A swipe machine is an important part of the checkout process, especially in today’s cashless culture. In combination with POS systems, swipe machines can support businesses in numerous ways. In this blog, we will discuss everything you need to know about a POS swipe machine. Topics we will cover are the definition, operations and benefits of this machine.
What is a POS swipe machine?
A swipe machine is a portable device that helps businesses process payments via credit/debit cards. It can transfer money electronically from the cardholders’ accounts to the merchants’ accounts. In this way, swipe machines serve as a physical terminal for users to swipe the card. The transactional information is then authenticated for security.
This machine is often used with point of sale (POS) systems nowadays with great compatibility. Store owners usually place both systems at the checkout counter. The information processed in the swipe machine will be automatically entered into the POS system. Store owners will then use it for business management and development.
How does a swipe machine work?
Using a POS swipe machine can be easy - you swipe the card. In less than 30 seconds you can see the money is transferred into the merchant’s account. But what actually happens behind the scenes? There are 5 steps:
- Card swiped
- Data transmission
- Information sent
Benefits of a swipe machine
Now that you know what a POS swipe machine is, it’s time to explore its benefits. Here are some of the most outstanding ones:
Fast and (almost) error-free checkout
POS swipe machines can maintain a speedy checkout process for your store. You can manage transactions instantly, often within just a few seconds. This speed can decrease waiting times and queues, thus creating a better customer journey and boosting sales. In addition, this machine can also minimize errors at the checkout counter. Because it handles cashless payments, you can avoid thefts or mistakes when manually calculating charges, for example.
Multiple ways of paying
With a POS swipe machine, store owners can accept multiple payment types. They can include debit/credit cards, Chip&PIN payments, or digital wallets such as Apple Pay and Google Pay. The more payment types you offer, the more convenient your customer shopping journey can become.
More security (over cash)
Many businesses have faced problems due to getting robbed of their cash on-premises. This is no longer an issue when store owners use a POS swipe machine. With this reader, you can use your merchant’s account, where all incoming money will be transferred into. The transactions are protected with multiple steps of verification. Although cashless payments are not 100% safe, this can still minimize problems relating to cash or fraud.
An omnichannel shopping experience
POS swipe machines can also enhance the omnichannel experience of customers. This will be a big benefit for businesses nowadays, as research has shown that 45% of customers currently buy online and pick up in-store.
For example, a client has chosen to buy an item online, then pay and pick it up in-store. A POS swipe machine can take the money from that customer and automatically transfer the information into the POS system. This will link to the eCommerce store and the order status can be updated. Fast, easy and consistent - you name it!
We hope that after reading this blog, you can have a better understanding of the POS swipe machine. Many POS systems nowadays support this type of card swiping device, and ConnectPOS is one of them. We take pride in building a seamless omnichannel journey for customers. If you are interested, don’t hesitate to talk to us for more information!