Accepting e-payment methods is essential for any retailer. The decision of implementing these payments merchants can highly influence consumers’ desires. However, how retailers could both receive credit cards and mobile payment?
Consumer habits around the world are constantly changing and e-payment of all kinds have started to take over cash as the primary payment method for transactions. Therefore, selecting a point-of-sale (POS) system that allows a variety of payment methods is essential.
As a retailer, you may ask - what is a POS system? How can a smart POS terminal drive your business? How do you select a suitable one? And how do you apply for it? Read our article to end toarticle to find out.
POS system
A point-of-sale (POS) system captures and identifies the details of customers’ credit cards and e-wallets using a card reader or scanner (POS terminal, also known as a credit card machine), thus, providing an integrated payment service for the merchant. Upon deciding to have an integrated POS system, the retailers will be able to offer various payment methods at the convenience of their customers, for example, credit cards or e-wallets (such as PayNow and WeChat Pay). All in all, the POS system enhances customer experience and transaction convenience.
Retailers may find two types of POS terminals: the traditional ones which are usually connected to a telephone cable; or smart POS terminals, a more popular option these days, which connect to data network via Wi-Fi or SIM card. In fact, their differences are more than just the connection method.
Smart POS terminals support NFC and QR code payments
Smart POS terminal covers all payment methods that traditional POS terminals offer, which are physical credit cards, Apple Pay and Google Play at most. Additionally, Smart POS terminals also accept contactless NFC and QR code payments, which are not supported by traditional POS terminals. Flexible and convenient, merchants can process transactions and customers can complete the purchase more efficiently by just scanning the wallet QR code (e.g. PayNow, WeChat Pay and UnionPay App) via a Smart POS terminal, thereby enhancing the overall checkout experience for them.
On the other hand, a smart POS terminal provides greater flexibility by providing a true portal and mobile experience. Supporting data SIM card and Wi-Fi connection with mobile friendliness and a built-in USB charger, a smart POS terminal is suitable for businesses like restaurants, retail stores, exhibition sales and pop-up stores.
Run your business safe with a Smart POS terminal
After the COVID-19 pandemic, public awareness of personal hygiene has significantly increased. Due to the ongoing COVID-19 endemic, public awareness of hygiene has significantly increased. Consumers tend to pay with e-payment methods, minimising physical contact with cash, which evidently carries bacteria and germs. E-payments allow customers to shop without worries, providing healthy and safety procedures to staff and thus reducing the chances of bacterial spread. At the same time, the widespread use of smartphones further popularised digital wallets for payments, such as Apple Pay, Google Pay and Samsung Pay.
In addition, merchants can avoid collecting counterfeit money and errors through e-payment methods instead; reducing the manpower for finance verification and depositing at the bank. Merchants can focus on developing their business and boosting the operational efficiency of a business.
How to choose a POS terminal
E-payment methods create many business opportunities for merchants. However, choosing an unsuitable service provider can lead to an outcome that is opposite to what you anticipated, leaving your customers dissatisfied and causing your sales to drop. If you are in preparation to open a shop in Singapore and is currently upgrading your cashier equipment, note the following points to determine the best Singapore point of sale system for your business:
The features of a POS system: Cards and QR code payments are the most popular payment methods in Singapore. If the POS terminal only accepts payments tap card, insert card, and swipe card, then it is outdated. Most of the smart POS terminals now have QR code scanning functions,allowing customers to pick out their preferred payment method, enhancing the overall shopping experience.
Security: Your choice of POS terminal should be secure, reliable and fully-certified to protect your business and customers by safeguarding cardholder and transaction data, benchmarking the industry’s highest standards.
Merchant Fees for Terminal Machine: The handling fees or Merchant Discount Rate (MDR) is usually estimated to be between 3% to 5% per transaction. The merchants' industry are often categorised with Merchant Category Code (MCC) which will ultimately affect the MDR. Apart from that, some of the service providers will charge merchants registration fees, account set up fees and monthly subscription fees. When determining a suitable e-payment service provider, merchants should remember to take the terminal fees and handling fees into account as well. Pay attention to any possible hidden charges.
Merchant Support: Having a merchant portal is fundamental to a merchant as it can reduce administrative time; making it easier for business owners to manage its operations.
Although most of the POS terminals have user-friendly interfaces, it is important to ensure that the providers include local support. When faced with failed transactions, transaction reversals or errors, it is imperative that the service provider be able to offer solutions and immediate assistance.
Payment Period: The settlement period of a payment platform ranges from 7 to 14 days, but the actual length can vary due to the nature of the business. When a settlement period is too long, the cash flow of a business will possibly be affected.Therefore, selecting a provider that offers a shorter settlement period ensures minimal impact to the cash flow.
Real-time Reporting: Nowadays, most e-payment service providers offer value-added services to merchants such as real-time data reporting. Merchants can manage and review transaction records, sales reports, sales analysis and market insights via a merchant reporting portal, aiding them in strategy formulation.
Some of the e-payment service providers offer an all-in-one merchant operations management platform to their clients, integrating the complex operational data of the business for more efficient and convenient strategy implementation.
Even though there are multiple payment methods in the market, merchants are not required to apply for the POS terminal through each of the payment channels. All the retailers need to do is to apply for a one-stop POS solution through a payment service provider such as KPay, which supports 11 payment channels, and multiple mobile wallets, specifically Apple Pay, Google Pay and Samsung Pay, perfect for streamlining the contract process.
Besides, KPay POS solution offers a high level of price transparency and does not require a rental fee or installation fee. With KPay, the settlement amount will quickly arrive in your bank account within a timeframe of 3 business days, ensuring smooth cash flow.
What’s more, KPay has an all-rounded support service for the merchants, including POS tutorial, complimentary maintenance and repair, and merchant reporting portal, helping businesses expand and secure customers, increasing market competitiveness.
Apply for KPay Smart POS Terminal
The application procedure for Singaporean retailers is easier than you thought. As long as you are a registered merchant in Singapore, you can apply with the below documents for registration:
