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Written by Nipoon Patel, Founder, Tabin | Last updated: 5 November 2026
A POS (point of sale) system is the combination of software and hardware a restaurant uses to take orders, process payments and record sales. Modern POS systems also send orders to the kitchen, connect ordering channels such as kiosks and online ordering, and provide the reporting owners use to run the business day to day.
This guide explains how a POS system works, what it includes, the main types, what it costs to run and how restaurants choose one.
POS stands for point of sale, which simply refers to where transactions occur. Previously, this would have been a cash register, but today's POS systems are much more sophisticated. Current POS systems are a blend of hardware and software used to process payments, handle sales, and monitor customer and inventory information.
Advanced POS systems for restaurants do more than just charge. They integrate with restaurant kiosk solutions, handle orders effortlessly and optimise the customer experience. To see how this works for NZ venues, explore our POS system NZ page, or the dedicated restaurant POS system page.
A POS system acts as the central nervous system of a restaurant. It records an order, sends it to the kitchen, processes payment and stores the transaction data for reporting. The exact setup varies, but the usual workflow follows these steps:
With self-service kiosk technology, POS systems can also connect directly to customer-facing kiosks, making the ordering process smooth and efficient.
A POS setup usually combines software, a terminal or tablet, an EFTPOS terminal and connected devices such as receipt printers. The exact components depend on the venue and the way orders are taken. For a closer look at the difference between the two main parts, read the POS software vs POS hardware guide.
Think of your POS as more than just software. It's the full toolkit that keeps your restaurant running smoothly, from the tablet you use to take an order to the cloud keeping everything in sync.
Not every restaurant needs the same configuration. The kind of POS you select depends on your business model and objectives.
In essence, a POS system is used to streamline operations and improve the customer experience. Restaurants use POS systems to:
See what to look for in a POS loyalty and rewards program if repeat customers matter to your venue.
A POS can also connect to the delivery platforms you use. With POS integration with your delivery apps, delivery orders come into the same system, so staff don't have to re-key them.
A POS system can help manage inventory when it records items sold and updates stock levels against those sales. Depending on the software, it may also support ingredient-level tracking and low-stock alerts. Check which inventory functions are included in the plan you are considering.
Read more on using POS analytics to manage inventory and reduce waste.
The ongoing cost of a POS system depends on the software plan, hardware and payment setup. Before choosing a provider, account for the full set of running costs rather than looking only at the initial terminal price.
Common cost components include software subscriptions, terminal and printer hardware, EFTPOS terminal rental, payment processing fees, setup, integrations, training and ongoing support. For a detailed New Zealand breakdown, see what a restaurant POS costs in NZ.
Restaurants use POS systems to coordinate counter orders, takeaway orders, payments and kitchen communication. When comparing options, check that the system supports your service style, payment provider, menu changes, reporting needs and existing ordering channels.
Start with the way your venue operates. List the order channels you need, the devices your team will use, the reports you rely on and the integrations required. Then compare support, training, contract terms and the ability to add locations or ordering channels as the business changes.
For a more detailed selection guide, read Best POS System in NZ.
The Restaurant Association of New Zealand reported that café and restaurant sales reached NZD 2.01 billion in the second quarter of 2026, up 6.4% year on year.
A POS system can support restaurant operations by bringing orders, payments and sales information into one workflow. The benefits depend on the system's features, how it is configured and how consistently the team uses it.
From mobile POS for food trucks to integrations with self-service kiosks, today's systems are designed for a competitive, digitally driven restaurant landscape.
Tabin brings POS, kiosk ordering, online ordering, kitchen display and loyalty into one system. It runs on iOS, Android and Windows, with integrated EFTPOS from Windcave, Verifone and Shift4. Venues can be live within days, with help from our NZ-based support team.
To discuss your restaurant's requirements, Book a demo with the Tabin team.
A POS system is the software and hardware a business uses to take orders, process payments and record sales. In a restaurant, it can also connect orders to the kitchen and provide sales reporting.
A staff member or customer enters an order, the POS sends it to the kitchen, payment is processed and the transaction is recorded for reporting. The exact workflow depends on the restaurant's setup and integrations.
A POS system can include software, a terminal or tablet, payment hardware, receipt printers and connected devices. The components vary by provider and the needs of the venue.
A cloud POS hosts its software and data online, while an on-premise POS runs on locally installed equipment. The right option depends on connectivity, management preferences and the venue's technical requirements.
Some POS systems track stock as sales are recorded and may provide ingredient-level tracking or low-stock alerts. Inventory features vary, so confirm the functions included before choosing a system.
Running costs may include software subscriptions, hardware, EFTPOS terminal rental, payment processing fees, setup, integrations, training and support. Ask providers for a full breakdown based on your venue's requirements.
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