Monthly Archives: September 2016

Five Reasons Why Your Business Should Invest In a Good POS System

pos

In this digital era, businesses must not overlook the importance of investing in a point of sale (POS) Systems. It will bring about significant benefits for your employees, customers, and your business operations

Eliminate Human Errors

One can be really good at maths, very meticulous, and excellent when it comes to handling cash-registers. But imagine this, after spending hours working, we will eventually get tired and errors are inevitable then! Although one mistake might not cost your business a lot of money, recurring errors could potentially cost you hundreds (or even worse, thousands!). Installing POS Systems can help remove these errors, as the system ensures that all information is entered accurately. Allowing your cashier to scan an item will be much more accurate than putting in numbers manually into the register or expecting them to recall how much each item costs.

Provides You with Sophisticated Sales Reports

POS Systems allow businesses to download sophisticated and detailed sales reports, something that a cash register does not provide. Through the system, you can analyse sales with different metrics such as item sold, promotions, time, by store (if you own more than one outlet), or by retail assistant. . You can also find out which item is your best/worst selling one, and this will help you evaluate your product mix for future planning!

Helps with Inventory Management

POS Systems also help with integrating your inventory system. They do this by updating the inventory when products are purchased, giving you a real-time inventory snapshot. As a result, you can figure out which item you should order, how much you should order, and when to order them. Lastly, the system also allows you to set-up automatic reorders when your stock is low!

Helps You Save Hours, or Even Days of Work!

It’s fast and efficient. You can monitor almost every aspect of your business performance with the system — from stock levels, to sales per day, to employee performance and commission, and to your best and most valuable customers. It gives you a snapshot of every penny that comes in and out of your business. Imagine how long you would have to spend to obtain all these reports manually!

More Convenient for Customers

We’ve all heard the saying good service is good business. The better the service we provide, the more satisfied our customers will be. POS Systems remove the hassle for customers. They simply need to swipe or tap their card to pay — and voila! The check-out procedure will take less than 30 seconds! More importantly, the systems come in handy if your customers do not like to hold too much cash in their hands.

Three Major Challenges Facing the Restaurant Industry Today

We tend to think that entering the restaurant industry is not too difficult. Yes, it has low barriers to entry. BUT, entering the industry does not guarantee success. In fact, it puts you facing more risks since new challenges keep on coming up. These challenges, however, are not impossible to face. With the right strategies and responses, you should be able to turn these challenges into opportunities.

Labor

Local and international chef shortage is beginning to bite in Australia’s biggest cities. International chef shortage is especially acute in Melbourne where most restaurants will not be able to survive without 457 and working holiday visas. Adding to that, there have not been many new, young, and excited local chefs entering the industry. Perth restaurateur Scott Taylor has been criticised in saying that young Australian applicants are reluctant to go through long and tedious chef training. . Yet they strive to leapfrog and work at big, famous restaurants (or open their own restaurants!)

Competition

The restaurant industry has become everybody’s business. Owing to its low barriers to entry, the industry is not selective in terms of who can enter. You don’t need preliminary restaurant experience or a specific educational background.   This drastically increases the number of entrants, which makes the industry clustered and highly competitive. To make sure your restaurant stands out from the crowd, make sure you have a unique selling point that allows customers to differentiate your restaurant from others. It’s time to go beyond offering unique menu and excellent customer service! You need to start thinking about an identity that creates a unique emotional connection with your customers.

Capital

A challenge that restaurant owners will always run into is capital, and the difficulty in obtaining and retaining them. The start-up capital that you need to open and run a new restaurant should not be underestimated. New restaurant owners need to take into account the cost of leasing a building, buying or leasing new kitchen equipment and the restaurant’s interiors, hiring staff, as well as managing day-to-day operations. Adding to those payments, restaurants usually do not break-even until several months or even years! It means that most new restaurants do not turn a good profit until then. That is why, good financial planning is key. Make sure you are familiar with your financing options, and educate yourself with the pros and cons of choosing a particular financier. More importantly, be strategic in coping with unexpected costs and recessions!

There are more challenges facing the restaurant industry than those mentioned above. However, keep in mind that nothing comes without a challenge. It is not always going to flow smoothly, but once you get a hang of it, having and running your own restaurant might well be the best decision you have ever made!