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A transition in the payments industry has begun from hardware-based payment technology to software-based point of sale (SoftPOS). This shift helps merchants lower costs by removing the burden of an upfront hardware investment to accept contactless payments. Merchants can use bring-your-own-devices, like smartphones, handheld computers, and tablets, with a SoftPOS app for easy contactless payment solution implementation. However, SoftPOS integration also has benefits for independent software vendors (ISVs) and value-added resellers (VARs).
How SoftPOS Works
Near-field communication (NFC)-enabled Android devices can communicate with contactless cards or mobile wallets with a SoftPOS application without an additional payment terminal. Once the SoftPOS application captures cardholder data, it initiates the transaction and returns an approval to the merchant. SoftPOS applications are regulated by the Payment Card Industry Security Standards Council (PCI SSC) Mobile Payments on COTS (MPoC) standard, strict requirements that ensure protection of cardholder data.
Although SoftPOS applications are sophisticated, designed for software-based payments and strong security, they’re easy for store employees and customers to use. It’s a simple tap-to-pay transaction that merchants can accept anywhere inside or outside a store or restaurant. SoftPOS integration is also easy for VARs and ISVs, particularly if the provider offers the solution as a part of a complete payments ecosystem.
Which Markets Are Demanding SoftPOS?
Small and micro-businesses are embracing SoftPOS, which gives them a way to add contactless payments to mobile point of sale (mPOS) cost-effectively. For many of these businesses, SoftPOS is the entrance to contactless payment acceptance, or even digital payment acceptance, in the field.
The value of SoftPOS integration is not limited to smaller enterprises, however. Businesses of any size in any retail segment can use it to mobilize their sales associates. ISVs and VARs will find opportunities in these verticals:
- Retail: SoftPOS is a practical solution for in-aisle assistance, line busting, and payment at pop-up shops without the need to invest in mobile payment terminals. Retailers can use mPOS devices, or even devices that they’ve deployed for communication or inventory management, to accept contactless payments
- Field Services: Any business that accepts payments in the field, from farm stands to plumbers, can accept payments offsite using 5G/5G connectivity. Contactless payments are convenient for customers, and accepting payment at the time of service improves the merchant’s cash flow.
- Delivery: Delivery services can accept payments upon delivery; vendors can sell from food service trucks and don’t have to take the risk of carrying cash.
- Restaurant: With SoftPOS, diners can pay at the table, which is convenient for them and helps the restaurant increase table turns. SoftPOS is also a great solution for food trucks with flexible connectivity that allows them to accept payments securely from a different location every day.
Keep in mind, however, that SoftPOS is an emerging technology, particularly in North America, so use cases are not limited to these verticals. Innovative solutions providers can find niches that can benefit from SoftPOS integration and an easy, cost-effective way to accept contactless payments.
What’s the Upside of SoftPOS for VARs and ISVs?
With SoftPOS integration, you can meet demand for easy, cost-effective contactless payment acceptance. Acting now puts ISVs and VARs on the leading edge of technology implementation that’s set to grow dramatically. According to research from market.us, the global mPOS market will almost triple from about $46 billion in 2026 to about $128 billion in 2035.
Partner to Offer a Leading SoftPOS Solution
SoftPOS integration can help you take a user-friendly, secure solution to market more quickly. SureTap uses the same Datacap API stack as card-present terminals, making adaptation to a mobile app easier. This model also helps merchants deliver a smooth, easily repeatable, consistent checkout experiences, and it enables unified reporting.
SureTap from Datacap also gives you the power to set your own pricing and terms that work with your merchant relationships. And if you can expand your customer base to include mall and micro-business customers, you’ll tap into a new market for electronic payments.
Ready to Talk?
Datacap partners have an edge in bringing SoftPOS integration to their customers and growing their businesses. Working with the best in class will help you continually offer innovative solutions and grow your business. To learn more about SureTap SoftPOS integration and the opportunities to provide SoftPOS contactless payment acceptance to your market, contact us.FAQs
How difficult is SoftPOS integration with our application?
Most SoftPOS providers offer software development kits (SDKs), APIs, developer tools and documentation, and with the right payment solution partner, VARs and ISVs can add SoftPOS without changes to their applications or workflows. Datacap has streamlined the process with SureTap, which uses the same Datacap API stack as card-present terminals, minimizing the time to develop and launch your SoftPOS solution.
Is SoftPOS demand growing in North America?
Yes. Grand View Research reports that North America is dominating revenue share, with 33.5% of the market in 2025. Global projections call for the market to grow from $439.9 million in 2025 to $2.4 billion by 2033, a 24.4% compound annual growth rate (CAGR).
What's driving the SoftPOS market?
Merchants need to keep up with technological advancements and consumer demands while also finding ways to control costs. SoftPOS lets them accept contactless payments without investing in, and paying to maintain, additional payment devices.
Do merchants need a separate payment terminal to accept SoftPOS payments?
No. An NFC-enabled Android device running a SoftPOS application can accept contactless cards and mobile wallets without an additional payment terminal. Merchants can use devices they already have, such as smartphones, handheld computers and tablets, including devices deployed for communication or inventory management.
How is cardholder data protected in a SoftPOS application?
SoftPOS applications are regulated by the PCI Security Standards Council’s Mobile Payments on COTS (MPoC) standard, whose strict requirements are designed to protect cardholder data. That security runs behind the scenes, so checkout stays a simple tap-to-pay transaction for employees and customers.
