, acceptance of multiple payment methods, real-time reporting, inventory management, customer relationship tools, and scalability.

3. Is MPOS easy to use?

Yes, most mPOS apps have intuitive interfaces that require little training. Features are accessible with just a few taps on a touchscreen, making them suitable for small businesses.

4. Can an MPOS integrate with other apps?

Yes, mPOS systems offer APIs and integration capabilities allowing merchants to easily connect their pos with other software like accounting, inventory and other apps

5. Is MPOS secure for accepting payments?

Yes, mPOS devices use advanced encryption both during the transmission and storage of payment and customer data. This helps prevent hacking or theft of sensitive financial information.