21 Point-of-Sale Statistics To Know
This article is part of a larger series on POS Systems.
The point-of-sale (POS) system is a business command center for retail merchants worldwide. Modern POS technology allows retailers to do so much more than simply process payments and transactions. Some of the benefits of a POS include the ability to track inventory, build customer loyalty, sell online, and even operate in person when you’re offline.
Let’s take a look at 21 point-of-sale statistics that can help you understand the trends and drive the growth of your business.
Current State of the POS Market
1. The global POS software market will generate $20.13 billion in 2022
The global POS software market is expected to generate an estimated $20.13 billion in 2022 alone and is forecast to grow significantly over the next few years, hitting $42.49 billion by 2027.
2. The market size for POS terminals in North America is just over $23 billion
The North American POS terminals market was worth $23.3 billion in 2021, according to Grand View Research. It is expected to expand at a compound annual growth rate (CAGR) of 6.6% through 2030.
3. Only about a fifth of POS systems are less than 2 years old
Only 19% of retailers are using POS software they’ve adopted within the past two years. And with POS hardware, it is only 11%. More than half of POS software and about 40% of POS hardware are more than 5 years old.
4. Most POS software and hardware will be replaced within three years
As the graphic above shows, about 55% of retailers plan to replace their POS software within three years (30% within one year). That three-year number jumps to nearly 60% for POS hardware (22% within one year). When it comes to mPOS, half of merchants that have mPOS plan to replace it within three years.
5. Retailers want five key things in a POS: connectivity, mobility, accessibility, intuitiveness, and an offline mode
According to one survey, there are five key features retailers look for when choosing a new modern POS system:
- “Connected to website, service, and marketing data and functionality”
- “Mobile for store associates to engage and transact with shoppers throughout the store”
- “Access to a single view of customer, product, inventory, price, promotion, and order data through a mobile app”
- “Easy and intuitive interface for store associates”
- “Offline mode in case connectivity is lost”
6. Order management system (OMS) integration is a priority for two-thirds of retailers
OMS is high on the list of considerations when it comes to POS, especially as more businesses transact digitally. It is the top priority of 67% of retailers, as it simplifies inventory and order and fulfillment tasks across channels. Closely related, omnichannel capabilities was the second-most selected priority (52%).
Other priorities include upgrading or replacing their existing POS (52%) and mPOS capabilities (33%).
Mobile POS Statistics
7. mPOS transaction value will hit $2.88 trillion in 2022
Forecasts say the total transaction value for the mPOS payments segment will reach $2.88 trillion in 2022. This is projected to grow at a 15% CAGR, reaching $5.14 trillion by 2026. The number of people who use mPOS payments is also expected to grow, amounting to a projected 1.8 billion users by 2026.
Tip: If you’re interested in implementing mPOS technology for your business, check out our roundup of the best mobile POS applications to make this transition easy for both associates and shoppers.
8. The average mobile transaction value is expected to increase 60% by 2026
In 2021, the average mobile transaction value in the US was just under $8,000. That is expected to hit $12,700 by 2026, a jump of about 60%.
9. 22% of retailers have implemented a unified commerce platform (store, mobile, web)
Most retailers have or plan to implement a common commerce platform for their store, mobile, and web sales. Just over 20% have already implemented this, with about half of them saying it is working well and the other saying some improvement is needed. More than half of retailers plan to implement a unified platform within three years.
Retail POS Statistics
10. Digital and mobile wallet payments made up nearly 30% of global POS payments in 2021
This figure is expected to hit nearly 40% by 2025. Other leading payment types in 2021 included credit card (24%), debit card (23%), and cash (18%). However, cash is forecast to fall to just 10% in 2025.
11. 44% of retailers use or plan to use self-checkout
Many retailers indicate interest in putting the checkout process into customers’ hands. Nearly 45% have or plan to use a self-checkout option, and one-third are considering self-service kiosks for customer returns. Just over a quarter of merchants have or will implement dedicated kiosks for buy online, pick up in store (BOPIS) transactions.
12. 56.5% of retailers use POS analytics for loss prevention
Retail loss prevention is an ever-present business priority, and many merchants are leveraging POS systems to help in the fight against missing assets. More than 55% of retailers have deployed POS analytics as a loss prevention tactic.
13. POS data mining is the top loss prevention system for 73% of retailers
In 2020, nearly three-quarters of retailers implemented a form of POS data mining to aid in loss prevention. Modern POS technologies have tons of data and information you can use to identify inventory shrink, flag suspected theft, and notify you of discrepancies.
Check out these additional resources to help you with loss prevention:
- Tips for Retail Theft Prevention
- Inventory Shrinkage Guide for Small Businesses (+ Calculator)
- Employee Theft Guide for Small Business: What It Is & How to Prevent It
Restaurant POS Statistics
14. Installing a new POS is a priority for 32% of restaurants
Nearly a third of restaurant operators plan to prioritize implementing a new POS system from a new vendor in 2022. Many of these businesses are looking for platforms with more advanced and flexible features, including mobility.
15. 35% of restaurants say mPOS is a priority for 2022
More than a third of restaurant businesses are planning to make mPOS implementation a priority for 2022. mPOS in restaurants allow for tableside service and payments. It’s also a great tool for food trucks, selling at markets, and other on-the-go casual eateries.
Related: Best Food Truck POS Systems
16. 64% of restaurants want to introduce new payment options
The ability to accept new payment types like digital wallets and contactless pay is a top driver for POS adoption among restaurants. Nearly two-thirds are looking to upgrade their POS with the main motivator being exactly that—the ability to accommodate various payment preferences.
17. 46% of restaurants want to upgrade their POS for better omnichannel integrations
As more restaurants embrace being omnichannel, they’re also looking for tools that can do the same. As such, nearly half of restaurants are motivated to upgrade their POS due to the need for “tight integration” in order to successfully execute omnichannel shopping experiences.
18. Half of restaurants want a new POS so they can add new functionalities
New “functionality/features/modules” is the top goal for restaurants planning to purchase new POS systems in 2022. Other plans include mPOS (35%), moving to a new POS vendor (32%), test for the future (21%), and expand the installation base of their existing platform (15%).
Among the functionalities restaurants are seeking, integration with other systems is top priority at nearly 70%. Other top functionalities include ordering/payment (54%), cloud-based functionality (51%), and loyalty tools (49%).
19. 86% of restaurants use POS data for loyalty programs, upselling, and discounts
An overwhelming majority of restaurants are taking advantage of the data from POS systems. As many as 86% of businesses use POS data to inform and improve customer loyalty programs, upselling strategies to boost average order value (AOV), and discounts and promotions that drive sales. They’re also putting this data to other uses, including staff scheduling and management (71%), menu optimization (64%), and inventory optimization to reduce waste (64%).
Cloud POS statistics
20. 55% of retailers will replace their POS with a cloud-based POS within three years
More than half of retail executives have plans to implement cloud-based POS technology by the year 2024. This means they’ll replace their legacy systems in favor of a “unified engagement platform.” Nearly 30% plan to do so within the next year, and another quarter in the next two to three years. Almost a quarter of retail executives are ahead of the crowd, having replaced traditional POS systems with cloud-based solutions in the past year.
21. 22% of retailers use a cloud-based POS
Over 20% of retail businesses currently use a cloud-based POS, while 29% plan to do so in the near future. Cloud-based POS systems allow businesses to manage operations and process transactions from anywhere with an internet connection. This is especially helpful for retailers with multiple locations as well as merchants who sell on the go at events or markets.
A POS system is more than just a way to collect payments and process transactions. Modern POS systems act as a central command center, connecting all the different parts and pieces that make your retail business run smoothly. POS statistics show that more retailers are adopting the tool and continuing to find ways to take advantage of the benefits that today’s POS technology offers.
You May Also Like …
- Learn about the types of POS systems to see which ones are right for your business needs.
- Check out POS security tips and how to protect your POS data to make sure both your business and your customers stay safe.
- Read up on the latest contactless payment statistics and buy now, pay later (BNPL) statistics for 2022.