How Integrated POS Tech is Helping Electronics Retailers

Electronics retail is big business. Really big business. Consumers just can’t get enough of devices that help them get better connected, entertained and informed – smartphones, TVs, laptops, tablets, wearables (smartwatches and fitness trackers), hearables (headphones, earbuds, speakers), cameras, gaming consoles, and extended reality (XR) devices.

For retailers selling consumer electronics, there’s opportunity, but there are still challenges, including:

• Stock planning– Consumer electronics moves fast. Today’s ‘must-have’ device is tomorrow’s ‘has been’. Retailers must have sales analytics that enable them to forecast demand so that they have enough of popular devices, but not so much that they are left with obsolete, unsaleable items.

• Inventory tracking – Being able to see in real time what stock is where (warehouse, DC or store), is essential, to get the right goods to the right place to make the sale.

• Showrooming – Shoppers usually start their electronics research online. Then they come into the store to see, touch and hear the product. But some then purchase from another retailer’s online store at a cheaper price – a practice known as showrooming; particularly rife in the electronics sector. With online sales accounting for 33.5% of total revenue in 2024, showrooming is a growing threat. Retailers therefore need strategies to ensure that once the shopper is in the store they capture the sale.

• Integrated delivery – Some electronics, like a large screen TV for example, need to be delivered, so electronics retailers must be able to easily arrange delivery as part of the sales transaction.

• Merchandising – in electronics, stores need space for showcasing products. With retail rents high and space at a premium, they must make the most of every square meter.

• Customer Engagement – Shoppers buying electronics often have questions and want advice from expert staff. So it’s essential that electronics retailers get to engage with customers as they’re browsing, or they’ll have frustrated shoppers heading out of the doors.

• Sales Optimization – the competitive nature of the electronics retail market and the rising price of products at wholesale (driven by global supply chain restrictions and geopolitical events) means tight margins, so streamlining retail operations to drive down cost is a priority.

• Warranty Management Returns – many consumer electronics products come with a warranty, managed by the retailer, so the store needs an efficient repair/replace returns process.

So we can see that electronics retail is challenging, but there is help at hand – in the form of integrated POS systems for electronics retail. Integrated retail POS solutions pull together all the retail technology an electronics retailer needs, on a single platform, streamlining electronics retail operations and enabling digital transformation. Here’s the benefits of POS systems for electronics stores:

• Electronics Retail Inventory Management Software – gives a single view of inventory in real time, so that retailers can ensure that they can get the right goods to the right place where the customer wants to see them and buy them.

• Sales Analytics and Data Management – to help retailers predict trends and plan for optimal levels of stock.

• Mobile POS – Arming associates with Mobile POS solutions means they offer customer engagement alongside the products. They have information at their fingertips about products, stock levels and location, and the customer’s browsing history. They can take the order, including cross selling and upselling to increase revenue, and arrange delivery – all without leaving the customer’s side. Mobile retail management solutions help to save valuable store space too, by reducing or even eliminating the need for fixed checkout aisles.

• Integrated Omnichannel Experiences– technology integration between online and offline stores offers seamless transactions that enhance the customer experience and reduces showrooming.

• Loyalty and Promotions – another powerful tactic against showrooming is to offer more in store – through promotions and loyalty programs. Integrated point of sale systems help retailers to capture customer data and use it to create engaging promotions, and to offer loyalty across their online and offline stores.

• Returns Management – POS software with tailored returns processing drives retail efficiency for warranty repairs and replacements.

Choosing the right integrated POS systems for electronics retail store can be the secret weapon in the race to stay ahead of the pack.

FAQs

What are the best techniques to combat showrooming?

Showrooming is when a customer comes into a retailers store to look at the products and gather information, then buys from another retailer’s online store at a cheaper price. The best tactics to ensure it doesn’t happen are engagement, value and loyalty. When associates engage with the shopper, with the help of mobile POS, they have the opportunity, after answering their questions, to take the order there and then, and capture the sale before the shopper leaves the store. They can offer additional value, such as an extended warranty or free delivery, and they can enroll the shopper in the loyalty program to encourage them to come back for their next purchase.

Why is it important to have a real-time, single view of inventory?

Why is it important to have a real-time, single view of inventory?
Let’s say a customer is in a store, looking at a TV. The store has the brand they want, but only in a 55 inch model. The customer really wants a 65 inch. The associate could simply try to ‘downsell’ the 55 inch, but risks losing the sale and even if they make the sale, they get less revenue. But if the associate can see that the 65 inch model is in the warehouse, or in a store in the next town, they can place the order and arrange for delivery to the customer’s home. Saved sale, increased revenue, delighted customer.

Content Sources:

Statista

FasterCapital