The uncertainty that comes from making any new business expenditure in an unpredictable market environment is enough to stop any manager in their tracks. If you’re unsure, then not acting at all can be the outcome. It’s easy for added expenses to pop up when running a bar, even without the constant oversight needed for employees, portion control, and liquid stocks. Having a bar POS system will also involve a service and equipment expense and you may be asking yourself, is it worth it?
Unless you’re running an all-cash bar, you’re going to take on costs to complete your sales, from the discount rate applied to credit card transactions to printer paper. Bar POS costs vs. the benefits of operating your business in terms of dollars gained is a figure that owners must review as they seek new cost-effective ways to increase revenue. You can begin to think about POS systems in terms of business planning when you have a modern POS solution in place for your bar.
Improved Food and Beverage Bost Management
The benefits of a more robust POS system manifest immediately in terms of analytical reports on food and beverage costs. You will need to begin by entering in all food and beverage costs associated with delivering bar service, including:
- Non-alcoholic beverages
- Beer and Wine
- Dry Goods
- Food and produce
Once you fully integrate your cloud-based POS system into your business model, you can begin setting up individual reports to compare the cost per serving to sell that menu or drink item. Trying to do these calculations on your own to figure out the margins and the number of sales of each menu item can be time-consuming and unreliable. With a dynamic cloud-based POS system, you can discover wastages more quickly and save more money long-term as you streamline your inventory. You will also be able to simplify and improve the management process when you have access to more detailed information about the volume of sales coming in at your store.
Easier Sales Reconciliation with Bar POS
As a manager, you also can set-up automated reports that show the numbers of voids, split tabs, and sales per shift and average dollars per shift. This allows you to set real, attainable goals for your company and staff based on live data reporting. You can better reconcile your cash drawer, credit card payments, gift cards, and even manage in-store credits for your customers under their ID. You will no longer need to spend as much time reviewing receipts because more information about what you need can be accessed through your secure POS systems.
Incentives Programs Outweigh Bar POS Costs
Empower your employees for more self-management with sales reports you create and assign for your servers to run and review. When your employees always know how well they’re performing or where they’re falling short, you’ll have fewer surprises during review time, and they can have a clearer understanding of how they can better shape their own performance goals.
Ever deal with employees who think you’re playing favorites? Number don’t lie. Create incentives and promotions opportunities based on facts and figures—this will mean less guesswork for you when making those tough decisions, as well as greater transparency for employees about your decisions, which can greatly improve team morale.
Customers love being rewarded, too. How can you, as a bar owner, give something of value back to your patrons without an increase in costs? Have POS software in place that can crunch data that loads into easy-to-use reports that you can review day or night and when you’re remote. You will come up with creative solutions to rewarding customers more quickly when you can calculate any increases in operations (food or beverage) costs to the penny.
POS Systems Cost Structures
Bar POS systems cost anywhere from $30 per month to over $200, depending on the service provider, the number of POS devices, types of equipment in use, selected features, and locations. One important thing to note is that costs should decrease with each additional device added to the POS network. You also should not need to make any large upfront payments of thousands of dollars to get new equipment, software, and service. Here’s an example of reasonable cloud-based POS solutions provider pricing:
|STORE TYPE||PLAN||BASE PRICE||ADDITIONAL DEVICE||ESTIMATED TOTAL|
|Café and Small Retail||Starter||$29||$29||$49|
|QSR and Fast Casual||Standard||$69||$29||$89|
|Bar and Restaurant||Premium||$99||$29||$128|
Technical Expertise of POS Systems
Several large companies make boxed software that you can go pick out from a shelf or have delivered. Instead of trying to implement your new bar POS solo, choose the technical expertise of a POS systems consultant who knows the bar business, and who knows how to craft the technology specifically to your business needs. Real solutions involve putting together a combination of services, support, software, and equipment to better connect you to your business and your employees to each other when fast, accurate communication becomes critical. Stay ahead of your competitors and crowds of customers when your POS not only pays for itself but increases in value to your business over time. Choose talech.
When you partner with talech for your bar and restaurant technology needs, we devote our time to identifying your business challenges. We use this information to work with you to assess bar POS costs vs benefits and find the best solution for your unique business. Reach out to us today to sign up for a demo and to learn more about how talech can be your valued POS partner.