Consider you’re a bar manager facing a Friday night rush. You're feeling the heat. Customers are impatiently waiting for their drinks. Your bartenders are fumbling orders. To make matters worse, your POS system is malfunctioning. It’s an all too common scenario that can happen when you choose the wrong POS system for your bar.

Exploring reliable POS systems for bars can help you find one with features like quick order processing and real-time inventory updates, ensuring smoother operations even during the busiest times. The cost of a POS system for bars goes beyond its price tag. An efficient system will improve operations and save your bar money.

On the other hand, a malfunctioning, outdated POS will hurt your bar's performance and lead to costly mistakes. But, how to choose  point of sale system? In this guide, we will help you understand the actual cost of POS systems for bars to help you make a more informed decision when choosing a system for your business.  You'll also discover actionable strategies for selecting an affordable solution that improves operations while maximizing savings.

The POS Exchange offers a range of affordable POS systems for bars. Our products streamline operations and improve bar performance by reducing costly human errors and speeding up transaction times. 

What Is a Bar POS System?

A bar POS system is an application that processes and controls the operations of a bar. Since the functioning of a nightclub, pub, and brewery is quite similar to that of a bar, the point of sale systems for bars also fit them to manage operations. The bar POS automates order taking, transaction processing through debit or credit cards, selling on-demand drinks like cocktails and mocktails, inventory management, and other regular operations. In the past, a point-of-sale system would be a cash register, sometimes with a printer or scanner. 

It didn’t “know” the products’ costs and required the person operating to enter the purchased items’ prices manually. With the growth of bar and restaurant technology, a POS system has advanced further to do more than simply ring up items sold and print receipts. At its most complex, a POS system is an all-in-one purchasing and reporting software that enables you to work with every aspect of bar management. And that's what most bar owners and operators are looking for. 

Why Do Bars Need A POS System? 

You can run your bar with old-fashioned cash registers or traditional pen and paper. But having a modern system can be a massive help to your business. A POS system can streamline the communication between different parts of your bar. It can cut down the time your staff spends on entering orders and reduce transactional errors, which are deadly to your business. 

On top of that, some POS systems remove the need to struggle with a manual variance formula. They help you monitor your liquor, manage your inventory (to avoid the 86 meaning), and improve your inventory control. That way, you don't need to manually calculate how many shots are in a handle. 

In general, if you are the heart and soul of your business, a good point of sale system can be the brain. The best offers features, such as fully customizable to fit your bar’s needs. It is vital to have a POS system that is easy to use and fully customizable. That's because your bar’s operation can change based on various factors. Your staff shouldn’t struggle to find a tequila substitute for margaritas on a busy night because your POS should make knowing what you need easy.

Additionally, the system must be designed to handle a large volume of orders simultaneously. No one has time to waste in a fast-paced environment like a bar, especially during a big game night or a Happy Hour rush. 

Mobile and Contactless Integration 

Nowadays, your bar staff and bartenders need to spend time interacting with your guests. Customer service certainly falls under the bar staff and bartender job description. That's how your service is being evaluated. And with a mobile POS, your staff are not stuck behind the bar entering orders. They can chat with guests and help them place the perfect order. This is also an excellent way for them to increase check size (by making recommendations and upselling premium liquor) and increase tips. 

Easy Menu Management 

There will be multiple special occasions for which your bar must carry menu specials, such as Game Day or Happy Hour Specials. Many places have different menus, even digital wine lists, that must be accounted for. Therefore, we recommend looking at cloud-based systems that can keep up with all the special occasions and allow you to adjust your menu quickly.

Related Reading

• POS System Features
• Compare POS Systems for Retail
• Portable POS System
• What Is the Best POS System for Small Business?
• Things to Consider Before You Buy a POS System

What Is the Average Cost of a POS System for a Bar?

Hardware Costs: The Backbone of Your POS System

The hardware you choose for your POS system is essential for handling customer orders, processing payments, and managing transactions. Here’s a breakdown of what to expect in terms of hardware costs:

POS Terminals

The terminal is the core component of your system. It’s typically a touchscreen monitor or tablet where orders are entered and processed. Basic terminals start at around $500, but higher-end systems with more advanced capabilities can cost $1,000 to $2,000 each. 

Mobile Devices

Mobile POS devices, such as tablets or smartphones, are increasingly popular in bar settings, allowing servers and bartenders to take orders directly at the table. These devices typically cost between $300 and $1,500 each. 

Receipt Printers and Cash Drawers

Receipt printers are essential for completing transactions, ranging from $100 to $500, while cash drawers are typically priced between $150 and $300. 

Card Readers and Payment Terminals

To accept secure payments via credit cards, mobile wallets, and other digital payment methods, expect to pay between $100 and $500 for an EMV-compliant card reader.

Software Costs: What Features Do You Need? 

The software that powers your POS system provides the necessary functionality, from tracking sales and managing inventory to handling payroll and reporting. The software cost can vary depending on the subscription model and the features you require. 

Subscription-Based Software

Most modern POS systems for bars operate on a subscription basis. Monthly fees generally range from $50 to $300, depending on the features included, such as reporting, analytics, inventory management, and employee scheduling. 

One-Time Software License Fees

Some POS systems charge a one-time fee for the software license, which typically ranges from $1,000 to $5,000. However, remember that additional costs for updates and customer support may apply. 

Add-Ons and Upgrades

Many POS systems offer advanced features as add-ons, such as loyalty programs, advanced reporting, or customer relationship management (CRM) tools. Depending on your chosen features, these can cost an additional $100 to $500 per month.

Setup and Installation Costs: Professional Assistance 

While some POS systems are easy to install and set up independently, others may require professional installation, especially if they involve complex integrations or multiple terminals. 

Installation Fees

Professional installation services typically cost between $500 and $1,500, depending on the complexity of the setup. 

Training Costs

Many POS providers offer training services to ensure your staff is well-versed in using the system. Training costs can range from $100 to $500 per session, depending on the number of staff and the system’s complexity. 

Ongoing Costs: Maintenance and Support 

After the system is up and running, ongoing costs, such as support and software updates, must be considered. 

Support Fees

Some POS providers include customer support as part of the subscription, but others may charge an additional fee for support services, typically ranging from $50 to $200 per month. 

Maintenance and Upgrades

You may need to pay for maintenance and repairs using proprietary hardware. Maintenance fees for POS hardware can range from $100 to $500 per year. 

Transaction Fees

Payment processing fees for credit card transactions usually cost around 2% to 3% per transaction, though some providers offer flat-fee models. 

Typical Price Range for POS Systems for Bars 

The cost of a POS system for your bar will depend on the system’s features and your bar’s size. Here’s a breakdown of the price ranges you can expect for different types of POS systems. 

1. Basic POS Systems (Small Bars and Pubs) 

A basic POS system will likely meet your needs if you run a small bar or pub with simple operations. These systems provide essential features like order taking, payment processing, and minimal inventory tracking. 

• Price Range: $1,000 to $2,500 
• Features: Basic order management, simple reporting, payment processing, and limited inventory tracking. These systems are typically sufficient for small-scale operations but lack advanced features for larger or more complex businesses. 

2. Mid-Range POS Systems (Medium-Sized Bars) 

A mid-range POS system is the best choice for bars that require more functionality and have moderate traffic. These systems offer advanced features such as detailed reporting, inventory management, and employee tracking. 

• Price Range: $2,500 to $5,000 
• Features: Advanced inventory management, customizable reporting, employee scheduling, and analytics. Mid-range systems are suitable for bars with a steady stream of customers that need more insights and control over operations. 

3. High-End POS Systems (Large Bars and Multi-Location Chains) 

High-end POS systems are ideal for large bars, multi-location businesses, or high-volume bars that need extensive features for managing customer interactions, inventory, and complex financial reporting. 

• Price Range: $5,000 to $10,000+ 
• Features: Customizable reporting, multi-location support, customer loyalty programs, advanced analytics, employee management, and integration with third-party software. These systems are robust and flexible, designed to scale with large businesses, and provide detailed insights for effective decision-making. 

Additional Costs to Consider When Choosing a POS System for a Bar 

While the initial investment in hardware and software can be significant, it’s critical to consider the ongoing bar POS system cost when budgeting for your bar’s point-of-sale setup. 

1. Payment Processing Fees 

Every time a customer pays via credit card, the POS system charges a payment processing fee, usually between 2% and 3% of the total transaction amount. For bars with high sales volumes, these fees can add up quickly. 

2. Upgrades and Future Expansion 

As your bar grows, you may need to upgrade your POS system to accommodate additional terminals, new locations, or more advanced features. Some POS providers offer modular systems, allowing you to add features as your business needs evolve. Keep in mind that these upgrades often come with additional fees. 

3. Customization Costs 

Some bars may need a more customized POS solution to meet their specific needs (e.g., advanced inventory systems, menu integration, or specialized reporting). Customization costs can range from $500 to $2,000, depending on the customization required. 

Related Reading

• POS Restaurant Management System
• Restaurant POS Comparison
• Stripe POS
• Best POS System for Takeaway
• Chinese Restaurant POS System

How to Choose the Best POS System for Your Bar

Efficient Operation: Quality Bar POS Systems Help Prevent Bottlenecks

Speed and reliability are crucial when it comes to bar point-of-sale systems. A quality bar POS system ensures swift and smooth transactions, minimizing wait times and enhancing customer satisfaction. Speed is crucial, especially during peak hours, where every second counts. 

An intuitive, user-friendly interface is also essential; it helps your staff navigate orders and menus effortlessly. A design reduces training time for new employees and minimizes the risk of errors. Lastly, technical glitches can happen at any time. Access to round-the-clock customer support guarantees that assistance is just a call away, ensuring uninterrupted bar operations. 

Transaction Management: Manage Tabs and Split Checks With Ease

Bars are known for their fast-paced, chaotic environments. The right bar POS system can help you provide quick, efficient customer service, even when your bar is packed. Look for a system that makes transaction management simple. For example, managing tabs, split checks accurately, and applying promotions smoothly are vital for customer service. 

It prevents confusion and ensures that every transaction reflects the customer's preferences and discounts accurately. You should also look for a bar POS system that offers payment preauthorization for credit and debit cards. Preauthorizing payments for credit and debit cards streamlines the checkout process, reducing the chances of declined transactions and ensuring a smooth payment experience for customers. 

Menu and Inventory: Track Stock and Manage Menu Items Efficiently

An excellent bar POS system can help you manage your inventory and menu. Efficient inventory tracking prevents wastage and optimizes stock levels. Real-time updates on inventory status enable timely reordering and help curb losses due to overstocking or understocking. Dedicated bar and liquor inventory management features, including tracking bottle levels and calculating pour costs, allow bar owners to make informed decisions about their stock. This data-driven approach is essential for profitability. 

In addition, bar POS systems can help you manage your menu. Look for a system that allows you to update and modify your menu items quickly, including descriptions and prices, to promptly reflect seasonal changes or new offerings. Customization features let customers personalize their orders, specifying preferences or dietary restrictions. 

A customizable menu caters to a broader customer base. Furthermore, automated daily drink specials and happy hour management simplify promotional activities. Bar POS systems should allow scheduling these specials, ensuring timely activation and deactivation without manual intervention. 

Staff and Customer Support: Minimize Employee Stress and Improve Customer Service

Bars are notorious for their high employee turnover rates. An excellent bar POS system can help reduce the stress on your current staff and make onboarding new employees easier. Comprehensive staff management tools, including shift scheduling, time tracking, and performance analytics, ensure optimal utilization of human resources. Tracking staff performance allows for targeted training and recognition of high-performing employees. 

User access permissions let you define access permissions based on roles. Limiting access to sensitive functions ensures that staff members can only access features relevant to their roles. This minimizes the risk of unauthorized access and misuse of sensitive information. Lastly, choose a bar POS system provider with excellent customer support. Quick resolutions to issues and access to a knowledgeable support team are invaluable for uninterrupted operations. 

Business Insights: Use Reporting Tools to Make Data-Driven Decisions 

Bars operate on razor-thin profit margins. Tracking business performance and making data-driven decisions are crucial for long-term success. Bar POS systems can help you monitor sales patterns, track inventory, and identify customer preferences: access comprehensive reports and analytics on sales, customer behavior, and inventory. Data-driven insights allow you to make informed decisions, identify trends, and plan your business strategies effectively. 

Promotions and Payments: Look for Flexible Features and Payment Options

Bar POS systems facilitate the swift management of promotions and payments to enhance customer satisfaction. First, a bar POS system should allow easy modification of pricing and terms for menu items and promotions. Quick adjustments enable bar owners to respond swiftly to market demands and competition. Integrated promotional tools, such as discounts, loyalty programs, and happy hour deals, enhance customer engagement and retention. Automation of these promotions ensures accuracy and saves staff time. 

Lastly, with the rise of digital transactions, a bar POS system must support various payment methods, including contactless payments, mobile wallets, and online payment gateways. Catering to diverse payment preferences enhances customer satisfaction and convenience. 

Mobility and Organization: Improve Communication and Efficiency 

Mobile POS, such as tablets and handheld devices, allow staff to take orders and process payments directly at the customer's table. This mobility enhances customer service, reduces wait times, and boosts operational efficiency. Efficient table management features enable staff to organize seating arrangements effectively. 

Visualization of available, reserved, and occupied tables aids in maximizing seating capacity and optimizing customer flow. Speed screens display real-time orders and allow bartenders and kitchen staff to prioritize and prepare orders efficiently. This visual aid prevents bottlenecks and ensures that orders are fulfilled promptly. Tab management features allow bartenders to keep track of open tabs, including individual orders and running totals. This functionality provides accurate billing and prevents discrepancies in customer payments. 

Other Essential Features: Look for Cash Management Tools and Data Security

Your bar POS system should provide secure cash handling capabilities, including features for opening and closing the cash drawer, recording cash transactions, and conducting regular audits. This ensures accountability and minimizes the risk of errors or theft. In addition, ensure the bar POS system you choose can smoothly integrate with other systems, such as accounting software, reservation platforms, and online ordering systems. 

This enhances overall operational efficiency. It eliminates the need for manual data entry, reduces errors, and provides a cohesive view of business processes. Lastly, protecting customer data and ensuring compliance with data security standards (such as PCI DSS) is non-negotiable. A bar POS system should employ robust encryption techniques, regular security updates, and secure payment gateways to safeguard sensitive information and maintain customer trust. 

Related Reading

• POS Cash Register
• Top POS Systems
• Squarespace POS
  
• POS Terminal
• Tablet POS

Book a Free Demo with POS Exchange to Learn about Our Customized POS System Solutions Today.

The POS Exchange brings over 20 years of restaurant expertise, serving 200,000+ merchants and processing billions annually. Our tailored POS system solutions help businesses speed up checkouts by 30%, implement dynamic pricing, and manage customer reviews while reducing overhead. 

Perfect for full-service restaurants, pizza shops, coffee houses, and multi-location enterprises. We offer end-to-end service, from brilliant consultation and interactive demos to local installation and 24/7 support. Our mobile iPad POS systems streamline operations with features like order management, bill splitting, and inventory control. With integrations for business management tools and advanced security measures, we ensure your POS system grows with your business. 

Trust our expertise to help you avoid the common pitfall that affects 38% of new business owners who choose the wrong POS system. Whether managing a busy restaurant, a local café, or operating a multi-location business, The POS Exchange delivers customized POS system solutions that tell your unique business story. Book a free demo with POS exchange to learn about our customized POS system solutions today.

‍