Hospitality Tech Glossary

The financial institution or payment processor that processes card transactions on behalf of the merchant. The acquirer settles funds into the merchant's bank account.

Total revenue divided by the number of transactions in a period. A core KPI for hospitality operators, influenced by menu pricing, upselling, and basket composition.

A venue that does not accept cash payments. All transactions are processed via card, mobile payment, or pre-loaded wristband. Reduces cash handling, speeds service, and improves reporting accuracy.

An automated revenue-sharing arrangement where a platform distributes a percentage of each sale to the venue operator, landlord, or platform provider. Used in food halls and managed venues.

A payment method using NFC (near-field communication) technology. Customers tap their card, phone, or wearable against a terminal to pay without inserting a chip or entering a PIN.

The number of guests served in a given period. A 100-cover lunch service means 100 diners were seated and served. Used as a key metric for labour planning and revenue per head.

Breaking down sales data by time periods within a trading day (breakfast, lunch, afternoon, dinner, late night). Reveals when revenue peaks and troughs, informing staffing and promotions.

Electronic Point of Sale. A digital system that processes transactions, manages orders, and records sales data. Modern EPoS systems integrate with payments, stock, and reporting.

The number of people entering a venue or passing through an area in a given period. Used alongside transaction data to calculate conversion rate (what percentage of visitors buy something).

Revenue minus cost of goods sold, expressed as a percentage of revenue. In hospitality, a 70% GP margin means 30p of every pound goes to ingredients.

A mobile device (phone or small tablet) running POS software, allowing staff to take orders and payments tableside or roaming. Reduces queues and speeds up service.

A setup where the payment terminal communicates directly with the POS, so the amount is sent automatically and the transaction result is recorded without manual entry. Eliminates keying errors.

A fee paid by the acquirer to the card-issuing bank on each transaction. It is the largest component of card processing costs and varies by card type, region, and transaction method.

A screen-based system that replaces paper tickets in the kitchen. Orders appear in real time, can be bumped when complete, and integrate with the POS for timing and routing.

Allowing customers to browse menus, place orders, and pay from their own device. Can be via a native app, web app, or QR-triggered ordering page.

An option that customises a menu item at the point of order. Examples: milk choice on a coffee, doneness on a steak, extra toppings on a pizza. Modifiers can carry additional charges.

A POS system designed to handle multiple independent traders or brands operating under one roof, each with their own menus, pricing, and settlement. Common in food halls and festivals.

The ability to accept card payments when the internet connection is down. Transactions are stored locally and processed once connectivity is restored.

Limiting the number of orders accepted in a time window to prevent the kitchen from being overwhelmed. The system temporarily pauses new orders when capacity is reached.

The minimum quantity of a stock item that should be on hand before reordering. Par levels prevent both stockouts and over-ordering.

The technology that captures and transfers payment data from the customer to the acquirer. It authorises the transaction and returns an approval or decline to the POS.

Point of Sale. The place where a customer makes a payment for goods or services. In hospitality, it refers to both the physical terminal and the software running on it.

Letting customers place and pay for orders before arriving at the venue. Common at festivals and events, where it reduces queue times and guarantees demand.

A report showing the sales volume and revenue contribution of each menu item. Helps operators identify best sellers, underperformers, and items to promote or remove.

A system where customers scan a QR code at their table to view the menu and place orders directly from their phone. Orders go straight to the kitchen or bar, reducing wait staff dependency.

Calculating the ingredient cost of a menu item by summing the cost of each component at its required quantity. Gives operators their gross margin per dish.

A wristband containing a radio-frequency identification chip, pre-loaded with credit. Used at festivals and events for fast, cashless transactions. Reduces queue times and eliminates cash handling.

The process of transferring funds from the payment processor to the merchant's bank account after a transaction is authorised. Settlement times vary from same-day to T+3.

Allowing a single bill to be paid across multiple methods (e.g. part card, part cash, part voucher) or split equally between diners.

A unique identifier assigned to each product or variant for inventory tracking. In hospitality, SKUs track individual menu items and their modifiers.

One complete cycle of a table being seated, served, paid, and cleared. Higher table turns per service mean more revenue from the same floor space.

Theoretical stock is what should remain based on recorded sales and deliveries. Actual stock is what a physical count reveals. The difference is variance, caused by waste, theft, or recording errors.

A pre-pay model where attendees purchase tokens (physical or digital) and exchange them for food and drink. Simplifies multi-vendor settlement and guarantees spend.

An automated suggestion shown to the customer or staff member during the ordering process, recommending an add-on, upgrade, or complementary item to increase basket value.

The process of calculating and paying each trader their share of revenue after a multi-vendor event. Requires accurate per-vendor sales data, commission deductions, and reconciliation.

The usable quantity of an ingredient after preparation (trimming, cooking, portioning). A 10kg case of potatoes with 15% waste has a yield of 8.5kg. Accurate yields are essential for recipe costing.