Critical Issues...
Critical issues affecting the retail supply chain and in store technology

With Valentine's Day delivering a much needed spike in sales for many retailers, experts are urging retailers to explore the seasonal nature of their business and seriously evaluate whether their existing EPOS provision is giving them the best chance of surviving the often extreme peaks and troughs of the current retail environment.

 
Following on from the Christmas rush, 14 February was the next big calendar date that had many retailers basking in the soaring sales. Reports suggest that consumers will have spent an average of £1.6 billion* on gifts such as chocolates, flowers and jewellery along with other forms of traditional Valentine's gifts. However, trading periods are not always like this and a period of quiet could follow for many, along with the worry of how to manage continued costs when the sales peak ends.
 
Scott Storey, MD of CTS Retail is advising specialist retailers to take some time out to look at ways in which they can profit in the peak and save in the slowdown, one of which may be to adopt a Pay As YOU Go EPOS solution, something which is being coined as the 'next generation in EPOS Technology,.'
 
"Retailers affected by such seasonal trends have a huge challenge on their hands, combining the need to have the right EPOS systems in place to deliver sales during busy periods, with the fact that they don't need to pay for that extra provision all year round.  Most EPOS solutions work on a fixed fee basis, which means if a retailer needs 3 tills during their busiest period, but only 1 for the majority of the year, they'll still need to purchase 3 annual licenses," explains Scott.
 
Scott believes that for retailers who experience seasonal highs and lows in sales, a pay as you go EPOS solution could be the answer and solution they need to help with the flexibility of fluctuating sales. Scott reveals that solutions like Cervello, the only EPOS system to work on a zero license fee and cost per transaction model, provide the flexibility needed to avoid expensive fixed monthly costs and better align outgoing costs with incoming revenue by only paying when sales are made.
 
"By opting for a PAYG model, any retailer affected by seasonal trends will not have to find the same IT spend during the quiet periods as they do in the peaks, which is a major benefit when looking for ways to better align costs to the sales and just keep in business, bearing in mind the unpredictable nature of the industry at the moment," explains Scott.