Integrated point of sale (POS) solutions have become part of the retail mainstream, and this has led more merchants to look for cloud-based tools to help improve their business management capabilities. For POS software developers, the cloud makes it easier to offer enterprise-grade solutions to small and medium-sized businesses (SMBs). For merchants, the cloud offers an affordable alternative to costly and complex software deployments.
While the cloud offers cost and development complexity advantages to both ISVs and merchants, integrating on-site hardware and business systems (such as chip card terminals) with cloud platforms can be challenging.
At the same time, cloud-based deployments are poised to reduce maintenance and support needs by as much as 40% (according to Gartner), which could degrade revenues for ISVs that haven’t developed a strategy for transitioning to a more service-oriented cloud model.
Merchants are searching for ways to more seamlessly integrate traditional PIN pads, mobile POS devices, new card readers, and multi-function software. Cloud integration platforms can solve this challenge by linking cloud solutions, on-site software, and POS hardware, while easing compliance and lowering support costs.
For ISVs, these platforms provide a mechanism for making it easier for merchants to adopt their systems while also creating new revenue opportunities for consulting, support, and value-added services.