Let me ask you something…When was the last time you paid with cash?
For most of us, tapping a card at the checkout has become second nature. In fact, according to a recent study, Australia is set to be one of the first countries to go completely cashless.
But behind every quick tap or swipe is a system processing that payment. One of the most well-known in Australia is EFTPOS, a technology that’s been around since the 1980s and now powers millions of payments every day.
But how does EFTPOS compare to other popular options like Visa, Mastercard, Apple Pay, or Buy Now, Pay Later tools like Afterpay? And what about how these systems integrate with your EPOS or POS software?
In this article, we’ll explore:
- What EFTPOS actually is
- How it compares to EPOS (and why they’re not the same thing)
- How EFTPOS stacks up against other payment methods
- What features matter most for your business setup
- How to choose the right payment solution for your small business
Let’s get into it.
What is an EPOS?
If EFTPOS is the thing that lets your customer pay, then EPOS is the system that lets your business run.
What does EPOS stand for?
EPOS stands for Electronic Point of Sale.
It handles your sales, tracks your inventory, manages your staff, prints receipts, and sometimes even integrates with your loyalty and delivery apps.
You’ll find EPOS systems everywhere – in cafes, salons, boutiques, food trucks. If they’ve got a touchscreen, chances are, they’re running an EPOS system.
Many modern EPOS setups are also cloud-based. That means you can check your daily sales or stock levels while you’re at home in your pyjamas or sipping wine on the beach. It’s smart, simple, and super helpful for busy business owners.
What are the main differences between an EFTPOS and EPOS?
EFTPOS. EPOS. One tiny letter apart… but totally different beasts. So what’s the difference? Here it is, plain and simple:
- EFTPOS is how your customer pays you.
- EPOS is how you run your business.
Let’s break that down.
- An EFTPOS machine is the little device your customer taps their card or phone on. It connects directly to their bank and pulls the money out in real time. Payment done.
- An EPOS system, on the other hand, is the full point-of-sale setup. That’s your touchscreen till, your product list, your reporting dashboard, and your staff logins all rolled into one. It tracks what you sold, who sold it, when you sold it, and what’s left on your shelves.
So while EFTPOS handles the payment, EPOS handles everything else.
Can I integrate my EFTPOS with my EPOS?
Short answer? Yes. And you absolutely should.
Running your EFTPOS and EPOS separately is like having your left hand and your right hand working on different tasks without talking to each other. It works… but it’s clunky, slow, and way more effort than it needs to be.
Instead of manually punching in amounts into your EFTPOS machine (and praying you didn’t fat-finger a $15 sandwich into a $150 charge), your EPOS system sends the total straight to the payment terminal. It’s smoother, faster, and more professional.
Plus, integration means everything gets logged in one place. Your sales data, payment methods, tips, refunds, all synced, all sorted. No more hunting through receipts or trying to match reports at the end of a long day.
Most modern systems are built to play nicely together, especially in Australia, where local EFTPOS providers work with cloud-based EPOS software like a dream.
EFTPOS vs. other payment methods
As a small business owner in Australia, you’ve got more choices than ever and that’s a good thing. Each payment method has its own perks (and a few quirks), so let’s quickly break down some of the most popular options alongside EFTPOS:
| Payment method | Best for | Pros | Cons |
| EFTPOS | In-person payments in retail & hospitality | – Fast, reliable transactions
– Lower fees (in many cases) – Strong local infrastructure |
– Less suited to online sales
– Limited global use without integration |
| Visa / Mastercard | Universal credit/debit card payments | – Widely accepted globally
– Supports both in-person and online payments |
– Higher transaction fees for merchants
– Requires payment gateways for online use |
| BPAY | Bill payments & subscriptions | – Secure and trusted
– Direct bank-to-bank payments |
– Not designed for retail checkout
– Not ideal for fast-paced sales environments |
| Afterpay (BNPL) | Retail businesses with younger customers | – Attracts more shoppers
– Increases average order value |
– Higher merchant fees
– Delayed or partial payout for merchants |
| Paypal | Online and mobile commerce | – Easy to integrate online
– Trusted brand name |
– Can have higher fees
– Not as seamless for in-person payments |
| Apple Pay/ Google Pay | Tech-savvy customers in retail/hospitality | – Fast, contactless, secure
– Increasingly popular with younger consumers |
– Tied to existing card networks
– May incur same fees as Visa/Mastercard |
Advantages of EFTPOS
EFTPOS continues to be a popular choice for many small businesses across Australia, especially those operating in retail and hospitality. Here are a few reasons why some businesses lean towards this method:
- Broad acceptance and familiarity: When people see a payment option they trust, they’re more likely to buy. That means more sales for your business.
- Transaction efficiency: EFTPOS payments are quick and seamless. Faster checkouts keep customers happy and help your staff work efficiently.
- Strong security protocols: EFTPOS Australia follows strict security standards to protect sensitive payment data. This helps you reduce fraud risk and build customer confidence.
- Valuable data insights: The transaction data gives you useful insights into customer behaviour. Knowing what your customers buy and when can help you make smarter business decisions.
- Versatility in payment options: EFTPOS terminals accept a range of payments. This flexibility makes it easy for customers to pay how they want, including paying with debit card or even through mobile EFTPOS solutions.
- Support for loyalty programs: You can connect your loyalty program to EFTPOS, making it simple to reward customers and encourage repeat visits.
What Businesses need to accept EFTPOS Australia
If you want to start accepting these kinds of payments, there are a few essentials your business needs to have in place:
- Set up a merchant account: First off, you need a merchant account with a bank or financial institution that supports EFTPOS. Think of this as your business’s special bank account where all your payments will land.
- Get the right terminal: This can either be a standalone device, or something built into your existing cloud-based POS system. For example, many POS systems options available in the market offer built-in integration with EFTPOS terminals for smoother transactions.
- Reliable network connection: These transactions happen in real time, so your business must have a steady internet or phone connection.
- Follow security regulations: Your business must comply with PCI DSS standards to protect cardholder data.
- Train your staff: Your team needs to know how to use the terminal properly. Good training here protects your business and your customers.
- Agree to service terms: You’ll enter a service agreement with your EFTPOS provider that lays out the rules: fees (including EFTPOS fees), operational guidelines, and what you can expect from each other.
- Keep software updated: Technology moves fast, and these systems are no different. Your business must commit to regular software updates to stay current with the latest security fixes and features.
Which payment method is best for my Australian small business?
So, after everything we’ve covered, you might be wondering, what’s the best payment method for your small business? The truth is, there’s no one-size-fits-all answer. It really depends on your business type, your customers, and what you want to achieve.
EFTPOS is a solid, trusted choice here in Australia. But it’s also worth thinking about other options like mobile wallets, Buy Now Pay Later services, or online payment gateways.
If you’re exploring new business ideas Australia, having a solid payment system that includes EFTPOS and integrates well with your point of sale systems Australia is a smart move to set you up for success.
At the end of the day, every small business owner wants to know one thing: how much do small business owners make, and how can I improve my earnings? While there’s no magic number, choosing the right payment methods, like EFTPOS, can help you run a smoother, more efficient operation that supports growth and revenue
