Your business relies on different tools and technologies to run efficiently, but sometimes it’s necessary to consider a change. Ever been in a situation where a customer wanted to use Apple Pay, but your payment terminal didn’t support it? Or, have you had to turn a customer away because your POS device was down?
Level up your payment processing with GoDaddy Payments.
While switching out a tried-and-true piece of technology like a point-of-sale (POS) device can seem daunting, there are many benefits to upgrading to a smart terminal, and switching is probably easier than you think.
In this article, we’ll dive into everything you need to know about evaluating POS systems and their costs, as well as how the GoDaddy Smart Terminal POS can improve and modernize your business operations.
Related: Compare top payment processors
Evaluating your current POS solution
The first step is taking a clear, objective look at how your POS system is performing for both your customers and your business. A good rule of thumb is to review your POS setup every three years to make sure it’s still the right fit. Use the following as a guide to decide whether it’s time to make a change.
Smart Terminal Flex
Lightweight, compact, and durable POS that can be used on the shop floor for flexible selling. Also ideal for trade shows or pop-up events. Features a 6" touch screen and built in receipt printer and barcode scanner.
Understand modern customers’ expectations for payments
At a minimum, a POS system should process all major credit and debit cards. However, today’s customers expect much more. They’ve become accustomed to numerous payment options available when shopping online — such as contactless payment methods like Apple Pay and Google Pay — and want the same convenience when shopping in person. If your business has both online and physical stores, offering services like 'buy online, pick up in-store' can also be a big draw for customers looking for speed and flexibility.
Related: How to accept payments on a website
Analyze your current POS system
A strong POS system should fit the way your business operates—whether you’re selling at a physical location, on the go, or both. A mobile POS system makes it possible to accept payments anywhere your business is, while still delivering an intuitive, fast, and hassle-free experience for customers.
Modern systems should offer both Wi-Fi connectivity and offline mode. This ensures you can continue taking payments if the internet drops, with transactions stored locally and synced once the connection is restored. It should also track both in-person and online sales in one place, so you can see exactly where an item sold and maintain inventory accuracy in real time. Less integrated systems require extra manual work to merge sales and inventory data.
Observe how your customers interact with your POS system
Pay attention to how customers use your POS during checkout. If they hesitate, seem unsure where to swipe or tap, or struggle with the process, it could signal that your system isn’t as user-friendly as it should be. A confusing payment experience can leave customers feeling frustrated, and it’s the last impression they’ll have of your business before walking out the door.
Customers who prefer faster, more convenient, and touch-free options might look for additional methods like QR code payments. Learn how to set up a QR code for payment with our step-by-step guide.
Consider integration with other business systems
A POS system can only help you run more efficiently if it connects seamlessly with the rest of your business ecosystem. How well does your current system connect with the other devices involved in your checkout process, such as your receipt printers, cash drawers, and barcode scanners? Ideally, all of these devices would integrate with your POS to reduce manual entry requirements and potential points of friction for you and your customers in the checkout process.
Ensure your POS system is scalable
Your POS system should grow alongside your business. A scalable system makes it easy to add new locations, connect with additional business tools, and expand without driving up costs. The right setup can support customer loyalty programs, create and redeem gift cards, and even help with employee management tasks like clock-ins and clock-outs. When your POS is built for more than just transactions, it becomes a powerful tool for running your entire business.
Check for PCI compliance
Keeping customer data secure is a must for any business. A PCI-compliant POS system follows strict industry standards to protect sensitive information, with safeguards like secure data storage and controlled user access. It’s one of the most important steps you can take to build customer trust and protect your business from potential risks.
Prioritize reliable customer support
Robust customer support is essential to ensure a smooth transition and ongoing business continuity. Even the most intuitive systems can occasionally encounter technical issues or require troubleshooting, and downtime during business hours can negatively impact your sales and customer experience. Look for a POS provider that offers 24/7 support via multiple channels so you can get help whenever you need it.
Calculate your true POS system costs
Understanding the total cost of ownership of a POS system is crucial. You must look beyond the upfront price and consider all costs involved in purchasing, setting up, and using the system over time. This will help you compare options and avoid unexpected expenses. Key costs to consider include:
Hardware
Factor in the cost of the core POS hardware along with any peripherals you may need. Some systems include extra features, while others require separate purchases. Hardware is often a one-time investment, but the total cost can increase quickly depending on how much the base equipment can do on its own.
Typical cost range: $50 for a basic card reader, $300–$800 for a countertop terminal, and several thousand dollars for a full retail checkout setup.
Software
The software powers your POS system. Basic plans may only enable payment processing, while more advanced options can handle complex business operations. Frequent software updates are important for keeping your POS aligned with modern business expectations, such as supporting new payment methods, improving security, and enhancing the overall user experience. Updates may be free or have a fee, depending on your license type. You should consider software that meets your current needs and can grow with your business.
Typical cost range: $0 per month for basic POS software to $300 or more per month for advanced enterprise plans. Mid-tier plans often cost $50–$100 per month.
Payment processing fees
Each in-person card transaction usually includes a percentage of the sale plus a flat fee. To estimate costs, review your recent sales volume, the number of in-person transactions, and your average order value. Keep in mind that changes in sales volume can impact your overall processing costs.
POS systems work with payment processors to handle the transactions between your customers’ banks and your business. Many POS systems work with a variety of payment processors, giving you the flexibility to choose the provider that best fits your needs. When evaluating payment processor options, look at transaction fees, contract terms, payout speed, and customer support.
Typical cost range: GoDaddy Payments charges 2.5% per in-person transaction on its standard plan or 2.3% with Point of Sale Plus.
Onboarding and support fees
Some providers charge for setup, training, or ongoing support. Be sure to include these costs when comparing systems to get a complete view of your investment.
Typical cost range: Setup costs can range from $0 to more than $1,000, depending on the provider and system complexity.
User accounts and locations
If your business operates in multiple locations or requires multiple user accounts, check for limits. Some POS software charges additional fees to expand the number of users or physical locations.
Typical cost range: Additional user accounts may cost $5–$25 per user, per month. Location fees vary by provider.
If additional users and roles are necessary for your business, GoDaddy’s Point of Sale Plus plan allows businesses to set different permission levels for individual employees, giving you more control over which employees are able to access various features of your POS.
Additional features
Modern POS systems often offer tools like sales reports, inventory management, and omnichannel retail capabilities. These can improve efficiency but may also increase your monthly costs. Look for flexible systems so you only pay for the features you need.
Typical cost range: Add-ons such as advanced reporting, loyalty tools, and inventory features can often add $20–$100 per month, sometimes per feature.
Early termination fees
If the POS provider requires a contract, find out the cost of ending it early. This is especially important if you think you may want to upgrade or change providers in the future.
Typical cost range: $0 for contract-free or month-to-month plans. Contract-based cancellation fees vary, so review the agreement before signing.
Signs your current POS is overcharging you
Payment processing costs can add up quickly, especially when fees are unclear or spread across several line items. These red flags can signal that it may be time to review your current POS pricing.
- Your processing rate is above 2.5%: Rates vary based on your business and transaction type, but a rate above 3% for standard in-person card payments may be a sign that you are paying more than necessary.
- Per-transaction fees keep stacking: A small flat fee on every sale can have a meaningful impact on businesses with frequent, lower-value transactions. Review both the percentage rate and any additional fee charged per payment.
- You’re paying monthly minimums: Some providers require businesses to pay a minimum amount in processing fees each month, even during slower sales periods. These costs can make a POS system less flexible for seasonal or growing businesses.
- PCI compliance fees appear on your statement: PCI compliance supports secure card-data handling, but some providers charge separate monthly or annual PCI fees. Review your statement to understand what is included in your plan and what costs extra.
- Your statement is difficult to understand: Unclear labels, unexpected charges, and frequent pricing changes can make it harder to calculate your true payment processing costs. Transparent pricing helps you plan with more confidence.
How switching POS systems can save you money
Switching to a POS system with lower payment processing rates can reduce your monthly costs, especially when your business handles steady in-person sales.
For example, for a business with a monthly revenue of $20,000, an average ticket size of $10, and 2,000 transactions, here is the breakdown of those pricing scenarios.
Notice how with the small ticket size, per-transaction fixed fees (such as the 15¢ in the first tier) drastically increase the effective costs for a merchant.
| Plan / Pricing Tier | Monthly Fee / Fixed Costs | Total Monthly Cost | Total Effective Rate | Fee Savings ($ vs Baseline) | Fee Savings (% vs Baseline) |
|---|---|---|---|---|---|
| 2.6% + 15¢ (Baseline) | $0.00 | $820.00 | 4.10% | Baseline | Baseline |
| GoDaddy Payments Standard (2.5% + 0¢) | $0.00 | $500.00 | 2.50% | $320.00 | 39.0% |
| GoDaddy Payments POS Plus (2.3% + 0¢) | $28.99 | $488.99 | 2.44% | $331.01 | 40.4% |
| GoDaddy Payments POS Plus with Rate Saver (0% Credit / 1.9% Debit) | $28.99 | $218.99 | 1.09% | $601.01 | 73.3% |
- With the baseline plan, the merchant faces a high total effective rate of 4.10%, but switching to GoDaddy Standard saves $320.00 a month, upgrading to POS Plus saves $331.01, and utilizing Rate Saver drives maximum savings of $601.01.
- At a small $10 average ticket size, the seemingly minor 15¢ fixed fee alone forces the merchant to pay an extra $300.00 every month in hidden processing overhead.
Enhancing business reputation and building customer trust with an efficient POS system
Your POS system is more than just a way to process payments; it’s a key part of how customers see your business. A fast, secure checkout shows reliability and professionalism, which helps build lasting trust. Real-time inventory tracking and accurate sales reports add another layer of transparency, letting customers know your operations are organized and responsive.
Small touches can go a long way, too. Custom-branded receipts and terminal screens reinforce your brand at every transaction, while a dual-screen or swivel setup lets customers review their order before paying. It’s a simple way to increase your customers’ confidence in your business.
Types of POS systems
There are multiple types of POS systems to consider, each designed to fit the way you run your business.
- Countertop POS systems: Fixed systems designed for a traditional checkout counter. Ideal for retail stores, quick service restaurants (QSRs), and service businesses that process transactions in one location. For example, a QSR point of sale with a large display will help improve accuracy at checkout during peak hours.
- Mobile POS systems: Portable devices, often tablets or smartphones with card readers, that let you take payments anywhere. Perfect for events, pop-up shops, and businesses that operate on the go.
- Cloud-based POS systems: Systems that store data online instead of on local servers, giving you real-time access to sales, inventory, and reporting from any device. Great for businesses that need flexibility and remote management.
- Self-service kiosk POS systems: Standalone stations that allow customers to place orders and pay without staff assistance. Popular in quick-service restaurants and venues where speed and convenience matter.
- Multichannel POS systems: Integrated solutions that connect your in-store and online sales, keeping inventory, customer data, and reporting in sync across every channel.
| POS Type | POS Description | Best GoDaddy Match |
|---|---|---|
| Countertop POS systems | Fixed systems designed for a traditional checkout counter. Ideal for retail stores, QSRs, and service businesses that process transactions in one location. | Smart Terminal Duo |
| Mobile POS systems | Portable devices that let you take payments anywhere. Perfect for events, pop-up shops, mobile businesses, and tableside checkout at cafes, or wherever your merchandise is. | Smart Terminal Flex |
| Cloud-based POS systems | Systems that store data online, providing real-time access to sales, inventory, and reporting from any device. | Smart Terminal Flex Smart Terminal Duo Smart Terminal Pro |
| Self-service kiosk POS systems | Standalone stations that allow customers to place orders and pay without staff assistance. Common in quick-service environments. | — |
| Multichannel POS systems | Solutions that connect in-store and online sales while keeping inventory, customer data, and reporting synchronized across channels. | Smart Terminal Pro |
POS system licenses
POS software is offered under various licensing models, and selecting the right one can significantly impact your costs, flexibility, and scalability. Knowing the main types of licenses can help you pick a solution that fits your budget and business needs.
- Perpetual license: A one-time purchase that gives you indefinite use of the software, often with optional paid updates or support. Best for businesses that prefer a single upfront cost rather than ongoing payments.
- Subscription license: A recurring monthly or annual fee that includes software access, updates, and support. Ideal for businesses that want predictable costs and the latest features without large upfront expenses.
- Per-user license: Pricing is based on the number of user accounts. Works well for businesses with smaller teams or those that need to control access tightly.
- Per-device license: Pricing is tied to the number of devices running the POS software. A good fit for businesses that process transactions at fixed points of sale.
- Enterprise license: A customized agreement for larger businesses, often with unlimited users or locations with tailored features and support.
The process of changing POS systems
Now that you’ve taken a closer look at your current system, it’s time to weigh the benefits of upgrading to a new system vs. sticking with your current system. Before you let the effort involved with switching scare you off, think about the longer-term impacts of an outdated POS system and the costs associated with not switching. No one wants to take on extra work, but if it means that your business is stronger and that your customers are happier in the long run, it can be absolutely worth it to take on the cost of switching.
Switching takes four steps — export data, check contract terms, verify hardware, and run parallel — and GoDaddy offers free migration support to handle it.
Let’s look at how two business owners navigated the switch and the results they achieved.
Lifecare Chiropractic: enhancing patient experiences with a new POS system
At Lifecare Chiropractic in Arizona, Dr. James Bogash wanted a POS solution that could improve the patient experience while addressing health and safety concerns, including the elimination of BPA-coated receipts. After reviewing his options, he chose the GoDaddy Smart Terminal POS for its quick, intuitive operation, itemized payments, and support for multiple payment methods, including HSA and FSA cards as well as contactless options.
His selection process prioritized patient engagement, workflow efficiency, and safety. This illustrates the importance of selecting a POS system that meets the unique needs of your business.
Cascade Collision Repair: upgrading to a modern POS for transparency and efficiency
With eight locations across Utah, Cascade Collision Repair knew their outdated credit card processors could not keep up with their growing business. They needed more transparency, modern features, and a better experience for both customers and staff.
The GoDaddy Smart Terminal POS delivered with its dual-screen interface, itemized transactions, and predictable flat-rate fees. It also offered custom pay links for pre-payments and improved reporting tools.
What to do before you switch
Before actually switching systems, do the following to make the transition smoother and avoid losing important data:
- Export your business data: Save customer information, product catalogs, inventory records, sales reports, and transaction history from your current system.
- Review your contract: Check for notice requirements, early termination fees, equipment return policies, and any outstanding balances before you cancel your current service.
- Confirm hardware compatibility: Make sure your existing card readers, printers, cash drawers, barcode scanners, and tablets work with the new POS system. Plan for replacement equipment if needed.
- Set up and test the new system: Add products, tax settings, user accounts, and payment options before your launch date. Test key tasks such as accepting payments, processing refunds, and printing receipts.
- Run both systems in parallel: Keep your current POS available for a short transition period while your team gets comfortable with the new system, and you confirm that sales, inventory, and reporting work as expected.
- Train your team: Show employees how to complete everyday tasks and explain where to get help if they run into an issue.
GoDaddy Payments offers 24/7 support, which gives your team a point of contact for POS issues, as well as making the switch to GoDaddy POS simple and hassle-free.
Why choose a GoDaddy POS solution?
Take time to research and compare the top payment processors for 2025. Here is a resource to help you:
Save more with affordable initial costs and transaction fees
GoDaddy offers multiple points of entry for business owners, as well as low ongoing payment processing fees and no hidden fees. The GoDaddy Commerce App allows business owners to get started for free, with no hardware required. For business owners requiring a payment terminal, GoDaddy Smart Terminals range from $275-499.
Contact our sales team at (866) 437-2963 to find out how you can get a Smart Terminal for free.
GoDaddy POS standard plans offer the lowest fees* in the market at 2.5% + 0¢ per in-person transaction. With Point of Sale Plus plans at $28.99/month, those fees go down to 2.3% + 0¢ per in-person credit card transaction (and a discounted debit card rate of 1.9% + 0¢ per in-person transaction).
Know the cost involved in using Smart POS Terminals with our guide here.
Delight your customers with a fast, seamless checkout experience
GoDaddy offers a range of versatile POS systems to match your business needs, each designed to impress your customers and streamline checkout. For countertop use, the sleek Smart Terminal Duo features a dual-screen setup so customers can easily tip, sign, and interact with your brand. The compact, handheld Smart Terminal Flex is perfect for taking payments anywhere in your store.
For larger catalogs and complex orders, the new Smart Terminal Pro stands out with its spacious 10” screen.
That large screen ensures that checkout is fast and accurate, with the ability to easily find items and see the order and catalog side by side, making it easier to manage everything from inventory to seamless checkout. Plus, the swivel screen lets customers view their order, add a tip, and sign, providing a smooth, interactive experience.
And the Smart Terminal Flex is lightweight and perfect for accepting payments on the go.
All three options accept every popular payment method, from credit and debit cards to Apple Pay and Google Pay. You can print receipts or send them via email or text. The Smart Terminal POS range gives your customers a premium checkout experience at a rate that works for business budgets of all sizes.
Not sure which system is best for your business? Compare the three POS system hardware options from GoDaddy.
Increase your business efficiency with interconnected tools
For businesses that rely on multiple tools to support their checkout, you’ll love how the GoDaddy Smart Terminal connects easily to devices you rely on, from barcode scanners to cash drawers to specialty tools like kitchen printers.
When everything works well together out of the box, you don’t have to spend your valuable time and energy trying to manually transfer information from one system to another, risking errors and a frustrating checkout experience for your customers. You can rest easy knowing that your tools will work together to create an effortless, efficient system that your staff and your customers will enjoy.
Handle more of your business operations in one place
For businesses that operate in-person and through an online store, GoDaddy’s POS solutions can help you keep track of everything. You’ll have straightforward insights into your sales, inventory, and business analytics from a single place, no matter where your business operates.
You can also take advantage of GoDaddy’s extensive app ecosystem, which supports up to 35 apps to help you run more of your business through your Smart Terminal. You can manage employees, support scheduling, run customer loyalty programs, and offer buy online/pickup in-store options for your customers. It all adds up to a more efficient and enjoyable checkout system.
Switch effortlessly with all the support you need
With GoDaddy, switching to a new POS system is quick and painless. Not only is the Smart Terminal POS easy to set up and connect, but the GoDaddy POS software comes pre-installed, so your Smart Terminal is ready to use out of the box. You can reach us 24x7 for any questions and technical support.
For merchants who sell over $100,000 a year, GoDaddy’s team of customer success representatives offers one-on-one onboarding and setup support at no cost and can assist with critical migration tasks like importing your product catalog, setting up your payments portal, and configuring payouts in accordance with your business needs.
Switch to Smart Terminal when you’re ready to get all the benefits of a powerful, sophisticated, and flexible POS system. You’ll feel even better about your decision with these added benefits:
- 30-day money-back guarantee for a risk-free process
- Free 2-day shipping to help you get started quickly
- Pre-loaded configuration so you can use the system right out of the box
- 24x7 expert support and extensive help materials available to ensure you'll be successful with your new system.
As your business grows and changes, your technology stack needs to adapt as well. Your POS system is a critical part of your overall business health, and so it’s important that you evaluate its performance on an ongoing basis. When you find that your POS is no longer keeping up with your customer expectations or business needs, consider making the switch to a newer POS system.
GoDaddy’s Smart Terminals offer all the features your customers, business, and staff need at a reasonable rate, with low processing fees that mean you’ll get to keep more of what you earn. Best of all, the GoDaddy team is by your side along the way, from the initial switch and migration to everything you might need in the future.
FAQs
How do I know if I’m being overcharged by my POS provider?
Start by reviewing your statement to calculate your effective processing rate: divide your total processing fees by your total card sales. A rate above 3%, per-transaction fees, monthly minimums, PCI fees, and unclear line items can all increase your overall costs. Compare those charges with other providers and look for transparent pricing that makes it easy to understand what you pay for each sale.
What are the typical early termination fees for POS contracts?
There is no single standard fee. Some POS providers offer month-to-month plans with no cancellation charge, while contract-based providers may charge a flat fee, require you to pay the remaining monthly fees, or charge for unreturned equipment. Review your agreement and request a written breakdown of all cancellation costs before switching.
How do I switch POS systems without losing my data?
Export important information from your current POS system before canceling your service, including customer details, product catalogs, inventory records, sales reports, and transaction history. Confirm that your new provider can import the files you need, then test the data after it is transferred. Keeping both systems available for a short transition period can help your team learn the new setup and confirm that everything works as expected.
*Lowest transaction fees compared to similar plans from Square, Shopify, and Stripe for card present and ecommerce card transactions.
