March 24, 2015
The consumer behavior related to making payments is changing rapidly. People don’t like paying with a check and yet over 13 billion checks are written every year (for over $1 trillion). Square introduced Square Cash back in 2013 as the fastest, easiest way to pay anyone and let people forget about checks and other traditional methods. With Square Cash, all you need is a phone number or email address, and a debit card. Square Cash was initially launched for individuals, streamlining payments for everything from splitting the dinner bill to sharing vacation costs. However, individuals aren’t the only ones who don’t like traditional payment methods like checks. They’re inconvenient for businesses as well. With that notion, Square has announced that Square Cash is now available for businesses everywhere in the U.S. With this new capability, payments are deposited directly into the businesses' bank accounts and Square is offering them a lucrative and affordable professional rate of only 1.5%.
Moreover, businesses need to market themselves to everyone, without necessarily giving away private information like their e-mail address and phone number. That’s why Square has also introduced $Cashtags, a unique identifier that enables anyone to create a personalized name in the format $name and get paid privately and securely through Square Cash. $Cashtags can be posted anywhere to let people know they can pay with Square Cash, either from the Cash app or on the web at https://cash.me.
Here is a video illustration highlighting the new $Cashtags feature:
Square is now processing over $1 billion in peer-to-peer payments annually. Square recently shut down Square Order, an app that allows consumers to pre-order food and beverages for pickup from local merchants. Square’s other business oriented products, like the new Square Capital service, a program that lends money to small businesses that use Square products, is making rapid progress.
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.