Ah, the POS system. It’s either a lifesaver for restaurant owners or the bane of their existence. Choosing the right POS system for your restaurant is one of the most impactful decisions you can make. In fact, out of all the questions we hear from restaurant owners, “which POS system should I use?” might be the most frequently asked. And for good reason – the number of options (and their features) out there is overwhelming. So, before we dive into the details, let’s review the basics.
Quick Definition of a POS System
What is a POS system? A POS (or point-of-sale) system is a technology system used in restaurants and food service business to take orders, process payments, print receipts, track inventory and customer data, and handle several other functions. POS systems consist of both software and hardware components.
Why Your Restaurant Needs a POS System
POS systems are the modern-day evolution of the cash register. As the cash register became digitized by the mid-1900s, the road its to broader capabilities opened. In 1973, IBM introduced the first computer-based POS system for restaurants – paving the way for the flood of innovation that continues today.
With IBM’s revolutionary POS system, the serving staff could relay orders to the kitchen instantly through remote printing. While common practice in today’s restaurants, this feature is just one of many that make a restaurant POS system not just desirable, but imperative.
Without a POS system, your restaurant won’t be able to compete due to the enhanced efficiency provided by these systems. And the fact that you’ll find a POS system in virtually every restaurant across the country. According to SmallBizTrends, 95% of restaurant operators said that technology helps them to improve efficiency.
But how exactly does a restaurant POS enhance the overall efficiency of your business? Through its features.
Features of POS Systems
Restaurant POS systems boast many features, and each system offers different features. That said, the following list of features is not specific to one POS software. Rather, it’s an aggregation of possible features:
- Credit card or payment processing
- Order taking
- Table management
- Guest management and tracking
- Employee tracking
- Inventory tracking and alerts
- Online ordering
- Reservations
- Upsell and cross-sell capabilities
- Cost and inventory management
- Loyalty programs
- Menu management
- Cost management
- Easy-to-use and quick interface
- User support and training
- 3rd-party integration
- KPI reporting
- Self-service ordering
POS Hardware in Restaurants
In order to provide these features, restaurant POS systems need to have not only powerful software, but also physical equipment – including (but not limited to):
- register monitors
- customer monitors
- touchscreen displays
- credit card readers
- card readers for iPad (or tablet)
- iPad (or tablet) stands and docks
- handheld ordering devices
- self-serve kiosks
- receipt printers
- cash drawers
- label printers
- kitchen printers
- kitchen display systems (KDS)
- digital menu board
- scales
- routers
Benefits of Using a POS System in Your Restaurant
As mentioned earlier, a POS system can greatly enhance the efficiency of your restaurant. Plus, restaurant POS systems can increase the profitability of your restaurant. While these are compelling (yet, broad) reasons to implement the right system in your restaurant, you will truly notice the benefits of a restaurant POS system in the nitty-gritty, day-to-day operations of your business.
Specifically, a POS system can help you:
- reduce wait time for customers
- scale to meet growing customer demand
- be flexible in accommodating customers’ food and payment preferences
- improve accuracy of data across all business operations
- generate repeat business and greater sales
- simplify the accounting process for your restaurant
- minimize food shrinkage from theft
- minimize food waste through enhanced forecasting and stock awareness
- make data-driven business decisions through easily accessible reporting
- reduce time spent by employees looking up menu items
- protect restaurant data through cloud-based storage
- streamline the workflow between the front-of-house (FOH) and back-of-house (BOH)
This last point warrants emphasis. When designed and set up properly, a POS system complements your team and supports them as they work to deliver the ultimate guest experience. A restaurant POS system should free your team members up from tedious, manual work and allow them to focus their energies on the human and creative side of their jobs.
And, if you want to take this a step further and empower your servers to delight your guests every time they visit, get a copy of our Server Training Guide below.
Potential Drawbacks of POS Systems
So, we’ve seen how a POS system can benefit nearly every aspect of your restaurant. But, any true overview of restaurant POS systems would be remiss not to explore any of their potential downsides.
For many restaurant owners, one of the biggest drawbacks of a POS system is the cost. Between the restaurant POS companies, the price of the system can fluctuate greatly. Some platforms – like Square and Toast – offer a free monthly plan.
However, you’ll need to make a financial investment for hardware and enhanced services. When getting started with a new system provider, there are often one-time hardware costs to get the system set up. These hardware costs can range from $600-$4000 depending on your needs and the system provider.
For software, you can expect to pay any where between $60-$360 per month. Again, this number depends on the size of your restaurant and the fees of the provider.
In addition to the cost, there are a few other potential drawbacks to restaurant POS systems in general. Please note, the following drawbacks are not shared by all software providers:
- Limited or poor customer support
- If you’re software provider is not cloud-based, then you only have access to your data on the hardware within your restaurant
- Some systems can only operate online – meaning your whole system goes down if your internet goes down
- Hidden fees built into your payment plan
- Long contracts that lock you in despite the services (or lack thereof) your restaurant is receiving
How to Choose the Right System for Your Restaurant
Alright, you’ve seen why your restaurant needs a POS system. You’ve reviewed the different features and hardware provided by restaurant POS providers. You’ve weighed the pros and cons. And now you’ve decided your restaurant should implement a system that meets all its needs.
But, with the plethora of restaurant POS providers out there, how do you go about choosing the right one. You follow 5 simple steps.
- Talk to your team. Gather them for a meeting with the sole purpose of discussing your restaurant’s ideal POS system. Write a list of features you and your team specifically want or need the system to do for your business. Every restaurant is a little different – so make sure you get specific with these features. For instance – many systems will send an order to the kitchen or split a check, but how they do it may be very different.
- Check out restaurant industry review sites for ratings of different systems based on real user reviews. Here, you can compare many systems and dive into the weeds to suss out which service providers actually deliver on the features you identified in step #1. In the following section, we have aggregated data from 12 of these restaurant POS review sites. We’ve also included links to all of them at the end of this article.
- Schedule a few demos from different systems providers, either over Zoom or in person. Ask them direct questions – like:- Is there a long term contract or an early termination fee?- Are software upgrades and customer support included? Or are there extra fess for these services?- Do you build and install the hardware on site in the restaurant? And provide in-person training for the set up? Or do you just ship the hardware and expect us to set it up?
- Narrow your favorite restaurant POS providers to a short list of 2 or 3. Then call their main support line and see how long you’re kept on hold. Also, make sure to note if it’s a human or a robot providing the customer service.
- Gather final input from the key decision makers and team leads in your restaurant and pick the perfect system for you!
Comparing the Different POS Systems Out There
Now that you a method for selecting the right restaurant POS system, it’s time to explore the different options available to you. Keep in mind, most of these POS software companies are located in the U.S. and may not be applicable in other countries.
Before we dive into the features, pros, and cons of each system – let’s take a bird’s eye view of the systems landscape. We have aggregated and data from 12 different review websites in comparing 26 different POS systems for restaurants. All scores are listed on a scale of 0-5 (5 being the highest).
In the farthest left-hand column, the specific systems are shown. In the farthest right-hand column, the average score of each system across the review sites is listed. The POS systems are not listed based on average-score ranking. Instead, they are listed based on the number of sites that have provided a review of their system.
Time to zoom back in and dive into each restaurant POS system displayed above. For each system, we’ll provide a direct quote about each system from the company itself, then we’ll list pros and cons sourced from the review sites we analyzed, and wrap up with the fees of each system. [Please note the evaluations listed in out Pros and Cons are not from our direct experience; they come from website and customer reviews found in the links listed at the end of this blog.]
Toast POS
From Toast’s website, “Run your entire restaurant on Toast. Manage all on-prem and off-prem order sources in one system. Use restaurant-grade hardware that’s 3x faster than competitors. Integrate your FOH and BOH to reduce ticket times by up to 40%.”
Pros
- Powerful menu customization
- Tableside ordering and payment capable
Cons
- They require a two-year contract for software subscriptions
- Toast POS doesn’t work on iOS devices
Fees
- Monthly plans: Free; $69; $165
- Payment Processing Fees: 2.99% + 15¢
Lightspeed POS
From Lightspeed’s website, “A restaurant POS system that understands your needs on the floor. Set up your front-of-house staff for success with an intuitive and responsive POS system that puts ease of use first. Access all your data and reports on your iPad, mobile phone or desktop computer with our cloud-based platform. From granular sales data to trending menu items to an overview of your business, all the information you need is in your restaurant POS software.”
Pros
- Versatile customer loyalty app (only as an add-on)
- Ability to redistribute tips based on custom rules and create self-order kiosks
Cons
- They have an early termination fee in their plans
- Their flat-rate payment processing is costly for restaurants with high-volume sales
Fees
- Monthly plans: $69 and up
- Payment Processing Fees: 2.6% + 10¢
Clover POS
From Clover’s website, “Clover’s point of sale system and software syncs with the cloud, so you can track your sales, refunds, deposits, and reports, wherever you are or need to be. Use real-time and trending sales data to track your business’s performance via customizable reports that you control in your Clover dashboard.”
Pros
- Quick-service restaurant software plans are available
- Free loyalty program
Cons
- Unable to use existing tablets not purchased through Clover.
- Long contracts and early termination fees
Fees
- Monthly plans: $150; $195; $290 for full-service restaurants (hardware included in price)
- Payment Processing Fees: 2.3% + 10¢
TouchBistro POS System
From TouchBistro’s website, “Guarantee order accuracy, reduce wait times, and serve customers with takeout, dine-in, or delivery – wherever and however they’re ordering. Find cost savings, reduce food waste, monitor staff performance, improve FOH-to-BOH communication, and more with easy-to-use tools and reporting.”
Pros
- Advanced table management
- Tableside ordering
Cons
- Loyalty programs and online ordering are add-ons for every plan.
- Automatically renewed contracts than can be terminated early
Fees
- Monthly plans: starting at $69; many add-on features are additionally monthly cost
Square for Restaurants
From Square’s website, “Try the powerful, free POS that businesses love. Free to use. Accept every payment. Hardware and software in one. Customize to your needs”
Pros
- No long-term contracts or installation fees
- Unlimited POS devices on Square’s free plan
Cons
- No reservation management
- No credit card pre-authorizations
Fees
- Monthly plans: Free; $60; additional payments for hardware and add-on features
- Payment Processing Fees: 2.6% + 10¢
Revel Systems
From Revel Systems’ website, “Revel Systems was the first iPad POS platform to hit the market. We’ve been refining our product and working alongside our customers ever since to offer the most mature, cloud-based POS system available. At Revel, we understand that an intuitive, feature-rich solution that can quickly adapt—and even grow with you—isn’t an option, but a necessity.”
Pros
- Fast food and drive-through specific services
- Highly customizable for restaurants
Cons
- Expensive onboarding
- Many service features come at extra cost
Fees
- Monthly plans: starting at $99 per terminal
- Payment Processing Fees: 2.49%
SpotOn Restaurants
From SpotOn’s website, “Whether you need simple mobile payment technology or a fully-integrated restaurant management system, we’ll work with you to customize the right set of tools for your business. And as those needs evolve, and your business grows, we not only have the existing technology to support you, but are constantly innovating to help you future proof your business.”
Pros
- Highly customizable POS system
- Excellent tools for reservations, booking, and mobile orders and payments
Cons
- Toast POS doesn’t work on iOS devices
- Pricing is custom-quoted based on each restaurant
Fees
- Monthly plans: N/A
- Payment Processing Fees:1.99% + 20¢
Zettle POS System
From Zettle’s website, “Whether you want more sales, more customers or more efficiency, we’ve got the tools to help your business achieve more every day. We make modern point-of-sale (POS) products designed to simplify every workday. Take payments and track every sale, all in one place.”
Pros
- No monthly fees
- Strong inventory management
Cons
- No system upgrades or add-on features available
- No CRM or ability to operate offline
Fees
- Monthly plans: Free
- Payment Processing Fees: 2.29% + 9¢
Lavu POS
From Lavu’s website, “We know what works in restaurants—because we’ve been in your shoes. We are restaurant people who understand the unique challenges that face new and growing restaurants, so we created solutions to solve them.”
Pros
- Unique features like a sandwich creator, Bluetooth scale integration and ID badge scanning
- Strong self-service kiosk option
Cons
- Expensive hardware leases that may be difficult to terminate
- No purchase ordering
Fees
- Monthly plans: $79; $159; $299 (up to $20 off each monthly plan if using available discounts)
- Payment Processing Fees: $25/mo per terminal to work with 3rd party processors
Harbortouch Bar and Restaurant POS
From Harbortouch’s website, “With our all-in-one point of sale platform, you can manage all orders from one place. Our commercial-grade hardware was built for high performance, speed, and reliability. All of our technology will reduce your ticket times and increase profits.”
Pros
- No early termination fees
- Free hardware with all packages
Cons
- System errors and bugs reported
- Poor customer service reported
Fees
- Monthly plans: $29; $39
- Payment Processing Fees: N/A
Aloha POS System
From Aloha’s website, “Everything you need in an easy-to-use platform, with kitchen solutions, digital ordering, reporting & analytics, and management tools. Over 100,000 restaurants trust NCR to help them run their operations, drive sustainable growth and create frictionless guest experiences.”
Pros
- Easy to use
- Versatile system with a lot of capabilities
Cons
- Accessing restaurant reports is difficult according to some reviews
- Software runs slow and requires frequent updates according to some reviews
Fees
- Monthly plans: Free; $175
- Payment Processing Fees: N/A
Loyverse
From Loyverse’s website, “Turn your smartphone or tablet into a powerful POS. Manage sales, inventory and employees with ease; engage customers and increase your revenue. Whether you have single or multiple stores, our tools help run your business.”
Pros
- Easy to use and set up
- Free customer loyalty program
Cons
- Limited integration capabilities
- Limited reporting functionality
Fees
- Monthly plans: Free; ($9-25/mo for add-on features like employee and inventory management)
- Payment Processing Fees: N/A
EPOS Now
From EPOS Now’s website, “Our POS system enables you to adapt, gain new customers, increase profit and remain future proof. Set up, onboard, and train staff in minutes. Online, delivery, collection, and multi-channel ready.”
Pros
- Great customer support
- Ease of use
Cons
- Unable to identify actions taken based on user name or location
- Reported freezing when too many users were logged in at once
Fees
- Monthly plans: N/A
- Payment Processing Fees: N/A
Upserve
From Upserve’s (now Lightspeed Restaurant) website, “Simplify and scale with a one-stop restaurant POS system. Let guests order and pay via QR code with Order Anywhere. No wait time for the bill. No apps to download. No friction.”
Pros
- Easy to use, intuitive system
- Great customer service
Cons
- Periodic connection failures
- Tracking real inventory difficult
Fees
- Monthly plans: $69; $189; $399
- Payment Processing Fees: 2.6% + 10¢
Nobly POS
From Nobly’s website, “Our easy to use iPad EPOS system is packed full of great features that help you grow your business. We’ve specially designed our software to cater for the hospitality industry.”
Pros
- Ease of use, sleek design
- Good customization
Cons
- Inability to round taxes
- Mixed reviews on customer service
Fees
- Monthly plans: N/A
- Payment Processing Fees: N/A
NCR Silver Pro Restaurant
From NCR Silver’s website, “Total NCR Silver brings together easy-to-use POS hardware and software – plus intuitive cloud-based inventory, loyalty and e-commerce – All-in-one.”
Pros
- Simple user interface
- Strong inventory management
Cons
- Questionable system reliability over time
- Not available on Android
Fees
- Monthly plans: N/A
- Payment Processing Fees: N/A
Aldelo POS
From Aldelo’s website, “Aldelo’s Cloud-native Restaurant POS system, Aldelo Express, is a full-featured restaurant tech platform to enable restaurants and bars simplify operations and maximize efficiency. Aldelo (…) provides an end-to-end eco-system of products and services to help restaurants and bars achieve more with fewer staff.”
Pros
- Ease of use
- Menu search functionality
Cons
- Poor system reliability over time
- Limited statistics and analytics
Fees
- Monthly plans: N/A
- Payment Processing Fees: N/A
Linga rOS
From Linga’s website, “From industry-leading integrations to customizations to fit your specific business needs, LINGA is the best solution that can adapt to your restaurant. A truly all-in-one solution to restaurant management, versus searching for 3rd party integrations.”
Pros
- Strong customer and sales data
- Easy to set up
Cons
- Difficult to navigate for inexperienced users
- Questions around customer service quality
Fees
- Monthly plans: $40; $70; $110
- Payment Processing Fees: N/A
Mad Mobile Restaurant POS
From Mad Mobile’s website, “Full Service System For Restaurants. Seamless ordering, payments, communication, and more to run a successful restaurant.”
Pros
- Robust capabilities and features
- Easy to learn
Cons
- Lacking strong customization
- Some customers experienced downtime
Fees
- Monthly plans: N/A
- Payment Processing Fees: N/A
POSist
From POSist’s website, “Our restaurant technology platform allows restaurant operators to grow at scale, improve bottom-line efficiency and deliver consistency in guest experience.”
Pros
- Easy to use and set up
- Strong CRM capabilities and seamless integrations
Cons
- Reports format is not user-friendly
- Limited flexibility in downloading reports
Fees
- Monthly plans: N/A
- Payment Processing Fees: N/A
Rezku POS System
From Rezku’s website, “Restaurants use Rezku POS to compete at a higher level. Our comprehensive, custom branded ordering platform allows restaurants to spotlight their brand without spending a fortune.”
Pros
- Great customer service
- Strong real-time data reporting
Cons
- No tools or resources for host stand
- Sporadic software issues
Fees
- Monthly plans: Free; $99
- Payment Processing Fees: 1.99% and 15¢
Maitre’D
From Maitre’D’s website, “Maitre’D POS provides all the functionality restaurant owners need to handle every part of their business operation, regardless of their size. Integrated with PayFacto’s payment processing solutions, you can handle credit and debit card payments quickly and securely.”
Pros
- Strong reporting
- Easy to set up
Cons
- Outdated software system prone to crashing
- Poor design in certain aspects
Fees
- Monthly plans: starts at $99
- Payment Processing Fees: N/A
BrewPOS
From BrewPOS’s website, “BrewPOS is a full-featured Point of Sale system built for restaurants, bars, and breweries. Tried, tested, and true, BrewPOS offers a unique solution to point of sale for the restaurant industry.”
Pros
- Easy to use and navigate
- Strong reporting
Cons
- Complaints about advanced functionality (which may have been developed since)
- Customization not intuitive
Fees
- Monthly plans: $69; $129; $169; $199; $249; $299; $349; $399 (based on number of terminals)
- Payment Processing Fees: N/A
POSitouch
From POSitouch’s website, “Since 1985, POSitouch continues to provide turn-key point of sale systems and business management solutions to over 50,000 restaurants and bars. Specializing in serving multi-unit chains and some of the most recognizable foodservice brands, POSitouch offers a premium POS system at an affordable price.”
Pros
- Ease of use
- Detailed reports
Cons
- Several reports of system crashing
- Complaints about credit card integration
Fees
- Monthly plans: $29-$199 for cloud-based system
- Payment Processing Fees: N/A
Cake POS
Cake POS has been acquired by Mad Mobile restaurant POS. So, please navigate to that section to get the overview, pros, cons, and fees of this system.
Final Considerations for Your Restaurant’s POS System Decision
As we’ve seen there’s a whole lot that goes into deciding which POS system is right for your restaurant. The main takeaway is: don’t rush into a long-term commitment until you’re ready. Many of these software platforms will offer significant discounts if you sign up for an annual or multi-year contract. While this is great from a cost savings perspective, the last thing you want is to be locked into a system that isn’t right for your restaurant.
So, review the steps on how to choose a restaurant POS system. Consult with your team. Reach out to other restaurant owners who have used the systems you’re considering. Then, make a fully-informed decision.
If you need help with any aspect of your operations along your journey or want to open more locations, reach out to Synergy to see how we can help.
Restaurant POS FAQs
What are the different types of POS systems?
The different types of POS systems are traditional (or legacy) POS systems, touchscreen (or tablet-based) POS systems, cloud-based systems, dedicated server systems, and mobile restaurant POS systems.
What are the most common operating systems for POS devices?
The most common operating systems for POS devices are Android, iOS, and Microsoft. Typically, Android and iOS are used in small- to medium-sized restaurant POS systems. Windows is usually recommended for larger businesses or stores with multiple locations.
What is the difference between POS and CRM?
POS stands for point of sale, while CRM stands for customer relationship management. Based on their names, POS systems are more focused on transactions with your customers, while your CRM is more focused on developing relationships with your customers.
Review Sources
G2: https://www.g2.com/categories/restaurant-pos
Software Advice: https://www.softwareadvice.com/retail/restaurant-pos-software-comparison/p/all/
Capterra: https://www.capterra.com/restaurant-pos-software/
tech.co: https://tech.co/?s=pos+systems
U.S. News & World Report: https://www.usnews.com/360-reviews/business/point-of-sale/best-restaurant-pos-systems#compare
Forbes Advisor: https://www.forbes.com/advisor/business/software/best-restaurant-pos-systems/
Fit Small Business: https://fitsmallbusiness.com/best-restaurant-pos-system/
Merchant Maverick: https://www.merchantmaverick.com/best-restaurant-pos-systems/
Trustpilot: https://ca.trustpilot.com/
posusa: https://www.posusa.com/restaurant-pos-systems/
GetApp: https://www.getapp.com/retail-consumer-services-software/restaurant-pos/