Each year, retailers face financial pressure due to inventory shrinkage. This happens due to employee and retail theft and administrative errors. It is also due to vendor fraud and other unknown reasons.
Thankfully, a point of sale system (POS) can help reduce these losses. It improves your business by reducing errors and streamlining the order process. It offers a great graphical interface for handling different products.
Moreover, it provides security by only allowing authorized people to use it. You can also manage your shop’s marketing promotions and get feedback. Last, its easy maintenance means you won’t have long downtimes that affect operations.
Keep reading to learn how your POS system will reduce retail theft.
Reducing Retail Theft with a POS System
According to the FBI, organized retail theft costs the economy billions of dollars a year. It raises prices for consumers and lowers tax revenue for governments. Plus, these goods make it back to the market and might be unsafe for use.
Here are several ways a POS system can help in retail theft prevention:
1. Track Inventory and Sales
POS systems allow you to compare its reports with actual inventory. You can check shift reports to see who was working when there was a discrepancy in the records. You can confirm the top selling items and their movement to stop shoplifting.
Internal theft occurs when you don’t have an automated inventory system. Such a system tracks all bar-coded items and shows when something is missing. Thus, you’ll know if an employee steals something.
2. Audit System Functions
It is easier to catch bad employees using POS software. It tracks login failures, inventory or price changes, and voided sales. That way, you’ll know when someone was trying to access your system illegally.
3. Monitor Access to System
To build on the previous point, all your employees get a specific clearance. This means you can limit access to trainees or employees you don’t trust yet.
Specific access ensures only supervisors or managers can make important system changes. For example, they are the only ones who can approve discounts.
Plus, everyone will get a PIN code or swipe card. This prevents unauthorized access and system changes. It shows which employees were working that day. It could even show if an employee is acting suspiciously. For example, they could be offering unapproved discounts often.
4. Tracking Cash and Preventing Credit Card Fraud
Look at cash drawer balance reports daily to confirm employee handling of money. If the register activity and the balance don’t match, then someone is stealing from you.
The POS system prevents credit card fraud by allowing safer payment methods such as NFC. It also means you’ll be using chip-based credit cards. This ensures your business doesn’t suffer chargebacks or lawsuits due to fraud.
5. Prevent Shoplifting Through Mobile POS Systems
Mobile POS systems act as anti-theft devices for retail stores. They allow employees to move around the store rather than sit by the register throughout.
Through these systems, they can access store data and process transactions for customers. As such, shoplifters will be wary of an employee spotting them. Thus, they won’t take the risk and steal.
Learn More About Point of Sale Systems
As you can see, POS systems are great for preventing retail theft. You’ll be able to track transactions and inventory movement. You’ll also have reports that enable you to spot internal theft. Last, employees walking around will reduce shoplifting.
Visit our website to learn more about point of sale systems.