Point of Sale Software Developers in the US
Facilitating transactions at physical retail locations has proven to be a lucrative business model for Point of Sale (PoS) software developers. High consumer spending in recent years has pushed revenue to increase at a CAGR of 7.4% to reach $10.7 billion with 20.9% profit, despite a 0.4% contraction...
Saved in:
| Format: | Market Research |
|---|---|
| Language: | eng |
| Subjects: | |
| Online Access: | Request full text |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| Summary: | Facilitating transactions at physical retail locations has proven to be a lucrative business model for Point of Sale (PoS) software developers. High consumer spending in recent years has pushed revenue to increase at a CAGR of 7.4% to reach $10.7 billion with 20.9% profit, despite a 0.4% contraction in 2023. These developers have benefited from a growing reliance on computers in consumer-facing markets, including retailers, wholesalers and hospitality and food service businesses. The emergence and adoption of new technologies and the changing retail landscape have also boosted revenue growth as companies replace terminals to enable various technology advancements. Near-field communications (NFC), self-checkout counters, sensors, data analytics and the integration of point of sale (PoS) systems with backend software systems have provided the industry with a platform for robust growth. Furthermore, concerted efforts focusing on small businesses have given them similar tools to the largest players, giving them payment systems to run on tablets and even off-the-shelf phones.
COVID-19 accelerated the adoption of this technology. Although contactless payment options had been increasing before the pandemic, safety measures enacted during 2020 and 2021 accelerated the shift to a digital transformation as consumers sanitized their shopping behaviors. While initial fears about spreading the virus through cash transactions spurred the shift from cash to cashless, digital payments' convenience, ease and security has proved valuable to consumers and businesses and secured its foothold. But this growing cashless trend has also empowered online services and fee-free peer-to-peer payment, which bypass the need for PoS terminals and the revenue they generate.
As the world moves into a potentially turbulent economic future, PoS revenue is still expected to increase at a dramatically lower CAGR of 1.1% to $11.3 billion. PoS software developers will be marked by increased concentrating activity as they seek to diversify and innovate existing software portfolios, constraining profit growth. Additional challenges in hiring skilled developers and securing vast databases of payment information will require intense innovation. Nevertheless, PoS systems will continue to act as a vital bridge in the economy, moving billions of dollars in millions of transactions daily. |
|---|