What Is POS in Retail? A Modern Definition Beyond the Checkout

More than a decade ago, answering the question "What is POS in retail?" was straightforward. The point of sale (POS) referred to a fixed checkout counter where customers queued, and a cashier processed payments using a countertop terminal. The shopping experience followed a single, linear path, a model that is now obsolete.

The modern retail POS is fluid, dynamic, and increasingly customer-driven. It's the strategic foundation for how customers engage, transact, and move across shopping channels. Consumers now buy in-store, online, in-app, at curbside, through self-checkout, or at pop-up locations, often blending these experiences with omnichannel processes, such as buy online, pickup in store (BOPIS).

Today's POS encompasses every possible interaction with customers, evolving into a distributed engagement and payment ecosystem that drives customer experience, operational efficiency, and growth strategy for retail leaders.

Mobile POS: Taking the Point of Sale to the Customer

Mobile POS reflects the shift from requiring customers to wait in line to taking transaction capabilities directly to the customer. Merchants now provide service at multiple points across the shopping journey, from assisted-selling to decision-making and fulfillment. For retail leaders, this evolution delivers measurable advantages, including:

• Immediate Transactions

  When sales associates can transact seamlessly when helping shoppers, friction disappears. It's critical as consumer patience continues to erode. Waitwhile reports that 40% of shoppers who avoid lines will abandon a purchase or go to a competitor, and impatience with waiting has increased by 126% since 2023. Mobile POS in retail directly addresses this risk to customer loyalty by eliminating unnecessary wait times.

• Data and Functionality, Anywhere

  Mobile POS platforms give associates full access to enterprise-grade capabilities anywhere in the store. Associates can check inventory, apply promotions, enroll customers, and complete transactions on devices powerful enough to run applications without latency. These systems are secure, resilient, and update retail management systems in real time.

• Increased Customer Satisfaction and Loyalty

  By meeting customers where they are, service becomes faster, more personal, and more efficient. In turn, this drives higher satisfaction, stronger loyalty, and ultimately better ROI. At its core, mobile POS in retail enables leaders to grow the bottom line by building more meaningful and personalized customer relationships.

• Transforming Payments into a Strategic Enabler

  Modern POS payment technology does more than process transactions. It gives retail leaders the agility to turn payments into a growth and operational efficiency driver. Solutions like SoftPOS enable secure, contactless tap-on-phone payments, removing the need for additional hardware and simplifying deployment. Today's retailers can roll out payment capabilities at scale, adapt to changing store formats and traffic patterns, and meet evolving customer expectations.

Self-Checkout: Meeting Customer Demands for Autonomy

Self-checkout has transformed the retail POS ecosystem, giving customers greater control and convenience. Consumer demand for autonomy is clear. According to CapitalOne Shopping Research, 73% of consumers prefer self-checkout, 79.3 percent use it regularly, and 61.4 percent rely on it for most or all of their purchases. For retailers, these numbers highlight a fundamental shift in customer expectations. POS in retail must now support fast, convenient, and intuitive self-service experiences without sacrificing engagement or operational efficiency. Retailers are optimizing self-checkout in several ways:

• New Priorities Are Replacing "Socialization" at Checkout

  Speed, convenience, privacy, and control now outweigh the desire for interaction with retail employees. eMarketer reports that the self-service trend is especially pronounced among Gen Z shoppers, who overwhelmingly prefer self-checkout. The POS in retail must adapt to meet these priorities without introducing friction or delays.

• Autonomy Doesn't Mean Sacrificing Great Experiences

  While autonomy decreases one-to-one human interaction, that doesn't mean brands can't prioritize great customer experiences. Modern self-checkout systems are designed to deliver intuitive, engaging experiences that keep transactions fast and friction-free through:

  • Touchscreen interfaces that make interactions easy and intuitive for data entry.
  • Well-designed user interfaces that guide customers step by step, from weighing produce to applying coupons or loyalty rewards.
  • Data-driven engagement that allows retailers to capture insights, personalize offers, and incentivize future purchases.

  When implemented strategically, self-checkout extends retail POS beyond the counter while delivering the experience customers expect.

Interactive Displays: Bringing Digital Experiences In-Store

Retail POS is increasingly blurring the line between physical and digital shopping experiences. Retailers are deploying interactive displays, including kiosks, video walls, tables, monitors, and digital whiteboards, to create immersive, technology-enabled experiences within brick-and-mortar environments. The momentum is clear: S&S Insider projects that the interactive display market, valued at $48.70 billion in 2024, will reach $90.68 billion by 2032.

Interactive displays represent one of the clearest examples of how modern POS in retail influences transactions throughout the store, in real time, and at scale. The opportunity to create immersive experiences is significant. When paired with AI and data analytics, interactive displays can personalize content as dynamically as online platforms, bringing digital-level engagement into the physical store.

For example, an interactive kiosk in a fitting room can recommend complementary items or accessories based on what a customer is trying on and their purchase history, increasing the likelihood of higher ticket sales. In sporting goods or home improvement departments, displays can provide "how-to" guidance or virtual demos that recommend the exact products needed and direct customers to their location in the store.

Finally, interactive displays can support immediate transactions, creating a seamless path from inspiration to decision to payment, and reinforcing POS in retail as a distributed engagement and payment ecosystem.

Online Purchases: Enhancing Omnichannel Experiences

Answering "What is POS in retail?" now requires admitting it's not a single "point." A purchase rarely begins and ends in the same place. Today's consumers seamlessly blend their shopping experiences across channels. While U.S. Census Bureau data shows about 16% of retail sales occur online, fulfillment increasingly happens through in-store pickup. As a result, retail POS has evolved to power these experiences, giving associates real-time visibility to track, fulfill, and modify omnichannel orders efficiently, with minimal friction. Additionally, online transactions often continue in-store, creating opportunities for increased revenue. For example, CapitalOne Shopping Research reports that 44% of grocery shoppers add items when they pick up an online order.

Terminal POS: Modernizing the Checkout

Even as retail expands beyond traditional counters, the POS terminal remains a critical touchpoint, although retailers are reimagining it as a hub for engagement, transparency, and personalized service. Modern terminals feature customer-facing screens that display dynamic content, from promotional offers to interactive ads, keeping shoppers engaged while they wait. AI-driven systems tailor that content to individual preferences, creating relevant, timely opportunities to influence purchasing decisions.

In-store terminals also support alternative payments, including choices for how to pay, for example, enabling buy now, pay later payments in-store, and which payment methods they use, like mobile wallets or bank transfers. Beyond transactions, retail POS systems now play an active role in loyalty and customer engagement strategies, identifying high-value shoppers, streamlining rewards redemption, and providing instant account access. By optimizing this part of the customer journey, retailers turn a once-passive moment into a strategic opportunity to increase satisfaction, drive incremental sales, and strengthen loyalty.

Choosing Leading Solutions for POS in Retail

Touchscreens are at the heart of today's POS in retail, serving as the interface for transactions, engagement, and customer interactions across channels. Elo offers the largest lineup of retail touchscreens, supporting mobile POS, self-service, and BOPIS experiences, giving retailers the flexibility to meet customers wherever they shop.

Beyond displays, Elo provides peripherals that enhance every interaction, from payment card readers to fingerprint scanners and cameras, enabling a seamless, secure, and personalized experience. Built on an Android-based platform, Elo's solutions give retail leaders the tools to integrate mobile, self-checkout, and traditional terminals into a unified system.

With Elo at the center of your retail POS ecosystem, retailers can manage the full spectrum of engagement and payment touchpoints efficiently, driving both operational performance and customer satisfaction in today's distributed retail environment. Ready to turn retail POS into a strategic advantage for your operation? Start a conversation today.