When setting up a retail business, one of the most crucial decisions to make is selecting an effective and reliable payment processing provider. In an increasingly cashless society, it’s paramount to offer diverse payment options, from debit and credit cards to digital and contactless payments. Two leading providers in this realm are Shopify Point of Sale (POS) vs Zettle. This article will provide a comprehensive comparison of these two systems to assist UK businesses in making an informed decision.
Shopify POS vs Zettle
| Feature/Service | Shopify POS | Zettle |
|---|---|---|
| Transaction Fee | 2.2% + 20p (online credit cards) 1.7% (in-person credit cards) | 1.75% per card payment |
| Monthly Fee | Starts at £21/month | None |
| Mobile Card Reader | Not available in the UK | £29 + VAT |
| Inventory Management | Advanced features Syncs across all sales channels | Basic features |
| E-commerce Integration | Seamless with Shopify platform | Requires third-party apps for platforms like Shopify, WooCommerce |
| Customer Support | 24/7 via phone, email, live chat | Weekdays, business hours via email and social media |
| Contactless Payments | Not available in the UK | Yes, includes Apple Pay and Google Pay |
| Integration with PayPal | Not directly | Yes, seamless integration |
| Third-Party Hardware Compatibility | Yes | Yes |
| Multi-Location Support | Yes | No |
Please remember that pricing can change and it’s always best to check the current pricing details on the providers’ respective websites.
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What are Shopify POS and Zettle?
Before diving into the comparisons, it’s important to understand what each of these systems offers.
Shopify POS
Shopify POS is a comprehensive system that allows businesses to sell not only online but also in physical locations such as retail stores, pop-up shops, and markets. It’s designed to seamlessly integrate with the Shopify e-commerce platform, offering a unified solution for businesses operating across multiple sales channels.
Zettle
Previously known as iZettle, Zettle is a mobile payment service that allows businesses to accept payments using a mini card reader and a smartphone or tablet. Now owned by PayPal, Zettle has become one of the leading mobile payment solutions for small businesses in the UK and across Europe.
Features and functionality
Inventory management
Shopify POS shines when it comes to inventory management. Its integrated system enables synchronisation of inventory across all sales channels, reducing the risk of overselling. It allows for easy tracking of stock levels, enabling automated reminders when it’s time to replenish.
Zettle, on the other hand, offers basic inventory management but doesn’t provide the advanced features found in Shopify. If your business requires comprehensive inventory management, Shopify might be a better choice.
Mobile card reader
Zettle stands out with its compact and efficient card reader. It’s easy to set up, accepts all major credit and debit cards, and provides quick payments. Zettle’s card reader also accepts contactless payments, including Apple Pay and Google Pay.
While Shopify does offer its own card reader, it’s currently not available in the UK. Therefore, for businesses that heavily rely on in-person card transactions, Zettle might be a more suitable option.
Integration
Shopify POS is an excellent choice for businesses that already use or plan to use the Shopify e-commerce platform. Its seamless integration allows you to manage both your online and offline sales from a single dashboard.
Zettle integrates well with PayPal due to their shared ownership. This allows for easy access to funds and swift transactions. However, its integration with e-commerce platforms like Shopify or WooCommerce requires third-party apps, potentially adding complexity and costs.
Pricing
Both Shopify POS and Zettle operate on a transaction-based pricing model. Zettle has a straightforward, fixed transaction fee of 1.75% per card payment. The card reader costs £29 + VAT. There are no monthly fees, making Zettle a low-cost option for small businesses.
Shopify POS has different plans based on business needs. The Basic plan costs $29/month (~£21/month) with a 2.2% + 20p per transaction for online credit cards and 1.7% for in-person credit cards. As the plan levels increase, transaction fees decrease.
Customer support
In terms of customer support, Shopify offers 24/7 assistance via phone, email, and live chat, providing reliable and immediate help when needed.
Zettle, however, only offers customer support via email and social media on weekdays during business hours. This could be a drawback for businesses that require out-of-hours support.
Final thoughts
The decision between Shopify POS and Zettle depends heavily on your business’s specific needs. Shopify POS is a robust, all-in-one solution ideal for businesses with or
planning to have an e-commerce presence. It offers advanced features like comprehensive inventory management but comes with a higher price tag.
Zettle, meanwhile, offers a cost-effective, easy-to-use solution that is excellent for small businesses and those primarily dealing with in-person transactions. Its integration with PayPal is a boon, but its e-commerce integration can be a bit cumbersome.
Ultimately, the decision should be driven by your business requirements. Take advantage of the trial periods both providers offer, test each system, and assess which best meets your needs before making a final decision.
FAQ
A POS, or Point of Sale system, is a combination of software and hardware that allows businesses to conduct and manage sales. This can include transactions, inventory management, and customer relations.
Shopify POS is a system provided by Shopify that allows businesses to sell products both online and in physical locations such as retail stores or markets.
Zettle, formerly iZettle, is a mobile payment service that allows businesses to accept payments using a compact card reader and a smartphone or tablet.
Currently, the Shopify POS mobile card reader is not available in the UK, making mobile payments via this method unavailable.
Zettle is primarily for in-person transactions, but it can be integrated with e-commerce platforms like Shopify or WooCommerce using third-party apps.
For the Basic plan, the transaction fee is 2.2% + 20p for online credit card payments and 1.7% for in-person credit card transactions. These fees decrease with higher-tier plans.
Zettle charges a straightforward, fixed transaction fee of 1.75% per card payment.
Yes, Shopify POS provides advanced inventory management features, including synchronisation across all sales channels.
Yes, Zettle does offer inventory management, but it is more basic compared to Shopify POS.
Shopify POS doesn’t directly integrate with PayPal. However, it does accept PayPal as a payment method.
Yes, Zettle integrates seamlessly with PayPal due to their shared ownership.
Yes, Zettle accepts contactless payments, including Apple Pay and Google Pay.
The Shopify POS card reader, which is currently not available in the UK, does accept contactless payments in regions where it is available.
The Zettle card reader costs £29 + VAT.
Yes, both Shopify POS and Zettle are compatible with a range of third-party hardware.
Shopify provides 24/7 customer support via phone, email, and live chat.
Zettle offers customer support via email and social media during weekdays and business hours.
Yes, Shopify POS supports sales and synchronises inventory across multiple locations.
No, Zettle does not currently offer multi-location support.
Zettle is generally cheaper with no monthly fee and a lower transaction fee. However, the choice between the two should also consider the features and functionalities your business needs.