So till now we have all gone and swiped our card at the till in those elaborate card readers. But then in recent times, mobile payments have been the trend. SO how do you build on that?
California start-up Square did just that. They created a small credit card reader that could be fitted to your iOS or Android phone, where you could get your customers to swipe their credit cards to pay you on the spot.
No we are not talking about benefits that multibillion dollar businesses would have from it, but if you are a freelance photographer, a push cart hot dog seller or something akin, imagine how easy it is for you to process payments .
And by the looks of it this small product isn’t doing too bad. After landing a deal with Apple, where all Apple stores in the US are selling it and getting an investment from Visa, Square recently reported transactions of US $ 2 million in a day.
Here is Square CEO Jack Dorsey’s blog update.
Recently the service is restricted to the US, where all you have to do is sign up and they will ship you a card reader for Free! – ( thereby building their database of customers who are committing to making payments using it – and we all know that as an organisation if you have databases of customers with their credit card details then you automatically become invaluable!)
So with all this free service how do they make money? 2.75 % per-swipe goes to them!