A guide to POS Integration with Website

Integrating a Point of Sale (POS) system with your website is like weaving together the physical and digital threads of your business into a seamless, vibrant tapestry. It enables your POS and online ecommerce platform to work together in perfect harmony, enhancing omnichannel retailing and improving the customer experience.

July 01, 2024
Isometric vector of POS integration technology

POS Integration with Website

This not only eliminates the chaos of overselling and stock discrepancies but also unlocks deep insights into consumer behaviours and sales trends.This blog focuses on the integration of online and offline channels, known as ecommerce POS integration - specifically websites.

What is a POS integration?

A typical eCommerce POS integration is an efficient way for businesses to link their POS hardware (e.g tablets, monitors, contactless card readers, cash registers and customer facing displays) to software such as payment processing, sales processing, real-time inventory updates and analytics.

This integration also involves the synchronization of POS and ecommerce platforms, ensuring real-time data sharing for quick decision-making in the retail environment. Additionally, it supports various sales channels, enhancing the overall retail experience.

There are various POS systems including in-store POS, cloud-based POS and mobile POS. Each is designed for different business functions.

An eCommerce POS integration enables streamlined connection that can deliver increased efficiency for both business input and output.

What is eCommerce and its importance?

In its simplest form, ecommerce is the trade of any services or goods over the internet. It usually relies on channels such as websites or social media (social commerce) to promote the services and goods for sale. An online ecommerce platform plays a crucial role in facilitating these transactions by providing a centralized system for managing sales, inventory, and customer data.

eCommerce is vast. 20.1% of retail purchases are expected to take place online in 2024 and Ecommerce sales are expected to grow 8.8% in 2024.

With the eCommerce market expected to generate $5.5 trillion by 2027, websites are clearly an essential asset for businesses who wish to tap into this lucrative opportunity.

Given these trends, it is crucial to optimize online sales channels and systems to deliver peak retail performance.

What is an eCommerce POS system?

It is the digital equivalent of a traditional POS.

Integrated within an online ecommerce platform, these systems oversee eCommerce sales using an online ‘shopping cart’ and a payment method. Ecommerce POS systems tend to be cloud-based.

Additionally, they can significantly enhance customer loyalty by providing personalized shopping experiences and rewards programs.

Why does POS integration with websites matter?

POS integration involves forging a network between an existing POS system and other business systems.

Synchronization between POS and an online ecommerce platform enables real-time data sharing, which is crucial for making quick decisions in the retail environment. Additionally, data synchronization helps maintain consistency across all platforms.

POS integration covers three main areas: integration between platforms, locations, and channels. These integrations work in harmony to allow data to be sent across networks to different locations and platforms.

Why is eCommerce POS integration with websites helpful?

POS eCommerce integration (integrating POS with an online ecommerce platform) increases the efficiency of business operations and can also improve customer satisfaction.

An integrated point of sale system handles both offline and online sales and transactions in a rapid and automated fashion.

This is especially helpful for businesses with both an online store and physical stores as POS system integration enables increased efficiency with sales data in a central hub. It eliminates the need for manual entry of customer data and also provides valuable customer insights that can drive better business decisions.

A study by Harvard Business Review shows there is 13% increase in spending in physical stores if customers have conducted prior online research through the brand’s websites.

Basically, customers who shop across multiple channels will spend more in retail stores.

These findings emphasise the need for an integrated ecommerce POS system as it reflects and supports a proven consumer behaviour. It aids in a seamless data flow and synchronisation between online and offline channels, increasing the chances of retail business success.

How POS integration with websites work

Evaluating existing POS systems and software

So where do you start?

The first step to POS integration is evaluating your existing POS system, website, and online ecommerce platform for system compatibility. Any costs or fees for integration will depend on your eCommerce solution.

Questions to consider:

●      Is the existing POS system compatible with ecommerce POS integration?

●      Does the website have an ecommerce component that can be integrated?

●      Is your existing POS provider able to meet your essential requirements?

If your existing POS system is not compatible, it might be wise to liaise with different POS providers to see what features they can each provide.

When deciding between your current POS system or taking the big step of choosing a new one, be sure to clarify and evaluate your specific needs. This is not just about what you need today. Factor in your future plans and business roadmap.

Consider the pros and cons of each option. Assess how well each system meets your requirements.

If you want to connect your POS with inventory management, accounting software, or customer management systems, you need to consider:

●      How will this integration be presented?

●      What native functionalities does the provider’s software offer?

Implementing integration tools

Once you have selected your POS system and online platform, there are a few ways to integrate your online and offline channels using integration software:

Application Programming Interfaces (APIs)

APls are a popular way to facilitate data exchange between the POS and online ecommerce platform, allowing data to be exchanged smoothly.

This is the most straightforward approach to integrating a POS and eCommerce site. Many POS systems have APIs.

Third-party integration platforms

Middleware solutions are third-party integration platforms (e.g., Zapier, TradeGecko) which can bridge the gap between disparate systems, if needed.

Achieving eCommerce POS integration offers more flexibility than switching online and offline stores to the same provider.

Switching to one provider is likley to limit your options to use third party apps. This could prevent you from implementing software that oversees specific aspects of retail management operations.

Middleware solutions act as intermediaries to stop this from happening.

Functions of an eCommerce POS integration once finished

Once complete, a POS integration project with an online ecommerce platform can make it possible to access various valuable features.

●      Sync catalogs of online and brick and mortar operations

●      Real time inventory updates through automative flow of data between systems

●      Enhanced analytics encompassing online and offline customer data

●      Rapid payment processing for online and in-person transactions

Additionally, it can boost sales conversions and customer engagement by providing a seamless shopping experience.

Infographic of POS website integration advantages

Advantages of POS integration with websites

POS integration with an online ecommerce platform not only streamlines operations but also enhances customer experience.

By automating inventory management and sales tracking, businesses can reduce errors and save time. This efficiency leads to better decision-making and improved profitability.

Additionally, POS integration supports business growth by providing valuable insights and scalability.

No need for manual data entry

When your online store is separate from your existing website, the individual syncing of different sales data and systems is a time-consuming necessity. Often this is an entered manually and costly process that creates more problems.

Staff have be trained on multiple different POS and other systems.

Customers will get frustrated by human errors made during manual data entry. Consequences can include incorrect invoices and being misinformed about available stock levels.

Integrating your point of sale (POS) systems with your online eCommerce platform means your online and offline sales channels will be automatically synchronised and all those headaches disappear.

With no more manual data entry, your people can spend their time on more productive tasks.

Real time inventory management

POS integration with an online eCommerce platform creates a direct line to the inventory in real time.

This streamlines inventory management and monitoring inventory levels which enables a range of benefits:

●      Anticipate surges and falls of product purchasing online and offline

●      Predict trends of products and services that will be popular and take necessary action

●      Avoid overselling or stock shortages to optimise holding price

●      Essential for buy online and pick up in store model (BOPIS)

Avoiding unnecessary out of stock situations will prevent damage to customer loyalty and real time inventory management means greater ability to use customer data for demand planning.

Comprehensive customer data insights

eCommerce POS integration enables access to combined sales data from both online store and offline channels to provide more accurate and comprehensive business insights.

This is turn can be used to gain a better understanding into your customers' behaviour and preferences to create targeted marketing and personalised shopping experiences.

Offer cross-channel promotions and discounts

Effective marketing strategies are a win/win for retailers and their customers. Customers enjoy getting a good deal and retailers achieve enhanced revenue.

But promotions that don’t work seamlessly across channels will have the opposite effect.

These days, customers purchase online and offline, so consistency across these platforms for promotions and discounts is vital. Integrating a point of sale (POS) system with an online ecommerce platform facilitates seamless communication of sales, inventory, and customer data, ensuring consistent promotional offers.

POS system integration software allows sales management across channels, making it seamless for consistent promotional offers.

Loyalty programmes become more streamlined and more options are made available to gain loyalty points across all channels at the same time.

More sales opportunities

Omnichannel strategies can work well for your business as it allows customers to purchase and receive their goods in multiple ways.

For example, a customer can purchase online and pick up in-store (BOPIS) or buy-instore and have items shipped.

You also integrate your POS with online marketplaces and social media platforms.

Infographic of POS website integration Disadvantages

Disadvantages of POS integration with websites

POS integration with your online eCommerce platform has many benefits, but there can be some disadvantages.

Cost

The initial set-up costs of integrating an online eCommerce platform is usually the biggest disadvantage.

It can be expensive and therefore business owners would have to weigh up the benefits against the expense.

Compatibility issues

Implementing new hardware and software components can prove difficult. Each new software has to be compatible with the existing API for integration with the online eCommerce platform, which can present technical challenges.

Data security concerns

Integrating POS with your website will involve handling sensitive customer and payment information so strong security measures are needed to prevent costly data breaches.

Training

Finally, more time is needed to train staff on the new system as they migrate away from fragmented legacy platforms to the integrated online ecommerce platform once the integration has taken place.

This can lead to adoption resistance and present challenges as staff are required to learn the new system to ensure that it works effectively.

Conclusion

Given the strong continuing growth of eCommerce as well as today’s omnichannel buying patterns of consumers, integrating a POS system with your website is becoming more of a pressing need.

It enhances efficiency and customer satisfaction by automating data flow and streamlining operations.

Real-time inventory visibility and cross-channel promotions become seamless, boosting business performance.

Despite initial costs and training requirements, the advantages of a unified POS system far outweigh the challenges. It is a critical investment for businesses aiming for growth and business success in both online and offline markets.

In summary, while POS integration with your website can significantly enhance efficiency, customer experience, and data insights, it also requires careful planning, investment, and ongoing management to address the associated challenges and risks.