Executive Summary

The following analysis examines retailer experiences with EFTPOS systems in Australia, based on survey data collected in April 2025. Before addressing the detailed findings, several critical insights deserve immediate attention:

Key Findings Highlight

• Integration Landscape: Linkly (most major banks) dominates with 43% market share, followed by Tyro (26%) and non-integrated solutions (23%).
• Reliability Crisis: Despite being the highest-rated factor (9.6/10), reliability remains a problem, with 68% of retailers experiencing at least one outage in the past year.
• Provider Comparison: Tyro users report significantly better reliability (45% with no outages) compared to Linkly users (21% with no outages), with Linkly users experiencing disruptions three times more frequently (31% had three or more outages vs. 10% for Tyro).
• Fee Handling Divide: 72.5% of retailers absorb EFTPOS fees rather than passing them on to customers, despite being cost-sensitive.
• Factor Correlation: Reliability and fast settlement to retailers are seen as operational necessities.

Survey Methodology This report analyses responses from 120 Australian retailers, not all of whom are our customers, who were surveyed in April 2025. Data includes integration types and importance ratings, with 10 being the highest. We asked them in our newsletter if they could fill out our online survey. It did take a long time to go through the analysis below. I want to thank Garth for his help in this survey.

Detailed Findings

What EFTPOS Integration Do You Use?

What it’s about:
This question asked retailers which EFTPOS system they use and whether it’s integrated with their POS (Point of Sale) software.

What retailers said:

• 43% use Linkly (the system behind most major banks’ terminals)
• 26% use Tyro
• 23% don’t integrate their EFTPOS with their POS at all
• The rest use smaller providers like Verifone or Spice/Simple.

What does it mean:

Linkly dominates despite being generally the most expensive system because it’s bundled with most banks. 

How Important Is Integrated EFTPOS to You?

What it’s about:
Retailers rated how important it is for their EFTPOS to be connected directly to their POS system.

What retailers said:

• Integrated users: Gave it a 9 out of 10 or higher score.
• Non-integrated users: Only 2.3 out of 10.

What does it mean:
If you have an integrated EFTPOS system, you love it mainly because it saves time and reduces errors. If you don’t, you probably can’t justify the cost.

How Important Is Reliability (No Downtime)?

What it’s about:
Retailers rated how critical it is that their EFTPOS always works.

What retailers said:

Average: 9.6 out of 10
Reliability is the highest-rated factor.

What does it mean:
Retailers can’t afford for their payment systems to go down. It was the most critical issue. 

How Many EFTPOS Outages Have You Had in the Past Year?

Now, let's look at reliability in detail.

What it’s about:
Retailers reported how often their EFTPOS system stopped working in the last 12 months. What we found interesting here is that everyone remembered the outages.

What retailers said:

Outage frequency across all respondents shows major reliability issues; 68% of retailers experienced at least one outage in the past 12 months, with nearly a quarter suffering frequent disruptions (three or more outages). This is particularly problematic, given the top importance rating assigned to reliability above.

Integration method significantly impacts outage experiences:

Tyro users report substantially fewer outages than Linkly users, with more than twice the percentage experiencing no outages at all. Linkly users suffer from the highest rate of frequent disruptions, with 30.8% experiencing three or more outages, three times the rate of Tyro users (9.7%). This suggests significant reliability advantages for Tyro. 

What does it mean:
Outages are common across all retailers and can seriously disrupt business, especially for those relying on Linkly.

Tyro users:

• Nearly half (45.2%) of Tyro users reported no outages, the best among the three options.
• Only 9.7% of Tyro experienced two or more outages, significantly lower than other options.
• This suggests Tyro is the most reliable integration type in terms of uptime, aligning with its reputation for robust, integrated EFTPOS solutions in Australia.

Non-integrated users:

• 42.9% reported no outages, similar to Tyro and much better than Linkly.
• The proportion of users experiencing three or more outages (14.3%) is comparable to Linkly.

Linkly users:

• Only 21.2% of Linkly users had no outages, the worst on the list.
• A significant 30.8% experienced three or more outages, which is not good.

If reliability and minimising payment outages are your top priorities, Tyro appears to be the superior choice among the options compared. Non-integrated systems performed reasonably well, while Linkly, despite its dearer cost, showed a higher risk of outages based on this data.

How important is it that your bank offers EFTPOS?

What it’s about:
This asked if it matters whether their EFTPOS comes from their current bank.

What retailers said:

• Average importance: 6 out of 10.
• Only 38% rated it as “critical.”

What does it mean:
Retailers are open to using non-bank providers and are prepared to consider other providers if they offer better features, such as reliability.

How Important Are the EFTPOS Rates (Visa, Mastercard, Debit)?

What it’s about:
Retailers rated how much they care about the fees charged for EFTPOS transactions.

What retailers said:

• Average rating: 9.2 out of 10

What does it mean:
Transaction fees were among the top concerns for retailers, where every cent counts today.

How Important Is Accepting Amex or Diners?

What it’s about:
Retailers rated the value of being able to accept American Express or Diners Club cards.

What retailers said:

• Average rating: 3.7 out of 10

What does it mean:
Most retailers here are not that concerned with Amex/Diners

How Important Is Having No Lock-In Contract?

What it’s about:
Retailers rated how much they care about being free to leave their EFTPOS provider at any time.

What retailers said:

• Average: 7.6 out of 10

What does it mean:
Flexibility matters; retailers don’t want to be tied down.

How Important Is Fast Settlement (Same/Next Day)?

What it’s about:
This asked how much retailers value getting their EFTPOS money quickly.

What retailers said:

• Average: 9.3 out of 10
• 87% want funds within 24 hours.

What does it mean:
A fast cash flow is vital; retailers want their takings in the bank as soon as possible. No one likes large sums of money somewhere in the banking cloud. They need it now, where they can use it.

How Important Is a No-Cost EFTPOS Option?

What it’s about:
This asked about the appeal of “no-cost” EFTPOS systems. Although generally dearer, it passes the cost from the retailer to the customer.

What retailers said:

• Average: 8.1 out of 10

What does it mean:
Retailers like the idea of not paying fees themselves, but there are trade-offs: It raises their prices. Overall, it was not highly rated.

How Important Are Terminal Rental Fees?

What it’s about:
Retailers rated how much terminal rental costs matter.

What retailers said:

• Average: 8.5 out of 10

What does it mean:
Ongoing device costs are a consideration, but other issues are more critical.

Are There Any Other Factors That Matter to You?

What it’s about:
This was an open-ended question for anything not covered.

What retailers said:

• Only 17% filled in this question here
• A few mentioned things like terrible customer support and Telstra's coverage in their area. We could see no pattern.

What does it mean:
The low figure and many responses here suggest we covered most mainstream issues.

How Do You Handle EFTPOS Fees?

What it’s about:
Retailers explained whether they pass EFTPOS fees to customers, absorb them, or consider a change.

What retailers said:

• 72.5% currently absorb the fees 
• Of those absorbing fees, 32.1% are thinking about charging

What does it mean:

Most retailers absorb card fees, but many consider passing them on to customers. Now this was surprising, which was not expected when we looked in detail, that although Linkly is generally the most expensive system, our analysis reveals an unexpected relationship between EFTPOS providers and fee-passing behaviours:

Tyro Users:

• 57% currently absorb the fees 
• Of those absorbing fees, 67.4% are thinking about charging

Linkly Users:

• 80% currently absorb the fees 
• Of those absorbing fees, 25% are thinking about charging

Why should a dearer EFTPOS have a lower charge rate? You tell me. I think it might be because this ability is inbuilt in Tyro, but this needs more research. 

Summary Table: What Matters Most to Retailers

The disparity in technical performance across integration types is significant. Tyro demonstrates superior reliability, with 45% of users reporting no outages compared to just 21% of Linkly users. Conversely, Linkly users report the highest rate of frequent disruptions, with 31% experiencing three or more outages, compared to 10% for Tyro and 14% for non-integrated solutions.

Satisfaction Drivers Analysis

The survey data indicates a clear hierarchy of factors that drive retailer satisfaction with EFTPOS systems:

The ranking reveals retailers prioritise operational efficiency (reliability, settlement speed), followed closely by financial considerations (rates, fees). The relatively low importance of Amex/Diners acceptance suggests most retailers view this as optional rather than essential.

Analysis of Key Metrics

This is done to see if any overriding themes emerge from the survey; the closer the value to 1, the more they fit into a theme.

The extremely high figure for reliability with fast settlement indicates that retailers view these as the most critical points.

Other factors, although important, fall into the optional category. 

Conclusion

The survey data reveals critical insights.

• Reliability and fast settlement times are non-negotiable for most retailers.
• Integrated EFTPOS is highly valued by those who use it.
• Outages are common, especially for Linkly users. Our poor electronic infrastructure will cause problems in cloud solutions.
• Most shops absorb card fees, but many are considering passing them on.
• Cost matters, but not at the expense of reliability and fast settlement.

If you’re a retailer, reliability and quick settlement will guide your system choice, even before considering transaction fees or rates.

If you’re an EFTPOS provider, the strongest levers for market share are minimising outages, offering transparent and competitive rates, and settling quickly.

If you’re a bank, bundling with Linkly may not be a long-term defence against competitors' better reliability and feature offerings.

Final note

I want to thank those retailers who helped us make this survey.

Written by:

Bernard Zimmermann is the founding director at POS Solutions, a leading point-of-sale system company with 45 years of industry experience. He consults to various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

No, EFTPOS (Electronic Funds Transfer at Point of Sale) and POS (Point of Sale) are not the same, though they are commonly used together. EFTPOS refers to the payment processing method, while POS is a broader system containing sales tracking, inventory management, and other business functions. People often confuse EFTPOS and POS systems. This is mainly because salespeople try to confuse the issue by claiming that EFTPOS is POS. It is not.

What is EFTPOS

The bank system links the proposed transaction from your shop to the banking system. It usually operates through a terminal that allows customers to use their cards to complete an electronic payment using debit or credit cards.

The main features of EFTPOS terminals are:

• Secure payment processing
• Support for multiple payment methods (debit, credit, contactless)
• Encryption of payment data

What is a POS System?

It is the hardware and software used to run a shop.

Key features of POS systems include:

• Sales management and transaction processing
• Inventory tracking and management
• Customer relationship management (CRM)
• Reporting and analytics

How EFTPOS and POS Work Together

In modern retail POS Systems like ours, the EFTPOS terminals are often integrated into the Point of Sale Software. Here's how they typically work together:

1. The POS system calculates the total sale amount.
2. This amount is automatically sent to the EFTPOS terminal if integrated.
3. The customer completes the payment on the EFTPOS terminal.
4. The POS system gets a response from the EFTPOS terminal that the transaction has gone through.
5. The POS System records the completed transaction.

This integration offers several benefits:

• Reduced manual data entry, minimising errors
• Faster checkout times, improving customer experience
• Simplified end-of-day reconciliation
• Real-time sales data for better business insights

Security Considerations

Both EFTPOS and POS systems must prioritise security to protect sensitive customer data. Integrating them makes them more secure.

Choosing the Right Solution for Your Business

A standalone EFTPOS terminal vs an integrated POS system

Faster

It's much faster, as the information exchange between the EFTPOS unit and the POS System is automatic.

Secure

Integrated systems mean that the merchant has an extra layer of security, as the POS Software and the EFTPOS are linked. The controls that enter the EFTPOS pass through the POS software checks first.

Fewer mistakes

People are in a hurry, and let's face it: almost everyone in retail is busy, so they make mistakes. POS Software makes fewer mistakes. For example, a person often misreads a one and a 7. Instead of $70 into the EFTPOS unit, they punch in $10. The retailer loses $60. Sometimes, this behaviour is not accidental; store attendants give discounts to relatives and friends.

Popular EFTPOS and POS Solutions in Australia

Our users can have various EFTPOS leading providers in the Australian market.

Conclusion

While EFTPOS terminals are for the payment processing only, an integrated POS system offers a comprehensive solution for managing your entire retail operation.

FAQs

Q: Can I use an EFTPOS terminal without a POS system?

A: Standalone EFTPOS terminals can process payments independently but won't offer inventory tracking or sales reporting features.

Q: How much does an integrated EFTPOS extra cost?

A: Costs vary depending on the EFTPOS providers. We do not charge for the integration.

Q: What's the difference between contactless payments via EFTPOS vs credit cards?

A: EFTPOS transactions through savings/cheque accounts usually have lower fees than credit card transactions processed via Visa or Mastercard networks.

Q: Are there any security risks in integrating EFTPOS with POS systems?

A: Overall integration will enhance security by reducing manual data entry; however, some intelligence is still needed to reduce the risks.

Written by:

Bernard Zimmermann is the founding director at POS Solutions, a leading point-of-sale system company with 45 years of industry experience. He consults to various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

If you want to compare your current EFTPOS/Credit Card providers with others, there are a few simple steps to do:

Before you begin

I suggest you ask the following:

Speed of Fund Transfers

How quickly does the provider transfer funds to your bank account? This is very important if your main account isn't with one of the big banks. Delays can disrupt cash flow, especially during busy periods. It's aggravating to collect out-of-fund messages from the bank if you have the funds in another bank and are getting them into the required bank.

Service Quality

Poor service from a payment provider can cause unnecessary stress. You can always do an online search on customer reviews for the provider you are looking at. How many stars do they have? I have seen people pull out EFTPOS systems because of bad quality.

Contact terms

You can get better rates if you are willing to commit for a decent period.

Also, as you know, a contract does not lock the provider into terms. I have often seen my clients get a letter from the providers using the rate after a year in a three-year contract, and they are switching my customers to a different rate.

Transparency in Quotes

Please always ask for the total cost in writing for provider quotes. Some providers present attractive rates but do not or underestimate items that add up over time. Could you make sure this is in writing? If you get into a dispute, arguing over one figure in a total cost is much easier than a rate sheet.

Once you get this total cost, you still need to check. It's easy after you have done a few, like me.

Key Information You'll Need to Calculate EFTPOS Costs

To calculate your EFTPOS costs accurately, gather the following details:

Card Mix

You should get this from your existing EFTPOS statements or your total reports. You need a breakdown of transactions by card type: debit, credit (generally VISA and MasterCard), and international cards, e.g. AMEX.

• Monthly transaction volume (number of sales)
• Average transaction value

What the EFTPOS/Credit provider wants is

• Monthly transaction total by type
• Average transaction value

If this data isn't readily available, estimate based on past sales and your experience.

Fee Structure

• Transaction fees: Fixed (e.g., 25¢ per transaction) or percentage-based (e.g., 1% of the transaction value)
• Terminal rental fees: Monthly charges (e.g., $30/month) or upfront purchase cost
• Other fixed fees, account fees, gateway fees, etc.

Additional Costs

• Setup fees for new EFTPOS machines
• Chargeback fees (typically $15–$35 per dispute)
• Stationery costs (e.g., receipt rolls)
• Equipment replacement or repair fees. Stolen EFTPOS units were a problem for our clients a short time ago.

Step-by-Step Calculation

Once you've gathered the necessary information, follow these steps:

Calculate Debit Card Fees

Debit card fees are often lower than credit card fees. Use one of these formulas:

• Fixed fee: {Monthly Transactions} x {Debit Rate}
• Percentage fee: Monthly Transactions} x {Average Transaction Value} x {Debit Rate}

Example:

• 1,000 debit transactions/month
• Average transaction value = $50
• Debit rate = .8%

Calculation: 1,000 x $50 x .8%

Calculate Credit Card Fees

Use the same formula as above but with the credit card rate, which is usually more.

Example:

• 300 credit transactions/month
• Average transaction value = $50
• Credit rate = 1.2%

Calculation: 300 x $50 x 1.2%

Calculate International Card Fees

International cards incur higher rates due to additional interchange and scheme fees, but the above formula is the same.

Add Fixed Costs

Include monthly terminal rentals and other fixed expenses like stationery or compliance fees.

Example:

• Terminal rental = $27.50/month
• Receipt rolls = $26/month

Total fixed costs: 27.50 + 26

Factor in Variable Costs

Some costs, like chargebacks, are unpredictable; I use a yearly estimate and calculate a monthly average. One point that helps here is having a camera recording the EFTPOS unit.

Example:
If I go about one chargeback a month on average, it might be
Chargeback fee estimate = $30/month

Here is a sample EFTPOS sheet, I made up.

It adds up.

Tips for Managing EFTPOS Costs

Negotiate Rates

Many providers will offer better rates if you commit to a longer-term contract or demonstrate high transaction volumes.

Check Rates

For some reason, and I do not know why, different suppliers quoting the same rate somehow get different figures. When I was analysing some figures for a customer, I found that 1% from CBA and 1% from TYRO gave different results. If this happens to you, I suggest you make some enquiries. 

Push the payment methods with cheaper fees.

Do not forget that Cash has many advantages here.

Integration is great

But it does often cost extra

Use Least-Cost Routing

If it's not in effect, please put it on immediately. Check here for details.

Review Statements Regularly

Check for hidden charges or errors in billing.

Final Thoughts

Understanding your EFTPOS/Credit costs is needed to run an efficient business.

We're pleased to announce a significant upgrade to our Commonwealth Bank of Australia (CBA) integration, which offers faster processing and more payment options. If you use CBA-integrated EFTpos now, this enhanced system will revolutionise how you handle transactions and manage your business finances. I suggest you upgrade now if you use or want to have CBA.

Key Features at a Glance

• Much faster EFTPOS and credit card processing
• No premium card surcharges, e.g. American Express acceptance
• Digital wallet compatibility
• Real-time financial insights
• Enhanced security features

Faster, More Stable Processing

The enhanced CBA Smart Business system delivers significantly faster and more stable processing. Tests show up to 30% quicker processing times. This means shorter queues, happier customers, and more efficient operations for your business.

Multiple Payment Options

Beyond basic payment processing, this enhanced integration delivers several key benefits for your business:

Diverse Payment Landscape

The new system provides a comprehensive range of payment options to cater to all your customers' preferences:

• EFTPOS payments
• Credit cards (Visa, Mastercard, and American Express)
• Digital wallets (Apple Pay, Google Pay, and Samsung Pay)

No premium card surcharges

A standout feature is that you can confidently accept cards without concerns about premium card fees.

It opens up a new customer base, as 22% of Australians now carry an AMEX card and prefer to use it. I know a lot of corporations that issue expense accounts; people can only use them if the retailer accepts AMEX.

Digital Wallet Compatibility

This enhanced system fully supports digital wallets with the rise of contactless payments. In Australia, 40% of consumers now use digital wallets for in-store purchases, making this feature crucial for modern retailers.

Real-Time Financial Insights

The CBA Smart Business integration provides real-time insights into your cash flow, allowing you to:

• Monitor transactions as they occur
• Generate detailed reports
• Make better business decisions as you have up-to-date financial data

This level of visibility can be a game-changer as it makes reconciling much easier.

Enhanced Security and Backup Features

Security is paramount in today's digital landscape. I doubt you will have a problem with CBA, and if something goes wrong, you have local support, which many smaller providers cannot provide.

Operational Efficiency

Streamlining your payment processes can significantly improve your day-to-day operations:

• Faster transaction processing reduces queue times
• Simplified accounting and reconciliation saves you hours each week
• Automated reporting frees up time for other essential tasks

Improved Customer Experience

By offering a more comprehensive range of payment options and faster processing, you're enhancing the customer experience. It can lead to:

• Increased customer satisfaction
• Higher likelihood of completed sales
• Potential for repeat business and positive word-of-mouth

Implementation and Support

Upgrading to the new system is a straightforward process:

1. Contact our integration team
2. Schedule an installation date
3. Receive on-site training for you and your staff
4. 24/7 technical support

Conclusion

It offers a comprehensive solution to improve efficiency.

Ready to upgrade your payment processing? Contact us to start moving.

Here's the complete FAQ list in markdown format:

[FAQ] Frequently Asked Questions

Q: What are the main benefits of upgrading to the enhanced CBA Smart Business integration?

A: Faster transaction processing, no premium card surcharges, digital wallet compatibility, real-time financial insights, and enhanced security features.

Q: How much faster is the new system?

A: Tests have shown that the new system processes up to 30% quicker transactions.

Q: Does this system accept American Express cards without additional fees?

A: The enhanced CBA Smart Business integration allows you to accept American Express cards without premium card surcharges.

Q: What digital wallets are supported by this system?

A: The system supports major digital wallets, including Apple Pay, Google Pay, and Samsung Pay.

Q: How can real-time financial insights benefit my business?

A: Real-time insights allow you to monitor transactions as they occur, generate detailed reports, and make informed business decisions based on up-to-date financial data.

Q: Is the upgrade process complicated?

A: No, the upgrade process is straightforward.

Q: What kind of support is available after the upgrade?

A: You'll have access to 24/7 technical support following the upgrade and local support.

Q: How does this system improve customer experience?

A: By offering faster processing and a more comprehensive range of payment options, the system can reduce queue times, increase customer satisfaction, and potentially lead to more completed sales and repeat business.

Q: Is this system secure?

A: Yes, the CBA Smart Business integration comes with enhanced security features, and you have the backing of CBA for support if any issues arise.

Q: How much does CommBank EFTPOS charge?

A: This is the big question I cannot answer as it depends.