Wireless Point of Sale Terminals

In the past 30 or so years that merchants and customers have been using Debit and Credit Card machines to make purchases, the technology involved in making this happen had changed very little.  How ever, in the past 10 or so years, the advent of so many new interfaces and applications available to us has also impacted the Merchant Services Industry.

The Point Of Sale terminal has a very short evolution.  The first terminals used by business owners simply plugged into a phone line (land line) in order to be able to process.   The customer would swipe their card, the merchant will follow the prompts and the machine initializes a dial out to the issuing branch to approve the transaction.  This was never before available, and when it first came out, the services were limited to the banks, so business owner’s had no choice and therefore paid what ever it cost to be able to use this new fabulous technology!!  The limits how ever were hurtful to business.  For Example, the speed of transaction was slower so line up’s had the potential to create frustrated customers and merchants may risk loosing the sale.  Another important short coming for a business is that if one were using the POS terminal (and this is still true today) then one cannot use the land line/telephone at the same time.  For Professional service based businesses who rely on their phone lines to be free, this was an issue.

So time progressed and the industry deregulated which means not only the banks could provide the service.  The Merchant Services industry was open to everyone, which eventually leads to new innovations as new companies would have to provide new and better features to switch people over.

Thus, at the same time, the internet was starting to become just as important to a business as a telephone line was, and the POS  Terminal manufactures quickly turned onto being able to run their terminal on a DSL or Internet connection instead of the Phone line, this took care of both major short comings of the dial terminal, both the speed of transaction improved and as well, using the internet connection meant the phone lines are undisturbed and free.

The best advancement yet though, for Pos Terminal is the Wireless option.  This is the latest technology paired with the need to complete business transactions.  Purely satellite driven the wire less machines allow business owners to do transactions from anywhere, and at the same time, allows transactions to be done by people whose business could not facilitate the shackles of either a phone line or dsl connection, which in the end is stationary.  The wire less machines made Debit and Credit Card transactions possible to vast industry that did not have them before, the biggest and most highly impacted being the Delivery/Courier business.  With the Wire less machines, merchants and vendors could now utilize these most common method of payments in open field festivals, tent sales, auctions, out door events, flea markets, tradeshows and where ever else commerce takes place that is not close to a phone line~   the Wireless terminal also reduces the amount of Credit Card business done without the “swipe”.  Any time a credit card is entered remotely or manually and not accompanied by a client signature at the time of purchase is risky business for merchants.  With the advent of the Wireless terminals, the card swipe transaction ratio goes up which keeps costs down for the business owner!

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Matthew Hunt has been helping small businesses get set-up with Canadian Merchant Account Services since 2007 and helped 1000's do so. Join Matthew on Google+.

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