A POS system usually costs between $3,000 and $10,000. The specific POS cost, however, may vary depending on the POS gear, software, and amount of customization you select.

For instance, open source POS systems are compatible with the majority of the market’s top devices, unlike other POS software that can only be used with their brand’s exclusive devices. The cost of processing credit cards varies as well, particularly for small merchants.

There is no one solution that applies to everyone since, as you can see, a number of factors may affect how much a POS system costs. A Consumer Research poll revealed that 20% of consumers find this to occur rather frequently, and that 45% of customers find it quite painful to wait in the checkout line. A user-friendly POS system will therefore ensure smoother daily operations, improving client retention and lowering maintenance costs.

POS Pricing Specifications

Hardware and software costs make up the two primary components of the cost of a point-of-sale system. Credit card processing is also a factor in the POS system’s cost, though. As a result, you may choose a few POS systems that are appropriate for you to start with.

The POS rates and transaction fees should then be compared, including monthly fees and PCI compliance costs. The work is definitely worth it because a few percent off can ultimately save you thousands of dollars. Adding new features and integrations might also change the pricing. As a result, we’ll outline those core elements in the manner that follows.

The cost of POS software

The cost of POS software varies based on the kind of POS and ranges from $10 to $250 per month. POS software may be divided into three categories:

  • Cloud-based POS software (follows the SaaS model).
  • Legacy or on-premise POS systems (hosted on a local server or on premise)
  • Hybrid POS (blends on-premises and cloud-based configurations)

On-premises POS systems usually offer lower point of sale fees in the long term, while having greater initial hardware and installation expenses. In light of this, on-premises POS is appropriate for retail, whereas cloud-based POS is more popular among restaurant operators.

The cost of POS hardware

The hardware POS systems cost between $20 and $2,000 per unit. For the most part, POS hardware is the equipment you use to manage orders and process payments for clients. The following POS system gadgets are normally needed by most firms to receive payments:

  • Card reader
  • Tablet stand
  • Barcode scanner
  • Receipt printer
  • Cash drawer and till
  • Touchscreen
  • A digital menu board
  • Kiosk

However, some shops and eateries favor accepting money right there, at the register or table. This criterion gives you the option of having certain specific hardware, such as portable card readers. Others, in contrast, need several kinds of POS hardware and use them at various retail locations.

Additional POS system costs to consider

POS systems are associated with a number of extra point-of-sale expenses in addition to the cost of POS software and hardware, such as:

  • The cost of each debit or credit card transaction is often calculated as a percentage of the customer’s purchase price plus a few cents.
  • Customer accounts: Certain employee accounts may only be used for specific plans according to some POS software. Additional money is necessary if you need several logins for more staff.
  • The number of locations: Similar to user accounts, buying extra hardware, such as extra cash registers or card readers, for more locations can increase your costs.
  • Modern POS systems provide other functionalities in addition to accepting payments. It’s often not free to use other tools like inventory management, loyalty programs, and sales reporting. For additional extra features, you’ll have to spend more.
  • Integration of eCommerce: If you run a brick-and-mortar and an online business, you’ll need to synchronize sales data across the two channels. You’ll want to know how much your POS pricing adds to the expense of maintaining a Magento website if your eCommerce platform is Magento, which we’ll assume it is.