As retail and service enterprises operate at ever-increasing speeds, customers get frustrated and leave on lost sales opportunities if even one second is wasted at a point of sale. In addition, merchants focus on more than just payment processing speeds; fees eat away at the bottom line. Thus, knowing how to speed up a point of sale system—from reducing payment processing to enhancing growth opportunities—is vital for successful, sustainable expansion. A system that works faster not only helps a customer out in the moment but also enhances the merchant’s bottom line. If improvements can be made to increase processing velocity and reduce transaction and processing fees simultaneously, every transaction occurs ideally.
Understanding the Basic Operations of a POS System
To know how to improve upon such a system, however, one needs to understand how a POS system operates. Essentially, a POS system processes payments and sends sales data while adjusting real-time inventory on the sales floor. In addition, many modern POS systems access customer loyalty options and profiles while generating reports to assist with better buying and selling opportunities. As a POS system includes both hardware and software, there could be many causes for speed and payment processing inefficiencies[1]. From failing internet connections to lagging processors to high merchant service account fees, understanding where the failures lie is key in creating faster solutions.
How to Make A POS System Faster
When posing the question of how to improve a POS system, merchants most want to know how to make a point of sale system faster. The increasing speed of a point of sale system relies on many factors—from the network to the software setup to the hardware limits. For instance, many modern-day POS systems are cloud-based, meaning they rely on internet access. An upfront investment in high-speed internet can prevent lag during authorization or settlement. When it comes to hardware, antiquated terminals and processors or slow chip readers are chokepoints that delay operations and frustrate employees and customers stuck waiting. New EMV card readers, as well as standalone digital wallets or contactless payment solutions, help tremendously in expediting payment. Many are less inclined to think about software-related speed bumps; however, if merchants customize their POS transaction screen to only include modules needed versus every possible option, the POS is able to process transactions quickly[2]. Likewise, if there are integrations with third-party apps, only use those that will help the process, as add-ons complicate them. This goes for integrations that frustrate employees; train staff to utilize keystroke shortcuts on the POS. Decreasing potential mistakes increases speed and effectiveness.
Reducing Payment Processing Costs via Strategic POS Usage
Beyond speed, there’s a transaction fee hurdle merchants have to contend with. Every time a card is swiped, interchange fees, assessment fees, and processor markups get charged. While it might not seem like a lot when you’re only one or two percentage points off, over a lifetime, it could make or break operations for a merchant. Here, the best course of action is to negotiate with the merchant services provider, especially if their business conducts high volumes of sales with high-ticket purchases. Otherwise, many merchants employ cash discounting or dual pricing programs that incentivize customers to pay in cash or debit as opposed to credit; modern POS systems can seamlessly integrate these features automatically (and legally) with branding requirements and ultimately make costs lower[3]. For the merchants who operate in areas where the law allows, surcharging is a way to pass credit card processing fees on directly to the customer.
Using POS Data to Lower Fees
Fee-associated POS data tends to go ignored at the merchant level. Most payment processors allow for extensive transaction reporting via the POS system; by assessing these documents, merchants can see which credit cards and networks charge higher fees. For example, rewards cards often have higher interchange fees as opposed to standard debit transactions. If merchants can understand that interchange fees are higher than others, they can price goods differently or promote the use of lower-fee transactions to help the bottom line. Furthermore, if debit transactions are lower-cost transactions than transactions based on credit, then be sure to categorize transactions as “card-present” versus “card-not-present” since the latter has a higher interchange fee. Finally, chargebacks related to POS systems show where fraud is likely for a given merchant, leading them to higher pricing for processing.
Importance of Selecting the Correct POS Provider for Fast Transactions at Low Costs
Selecting the correct POS provider is one of the easiest ways to allow a business to save money and time. Not every POS system is made the same; some function faster and better than others, focusing on reporting or integrations. The ideal provider does all aspects—transactions are performed quickly, data is accurate, and no additional storage fees are required, and from the very start, they have the best pricing options. For example, those who possess systems via the cloud often integrate in real time, allowing businesses to process during peak hours. Those who allow for additional payment integrations enable merchants to use multiple payment networks; this makes negotiating fees much easier when transactions can be done in more than one way[4]. For businesses that are high risk, those that have specific integrations for high-risk industries ensure compliance at low-cost options in addition to their compliance regulations.
Importance of Training Staff to Use The POS Effectively
A POS could work wonders, but if employees do not know how to utilize it, it won’t work at all. Training personnel through a POS system empowers them to work much faster and much better. A person who knows how to navigate a program quickly, knows their hot keys and can bypass low-level issues is much better than someone who cannot figure things out. For example, in a restaurant setting, a server may have to split checks, apply discounts or add in tips through a specific program; training will enable them to do so quickly. In retail situations, cashiers may move from cash to debit/credit; knowing how to switch screens without having to re-enter data saves time at signing off on a transaction. Employees trained on the basics and fundamentals of a POS system influence customer experiences immediately, reducing mistakes that take both time and money.
Future Trends for Speed and Costs with a POS System
Ultimately, speed will be improved and costs lowered even more with future POS technology. Future payment options will replace standard credit card transactions when it comes to contactless and mobile wallet-debiting forms. For example, payment blockchain networks could provide a lower-cost payment opportunity than credit card processing, as transactions like cryptocurrency already exist without the fees associated. In addition, AI that knows the typical pathways of merchant spending may interact with the payment processing software to prevent fraud as well. By balancing costs across various methods in real-time and figuring out where a payment may cost the least, it could trigger an automated fee reduction process[5]. Merchants who stay on top of technology and what their customers expect will benefit from much faster, cost-reduced—in all ways—POS systems.
FAQs
Q: How can I speed up my POS system?
A: To speed up your POS system, you’ll need updated hardware, a strong internet connection, a POS system without unnecessary apps and extensions, and an effective payment processor.
Q: What fees are associated with my POS systems?
A: POS systems often incur interchange fees and processing marks, based on how a payment is categorized and ultimately processed. Therefore, getting proper configuration can help reduce such occurrences.
Q: Can training my staff help speed things up on a POS system?
A: Yes! Staff who are trained know what they are doing and are less likely to make mistakes entering payment. Also, staff will know workarounds or shortcuts to help speed up transaction time.
Q: Are there any legal ways to lessen credit card fees?
A: Sure. Dual pricing, cash discounting, and surcharging—where allowed—are accessible and negotiating with your provider can always lead to lower fees based on your needs.
Q: What future trends will impact POS efficiency and costs?
A: Contactless payments, blockchain networks, and AI-driven fee optimization are expected to transform POS systems in the coming years.
Sources
- CardFellow. “What Is a POS System? Complete Guide.” Accessed August 2025.
- Forbes Advisor. “Best POS Systems of 2025.” Accessed August 2025.
- Investopedia. “Point of Sale (POS).” Accessed August 2025.
- Visa. “Chargeback Management Guidelines for Merchants.” Accessed August 2025.
- PCI Security Standards Council. “PCI DSS Quick Reference Guide.” Accessed August 2025.
