Merchants have been capitalizing on the mobile retail trend recently by offering deals and discounts aimed at consumers who prefer to use smartphones and tablets for shopping. Now, businesses are taking it one step further by investing in more mobile POS solutions to draw in device-carrying customers into stores.

Retail Info Systems writes that research from TBR found that companies are putting more money into retail POS technology for mobile gadgets. The study revealed that merchants' IT budgets are getting a boost this year, as it is expected there will be a 5 percent increase, most of which will go toward software and hardware solutions, such as mobile POS. Of the approximate $43.9 billion spent on retail operations this year, $30.7 billion will be put into technology systems for enhancing customers' experiences and other factors, the news source states.

Full adoption of this mobile technology is not yet forecasted to happen, as Business Solutions reports that some businesses are wary of the various systems and platforms. There is the speculation that the use of devices for in-store payments will only be a fad, so there is a certain level of hesitance within the industry. However, many experts feel that mobile solutions will be around for years to come, so companies need to implement the technology now.

With the rise of digital technology, retailers have learned how implementing solutions and devices into their operations have provided benefits in the form of increased customer satisfaction and revenues. Now, businesses need to be prepared to adopt even more technological systems to accommodate consumers who want mobile and self-service options during their retail experiences. Failing to integrate these types of preferences can have a negative impact on brands, as customers are more likely to bypass merchants without the wanted solutionsand instead visit competitors.

Technology leads to changed expectations
Many retail industry experts know that more mobile and self-service options are set to cometo forefront of operations for many businesses in 2013 and beyond. Frost & Sullivan’s Information & Communications Technology practice states that the emergence of smartphones, tablets and other digital solutions have given way to an evolution of consumers’ expectations when it comes to shopping with brands. This is resulting in a change of how companies provide service for their customers, and many are attempting to implement new strategies aimed at boosting shopper satisfaction.

“Customers now expect superior, consistent customer service from companies 24/7, but their experiences have been hobbled by complex self-service menus and by long hold times when trying to reach customer service representatives,” states Frost & Sullivan Information & Communications Technology principal analyst Nancy Jamison. “The rise in the use of mobile and social as customer contact channels driving the need to improve self-service and intelligent virtual assistants is a way of accomplishing this.”

Point of sale going mobile
Resource Nation writes that these mobile and self-service options are working to make shoppers’ retail experience faster and more efficient. One waythese solutions are impacting operations is through point of sale. The source writes that while traditional cash registers and card processing terminals are still widely used, businesses are increasingly implementing systems that can accept mobile payments from consumers’ smartphones, and they are even giving associates mobile devices that can process credit and debit card transactions on the sales floor.

This is especially beneficial for customers who visit brick-and-mortar locations with certain products in mind that they want to purchase. These mobile options allow them to enter stores, pick out their wanted merchandise and quickly pay for it, providing greater convenience for shoppers and increase satisfaction for companies.

It could be the added convenience, faster transactions or reliability, but consumers in North America are beginning to use self-checkout terminals to complete purchases. This technology is not necessarily a new form of retail point-of-sale software. However, retailers may need to adopt these solutions to accommodate customers.

According to Retailing Today, a recent study by IHL Group found that self-checkout shipments have seen an 8 percent increase year-over-year. This represents a total of $255 billion in transactions annually. The research also revealed that consumers are using self-service terminals 7 percent more each year, and experts anticipate the total amount of transactions to surpass $1 trillion by 2014, reports the source.

Smartphones and tablets are also proving to be new forms of retail technology. Consumers are increasingly using these devices to research information about retailers and even complete purchases, states Internet Retailer. A study by Nielsen found that nearly three-quarters of smartphone users look up and then call retailers from their devices. Eighty-four percent research physical locations as well as directions. This highlights the growing trend of mobile devices being used for shopping purposes.

As smartphones and tablets are increasingly used by consumers around the world, retailers are being impacted by the technology as well. The mobile payments trend is proving to be valuable for European merchants, as customers are turning to their devices to shop and complete purchases.

According to recent research by Affiliate Window, consumers in the U.K. are using their smartphones and tablets to make purchases from retail affiliates, reports Internet Retailer. This represents a total of 9.4 percent of web sales. Shoppers are using many devices to browse and purchase items, but the iPad is the technology most used for these tasks, states the research. Apple's iPad was used by 59.2 percent of customers, while its iPhone took 24 percent. Android and Blackberry devices followed behind, at 12.3 percent and 2.4 percent, respectively.

European consumers are expected to increasingly use mobile devices to purchase retail items over the next few years, reports The Information Daily. A study by Forrester found that the total of mobile retail sales is anticipated to reach $19.2 billion in 2017. This includes many categories, including products, services and gift cards, says the news source.

The United States paves the way for many trends and technologies, but sometimes it follows in the footsteps of other continents. This is the case with EMV, which is the term used for the technology that equips credit and debit cards with a chip that provides more secure transactions. Coined from the companies that developed the payments technology, Europay, MasterCard and Visa, EMV is expected to hit the U.S. market fairly soon, and merchants across the country are beginning to prepare for this new piece of retail technology.

Changes, but benefits to EMV

There will be some changes that will need to be made as EMV becomes mainstream, reports Independent Retailer. Stores may be required to purchase or upgrade existing payment and technology systems in order to accept the new credit and debit cards. This can include software updates, buying new PIN pads and also training staff on how the EMV systems work. However, the costs might be well worth it, as the new technology is expected to reduce long lines by facilitating and speeding up the payment and transaction processes. This could lead to an increased customer base as well as rise in revenue for retailers, states the source.

There will be a variety of systems available for merchants, such as hosted or shared solutions, that need to be PCI-compliant in order to meet industry standards. This offers a wider range of security for both consumers and retailers, and reduces costs for businesses. Independent Retailer says that a new organization has been created to help companies with EMV systems and issues, called the EMV Migration Forum. The goal is to offer help and assistance to retailers who are integrating EMV processing solutions in order to accept the new cards.

Talk about EMV is finally happening

According to Retail Info Systems News, it has been anticipated for the past few years that EMV would make it over to the U.S. However, it seems as though it is just now happening and is expected to become widespread in 2015. There are many benefits to the emergence of EMV among retailers, including added payment security. Waiting times for customers will also be decreased, as transactions will be processed faster, giving retailers more time to focus on shoppers and providing service. The source states that some merchants might be hesitant about making the switch to EMV payment processing systems, but they could lose out on revenue by not being able to accommodate card holders. Retailers should make an effort to get a jump start on the trend, before it becomes too late.

Cash's role as the top payment method is being challenged by new formats such as contactless cards and mobile wallets. According to a new survey from Research and Markets, NFC-enabled mobile payments and contactless credit cards are positioned to rival cash by 2016.

The report asserts that approximately 80 percent of smartphones in Canada will be NFC-enabled by 2016, which allows them to be used at contactless point-of-sale (POS) terminals. This will drive usage of the payment type over cash and other currently popular means of paying for retail goods. Meanwhile, contactless credit cards are also expected to gain prominence as a means of buoying safety.

"Cash is still expected to remain the most frequently used form of payment in Canada over the next five years, but will suffer substantial erosion from contactless debit and credit payments," explains Contactless News, citing the report.

Similar changes could be heading to the United States as well, with a recent report from Pew Research suggesting mobile wallets could rival more traditional payment avenues by 2020.

A new study called "Get Growing," which leverages data from AOL, Business News Daily, Intuit and the Small Business Administration, suggests a number of small retailers are missing out on pivotal sales by not using point-of-sale (POS) terminals that can conduct credit card transactions.

The majority of smaller retailers accept cash (82 percent) and checks (86 percent) as a means of collecting payments from shoppers. While many do accept credit cards as well, it is still not as common as either of the other two payments at smaller retailers, which means they may be losing sales to customers who prefer credit cards.

Moreover, credit card users are a lucrative market to tap, according to the report. Credit card users spend 50 percent more than cash users, which means the processing fee – the reason many business owners don't accept credit cards – will be easily covered by these new sales. There are other benefits to accepting credit cards, such as making more sales, getting paid faster, reducing bad debt or no payments and making upward of $20,000 more per month.

Sixty-one percent of retail merchants who recently began accepting credit cards say they no longer lose a sale when people don't have enough cash to buy their products or services. Additionally, 51 percent said it was relieving to know payments will go through.

"Small businesses still commonly rely on cash and checks for payment, which are reliable and free forms of payment for the most part," the report explains. "Problem is, by not accepting credit cards, these businesses stunt their growth potential."

"Cash is still a standard, but card payments are becoming increasingly popular … businesses may lose customers in the future if they don't start accepting credit cards," the whitepaper concludes.

Consider a POS upgrade

While credit cards are a good start, retail merchants should consider other POS upgrades as well. For example, mobile payments are beginning to gain traction, particularly as smartphones become more popular among American consumers.

In fact, a recent report from PEW Research suggests eight years from now, mobile wallet services could become just as mainstream as traditional payment types.

"By 2020, most people will have embraced and fully adopted the use of smart-device swiping for purchases they make, nearly eliminating the need for cash or credit cards," the research added. "People will come to trust and rely on personal hardware and software for handling monetary transactions over the internet and in stores."

The government is looking to extend more benefits and protections to consumers using prepaid cards at retail point-of-sale (POS) terminals, a payment type the Huffington Post dubs a "Wild West" compared to other means.

The Consumer Financial Protection Bureau (CFPB) recently met to take action in creating user protections for prepaid cards, making these payment types more consumer friendly, like checking accounts.

"Right now prepaid cards have far fewer regulatory protections than bank accounts or debit or credit cards," Richard Cordray, the director of the CFPB, said in a prepared statement. "That's why we are [making rules] to promote safety and transparency in this emerging market."

Corday and the rest of the bureau are hoping the public weighs in on the matter so better regulations and protections can be crafted for consumers.

Prepaid cards are riddled with a number of unfair practices, despite consumers dropping increasingly large amounts on these cards. Over the years, critics of the payment type have accused the industry for the lack of consistent fees, especially when they are levied on cards after a certain amount of time. The lack of any protections for lost or stolen cards has also been brought up as being consumer-unfriendly.

The eBay-owned PayPal has established itself as a forerunner in the field of online payment systems, with other competitors such as Google Checkout still establishing themselves in the sector. While they may not be as popular an option as simply paying with credit cards, online payment services still account for a significant amount of ecommerce activity.

According to a recent Forrester Research report, that figure will continue to grow, albeit marginally. As of 2012, approximately one-fifth of online retail sales are conducted through services such as PayPal. By 2016, that number will climb 3 percent to 23 percent, with online payment services accounting for $110 billion by then.

For PayPal and its rivals, though, the bulk of growth won't happen through traditional ecommerce platforms. Rather, Forrester expects many of these companies to realign focus for mobile devices, such as smartphones, where they can have a larger impact on a still-developing payment landscape. Whereas PayPal is beneficial on a retail website, the company is aiming to become a necessity for mobile shoppers.

Retail merchants regularly see an increase of no more than 10 percent after adding alternative payment methods – such as PayPal – to their ecommerce websites. Therefore, the often prioritize other features, such as new social elements, that may have a bigger impact on their bottom line. However, if PayPal can establish itself as a mobile payments powerhouse, it may see more universal adoption. 

"With growing mobile commerce though, adding alternative payment options for smartphones and tablets may prove more worthwhile for retailers than adding them to web sites. Sixty-five percent of experts believe most consumers will trust and almost fully rely on mobile devices for paying in stores and over the Internet by 2020," Internet Retailer adds, citing data from a separate study conducted by the Pew Internet Project.

Mobile reach

PayPal is positioning itself as a meaningful mobile payments solution as well. For example, PayPal Mobile Express Checkout enables users to bypass laborious form-filling and quickly purchase their goods – a key feature for reaching on-the-go shoppers.

Separate data from comScore notes that more than 100 million Americans have smartphones, many of whom browse the web or use apps. For both retail merchants and payment providers, this growing audience will be pivotal to the success of any mobile commerce initiatives.

The latest release of Retail Pro 9 has seen a complete reworking of its serial number management and tracking functionality. The enhanced dialog function can be utilized to filter the list of numbers by store or for a single number, view key information about serial number quantities and note any discrepancies, add or remove serial numbers, show active or inactive numbers and display relevant number histories.

Key changes made in Retail Pro 9 include serial numbers being tracked and stored at a store level, rather than the company level used previously, enhanced tracking and display functions, direct links to dialogs for viewing the number's document history, the ability to filters lists by store, company and filter numbers and flags that can be activated as necessary for greater security.

Retail Pro International is committed to providing its clients with the most usability in their retail software. The latest release of Retail Pro 9 highlights this with added functionality in terms of enhanced serial number tracking, reuse of UPC codes within a retailer’s inventory, and a centralized customer loyalty module.