What Is Shopify POS and Who Needs It
Shopify POS (Point of Sale) is Shopify’s integrated retail system that lets you sell in person — at a physical store, pop-up shop, market stall, or event — using the same Shopify backend as your online store. Inventory, customers, orders, and analytics are unified across both channels. A customer who buys online and returns in person is the same customer in your system. A product you sell online is the same product you sell in person — stock levels update across both channels automatically.
Shopify POS is available in two tiers: POS Lite (included in all Shopify plans) handles basic in-person selling. POS Pro ($89/month per location) adds advanced retail features: staff permissions, detailed reports, smart inventory, exchanges, and more.
Hardware You Need for Shopify POS
Shopify POS runs on an iPad or iPhone using the Shopify POS app. The hardware options:
- iPad or iPhone — runs the POS app. iPad Pro on a stand is the standard retail register setup; iPhone works for mobile selling (markets, pop-ups).
- Shopify POS Terminal ($349) — dedicated card reader that accepts chip, swipe, and contactless payments (Apple Pay, Google Pay, tap-to-pay). The most professional setup for a retail location.
- Shopify Tap & Chip Reader ($49) — connects to your iPhone or iPad via Bluetooth; accepts chip and tap payments. Good for pop-ups and markets.
- Receipt printer — Shopify supports Star and Epson receipt printers via Bluetooth or Ethernet. Or configure email/SMS receipts instead of printing.
- Cash drawer — connects to your receipt printer for cash handling.
- Barcode scanner — handheld scanners speed up checkout for high-SKU stores; pair via Bluetooth.
Step 1: Set Up Shopify POS
- Download the Shopify POS app on your iPad or iPhone
- Log in with your Shopify store credentials
- In Admin: go to Point of Sale → Locations to add your physical location(s)
- Set your payment provider: Settings → Payments → Shopify Payments — POS payments process through Shopify Payments for the lowest transaction fees (between 1.5-2.7% for card-present transactions depending on plan)
- Connect your hardware: pair card reader, receipt printer, and barcode scanner via the POS app hardware settings
- Configure your POS product catalog: assign products to your physical location inventory
Step 2: Configure Products for In-Person Selling
Products must be assigned to your physical location to appear in the POS product catalog. Go to Products → [Product] → Inventory → Locations. Toggle on your POS location for each product you sell in person. Set the inventory quantity at your physical location — this is tracked separately from your online store’s fulfillment location.
For stores with large catalogs: use product variants, collections, and the POS app’s search functionality rather than trying to display everything on the POS home screen. The POS app supports adding custom quick-access tiles for your most commonly sold products.
Step 3: Set Up Staff Access and Permissions
POS Pro allows configuring staff access levels. In Admin → Staff:
- Full access — for managers: can process all transaction types, apply discounts, issue refunds, access reports
- Limited staff — for associates: can process standard sales and exchanges but can’t apply custom discounts or access financial reports
- PIN login — each staff member can have their own PIN so transactions are attributed to specific staff members in reports
Staff attribution in sales data tells you which staff generate the most sales — useful for performance measurement and commission tracking.
Step 4: Configure Payment Methods
Shopify POS accepts multiple payment types:
- Credit and debit cards — via Shopify card reader (chip, swipe, tap, Apple/Google Pay)
- Cash — manually entered; POS calculates change
- Gift cards — Shopify gift cards (issued online or at POS) can be redeemed at any POS location or online
- Split payments — a customer can pay part with gift card, part with credit card
- Custom payment types — “Pay Later,” “Check,” or other custom methods you define for your business
Shopify Payments card-present rates are lower than online processing rates — Shopify’s card-present rate is 1.5-2.7% vs. 2.4-2.9% for online depending on plan. This is a meaningful difference for high-volume physical retail.
Step 5: Set Up Inventory Management Across Locations
Shopify POS Pro’s inventory management features:
- Stock counts — perform inventory counts at each location, reconciling physical stock against Shopify’s records
- Transfer between locations — move inventory from your warehouse to your retail location (or between multiple retail locations) via POS inventory transfers
- Low stock alerts — receive notifications when products hit minimum thresholds at any location
- Purchase orders — create POs within POS Pro and receive inventory against them
Unified inventory means your online store never shows a product as available if it’s been sold out in your retail location, and vice versa. This eliminates the overselling problem that disconnected retail/online systems create.
Step 6: Enable Omnichannel Customer Experience
Shopify POS’s biggest advantage over standalone POS systems is the unified customer database. Enable omnichannel features:
- Customer lookup at POS — search existing customer accounts during checkout. Returning online customers can be identified, their purchase history accessed, and loyalty points applied to in-person purchases.
- Buy Online, Pickup In Store (BOPIS) — customers order online and pick up at your location. POS Pro enables staff to manage pickup order fulfillment with dedicated POS workflow.
- Ship from Store — fulfill online orders from in-store inventory directly at the POS, useful for stores where retail location serves as a fulfillment hub.
- Returns and exchanges from any channel — a customer can return an online purchase in your physical store; the order is found via POS and processed as a return or exchange, with inventory and accounting handled correctly across both channels.
Step 7: Configure Receipts and Customer Communication
At checkout completion, Shopify POS offers multiple receipt delivery options:
- Email receipt — enter customer email to send receipt. This email collection builds your marketing list and is how you capture in-person customer data for Klaviyo email marketing.
- SMS receipt — text receipt to customer’s phone number
- Printed receipt — via connected receipt printer
- No receipt — for quick transactions where the customer declines
Email receipt collection at POS is a critical CRM-building opportunity. Train staff to offer “Can I send your receipt to your email?” at every transaction — this builds your email list from in-person buyers and enables follow-up marketing to in-store customers.
Step 8: Use POS Analytics and Reports
Shopify’s unified analytics include POS data alongside online data:
- Sales by location — compare online vs. each physical location’s performance
- Sales by staff — which staff members generate most revenue (POS Pro)
- Product performance by location — which products sell best in-store vs. online (often different)
- Payment type breakdown — what percentage of in-person sales are cash vs. card vs. gift card
- End-of-day reports — daily summary for your physical location including opening/closing cash, total sales, and payment method breakdown
Frequently Asked Questions
Do I need Shopify POS Pro or is POS Lite enough?
POS Lite (free with all Shopify plans) handles basic in-person selling, cash management, and simple returns. POS Pro ($89/month per location) adds: staff permissions with PINs, exchanges, detailed retail reports, smart inventory management, BOPIS fulfillment, and unlimited staff accounts. For a serious retail location, POS Pro features — especially staff permissions, detailed reporting, and inventory management — are worth the investment. For occasional pop-ups or market selling, POS Lite is sufficient.
How do I handle returns from online orders at my physical Shopify POS?
In the POS app: tap “Orders” → search for the online order by order number, customer name, or email → select the order → tap “Return.” Select which items are being returned and the reason. The return is processed and inventory is adjusted at your physical location. Refund can be processed to the original payment method (credit card) or as store credit/gift card. The full omnichannel return experience is one of Shopify POS Pro’s most compelling features for retailers with both online and physical presence.
Can I use Shopify POS for pop-up shops and markets?
Yes — Shopify POS runs on an iPhone with a Tap & Chip Reader for fully mobile in-person selling. You don’t need a fixed location or Shopify location configured to use POS for occasional events, though adding a location for each event helps with inventory tracking and analytics. For regular market selling, configure your market as a separate Shopify location so its inventory and sales are tracked separately from your main store.
How do I train staff on Shopify POS?
Shopify’s POS app has a training mode that lets staff practice transactions without processing real payments. Enable it in POS settings → Development/Testing. Create a training scenario for your team: standard purchase, split payment, return, exchange, and gift card redemption. Shopify also has free training resources and video guides. Most staff can learn the basic POS workflow in under an hour — it’s intentionally simple.
Does Shopify POS work offline?
Yes — with limitations. POS Lite and Pro both have limited offline mode: you can continue processing card-present transactions if internet connection drops temporarily. Transactions are queued and synced when connectivity returns. However, complex operations (customer lookup, online order access) require connectivity. For stable retail locations, ensure reliable internet (consider a cellular backup). For markets or pop-ups in low-connectivity areas, test offline mode before your event.
Final Thoughts
Shopify POS is the cleanest solution for Shopify store owners who also sell in person — it unifies your inventory, customers, and analytics in one platform, eliminating the complexity and data silos of managing separate retail and online systems. Start with POS Lite for occasional or simple selling; upgrade to POS Pro when your physical retail operation justifies the advanced inventory, staff, and fulfillment features.
For more on operating a multi-channel Shopify business, explore our guides on multi-currency for international selling, analytics for omnichannel data, and shipping from multiple locations.
