POS Systems Top End Users' Wish Lists
For the next four years, POS hardware shipments are expected to increase 5.8% annually, leading to more than $3.2 billion in 2006. Are you prepared to take advantage of retailers' hardware demands?
Are you aware of your POS hardware sales potential? Lately, many of the conversations I've had with vendors and VARs have focused on the need for retailers to update their POS hardware and OSs (operating systems). So, it came as no surprise that research firm Venture Development Corp. (VDC) predicts U.S. shipments of retail automation hardware to increase annually by 5.8%, reaching more than $3.2 billion in 2006. VDC expects this boost to be driven by replacements of and upgrades to aging POS systems.
Take Advantage Of Expired Life Cycles
The last buying frenzy of POS equipment occurred during the years leading up to Y2K. Systems that were purchased then are reaching the end of their life cycles. Operating on POS systems that were installed prior to Y2K limits end users because many applications won't run on Windows 98 or older versions of Windows. However, retailers are demanding more out of their POS systems. To take advantage of advances in wireless POS, real-time database applications, and multichannel retailing tools, retailers will need to upgrade their current systems. This opens up sales opportunities for POS VARs. So, what are you doing to prepare for the demand expected over the next four years?
Position Your Business For Future Sales Opportunities
There are several strategies that you can adopt to snag part of the POS pie. Revisiting your current base of installations is the best place to start. Pay a visit to your clients with older systems and demonstrate that their systems won't allow them to take advantage of emerging technologies. Then consider your marketing approach. How are you promoting your company and the products you carry? Are you approaching your prospects with a business solution or a box full of hardware? Also, word of mouth might drum up some new business, but it's not a proactive approach. Get involved with industry organizations, like your local and state restaurant associations or the ICRDA, where you can network with prospects in need of your services. Lastly, you also need to position your company as one that integrates applications that can improve a retailer's overall store operations. These strategies will help you position yourself to take advantage of the demand for POS hardware.