The Ultimate Guide to POS Terminals for Canadian Retailers

For Canadian merchants, choosing the right point-of-sale (POS) terminal is a strategic investment that affects your day-to-day operations, customer satisfaction, and long-term growth. 

From liquor stores to cafes and restaurants, a modern POS system can help you work faster, sell smarter, and serve better. In this guide, we’ll break down the essentials of POS terminals: how they work, which type suits your business, and what to consider before choosing one. 

What Is a POS Terminal? 

A POS terminal is the device that lets you complete in-person transactions. It reads cards, mobile wallets, and QR codes, connects to payment processors, and issues receipts. But today’s POS terminals do much more. 

Modern systems are all-in-one solutions that also help manage inventory, track sales, generate reports, and support digital loyalty programs. With global shoppers on the rise, a POS terminal that can accept cross-border payments like Alipay, WeChat Pay, and UnionPay is quickly becoming essential. 

Types of POS Terminals 

• Fixed POS Terminals
  Stationary systems often used at checkout counters. Ideal for high-volume environments like liquor stores or restaurants with consistent in-store traffic. 
• Mobile POS
  Portable, tablet- or smartphone-based terminals. Great for wineries, outdoor events, and businesses that need flexibility. 
• Cloud-Based POS 
  Connects to the internet and stores data securely in the cloud. Useful for multi-location retailers needing centralized control and real-time access to data. 
• Smart POS 
  Combines multiple functions in one device: accepts chip, tap, mobile wallets, and QR payments, while also managing receipts, loyalty programs, and customer insights. 

What to Consider When Choosing a POS Terminal 

• Payment Options 
  Does the terminal support debit, credit, mobile wallets, and QR code payments? Systems that accommodate Alipay, WeChat Pay, and UnionPay help you serve international customers with ease. 
• Hardware Quality 
  Choose equipment that suits your setting—durable for high-traffic liquor stores, weather-resistant for outdoor wineries, or compact for mobile setups. 
• Software Capabilities 
  Look for features like real-time reporting, inventory tracking, employee management, and integration with your CRM or loyalty platform. 
• Compatibility 
  Ensure it works with your existing tools. AlphaPay integrates seamlessly with leading platforms like Moneris, Clover, and Chase. 
• Security Standards 
  Make sure the POS terminal complies with PCI DSS and supports encryption and tokenization to keep customer data secure.

Cost of a POS System

Understand the total cost: hardware fees, software subscriptions, transaction rates, and any long-term contracts. 

Cost Breakdown

Software

• Free to basic plans start at $0–$30/month.

• More feature-rich plans run from $60 up to $400/month

Hardware

• Simple card readers cost around $50–$100.

• Full countertop terminals range from $350 to $2,000.

• All-in-one setups (terminal + cash drawer + printer) typically cost around $1,000–$1,500.

For businesses looking to reduce upfront costs, POS hardware rentals are a practical alternative. Monthly rental fees typically range from $30 to $100 depending on the device type and features.

Rental plans often include maintenance, software access, and customer support, making it easier to manage costs while keeping your setup up to date.

Upfront vs Subscription

• Some providers offer everything upfront (hardware + software) for $1,200–$2,000.

• Cloud-based systems use free or low-cost software with separate hardware purchases.

• Others use no monthly fee, instead taking a cut per transaction.

Processing Fees
Card processing rates typically run around 2% + 10¢ up to 3.5% + 15¢ per transaction.

POS Hardware Options

Here are some representative systems available in Canada: