If you have been accepting card payments in your business, a POS terminal is not something new for you. A POS comprises one touch screen monitor, CPU, and auto-locked cash counter, card-swiping device, and telephone line. While this traditional POS system
works well in accepting card payments but it also have some disadvantages too.
Today, you need to make business payments smarter, quicker, and convenient for your business. And for this, you need to opt for an advanced mPOS solution. mPOS is a smarter than the traditional POS. It uses your mobile phone’s data for processing transactions.
All you have to do is to download the wallet app, connect your mobile phone to this device, and start accepting payments on the go.
But why should you choose an mPOS solution for retail store over the traditional POS? What are the benefits of mPOS solution? Read this blog to find out the answer to these questions.
Point of differences between POS and mPOS
POS is a broad term referring to the entire solution but mPOS simply stands for a mobile point of sale. mPOS solutions are specially designed for tablets instead of desktop computers. They are linked to different transaction peripherals such as credit card
machines, receipt printers, or scanners. However, these are not the only points of difference between POS and mPOS, there are a few more, too:
One of the most important advantages of an mPOS wallet solution is that it accepts payments while you are on the move. No matter whether you are an online eCommerce business or a restaurant that accepts home delivery for your food, mPOS works the best for
you. However, the traditional POS systems are not so portable as you cannot shift them easily because they are heavy and full of long cables.
2. Easy Maintenance
When you are using a POS in your business, you need to train your staff on how to operate it. Along with this, you also need to take care of hardware and software maintenance and security updates. All these things are costlier and need a lot of effort.
But with the mPOS solution, you can directly start using it after the download. The device is compact, and its maintenance is absolutely zero. Also, if you buy it from a credible mPOS solution provider, you need not worry about the quality.
3. Installation cost
If you are going to integrate a conventional POS system, then it would surely cost you an enormous amount of money. Apart from this, you will also need a SIM card or a telephone connection and a card swipe machine.
On the contrary, an mPOS solution can be developed at very affordable rental plans or at a comparatively minimal price compared to a traditional card swiping device.
Security becomes an extremely important thing when it comes to payments. mPOS solutions are compliant with PCI and EMV2 industry standards that make them more secure.
Also, with real-time tracking capabilities, mPOS devices allow you to find where a transaction takes place.
5. Integration capabilities
In case of a POS solution, you have to open a bank account and set up a huge number of accessories to operate. To start with mPOS solution, you don’t need to start a new bank account. You can use your existing current or savings accounts to accept card payments.
Furthermore, you will get a real-time status of all the transactions directly on your smartphone.
The best thing about mPOS is that you can easily integrate it with your existing mobile wallet app or bill payment solution. This will remove the hassle of using multiple devices.
How mobile payments differ from POS?
mPOS accepts card payments without getting fixed at specific places unlike old-fashioned POS systems. It comprises a digital card reader paired with a smart device. On the other hand, mobile payments are the payments that are carried out through mobile wallets
downloaded on the smartphones.
Mobile payment solutions also support money transfers. PayPal, Venmo, Facebook, and other similar sources allow you to transfer money to your loved ones. But some small businesses use this technology as a type of mobile payment, too.
Contactless credit card machines built for mobile payments are highly recommended for a majority of businesses as they are more reliable and able to tie into your POS solution.
mPOS systems can efficiently facilitate fast and secure transactions than a traditional POS system. They also allow businesses to scale by providing in-depth software features and powerful analytics that can be used to improve the business,
But mobile payments require the merchant and the consumer to be using the same system. Mobile payments, therefore, make a great addition to existing POS systems but can rarely stand alone the way mPOS systems can.
I hope this blog has cleared you with the difference between mPOS, POS and mobile payments. Now it's up to you to figure out which is best for you among these three. Thanks for reading this blog.
Nikunj Gundaniya, Product manager Digipay.guru, one of the leading
mobile point of sale solutions providers USA, which provides mobile finance application development services. He is a visionary leader whose flamboyant management style has given profitable results for the company. He believes in the mantra of giving 100%
to his work.