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Insights and Expertise

• Cash tied up in stagnant inventory is capital the
merchant cannot spend on expanding their busi- When agents equip their
ness, upgrading their storefront or running promo-
tions—all of which drive the transaction volume an merchants with platforms that
ISO relies upon.
provide instantaneous data
• The attrition risk: Merchants struggling with in- regarding inventory velocity,
ventory constraints, shrinking margins and opera-
tional chaos are highly susceptible to churn. They stagnation and critical reorder
are most likely to switch to a competing agent that thresholds, they embed
promises a quick fix in the form of a marginally
lower processing rate. Ultimately, what appears on themselves into the daily
the surface to be a local retailer’s inventory problem
is, at its core, a systemic portfolio risk for the ISO. operations of that business.
Unlocking strategic value through technology

The adoption of modern POS technology fundamentally the merchant to focus on the front-of-house custom-
alters the ISO-merchant dynamic. When agents equip er experience.
their merchants with platforms that provide instanta- • Granular sales analytics: The ability to turn trans-
neous data regarding inventory velocity, stagnation and action data into actionable intelligence enables mer-
critical reorder thresholds, they embed themselves into chants to identify macro trends, adjust store layouts
the daily operations of that business. and optimize purchasing strategies.

Access to real-time velocity reports highlights which The intersection of data and working capital
product categories are accelerating. Low-stock alerts pre-
vent costly weekend stockouts. Sales trend data empowers Beyond inventory management, modern POS infrastruc-
merchants to forecast demand accurately. ture serves another highly lucrative function for the pay-
ments ecosystem: facilitating seamless access to capital.
Payments professionals who train their sales teams to Today’s sophisticated B2B platforms often integrate di-
highlight these POS analytics during pitches walk into rectly with embedded finance and merchant funding so-
every conversation with a high-conversion, consultative lutions.
offering.
By utilizing verified, real-time sales data pulled directly
They are no longer selling a commodity; they are selling from the POS terminal, specialized funding providers can
business survival. Merchants do not lightly abandon the quickly underwrite working capital advances. This eco-
technology that runs their inventory, making these ac- system approach directly benefits the ISO.
counts incredibly sticky and significantly boosting the
valuation of the agent's portfolio. When an independent retailer secures a capital injection
based on their POS performance, that liquidity is often
POS features that drive merchant growth used to place larger inventory orders, upgrade store infra-
structure or open a second location.
Not every POS system delivers the same strategic value to
independent retail accounts. When curating the techno- A financially empowered retailer, backed by robust
logical hardware and software to resell, ISOs and MLSs data, generates significantly higher processing volumes.
should look for platforms offering these core capabilities: By shifting the conversation away from processing fees

• Automated reordering: Systems that automatically and toward actionable data and access to capital, today's
trigger purchase orders with wholesalers when in- payments professionals can secure a highly profitable,
ventory drops below a predefined threshold dras- fiercely loyal portfolio.
tically reduce out-of-stocks, keeping the merchant's
shelves full and the payment terminal active. Elie Y. Katz is founder, president and CEO at National Retail Solutions
(NRS), https://nrsplus.com. NRS empowers independent retailers to
• Centralized pricebook management: The ability manage their business on their own terms with modern, mobile-ready
to easily maintain and update SKU pricing ensures POS systems. To learn more about securing a POS system that travels
the merchant is capturing optimal margins on every seamlessly with the merchant, call 833-289-2767 to consult with a spe-
scan, safeguarding their profitability.
cialist or visit the NRS website. To reach Elie, phone him at 201-715-5179
• Vendor integration functionality: Advanced POS or send an email to ekatz@nrsplus.com.
platforms centralize communication with distribu-
tors, streamlining the receiving process and freeing

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