Since Toast seems be very keen on earning high payments margins from their traditional customers, why this departure? It’s well-known that processing margins are very thin on larger merchants, so it’s not totally unexpected for Jamba to put a limit on their exposure: it’s what larger merchants have done for a long time. Jamba Juice executives told us that they were sure to limit their exposure to these types of shenanigans by agreeing to fixed rates for a number of years. Second, one has to wonder how far into the future merchants think about SMOPP, or the risk of selecting a POS with only one payments option. To us, this further strengthens our prognostication that cloud POS will be 50% of all systems by 2023. More than anything the decision to pick a cloud solution over a “reliable” legacy POS (NCR’s Aloha) shows that cloud solutions are being legitimately considered as enterprise retailers are looking to refresh their technology stack.
Nobody sober would claim Jamba Juice has the same functionality needs as a full service restaurant chain but it still comprises near 1,000 locations. We thought this was a great learning opportunity to discuss what this means for POS, and the brick and mortar industries POS serves.įirst and foremost we have long heard skeptics proclaim that cloud POS was too lightweight and wholly unfit for the big leagues. But if you attended, or simply had your head above water while the show was running, you doubtless heard about Jamba Juice ejecting Aloha and choosing Toast for their POS needs. We don’t attend the National Restaurant show for reasons we’ve discussed previously.