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Point of Sale Technologies to Watch in 2025

Point of Sale Technologies to Watch in 2025

Posted: May 30, 2025 | Updated:

As we enter 2025, point-of-sale (POS) systems—the tools businesses use to complete sales transactions—are evolving quickly. Modern POS platforms are no longer cash registers; they are smart, connected hubs that blend hardware and software innovations. From a bustling retail boutique to a popular restaurant (and even hospitals and hotels), POS technology is shaping customer experiences and streamlining operations.

In this blog, we’ll explore the top POS tech trends to watch in 2025, focusing on the retail and restaurant sectors and how other industries like healthcare, hospitality, and service businesses are embracing them. Each trend is backed by insights from recent reports and expert articles, highlighting how these technologies boost customer convenience, business efficiency, and revenue.

Top 8 POS Tech Trends to Watch in 2025

Cloud-Based POS Systems Go Mainstream

top POS Tech Trends - Cloud-Based POS

In 2025, cloud-based POS systems have moved from cutting-edge to the new normal. Unlike traditional on-site POS that locks data in a back-office server, cloud POS solutions securely online store sales and inventory information – accessible from anywhere. This means a store manager can check real-time sales across multiple locations, or a restaurant owner can update the menu on all terminals from home.

It’s no wonder analysts predicted cloud POS would dominate the market by 2025​. The global cloud POS software market was valued at $2.24 billion in 2020 and is on track to reach $13+ billion by 2028​, reflecting how rapidly businesses embrace this flexibility.

But why are cloud POS systems so popular? Key advantages include:

  • Remote management and real-time updates: Owners can monitor sales, inventory, and even employee performance across all stores in real time from any device with internet access. For example, Shake Shack uses a cloud POS to manage orders and inventory consistently across its global outlets​.
  • Lower upfront costs and easy setup: Cloud POS often works on off-the-shelf hardware (like tablets or PCs) with software as a service. Businesses can install an app or use a web browser​to avoid expensive dedicated terminals. Instead of hefty upfront fees, many cloud POS charge a subscription, allowing even small retailers to access advanced tools without breaking the bank.
  • Automatic updates and scalability: Because everything runs through the cloud, software updates roll out automatically, and adding a new store or terminal is plug-and-play. The system grows with your business, whether you’re a single boutique or a fast-growing franchise.

All of this translates to efficiency. Retailers and restaurants using cloud POS spend less time on IT maintenance and more time serving customers. And it’s not just retail and dining—hospitality venues and even healthcare providers appreciate cloud POS for multi-location coordination. A hotel group can oversee all its property gift shops centrally, and a healthcare clinic network can ensure consistent billing processes across offices. With cloud systems projected to make up over half of the POS market by mid-decade​, it’s clear this trend is here to stay.

Mobile POS Puts Sales in the Palm of Your Hand

top POS Tech Trends 2025 - Mobile POS

Mobility is another huge theme in 2025’s POS trends. Mobile POS refers to using tablets or smartphones as checkout devices, freeing staff from the fixed cashier counter. This has been a game-changer in retail and food service. Imagine a clothing store associate who can check you out on a tablet right in the aisle or a restaurant server using a handheld device to take orders and payments tableside – no more running back and forth. This convenience is boosting both customer satisfaction and sales. According to one industry survey, 43% of businesses not already using mobile POS planned to deploy POS software on mobile devices​, highlighting strong interest in going cordless.

Tablets and handheld printers turn anywhere in a store or restaurant into a checkout counter, as seen with this tablet POS showing real-time sales insights. Mobile POS devices like these give staff flexibility and instant access to data, improving service speed. Retail giants and small shops alike are adopting mobile POS.

Apple Stores famously armed employees with iPhones to ring up customers anywhere in the store years ago. Everyone from big-box retailers to local boutiques is doing the same to eliminate checkout lines. In restaurants, mobile POS (like Toast’s popular handhelds for waitstaff) let servers swipe cards or tap phones right at the table, so diners never have to flag someone down for the bill. This speeds up table turn times and often increases sales. Restaurants that use mobile ordering and payment systems have seen a 9% boost in average check size​ – likely because it’s so easy for customers to add that extra item or dessert on a device.

Faster service and small upsells mean higher revenue and tips, a win-win for businesses and staff. Other industries are taking note. Hospitality venues use mobile POS for pop-up bars at events or poolside service at resorts. Healthcare providers are beginning to use tablets for bedside bill payment and check-out, bringing the payment process to the patient for comfort and speed. And many service businesses – from salon stylists to food trucks – rely on a phone or tablet with a card reader (think Square or Clover mobile readers) to take payments on the go.

The mobile POS terminals market was valued at around $36 billion in 2024 and is projected to triple by 2030​, reflecting how ubiquitous this tech is becoming. In short, cutting the cord from the cash register lets businesses bring the checkout to the customer, wherever they are, and that convenience is driving higher satisfaction and sales.

Contactless Payments Become the Norm

POS Tech Trends 2025 - Contactless Payments

Contactless payments, such as tap-to-pay cards and mobile wallets like Apple Pay and Google Pay, have become the norm. Once a novelty, they are now expected at most POS terminals. Shoppers appreciate the speed and convenience, while businesses benefit from faster checkouts. For example, Starbucks uses NFC-enabled POS readers, allowing customers to pay by tapping their phone or smartwatch, reducing wait times during busy hours.

This trend extends beyond retail and dining. In 2024, 92% of US consumers used some form of digital payment, a record high. Hospitals and clinics have adopted the technology, letting patients check-in or pay bills by tapping their phones or scanning a QR code, reducing paperwork and wait times. In hospitality, flexible payment options are now a deciding factor—55% of travelers won’t book a hotel if their preferred payment method isn’t available.

Both customer demand and improved accessibility drive the widespread use of contactless payments. Most new POS terminals include NFC readers, and providers like Square, Clover, and Shopify POS offer built-in contactless capabilities, making it easy for small businesses to accept digital payments. Security is also strong, with encrypted tokenization protecting customer data.

With contactless payments handling a growing share of transactions, businesses that don’t offer them risk falling behind. Accepting digital wallets and tap cards is now essential for meeting customer expectations and staying competitive.

AI-Powered Analytics Deliver Smarter Insights

POS Tech Trends of 2025 - AI-Powered Analytics

Artificial intelligence is making POS systems brainier. AI-powered analytics in POS software means the system doesn’t just record sales – it can learn from them. Retailers and restaurants increasingly use AI and machine learning to analyze the troves of data coming through their POS. This trend is transforming everything from inventory management to personalized marketing.

A survey revealed that 71% of restaurant owners utilize data from their Point of Sale systems to enhance menus, simplify payment processes, and increase digital interaction with customers. In other words, businesses are hungry for data-driven decision-making, and POS systems are serving it up. What can AI do at the point of sale? A lot, it turns out. Here are some powerful examples of how AI analytics are being applied:

  • Demand forecasting & inventory optimization: By analyzing past sales patterns, seasonal trends, and even factors like weather, AI-enabled POS can forecast demand so businesses stock the right products in the right quantities. This is huge for restaurants and retailers looking to reduce waste and avoid running out of popular items. With AI insights, a cafe might notice iced coffee sales spike during unexpected warm weeks and adjust inventory accordingly​. A clothing store can predict which styles will be hot sellers next month and pre-stock sizes.
  • Personalized promotions & customer insights: Modern POS systems often link with loyalty programs, allowing AI to crunch an individual’s purchase history and preferences. The system can then recommend tailored promotions – for instance, offering a discount on a customer’s most-purchased brand or printing a coupon for dog treats on a pet shop receipt if you frequently buy pet food. Sephora has experimented with AI-driven POS that analyzes buying patterns and suggests custom offers, which drives sales and boosts customer satisfaction through personalization​.
  • Operational efficiency & staffing: AI analytics help managers see patterns humans might miss. For example, a fast-food chain’s POS data might reveal that certain hours consistently have spikes in drive-thru orders. The AI can suggest optimal staffing schedules or dynamic menu adjustments (promoting quicker-to-make items during peak times). It can also flag anomalies, like an unusual string of voided transactions that could indicate a training issue or fraud.

Crucially, AI is not just for retail giants. Thanks to cloud POS and user-friendly software, even independent businesses can tap into advanced analytics without a data science team. Companies like Square and Lightspeed build analytics dashboards into their POS offerings, showing key metrics and trends with a click. Many small businesses already rely on these: about 50% of small businesses say the analytics and reporting in their POS system is integral to their operations​.

And industries beyond retail are leveraging AI insights too. Hotels use POS-linked AI to analyze guest spending and refine their services. Healthcare providers might use AI analytics to spot billing patterns or clinic patient flow inefficiencies. The common thread is that AI-driven POS systems turn raw transaction data into actionable intelligence. In 2025, adopting AI in POS is less about sci-fi and more about staying competitive, as those who leverage these “smart” insights can optimize their offerings, cut costs, and better delight their customers​.

Smart POS Hardware and the IoT Revolution

Best POS Tech Trends of 2025 - Smart POS Hardware

POS hardware is evolving in 2025, moving away from bulky cash registers and multiple devices to streamlined, all-in-one systems and IoT-connected gadgets. Modern setups include sleek touchscreen terminals, handheld card readers, self-service kiosks, and smartwatches or voice assistants handling orders. This shift reduces counter clutter and adds new functionality at the point of sale.

A key trend is hardware consolidation. Companies like Square, Clover, and Lightspeed offer all-in-one systems that combine ordering, payments, receipts, and loyalty programs into a single device. For example, Square Register and Clover Station feature a large customer-facing display, built-in card reader, receipt printer, and cash drawer in one unit. This reduces the need for multiple devices, making maintenance simpler. Smaller merchants can use a single iPad with a portable receipt printer or go paperless by emailing receipts. This is especially useful for restaurants and hotels where counter space is limited.

Self-service kiosks and customer-facing screens are also becoming more common. Fast-food chains like McDonald’s use touchscreen kiosks that let customers independently place and pay for orders, reducing wait times and improving accuracy. Retailers are adding screens at checkout that display real-time pricing and allow customers to enter loyalty information or request email receipts, making transactions more transparent.

Beyond the counter, IoT integration is expanding POS capabilities. Smart scales and RFID scanners automatically add items when weighed or scanned to the sale, which is ideal for grocery and retail. In restaurants, kitchen display systems (KDS) sync with the POS to instantly show orders on a screen, eliminating the need for paper tickets. Some stores test sensors that track product movement and update inventory in real-time. Unattended POS systems, like Amazon’s Just Walk Out stores, use cameras and sensors to detect items taken by customers, automatically processing the transaction.

New POS hardware is also more user-friendly and durable. Touch interfaces replace complex keypads, and mobile device management (MDM) tools allow businesses to monitor and update devices remotely. The result is faster checkouts, fewer technical issues, and more flexible service options, like self-service or mobile checkout. For customers, it means quicker, smoother transactions without the frustration of outdated hardware.

Biometric Authentication Enhances Security and Speed

 POS Tech Trends of 2025 - Biometric Authentication

As cybersecurity concerns grow, POS systems increasingly adopt biometric authentication—using fingerprints, facial recognition, palm scans, or other biological traits—to secure transactions and improve efficiency. What once seemed futuristic, like paying with a fingerprint or unlocking a register with facial recognition, is quickly becoming standard. By 2025, security experts predict biometrics, encryption, and tokenization will be essential for protecting customer data.

Biometrics adds a layer of verification that is difficult to fake, making transactions safer and faster. Amazon’s palm-scanning payment system, Amazon One, is a prominent example. By the end of 2023, all 500+ Whole Foods Market stores in the U.S. offered palm payment, allowing customers to pay by hovering their hand over a scanner. The system links the palm signature to a credit card and loyalty account, automatically applying Prime discounts. Amazon encrypts the palm data for security, and the widespread adoption of this technology highlights the growing role of biometrics in everyday commerce.

Fingerprint and facial recognition payments are also gaining traction. Many payment apps and POS systems let customers authenticate purchases using their phone’s biometric security instead of a PIN. On the merchant side, biometrics can control access to prevent fraud. For example, restaurants can require a manager’s fingerprint to approve voided transactions or open the cash drawer, replacing easily shared or guessed PIN codes. Biometric authentication also speeds up the process, reducing the time spent on password entry.

Beyond retail, industries like hospitality and healthcare are exploring biometrics for identity verification and payments. Some hotels use facial recognition for faster check-ins and room access, with payment cards linked to guest profiles. Gyms and spas may use fingerprint or vein scanners for membership check-in and service payments. In healthcare, biometrics help confirm patient identities, which could eventually extend to bill payments or pharmacy pickups.

Biometric POS solutions offer both security and convenience. They reduce the risks of stolen PINs, lost cards, or unauthorized employee activity. When properly implemented, they also make transactions faster and more seamless—effectively turning a customer’s physical traits into the payment method. However, privacy concerns remain, and businesses must handle biometric data carefully and transparently. Still, as the technology matures, biometric payments are expected to become more common, particularly in settings where speed and security are critical.

Blockchain and Crypto Find a Niche in POS

Blockchain technology is starting to influence POS systems, offering secure, tamper-proof transaction records and new payment options. While still emerging, its presence is expected to grow in 2025, particularly in crypto payments, loyalty programs, and data security.

One area where blockchain adoption is seen is cryptocurrency payments. Payment providers like BitPay and NOWPayments offer crypto POS solutions that let brick-and-mortar stores accept Bitcoin or Ethereum. Customers can pay using their crypto wallets, while merchants receive the equivalent in local currency, avoiding the risk of crypto volatility. Though not yet mainstream, some tech-savvy retailers, restaurants, and hotels are adding crypto payment options to attract digital currency users and position themselves as innovators. As regulations around crypto evolve, more businesses may follow suit.

Beyond payments, blockchain is improving loyalty programs. Traditionally, reward points are tracked in centralized databases, but blockchain enables points to be securely managed and even transferred between partners. For example, in the future, customers could convert coffee shop points into airline miles if both programs run on interoperable blockchain tokens. Blockchain’s transparency also makes auditing and preventing fraud in complex systems, such as multi-location franchises or vendor marketplaces, easier.

In healthcare, blockchain is being tested for payments and insurance claims. A shared blockchain ledger could let patients, providers, and insurers track claims and costs in real-time, with smart contracts automatically releasing payments when conditions are met. This could reduce errors and streamline the often slow, complex billing process. In retail, similar systems could be used for supply chain payments or vendor commissions, ensuring accuracy and reducing disputes.

For most businesses, blockchain’s impact in 2025 will be subtle. Customers may not even realize it’s being used behind the scenes. However, companies are already testing blockchain-based gift cards, cross-border payments, and fraud prevention measures. Because blockchain records are encrypted and distributed, they are harder to tamper with, offering added security. For example, logging each POS transaction on a blockchain could help detect and deter unauthorized changes.

While blockchain won’t replace traditional POS systems anytime soon, it is quietly making transactions more secure, transparent, and flexible—especially in crypto payments and loyalty management areas.

Omnichannel Integration for a Unified Experience

In 2025, omnichannel integration is becoming essential for businesses, linking online and offline experiences into a unified shopping journey. Modern POS systems play a key role by syncing with e-commerce platforms, mobile apps, and third-party services, ensuring customers can move seamlessly between channels.

For example, retail stores with omnichannel POS can support services like “buy online, pick up in-store” (BOPIS). When a customer reserves an item online, the system automatically updates the inventory and prepares the product for pickup. In-store, the POS retrieves the order with a quick scan or reference number, processes the payment, and ties it to the customer’s profile. Target uses this approach, allowing customers to pick up online orders in-store or return online purchases at physical locations. The POS handles refunds and updates stock levels across both channels in real-time.

Restaurants also embrace omnichannel POS to manage dine-in, takeout, and delivery orders from one system. By integrating with delivery apps, the POS ensures accurate order tracking, prevents double bookings, and correctly applies loyalty points regardless of how the order was placed. Many restaurants also link table reservations to their POS, so when guests check in, their table is pre-assigned, and any orders are automatically connected to their reservation. According to industry surveys, nearly half of restaurateurs aim to upgrade their POS for better omnichannel functionality.

Other industries benefit from this integration as well. In hospitality, hotel POS systems sync with property management software, allowing guests to charge restaurant meals, spa services, or gift shop purchases directly to their rooms. Salons and service businesses connect their POS with online booking systems, ensuring that when customers pay in-store, their profile is updated with the service history, and receipts are sent digitally. Even in healthcare, clinics use omnichannel POS setups to let patients pay bills online or at a kiosk, with all records updated instantly across systems.

The impact on customer experience is significant. Omnichannel POS systems prevent frustrating disconnects, such as being told, “Our online system is separate—we can’t look up your order here.” Instead, customers enjoy flexibility, whether they want to shop online, in-store, or mix the two. For businesses, this integration improves efficiency, prevents lost sales by locating out-of-stock items across locations, and enables better marketing. For example, if a customer abandons their cart online, the POS can trigger a reminder at checkout during their next store visit.

Conclusion

As we move through 2025, point-of-sale technology is becoming more innovative, faster, and adaptable. From cloud-based systems enabling real-time management to mobile POS devices putting sales in employees’ hands, the focus is on convenience and efficiency. Contactless payments have become the standard, while AI-powered analytics are helping businesses make smarter, data-driven decisions. Meanwhile, innovations like biometric authentication and blockchain enhance security and expand payment options.

For businesses, keeping up with these POS trends is no longer optional—it’s essential for staying competitive. Whether a minor retailer upgrades to a mobile-friendly POS or a large restaurant chain uses AI to optimize operations, leveraging these technologies helps improve customer experiences, streamline processes, and boost revenue. As POS systems evolve, businesses that embrace these innovations will be better positioned to meet the demands of a rapidly changing marketplace.