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Bar Cash Register: Key Features & How To Choose The Best One

Tessa ZuluagaAuthor

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How to Choose a Bar Cash Register

Your bar cash register, or point-of-sale (POS) system, is more than just a tool for ringing up sales. It’s crucial for everything from streamlining operations to improving customer satisfaction. 

For example, average bar gross profit margins range from 78-80%, much higher than the average restaurant margin of 65-70%. To maximize these margins, effective inventory management is crucial. A robust POS system can track ingredient usage in real-time, ensuring you're always aware of your stock levels and reducing waste.

But that's not all! Modern POS systems offer a wide range of features to help you run your bar more smoothly. In this guide, we'll delve into the best types of bar cash registers, essential features, and tips on choosing the perfect system for your business.

Key takeaways

  • Advanced POS system tools like inventory tracking, real-time sales reporting, and automated ordering help optimize bar efficiency and reduce waste.

  • Features like tab flexibility, personalized marketing, and loyalty programs can help improve service and build customer loyalty.

  • Consider factors like your bar's size, transaction volume, and other specific needs when choosing between POS terminals, handheld devices, or self-ordering kiosks.

  • Evaluate upfront and ongoing costs, such as hardware, software subscriptions, and transaction fees, to choose a system within your budget.

  • Opt for scalable systems that support growth, additional registers, expanded menus, and new locations.

4 types of bar cash registers

From basic cash registers to advanced POS setups, each option offers unique advantages tailored to different business needs.

  1. Traditional cash registers

Traditional cash registers are affordable and straightforward, making them suitable for very small bars, pop-ups, or operations with minimal transaction needs. While they can handle basic sales tasks, they lack modern features such as inventory tracking or integration with digital payment systems. 

After noticing missing payments from their business’ credit card processor and considering switching to a cash-only model, Ruben Torres, co-owner of Wisconsin-based bar Craft30, said:

"Our hands are tied pretty much. We could do that but it would be an inconvenience to our customers… You do have that younger generation that will come in here and all they have is their card… If we went cash only, I think we'd get some of the regulars, but the actual business itself would not be the way it is now."

  1. POS terminals

The industry standard for most bars, POS terminals offer a suite of features like touchscreen interfaces, integration with kitchen printers, and real-time sales reporting. 

These systems are ideal for handling high sales volumes and managing the complexity of bar operations, from drink orders to tab management and much more.

  1. Handheld POS systems

Designed for flexibility, handheld POS systems enable staff to take orders and process payments directly at tables or outdoor seating areas. This setup enhances customer service and boosts efficiency, especially in bars that prioritize personalized service.

For example, the tableside servers at Victory Brewing Company in Philadelphia use a handheld POS device to input orders and send them directly to the kitchen and bar. Meanwhile, bartenders input counter orders in their station’s POS terminal.

  1. Self-ordering kiosks

Self-ordering kiosks are a great fit for high-volume, fast-casual bars where customers can place orders and pay without needing assistance. By automating the ordering process, kiosks free up staff to focus on preparing drinks and enhancing the customer experience.

For example, Cincinnati-based Something to Wine About features self-service pour machines in addition to a full bar. While you don’t have to automate the entire drink-making process like this business, you could still speed up efficiency by implementing self-ordering.

Essential bar cash register features

From managing tabs to optimizing your bar’s inventory, the right POS system is critical for streamlining operations, reducing errors, and enhancing customer satisfaction. Let’s look at some of the key ways a modern, comprehensive bar cash register can help you manage your business.

Sales processing

Bars handle dynamic and complex transactions, so the ability to quickly and accurately manage these processes is vital:

  • Quick payment processing: Accept contactless payments, mobile wallets, and popular payment methods to streamline the checkout process and reduce friction for customers.

  • Tab flexibility: Bars often allow customers to open, transfer, and close tabs across servers or even locations within the venue. A cash register must support seamless tab tracking to ensure accuracy.

  • Menu customization: Update menu items on the fly to reflect new offerings or pricing changes.

  • Setting pricing rules: Bars frequently implement promotions like happy hours or tiered pricing for events. Look for a system that can automate time- or situation-based pricing changes.

  • Bill splitting: For groups, splitting bills can get tricky when combining food and drinks. A system with advanced split-bill features can simplify this process.

  • Tipping options: Ensure your register supports tip management, whether it’s pooling tips or splitting by individual servers.

Inventory management

Your bar cash register’s inventory management tools must go beyond tracking products—they should offer actionable insights to help control costs and maintain service consistency, such as:

  • Ingredient-level tracking: Track individual liquor pours, mixers, and garnishes to pinpoint exact usage, reduce waste, and prevent shrinkage from overpouring or theft.

  • Par-level management: Set par levels for all key ingredients and generate alerts when stock falls below those thresholds.

  • Automated ordering: Integrate your system with suppliers to automate reordering and ensure you never run out of essentials

  • Sales and costs reports: Analyze how individual drinks perform based on sales and profit margin. This can help you decide which menu items to feature, adjust, or retire.

Elevating the customer experience

Beyond the bartop, your POS system can be a powerful tool for building lasting customer relationships. Look for features like:

  • Reservations and waitlist management: Even if your bar doesn't take reservations, a robust waitlist system can help you manage crowds and improve the overall customer experience.

  • Loyalty programs: Reward your most loyal patrons with exclusive perks, discounts, or personalized offers. A well-designed loyalty program can boost repeat business and increase customer satisfaction.

  • Personalized marketing: Use purchase history data to send target emails with upcoming events, specials, and exclusive offers.

One great example is Buffalo Wild Wings. The casual dining restaurant and sports bar franchise runs their “Blazin’ Rewards” program. Members earn points which they can redeem for free food and drinks, receive personalized offers, and more.

Streamlining bar operations

Speed and efficiency are essential behind the bar. Fortunately, the right POS system can help you streamline operations and boost productivity with features such as:

  • Table layout visualization: Get a real-time overview of your bar's layout, including table availability, occupancy, and server assignments. This helps optimize seating and improve table turnover.

  • Kitchen and bar communication: Ensure you process and fulfill orders accurately and efficiently. Integrated kitchen and bar display systems can help reduce order times and minimize mistakes.

  • Delivery and pickup integration: Expand your reach with integrated delivery and pickup solutions for your food menu offerings.

How to choose a cash register for your bar

Now that you have a good idea of the different ways a POS system can help improve your bar operations, it’s time to select a specific system. To make the best choice, be sure to:

  1. Evaluate your bar’s needs: Identify what type of system suits your concept, whether it’s a POS terminal, handheld device, self-ordering kiosk, or a combination of the three.

  2. Define must-have features: Make a list of features that you think are essential, like inventory tracking, tab management, or loyalty programs.

  3. Prioritize functionality: Opt for a system designed with quick and intuitive interfaces designed for fast-paced bar environments, allowing staff to input orders and close tabs swiftly.

  4. Test systems: Schedule demos and trials to assess if the system works well in your bar setup.

  5. Research reviews: Learn from other bar owners who’ve used the system through forums, industry groups, and online reviews

  6. Check support options: Ensure 24/7 support and access to software updates are available. Check that your provider offers training resources and onboarding tools for new staff.

  7. Plan for growth: Select a scalable system that can support multiple registers, expanded menus, or additional locations without requiring a complete overhaul.

    1. Example: The founders of Walk-On's Sports Bistreaux launched the bar next to Tiger Stadium at Louisiana State University in 2003. Today, the business is adding several new franchisees each year, averaging $4.8 million in yearly revenue per location.

  8. Consider costs: Factor in upfront hardware costs, as well as ongoing software subscriptions and transaction fees. Toast offers Starter Kits for as little as $0/month with no upfront hardware costs.

Upgrade your bar cash register with Toast POS

From traditional cash registers to advanced POS systems, the right technology can significantly impact your bar's efficiency and profitability. To make the best choice, prioritize features like inventory management, sales processing, and customer experience enhancements.

Take the first step toward a smarter, more profitable business, and learn more about Toast's comprehensive POS solutions for bars.

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DISCLAIMER: This information is provided for general informational purposes only, and publication does not constitute an endorsement. Toast does not warrant the accuracy or completeness of any information, text, graphics, links, or other items contained within this content. Toast does not guarantee you will achieve any specific results if you follow any advice herein. It may be advisable for you to consult with a professional such as a lawyer, accountant, or business advisor for advice specific to your situation.