Cut costs by spending more

What we are talking about here is a way to help you cut costs, control labor and enable your employees to be more consistent with pricing. POS systems have evolved to the point of becoming more than just a glorified cash drawer in your business. A good POS system is a partner and 24/7 manager in your store.

With the current state of the economy, you need to make sure that you have the ability to be as sharp as your competitors. Let's face it--you spent a large sum of money as well as time, sweat and sometimes tears opening your location. Why would you trust this investment at a time like this with a $300 cash register?

Today's POS systems have evolved to the point of being able to specifically help the specialty coffee owner take their store to the next level. The question that every specialty coffee shop owner needs to ask is not "why a POS system?" but "which one and how can I best implement it?"

Your first criteria in this search should be to find out if the POS company has a history in the specialty, coffee industry. Do they advertise in trade magazines, attend the specialty coffee shows and have relationships with roasters and national sales? If so, then you can start evaluating on quality, ease of use and features.

When looking for established and reputable companies that fulfill these standards, there are only a few: SelbySoft's SP-1 for Coffee and Coffee Shop Manager, at the middle price range for the full line of needed cost control/easy to use features.

Other well recognized POS system companies include Micros and Radient/Aloha. These systems are considered at the top of the game in the restaurant industry and in recent years have earned a great reputation with larger specialty coffee chains requiring their sophistication. Often they are used in cafes that are primarily food oriented as well as serving large specialty coffee chains. Pricing on these systems are usually at the upper end of the market.

Other systems that have started to cater to the specialty coffee industry are Focus/A.R.T. and Vital Link. These software companies have started to see the value of catering to the specialty coffee market.

Speed of Service and Training Time

How can a POS system make your location more efficient and save you time? improve your speed of service by choosing a POS system that will allow you to set pricing that your employees have to follow. This allows your employees more time for customer interaction.

Maximize the time your employees are working for you and not in training on a cash register. Products like SelbySoft's SP-1 and Coffee Shop Manager use an interface with easy to understand pictures that allow employees to start taking orders their first day on the job. This allows you to spend more time training your employees on how to present the customer with the best product possible. You cannot overemphasize the importance of an easy to use interface.

Mistakes are virtually eliminated, as employees are required to enter the order at the customer requests.

Up charges actually get collected because the POS system can force the employee to ask the proper questions and then force them to charge for the additional items.

Gift and Loyalty Cards

One of the most exciting benefits of a POS system is the ability to utilize your gift, prepaid and loyalty cards to the fullest extent.

Using a gift and prepaid card is one of the best ways to utilize a POS system. In today's systems, these gift cards have no fees per swipe or monthly charges. SelbySoft, Coffee Shop Manager, Vital Link and Focus/A.R.T. all can meet these requirements.

The best gift cards work as a loyalty card as well. This helps eliminate employee punching for friends as well as giving the specialty coffee shop owner the ability to better track how the promotion is working.

Customer tracking is another benefit of the system. With the right POS system, you can assign email or mailing information to the card. This allows you to track lazy customers and use your POS system to help market to your existing customers.

All of the systems in this article are designed to help you, the specialty coffee retailer, aggressively control costs during and after this economic turmoil. Now more than ever before it is critical to have a POS system that accurately tracks what is and is not happening at even a single location. Comprehensive reporting and historical tracking are required in making educated decisions.

One of the latest features to hit the market is the concept of dashboard technology. This allows you to instantly see a snapshot of your sales, labor and cost of goods sold. Utilizing this feature can give you and your managers the ability to make snap decisions based on real time information. Most POS companies can provide this type of real time reporting so you have an accurate picture of what is happening in a text or even graphical format.

Another of the serious considerations in choosing a POS system is how it can better track and eliminate theft. This is a topic that most retailers find uncomfortable to talk about because no one wants to believe that their employees would steal. Every retailer knows in that they have some level of theft however. So, how can a POS help?

How many times are free drinks given away? With the proper POS system, your employees won't have the opportunity to give away a drink without it being tracked.

Is your manager skimming from the top? The best POS systems have full audit controls to let you know anytime a ticket is voided. All of the systems in this article handle this reporting a little differently. Some, like SelbySoft, allow you to see anytime a ticket has been altered or reduced.

According to industry research, time theft accounts for almost 25% of all employee theft. Making sure that you can eliminate "buddy punching" and time theft should be one of the most important considerations.

To really take your business to the next level, you need to watch your cost of goods sold. Let's face it; the only two things you can attempt to control in your business are labor and costs. Having a POS that is a partner in your business by helping you watch the bottom line is crucial. What if you were able to press a button and instantly see where your labor percent and food & beverage percent were? Wouldn't that let you run more efficiently?

The items covered here are just the tip of the iceberg when deciding to implement a POS system. SelbySoft suggests that the most important thing you can do in making a choice is to spend as much time in live demonstrations as possible. The heart of your POS system is the software you choose. Visit the companies in this article on the web as well as spend some time with their sales staff. Each of the companies will know how their software will best help your particular store and situation.

Remember, if you are not using a cutting edge POS, your competition probably is relying on it everyday to drive profits.