Guest contribution • 30.09.2021

Cloud POS technology – shaping up the future of retail and restaurant industries

The escalating trend of online payments is expected to strengthen the cloud POS market up to 2026

A graphic of white clouds in front of a blue background and a globe; copyright:...
Source: PantherMedia/Wavebreakmedia (YAYMicro)

The digital payment landscape is transforming incredibly, worldwide. With specific technological advancements and penetration of cloud systems being a top priority, various corporations, retailers, and in-store leaders have pivoted to the use of cloud POS to make payment an easy and seamless experience for their customers. Cloud POS trends are witnessing an upswing, with nearly 28% of retailers planning to adopt the technology in shaping up the future of their sales activity and uplifting consumer satisfaction. 

The global cloud POS market size is expected to reach $9 billion by 2026. Here is a lookout of the sectors that are expected to draw massive gains for the overall industry in the coming years: 

E-commerce businesses and cloud solutions

The dynamically expanding e-commerce and retail sector has undeniably brought a major disruption in the operation of conventional brick-and-mortar stores, bringing about an upsurge in the transformative cloud POS landscape. These solutions help retailers in effectively managing inventory, increasing sales, enhancing customer loyalty, and streamlining their business operations. 

A graphic about the development of the global cloud POS market in the years...
Source: Global Market Insights

Speaking in this context, it has been reported that only about 7% of the global retailers are currently making use of cloud POS solutions. This can be due to the dearth of the knowledge about the advantages the product has to offer for structured shopping experience of the customers as well as the retailers. 

How would an integration of POS systems in e-commerce platforms be helpful? This novel integration would potentially allow retailers to manage online stores, automate their inventory management, trade across all channels, and provide customers with a wide range of payment transaction options. 

‘Hunger’ for high productivity and enhanced customer experience

The e-commerce sector as well as the restaurant and hospitality sectors are expected to foresee tremendous gains from the cloud POS adoption over the coming years. Why should restaurants transition to cloud POS systems? Well, the answer is, to gain maximum profit sales and growth. Cloud POS systems allow restaurant owners to analyze data and trace the most favored items from the menu, thus helping them create the targeted marketing campaigns.

An important point to note here is that cloud POS offers encrypted online storage, while minimizing the risk of any incompatibility or failure. It also enables customers to enjoy the highly secured and encrypted system which offers smooth transactions on their orders. 

Asia Pacific’s roadmap for cloud POS: hope for the SMEs

Countries like China, India, Singapore and Indonesia are among the emerging digital POS markets in Asia Pacific region. It is a well-established fact that Small and Medium-sized Enterprises (SMEs) across Singapore are a key pillar of the country’s economy. The segment contributes about 48% of its GDP, constituting 99% of all its enterprises, and employing about 65% of its workforce. In this case, adoption of cloud POS solutions across different enterprises and businesses would scale up their profit quotient considerably. 

The usage of cloud POS services is required for business continuity. The cloud adoption in SMEs has also been fueled by the rising demand for replacing conventional on-premise infrastructure. Moreover, benefits of high scalability and enhanced data security has urged SMEs to adopt cloud models. 

However, the outbreak of novel coronavirus pandemic in 2020, has brought down various businesses across the SMEs sector in Singapore. The country has to date recorded more than 90,000 cases, disrupting the regional business landscape. In this regard, the government is taking important steps to support businesses to transform digitally. 

Citing an example, the Singapore government has introduced a program to revolutionize the digital space. As per OECD reports, Singapore’s SMEs novel “Go Digital Program” offers support for businesses to digitally transform and expand the scope of pre-approved solutions eligible for the “Productivity Solutions Grant”, to help businesses incorporate safe distancing and business continuity measures. 

A graphic about the development of the cloud POS market in some European...
Source: Global Market Insights

Cloud POS system deployment trends in 2021 and beyond

With the coronavirus pandemic imposing the need for social distancing, contactless payments, and a paradigm shift to online platforms for retail, the demand for cloud POS systems is expected to accelerate to new levels in the near future. RSPA has raised claims that cloud POS system deployment rate increased to 15.5% every year. Moreover, the system incorporation would expand at a pace of 77.5% over the course of the next 5 years. 

Across the restaurant sector in emerging economies, the trend of cloud kitchen is estimated to carve lucrative growth pattern for the cloud POS industry. In India, for example, the cloud kitchens sector is projected to become a $2 billion industry by 2024 end, as cited by a RedSeer Management Consulting. This can be accounted to the cloud kitchens ability to help create an effective connection to some of the D2C channels like social media, messaging platforms, and social media, that will enable restaurant owners to customize the guest experience, set up their digital storefront, manage online orders, and save commission charged by aggregators. 

With such initiatives and progress underway, the future of cloud POS market looks quite bright in 2021 and beyond.

Author: Vinisha Joshi, Global Market Insights

related articles:

popular articles:

Thumbnail-Photo: E-commerce Germany Awards are back to business!...
11.11.2021   #online trading #e-commerce

E-commerce Germany Awards are back to business!

Awards presented in categories such as Omnichannel, Logistics, Payment, Analytics and IT Solution

We're not only bringing back the E-commerce Berlin Expo in February 2022, but also all the events associated with it. E-commerce Germany Awards is, of course, one of them. There are exciting times ahead, so let's find out what they will ...

Thumbnail-Photo: Mobile-first approach: Not just for small shops anymore...
10.11.2021   #mobile payment #epos systems

Mobile-first approach: Not just for small shops anymore

COVID-19 caused a sudden 8.5% decline in adoption of mobile POS systems, but implementation will accelerate in the next 4 years

The COVID-19 pandemic caused a sudden 8.5% decline in adoption of mobile POS systems, but implementation will accelerate in the next four years. By 2025, the mPOS installed base will grow by 20%, according to an IHL Group projection. ...

Thumbnail-Photo: ISE 2022 – Integrated Systems Europe: The world’s leading AV and...
20.09.2021   #digital signage #event

ISE 2022 – Integrated Systems Europe: The world’s leading AV and systems integration exhibition

10.05. - 13.05.2022 | FIRA Barcelona

Integrated Systems Europe is the world’s leading AV and systems integration exhibition. ISE 2022 will on 10-13 May 2022 showcase the world’s leading technology innovators and solutions providers. In addition we will see five days of ...

Thumbnail-Photo: Success at c-stores with workforce optimization...
08.10.2021   #retail #personnel management

Success at c-stores with workforce optimization

Despite the turbulence of the past year, C-stores are almost certainly due for a promising quarter–or more.

The pandemic’s effects are receding, and the public is itching to spend and move about again. In fact, many retailers expect consumers to make both routine and leisure trips at pre-COVID-19 levels.This means C-store associates will be ...

Thumbnail-Photo: RetailTech Japan 2022
11.10.2021   #brick and mortar retail #retail

RetailTech Japan 2022

01.03.-04.03.2022 | Tokyo, Japan

RETAILTECH JAPAN is Japan's largest and most influential trade show specializing in retail information systems. It will be staged in Tokyo on 01.03.-04.03.2021. There is a wide range of cutting-edge retail information technology ranging from ...

Thumbnail-Photo: E-Commerce Berlin Expo
10.09.2021   #online trading #e-commerce

E-Commerce Berlin Expo

05.05.2022 | Station, Berlin

Every single year, this pure-play e-commerce event attracts more than 10,000 international visitors and over 200 exhibitors. Every February, more than 50 speakers gather in Berlin to share their e-commerce knowledge. In the e-commerce industry, the ...

Thumbnail-Photo: Instacart acquires Caper AI
26.10.2021   #food retail #omnichannel

Instacart acquires Caper AI

Smart cart and smart checkout technologies

Instacart announced its acquisition of Caper AI (“Caper”), an AI-powered shopping cart and checkout technology platform. With this acquisition, Instacart aims to help retailers unify the in-store and online shopping experience for ...

Thumbnail-Photo: How to increase sales with voice search SEO
15.11.2021   #digital marketing #EuroCIS 2022 – technology special

How to increase sales with voice search SEO

How retailers can serve consumer voice searches

Search requests via voice assistants such as Alexa, Siri, Cortana and Co. continue to rise – voice search therefore is one of the most important trends in online marketing 2021. With voice search SEO, companies can sustainably benefit from ...

Thumbnail-Photo: Christmasworld 2022: Leading international trade fair for seasonal...
08.09.2021   #event #shop design

Christmasworld 2022: Leading international trade fair for seasonal decorations and festive decorations

28.01. - 01.02.2022 | Messe Frankfurt

Christmasworld is the world's largest trend and order platform for the international decorations and festive decorations sector - and therefore your perfect B2B trade fair for a strong start to the new business season. It brings together ...

Thumbnail-Photo: Global Retailing Ideas Summit 2022
12.10.2021   #retail #event

Global Retailing Ideas Summit 2022

27.04.-29.04.2022 | Arizona

GR | Global Retailing will be a global hub for innovative ideas and thinking in retail from April 27-29, 2022 in Arizona. Through our free idea platform and annual summit, retail and brand leaders from across the country and beyond are able to ...

Supplier

EuroShop
EuroShop
Stockumer Kirchstraße 61
40474 Düsseldorf
Citizen Systems Europe GmbH
Citizen Systems Europe GmbH
Otto-Hirsch-Brücken 17
70329 Stuttgart
CCV GmbH
CCV GmbH
Gewerbering 1
84072 Au i.d.Hallertau
APG Cash Drawer
APG Cash Drawer
4 The Drove
BN9 0LA Newhaven
GLORY Global Solutions (Germany) GmbH
GLORY Global Solutions (Germany) GmbH
Thomas-Edison-Platz 1
63263 Neu-Isenburg
iXtenso - retail trends
iXtenso - retail trends
Celsiusstraße 43
53125 Bonn
Reflexis Systems GmbH
Reflexis Systems GmbH
Kokkolastr. 5-7
40882 Ratingen
POS TUNING Udo Voßhenrich GmbH & Co KG
POS TUNING Udo Voßhenrich GmbH & Co KG
Am Zubringer 8
32107 Bad Salzuflen