Square Unveils Hardware Register to Attract Larger SellersBy
Square Inc. unveiled a counter-top hardware device that’s embedded with its electronic payments technology in a move aimed at continuing to attract larger merchants.
The Square Register introduced Monday includes a customer-facing screen for buyers to see what they’re purchasing, Ethernet, Wi-Fi, and acceptance of all payment types. The company, which began by offering a simple way for food trucks and street vendors to accept credit cards, has been attracting larger customers with a suite of services such as loans and inventory management software. At the end of the second quarter, 46 percent of Square’s gross payments volume came from merchants that did more than $125,000 in annualized GPV.
“It’s custom built just for our larger-scale customers,” Chief Executive Officer Jack Dorsey, who also runs Twitter Inc., said of the new device. “We are paying attention to their needs and their requests to us in the past.”
Square shares gained 1.6 percent to $35.75 at the close Monday in New York. The stock has more than tripled in the past 12 months as investors have bought into the effort by the San Francisco-based company to provide all-in-one software and hardware products to small and medium-sized business.
The new payments device may not be enough by itself to “flip customers to Square,” said David Ritter, a Bloomberg Intelligence analyst. “The bigger you get, the harder it is to switch and the bigger of a risk it is because it upends your whole business.”