March 16, 2015
Square is shutting down Square Order, an app that allows consumers to pre-order food and beverages for pickup from local merchants, as reported by Re/code. Square Order was first announced last year as a replacement for Square Wallet. The Square Wallet used to enable restaurant goers and merchants to utilize payment information stored within the app to pay for goods. Since its inception around six months ago, even Square Order hasn’t witnessed enough adoption to have any influential presence in the mobile payments market.
It seems that things are not working out that well for Square’s consumer oriented products. Ideally, the company should focus on its merchant and business oriented products as Square is making substantial revenue from its core payment processing services. Even its new Square Capital service, a program that lends money to small businesses that use Square products, is making rapid progress.
Among Square’s other consumer products, only Square Cash, a peer-to-peer payments app, seems to be contributing substantially to Square’s core business. The Square Order service will be officially shut down on March 20th. Square Order has not been generating enough sales for Square sellers, and as a result the company has decided to discontinue it.
Square recently acquired a startup called Caviar which connects restaurants with an outsourced delivery service. It seems that Square has shut down Square Order to focus on this emerging area of business. With Square Order out of the picture, Square might be looking at this acquisition to design new solutions in order to retain Square Order’s lost merchant proposition.
Although the Square Order service will be shut down, for the time being, customers can still order items for pickup through the Square Online Store.
Square is also focused on developing further improved readers for card acceptance at merchants. With this onward focus, Square recently acquired Kili Technology, a company that has developed silicon, electronics, and software, that simplify and optimize payment processing. Square is looking at this acquisition to aid in delivering simple and affordable hardware that gives sellers a smarter and safer way to do business. Kili has been known for its low-cost solution-on-a-chip software accepting contactless payments while acting as a mobile point-of-sale system.