The Real Cost of iPad POS vs Legacy POS Systems

Picking an iPad is only step one. What you actually pay depends on the full station setup. In Australia today, a typical iPad POS station that includes an iPad, a stand, a receipt printer and a cash drawer usually lands around A$1,450 to A$2,000 per lane, based on current retail pricing. A comparable “legacy” Windows touch-terminal POS with the same peripherals commonly starts closer to A$2,900 and can push past A$4,600 per lane. That gap is why many multi-store operators standardise on iPad.

Initial Investment: iPad vs Legacy POS

The path from “cheap tablet” to a working POS lane is more involved than it looks. In Australia, the iPad itself might start at A$599 to A$999 for mainstream models, yet the right stand, printer and cash drawer bring a practical iPad station to roughly A$1,450 to A$2,000.

By contrast, a single Windows touch-terminal alone often lists between A$2,250 and A$3,999 before you add the same peripherals, which pushes many legacy builds over A$3,500 to A$4,600 per lane. When further considering the resale opportunity, it's not difficult to understand why chains lean toward iPad for new lanes and multi-site rollouts.

iPad POS Hardware Breakdown in AUD

To setup an iPad-based POS system, here're the devices you need:

• iPad: Current models for frontline use typically start at A$599 for iPad 11th gen in some retail channels, A$999 for iPad Air and A$1,699 for iPad Pro. Refurbished Apple-certified options appear from about A$579, which some venues use for extra lanes.

• Receipt printer: Common receipt printers for hospitality usage often ranges from A$400 to A$500.

• Cash drawer: Widely available around A$100.

• Stands: Quality countertop stands range roughly A$150 to A$300.

Put together, a realistic single-lane iPad station might be between A$1,249 to A$2,599.

Legacy POS Hardware Cost

• Windows touch-terminal: An Windows-based configuration equivalent are commonly listed between about A$3,430 to A$3,999 inc. Older models with Windows IoT specs can be cheaper as A$1,000 but most hospitality groups opt for mid to high-end hardware for durability.
• Peripherals: You still add the same receipt printer and cash drawer costs on top, so another ~A$650.

This make the total initial investment of legacy POS around A$4,080.

Long-Term Financial Analysis & Hidden Costs

1. Subscription Costs

In New Zealand, iPad POS systems typically charge anywhere from $40 to $200 monthly per terminal. Now, this might not sound like much on its own, but these costs really add up, and restaurant operators often don’t quite grasp just how much. For example, a restaurant running two terminals at $60 a month each is looking at $1,440 annually just for software. Stretch that over three years, and you’re already at $4,320 before you even consider any other running costs. This straightforward calculation really starts to bite when you think about expanding: three terminals at the same rate means a whopping $6,480 in software fees alone over three years.

For instance, TouchBistro kicks off at NZD 99 per month per terminal, while Lightspeed's Kounta generally costs around NZD 60 monthly for the basic POS. Keep in mind, though, that extra modules come with their own price tags, which can make those total costs a bit unpredictable. Restaurant technology expert Lisa Park has a good way of putting it: she warns that software costs can be a bit like "cable TV charges"—they might start small but tend to grow each year. She wisely suggests that businesses should probably budget 30% more than the initial quoted costs for their second year.

2. Transaction Fees

Pretty much all POS systems come with transaction fees, typically ranging from 1.4-3.5% for payment processing. This is a cost that directly mirrors your business’s success – the more you sell, the more you pay. For a restaurant pulling in $500,000 annually, this translates to anywhere from $7,000 to $17,500 just in processing fees. These variable costs can seriously eat into your profits, potentially gobbling up 40-80% of net profit for restaurants usually operating on slim 3-5% margins. We’ve even seen an Auckland café case study reveal that processing 200 transactions daily, with an average ticket of $25 and a 2.7% transaction fee, ended up costing them around $1,350 every single month, purely for payment processing.

On top of that, you’ve got monthly payment gateway fees that can add $10-$50, while payment network connection fees chip in another $15+GST per terminal each month. Opting for integrated payment processing can also incur an additional 0.3%-0.5% more than using independent processors, meaning an extra $300-$500 annually on $100,000 in sales. And let's not forget the per-transaction fees of $0.10-$0.30, plus chargeback fees of $25-$100 each time, all of which really pile up.

4. Integration Fee

Modern iPad POS systems often charge anywhere from $10-$50 monthly per integration. So, if you’re running a pretty standard setup—say, accounting software ($20/month), email marketing ($15/month), inventory management ($30/month), and employee scheduling ($25/month)—that’s already a tidy $90 every month, or $1,080 annually. Restaurants using about 4-6 basic integrations, plus food ordering, should probably brace themselves for integration fees alone of $130-$210 monthly ($1,560-$2,520 annually), and remember, that’s on top of your core POS subscriptions. Restaurant technology expert Lisa Park, again, reminds us that integration fees can be a bit like those "cable TV charges"—starting small but tending to tick up every year. Her advice? Budget 30% more than what you’re initially quoted for year two.

Cloud vs On-Premise: The 5-Year Reality

Cloud-based systems might seem like a great deal at first glance, but those costs can definitely add up over time. If we’re being conservative, let’s say you’re spending $75 a month on pos software and another $30 a month on hosting/backup. Over 3 years, that’s already $5,080 ($3,780 for subscriptions + $1,300 for hardware). Stretch that to 5 years, and you’re looking at $7,600.

Now, on-premise POS systems typically need an upfront investment of $1,000-$5,000 for server hardware, plus licensing fees. But here’s the kicker: you also have to factor in ongoing IT maintenance costs, which can run $100-$500 monthly. So, over 3 years, the total could be anywhere from $5,100 to a hefty $28,000, depending on how much maintenance you need. Over 5 years, those costs could further extend from $7,000 to $40,000. Experts often say that "on-premise is cheaper long-term," but industry analysis actually reveals that this advantage is often misleading for most food and beverage businesses unless they have dedicated in-house IT staff. If you need external IT support, those on-premise costs can easily outstrip cloud alternatives once maintenance goes above $200 a month.

The Deceptive "Free" System Reality

Those "free" table ordering systems? They often come with some particularly misleading cost structures. You’ve got payment processing fees that can be $60+GST a month, marketing add-ons at $40+GST, and bespoke branded app costs of $125+GST. Suddenly, those perceived savings vanish fast. When you factor in pos software licenses and integration costs of between $500-$800, these systems can easily end up costing over $1,300 monthly in actual spend. This "multiplication effect" is especially sneaky—we saw one documented case where a restaurant, initially enjoying a "free" system, ultimately paid a staggering 517% more than the advertised price over just three years.

Cost of Scaling: Legacy POS vs. iPad POS

In the bustling New Zealand restaurant scene, deciding to add more POS terminals is a really important financial choice, and it comes with some pretty subtle cost implications. Our in-depth look shows that simply adding a terminal isn’t just about the hardware—it’s actually a complex dance between technology investment, how much you can grow your operations, and your long-term financial game plan.

Scale with iPad POS System

While the cost of the iPad is pretty much transparent, all you need to consider would be the subscription costs and integration fees for every additional iPad terminal. A hardware breakdown often looks like: 

• The basic iPad device: $329–$799
• The monthly software subscription: $40–$200
• Integration fees: $10–$50 for each connection (may vary according to system providers)

Say the subscription is $60 monthly × 2 terminals × 3 years = $4,320 just for software. For a growing restaurant group, this could mean three terminals quickly push software fees to $6,480 over three years.

Scale with Legacy POS System

Older, traditional legacy systems have a different financial model. The initial investment for each terminal, like desktop units, ranges from $300–$1,500. They also have an interesting benefit: their on-premise setup can lead to cost savings once you have 3–4 terminals.

A key difference is that IT maintenance costs ($100–$500 monthly) don't increase directly with each new terminal. This suggests that larger restaurant groups might find it more cost-effective to manage their technology spending with legacy systems, especially when they have own IT department for POS maintenance.

However, there's one hidden disadvantage of legacy POS system that most business owners might overlook, which is the potential costs when expanding the business aboard. From hardware point of view, iPad is very easy to obtain, get maintenance and warranty globally, while the hardware of legacy POS system often lean on the supports from the system provider. 

The most important thing when scaling isn't just the upfront cost; it's understanding how technology expenses accumulate over time. By carefully looking at the number of transactions, how many locations there are, and how complex operations are, New Zealand restaurant groups can make smart decisions about scaling their POS. This helps them balance flexible technology with sound financial management.

Introduce Eats365, A POS System that's Built to Scale

Navigating the true cost of a POS system in NZ is complex, with hidden fees and subscription hikes often exceeding initial hardware outlays. For Australian F&B entrepreneurs seeking transparent and scalable solutions, focusing on the total cost of ownership is paramount. Discover how Eats365's integrated restaurant POS system can streamline operations and provide predictable expenses.

For restaurant groups with multiple locations,  Eats365 offer important advantages including:

• A central management system with three levels of control.
• Instant menu updates across all locations.
• Over 300 customizable settings.
• A flexible design that supports different restaurant concepts.

Contact Eats365 and book a free demo today!

FAQs on iPad POS vs Legacy POS for New Zealand Restaurants

Is an iPad POS system actually cheaper than a traditional legacy POS for my NZ restaurant?

A: iPad POS often has lower upfront hardware costs—typically $329–$799 per device—but the total investment can quickly reach $969–$2,597 once you add essential accessories. However, legacy (on-premise) POS systems require a higher initial outlay for servers and installation, plus ongoing IT maintenance. Over time, cloud-based iPad POS subscription fees (typically $40–$200/month per terminal) can add up, but legacy systems may become even more expensive if you need frequent external IT support. For most NZ restaurants, iPad POS offers better cost transparency and avoids large, unpredictable IT bills—unless you have in-house tech expertise and high transaction volumes.

How do ongoing costs compare between iPad POS and legacy POS systems?

A: iPad POS systems involve recurring pos software subscriptions, transaction fees (usually 1.4–3.5% per sale), and potential integration charges for add-ons like accounting or inventory. Over three years, these costs can easily exceed $4,000 per terminal. Legacy POS systems demand upfront licensing, server hardware, and ongoing IT maintenance, which can range from $100–$500 per month. Without dedicated IT staff, legacy POS maintenance costs often surpass those of cloud-based iPad POS, especially as your business scales.

What are the hidden costs I should watch for with iPad POS vs legacy POS?

A: Beyond the iPad hardware and pos software subscriptions, watch for transaction fees that scale with your sales, monthly payment gateway charges ($10–$50), and per-terminal network fees. Integration costs for accounting, inventory, and scheduling apps can add $90–$210 per month. Some “free” systems come with steep marketing or branded app fees that aren’t disclosed upfront. With legacy POS, the biggest surprises are often IT support costs and the need to replace aging hardware every few years.

Can I use my existing iPads for a restaurant POS system?

A: Yes—most modern iPad pos software is compatible with recent iPad models. You’ll likely need additional peripherals (stands, card readers, printers, cash drawers), but you can avoid buying new tablets if your current devices meet the software requirements. This flexibility helps keep initial costs down and lets you scale your POS setup as your business grows.

How does Eats365 help NZ restaurants manage the costs of iPad POS vs legacy POS?

A: Eats365 offers transparent, all-in-one pricing that bundles pos software, support, and updates—helping you avoid the “death by a thousand fees” common with modular systems. With Eats365, you get predictable monthly costs, which makes budgeting easier for NZ restaurant owners. Plus, our platform is designed to minimise IT headaches, so you spend less on maintenance and more on your customers.

Why should I choose Eats365 over other iPad POS solutions in New Zealand?

A: Eats365 stands out with local NZ support, easy-to-understand pricing, and a feature set tailored for Kiwi restaurants—including dine-in, takeaway, and delivery. Our solution integrates smoothly with popular NZ payment gateways and business tools, reducing integration fees and simplifying operations. Eats365 also offers regular, automatic updates, so you’re always on the latest version without surprise charges or downtime.