Convenience stores are anticipating tobacco sales for the upcoming year, 2022, and retailers are getting ready for the potential chill of regulatory headwinds. With the prevailing situations, consumers are expecting another wave of pandemic-related supply chain problems, causing many to begin hoarding tobacco products, such as cartons and cigarettes.
With “stay-at-home” conditions expected to continue, consumption of tobacco products has increased exponentially in almost all categories, save for vapes. The reason for this is partly due to consumers being able to smoke freely in their homes without being subject to the restrictions imposed in many public places. Consequently, as a result of this, demand from convenience store owners for tobacco products has now increased, causing shipping delays from many major distributors.
The trend towards increasing demand from retailers for tobacco products is also one that has been taking place for some time now; as recently as 2019, tobacco market penetration in the African, Asian, and American markets has risen by about 30%, and the tobacco industry is actually expected to convert into a 1.08 trillion-dollar industry by 2027. In this way, with demand rising and new regulations and supply shortages expected to come in the future, these changes will transform the way businesses manage their operations and communicate with customers.
In this blog, we will discuss how tobacco POS solutions can help businesses to find success and navigate through these uncertain times.
How can POS software prove beneficial for the tobacco industry?
Over the past decade, a lot of innovations have taken place in tobacco stores business solutions, and the path of evolution has come a long way from the days of traditional price-tag systems. Now, with modern tobacco shop POS software, store owners can find tremendous benefits from features such as smart customer tracking, inventory management, digitized product scanning, customer loyalty, and more. With modern retail point-of-sale systems, store owners can simplify operations by efficiently managing resources and by engaging customers in all-new ways.
How Important is it for Store-owners to have a POS?
Having a modern POS system in place is beneficial for tobacco shop owners because it can help to streamline business operations in a hassle-free way.
- Integrated Inventory Management
With the help of a tobacco store point of sale system, store owners can keep track of everything related to inventory, from automating order tracking to creating and managing purchase orders, to managing vendors, real-time data reporting, and much more.
- Customer Experience
Cigar stores can enrich the customer’s experience by offering personalized pricing on cigars, giving access to cigar lounges by offering rewards programs. It can be achieved by using an advanced retail POS system with a built-in loyalty feature
- Reward Loyalty Points
With a POS system, owners can populate a customer database and reward loyal customers on their purchases. Cashiers can also capture customer information in their POS and customers can redeem rewards.
- Permission Levels
By giving limited access to cashiers, you can ensure that your stock is safe. It can help to eliminate stock theft issues.
- Barcode Scanning
Whether it be offline or online, tobacco retailers who provide a comprehensive range of products can benefit from using a tobacco POS system in the tobacco industry. With POS, you can accurately track inventory across different online or offline locations in real-time; you can also simplify the checkout process with the barcode scanning feature, which allows cashiers to focus on other activities like upselling, cross-selling, and communicating with customers to improve their in-store experience.
- Age Verification
Abiding by regulations is how tobacco retailers stay in business, and selling adult products to minors is a fast way to get your license revoked. Fortunately, with automatic ID scanning and age-verification technology, store owners can ensure that customers are of legal age prior to making a purchase.
- Report Generation
Analyzing your business is important before making any big decisions, and with a POS system, you can generate and export different reports sales, customers data, inventory, profits, employee performance, and much more.
- Price Change
With POS, you can stay up to date on price changes in real-time, as well as change prices across stores from a single location. Doing this can not only help you to maintain price consistency across stores but also avoid discrepancies at the time of billing.
- Digital Signage Solutions and Management
With digital signage solutions, it becomes easy for tobacco store owners to educate and inform customers about their products, deals, and promotions. Content on digital signage can also be updated anytime and from anywhere using FTx Control Center, which can easily change digital menus and display images from a single location.
Over to You
With tobacco store POS solutions, you can simplify daily business operations that drive business success, and for this reason, it makes sense to invest in a modern POS system: to increase tobacco sales and empower your business to grow quickly in a saturated market.
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The tobacco industry is expected to boom into a 1.08 trillion-dollar industry by 2027. It goes without saying that this exponential shift will bring an enormous change in the way businesses to perform transactions and interact with their customers.
In this article, we’ll share our thoughts on POS for tobacco stores, facts, and benefits of using POS systems in tobacco store, cigarette and cigar shops, and provide our suggestions for one of the best POS software for tobacco stores.
Understanding The Need For A POS System For A Tobacco Store
(A system that eliminates extensive costs for a business)
Point-of-Sale (POS) systems have gone through pivotal change over the past decade. From the conventional price tag system, cash registers, and hand-written invoices, the road to evolution has been a long one.
In one of the most recent reports released by McKinsey; The 2020 Global Payments Report talks about a sharp decline in traditional payment methods. The tobacco industry especially, chartered into unknown waters of a modernized POS system since the consumption of cigars, cigarettes, nicotine patches, and other tobacco products skyrocketed. A tobacco shop POS system encourages exponential growth for the owner using smart customer tracking, streamlined inventory management, digital product scanning, customer loyalty, and more!
According to the Federal Trade Commission’s Cigarette and Smokeless reports, tobacco companies paid over $7.2 billion in 2018 to promote the sale of products through POS marketing in the US. It only goes to show how much tobacco store POS systems are simplifying operations, engaging customers, and efficiently managing the resources at hand.
Why Are POS Systems For Tobacco Shops Important?
(A POS system for cigar, cigarette, and tobacco shops that goes a long way)
Tobacco penetration in the Asian, American, and African markets have increased by almost 30% since 2019.
Having a modern POS system for a tobacco store that sells cigarettes, cigars or vapes is a smart choice for business owners. We’ve created a list (see below) of the most important “Whys” for tobacco store owners to refer to when determining what types of POS systems to choose. Take a look:
- A tobacco store POS system accurately manages inventory for the owners. Whether a distinction between flavored cigarettes and regular cigarettes is to be made or redeeming reward points for a frequent customer, a POS for tobacco wholesale business or retail business is a smart choice.
- A POS for cigarette and tobacco stores helps the owner create and maintain a genuine database of customers. It allows the owner to automatically reward existing customers or attract new ones via loyalty programs or reward point schemes.
- POS system for cigar stores enriches the customer’s experience. Cigar smoking is an art of indulgence for many. Cigar smokers would be interested in logging their experiences, enjoy personalized pricing on cigars, and get access to a premium cigar lounge through their rewards program. That’s all possible with a modernized POS system with built-in-loyalty.
Top Rated POS Systems That Are Popular in Tobacco Industry For Boosting Sales
(Hint: You’ve probably heard them before.)
When looking for a POS system for a tobacco, cigar, or cigarette store, owners must look at robust, intelligent, and user-friendly technologies. Here’s a list of best POS software for cigar stores that owners can choose from:
- FTx POS System
- KORONA POS
- LightSpeed POS
- Square POS
- Bindo POS
- Clover POS
- POS Nation
Are you considering changing, upgrading, or adapting a new POS system for your tobacco store? We have a team of technology experts in the tobacco industry who can help you find the best POS software for your tobacco store. If smart inventory management, personalized loyalty solutions, and access to your POS sales data are things your business is looking for, then FTx Global and its subsidiaries are what you need.
Give us a call or fill out our contact form to see the seamless technology experience you can have with our full suite of tobacco store retail solutions.