Dave Murphy Strategic Alliances Manager 2014

What ultimate form or shape it takes remains to be seen, but in the six years since it disrupted the slow- moving beast we know as Retail, it has definitely changed the landscape. 2 Mobile POS is Here to Stay

While you’ve heard it many times, the key driver of much of this was… Apple. Milestones: – iPhone: 2007 – iPad: April 2010 – iPhone 4S: October 2011 Enough horsepower to run mobile POS 3 The Key Driver: Apple

3.6M tablets in Retail by % Hospitality operators plan to add mPOS No more one-trick mPOS Ponies – All merchants, even SMBs, want mPOS solutions to do more for them than enable card payments * Sources: IHL Services, Hospitality Technology, PYMNTS.com 4 Key Trends

Tablet POS ISVs are seeking dealers Domain expertise IS required There’s money to be made – Networking – Installation – Support Accounting is different – Monthly residual vs. monolithic 5 Key Opportunities

Four Stages – Stage 1 – Manager uses tablet instead of back-office PC – Stage 2 – Extended to store associates – Stage 3 – Store mobile POS – Stage 4 – Customer device checkout 6 How Do Retailers Use Mobile?

7 Top Mobility Applications Source: RIS/IHL Group 2014 Store Systems Study

8 Top Choices: iPad and iPhone Source: IHL Group 2014 Mobile POS Study

9 What Me Worry? Source: IHL Group 2014 Mobile POS Study

10 SMB Advances to Stages 3 and 4 In the small and medium business space, mobile POS is an absolute reality Over 500 POS Apps – 294 iOS apps – 240 Android apps * Search Criteria: “point of sale, cash register, POS, mPOS”

Cost savings Zero OS license fees Elegant interface Eases employee training A tool for better customer service Developer-friendly application environment Modernizes the operator’s brand 11 Advantages of Tablet POS

12 Epson mPOS Solutions Epson Printer Options

DHCP-enabled out of the box 13 mPOS-Friendly Printers

Introducing OmniLink 14 Smarter Way to Next Generation POS

15 OmniLink Models

Native or Cloud-based Tablet POS Applications – ePOS-Print SDK and API for print commands 16 TM-i Use Case 1: Tablet POS Printing

Device Hub for Tablet POS – Peripheral management and control via ePOS-Device – Reliable/cost-effective connectivity vs. Bluetooth or WiFi 17 TM-i Use Case 2: Device Management Cash Drawer Bar Code Scanner Customer Display Scale Payment Device

Network Epson TM Printer Control – Can control printing on up to 20 network printers 18 TM-i Use Case 3: Print Server Kitchen Bar Expo Valet

Facilitator for Online Ordering and Remote Requests – ePOS-Print for inbound requests print commands – Server Direct Print for outbound 19 TM-i Use Case 4: Remote Applications

Data Parsing for Cloud Applications – Printer connected to POS terminal – Print stream data is intercepted, parsed and sent to the cloud to be made actionable 20 TM-i Use Case 5: Data Parsing

Facilitator for Tablet POS – Receipt printing – Device management An alternative solution for online ordering applications, replacing: – Fax machines – Desktop printers – Tablets A limited-use data gateway for adding functionality to POS and ECR environments 21 OmniLink TM-i Recap Digital Receipts Analytics Coupons Loyalty Digital Signage Device Hub Data Points OmniLink Apps Mobile POS

ePOS-Print and -Device are the keys – An Epson differentiator – Perfect for cloud/tablet ISVs who just want to code in XML and not have to learn ESC/POS for printing – Ideal solution for tethered peripheral management Scanner Scale MSR 2x20 Customer Display Etc. 22 ePOS Is The Key

23 OmniLink Models

PC-POS System – OpenSUSE Linux or POSReady 2009 – APD or UPOS Device Management and Control 24 DT Use Case 1: PC-POS Architecture

Web or Cloud-based Applications – XML to ESC/POS Translation – ePOS-Device Management and Control 25 DT Use Case 2: Web Architecture

26 OmniLink Comparison Model Product Number TM-T20II-iTM-88V-iTM-70-iTM-L90-iTM-88V-DTTM-T70II-DT Specs CPU ARM9 400 MHz Intel Atom 1.8GHz Main Memory 256 MB DDR2 4.0GB Hard Drive ---- SSD 16GB, 32GB, larger SSD available Interface USB USB2.0 x 2USB2.0 x 4 USB2.0 x 6 Ethernet 10Base-T/ 100Base-x 1 10Base-T/ 100Base-x 1 10Base-T/ 100Base-x 1 10Base-T/ 100Base-x 1 10Base-T/ 100Base-x 1 10Base-T/ 100Base-x 1 Serial D-sub 9 pin x 1 Display -VGA x 1 Software OS Embedded Linux Embedded Linux Embedded Linux Embedded Linux POSReady 2009 OpenSUSE 11.1 POSReady 2009 OpenSUSE 11.1 Device Drivers ePOS-Print, ePOS-Device ePOS-Print, ePOS-Device, Server Direct Print or

Mobile for store associates is the single biggest trend since Internet at the store level. The core POS market is changing, and much faster than we think. Apple envy is a very real and very powerful driver. The mobile trend is being driven by the CEO on down. It is not going away, and one needs to be mindful of the potential impacts. 27 Final Thoughts Source: Lee Holman, IHL Group