Microsoft Updates POS Software, Taps HP and FirstData for POS Bundle

Published: Januarty 17, 2007

by Alex Woodie

Microsoft unveiled new versions of its point of sale (POS) and retail management software this week at the National Retail Federation annual show in New York City. The software giant also unveiled a new partnership with First Data and Hewlett-Packard to sell a fully integrated POS offering to small retailers that are looking to replace basic cash registers with computerized POS systems.

Microsoft Dynamics-Point of Sale is a software product that basically converts a regular PC into a POS system, and is designed for small retailers. New features in Dynamics-POS 2.0 include: new installation wizards and tutorials; the capability to quickly switch between manager and cashier views; the capability to customize the screen with buttons and new logos; support for Windows Vista; various inventory management enhancements; support for gift cards; and a free copy of Office Accounting Professional 2007, along with better integration among the products. The software comes with a $799 per terminal price tag, and is currently only available in the U.S. in English.

A step above POS 2.0 is Microsoft Dynamics Retail Management System (RMS) 2.0, which is designed for larger retailers. Compared to the entry-level POS software, this product offers more sophisticated features such as pricing and sales promotion, customer- and employee-management capabilities, as well as POS and inventory-management capabilities. With version 2.0, Microsoft has delivered improvements in the areas of inventory management, purchasing control, pricing, support for address verification, product activation, and better maintenance, including two free support calls. This product is currently available worldwide, but only in English.

Small retailers looking for a POS bundle they can roll out quickly may want to check out the new POS Value Exchange unveiled by Microsoft, HP, and FirstData. The solution, available Monday, includes Microsoft's Dynamics-Point of Sale 2.0 software, HP's rp5000 touch-screen PC, and credit, debit, and gift-card payment processing services from First Data, the giant in the payment processing field.

The POS Value Exchange will only be offered through First Data's sales channel. Customers will be able to buy the solution outright, or lease it from their vendor. Specific pricing was not disclosed by the vendors.

According to Microsoft, the POS Value Exchange's touch screen and capability to accept nearly all forms of payment will be welcomed by specialty retailers.

"Now small retailers using electronic cash registers and dial-up connections can easily convert to an affordable, integrated point-of-sale and payment processing system, and offer the same great customer service and payment options to their customers that the big-box stores do," says Mike Dickstein, general manager of Microsoft Dynamics.

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