SoftPOS is quickly becoming the next big thing in contactless payments. If you are wondering what is SoftPOS this complete guide explains what is SoftPOS how it works and why businesses are switching to this payment solution
In this comprehensive guide, we’ll break down the meaning of SoftPOS, how the SoftPOS technology works, its benefits, who the leading SoftPOS providers are, and how you can use this innovative solution to grow your business.
What Does SoftPOS Mean?
SoftPOS, short for Software Point of Sale, is a software-based solution that turns any NFC-enabled smartphone or tablet into a secure payment terminal — without the need for additional hardware.
In simple words, SoftPOS lets merchants accept contactless card payments directly on a mobile device using only an app.
This means businesses can process payments made with:
- Contactless credit and debit cards (Visa, Mastercard, etc.)
- Mobile wallets like Apple Pay, Google Pay, or Samsung Pay
- NFC-enabled wearables
How Does SoftPOS Work? | What is SoftPOS
The core SoftPOS technology relies on Near Field Communication (NFC) and EMV standards for secure transactions.
Here’s how it works:
- Customer Taps Card or Device: The customer taps their contactless card or mobile wallet on the merchant’s NFC-enabled phone or tablet.
- Transaction is Processed Securely: The SoftPOS application communicates with the payment processor or acquiring bank, just like a traditional POS terminal would.
- Payment is Authorized: Once the payment is authorized, the customer receives a receipt digitally.
There’s no dongle, card reader, or additional hardware required — it’s all in the SoftPOS application.
Key Benefits of Using SoftPOS Solutions
If you are wondering what is SoftPOS for small businesses it is a simple cost effective way to accept contactless payments anywhere. Businesses of all sizes — from street vendors to large retailers — are rapidly adopting SoftPOS solutions because of their clear advantages:
1. Cost-Effective Setup
Traditional card machines require hardware and maintenance costs. With SoftPOS, all you need is a compatible smartphone.
2. Greater Mobility
Serve customers anywhere — in-store, at pop-up events, or on delivery routes. SoftPOS offers the ultimate mobility for businesses.
3. Enhanced Security
Modern SoftPOS providers comply with PCI DSS standards and use point-to-point encryption to secure transactions.
4. Contactless Convenience
In a post-pandemic world, consumers prefer contactless payments. SoftPOS makes this frictionless.
5. Scalable for Small and Large Businesses
SoftPOS is perfect for SMEs and enterprise-level businesses that need to equip multiple staff members with secure payment acceptance.
Top SoftPOS Providers to Know
When researching what is SoftPOS it is helpful to compare trusted certified providers. If you’re considering implementing a SoftPOS solution, it’s smart to know the leading providers in the market.
Some trusted SoftPOS providers include:
- Ingenico SoftPOS: Known for robust payment solutions worldwide.
- Trust Payments SoftPOS: Popular in the UK and Europe for flexible payment solutions.
- Visa SoftPOS Partners: Visa works with certified SoftPOS providers to ensure compliance.
- Mastercard Tap on Phone: Mastercard’s version of SoftPOS technology is used by multiple acquiring banks.
When choosing a SoftPOS provider, check that they are Visa SoftPOS and Mastercard SoftPOS certified to guarantee security.
Is SoftPOS Secure? | What is SoftPOS Security
Security is a common question when businesses first hear about SoftPOS.
Leading SoftPOS solutions follow the PCI CPoC (Contactless Payments on COTS) standard, which ensures that transactions are secure on commercial off-the-shelf devices.
Key security measures include:
- EMVCo Certification: Prevents card cloning and fraud.
- Point-to-Point Encryption (P2PE): Secures card data end-to-end.
- Tokenization: Replaces sensitive card details with tokens during transactions.
Always choose a certified SoftPOS provider to ensure compliance.
SoftPOS vs Traditional POS: What’s the Difference?
| Feature | Traditional POS | SoftPOS |
|---|---|---|
| Hardware Required | Yes | No |
| Mobility | Limited | Highly mobile |
| Setup Costs | Higher | Minimal |
| Contactless Payments | Available (with reader) | Native on device |
| PCI Compliance | Required | Required (CPoC standard) |
For many small businesses, SoftPOS is an attractive alternative to investing in costly hardware.
Who Should Use SoftPOS?
Knowing what is SoftPOS helps merchants decide if this secure payment solution is right for them. SoftPOS applications are ideal for:
- Small retailers and pop-up shops
- Delivery services
- Food trucks
- Market traders
- Event vendors
- Large retailers equipping staff with line-busting mobile checkout
Basically, if you want to accept contactless card payments on the go, SoftPOS is worth considering.
How to Get Started with a SoftPOS Solution
Getting started is simple:
1. Choose a SoftPOS provider: Research certified providers for your region — look for Visa or Mastercard partnerships.
2. Check device compatibility: Your smartphone must have NFC and meet security requirements.
3. Install the SoftPOS application: Your provider will guide you through setup.
4. Test transactions: Run test payments to ensure everything works smoothly.
5. Train your staff: Make sure anyone accepting payments knows how to use the app securely.
Future of SoftPOS Technology
Experts believe that SoftPOS technology will become the norm for contactless payments worldwide.
According to industry research, the global SoftPOS market is projected to grow significantly in the next five years due to:
- Rising demand for frictionless payments
- Growth of contactless card usage
- Expansion of smartphone adoption in developing markets
Businesses that adopt SoftPOS early can stay ahead of the curve and deliver better customer experiences.
Final Thoughts: Should You Switch to SoftPOS?
If your goal is to accept secure, contactless payments anywhere with minimal upfront costs, SoftPOS is a smart choice.
From better mobility to cost savings and PCI compliance, a certified SoftPOS solution can help future-proof your payment processing.
FAQs About SoftPOS
What is SoftPOS meaning?
SoftPOS means Software Point of Sale — a payment solution that turns a smartphone into a card terminal.
Is SoftPOS secure?
Yes! Certified SoftPOS providers follow PCI standards to encrypt transactions and protect cardholder data.
Can I use SoftPOS with Visa and Mastercard?
Absolutely. Leading SoftPOS solutions work with Visa, Mastercard, and other major card networks.
How do I find SoftPOS providers near me?
Start by researching global names like Ingenico, Trust Payments, or your local acquiring bank that offers SoftPOS.
Related Resources
Ready to Embrace SoftPOS?
At Avantis Direct, we help businesses upgrade to modern payment solutions that are cost-effective and secure.
Want to learn more about SoftPOS payment technology and how to implement it for your business? Contact our experts today!
