About Square Case Study
“We started with a simple idea… That everyone should be able to accept credit cards—and we‘ve been rethinking buying and selling ever since” ("About Square."). This is the mission statement found on Square’s website. Back in 2009 Jack Dorsey, CEO and co-founder of Square, came up with an idea to make payments simpler; thus, Square was created and launched in May 2010. Square has opened a new way of paying for small businesses with three choices to choose from: Magstripe Reader, the Stand, and the Contactless/Chip Reader. There is a perfect choice for each business owner or entrepreneur.
First on the market was the Magstripe Reader. This is the most popular and most known of all the readers. It is very easy to use with …show more content…
The Stand reader is another device square offers for business owners. This device is a much bigger device compared to the Magstripe reader. This device is made specifically for an iPad Air or the iPad 4 with retina display. This device still follows Square’s “Plug and Play” ("IPad POS Stand - POS For Every Business.") technology and you still download the application to the iPad and use that. The Stand is made with mobility in mind. When a customer needs to sign or look at the screen, it very easily turns for their viewing convenience. The much larger screen is better for business owners and customers to see what they are doing. If the owner decided he or she wants to add a contactless ready, they are able to do so. The system functions just like a regular P.O.S. (point of sale) system; meaning that, a receipt printer, barcode scanner, or cash drawer can be hooked up to the stand. This stand is $99.00, the most expensive of the three but well worth the …show more content…
All three charge the same percent per swipe and accept the same kinds of credit cards. When a business owner swipes a credit or debit card, 2.75 percent of the transaction goes directly to Square. That means 97.25 percent goes directly into the business owners bank account. The processing time is only one to two business days. Sometimes the magnetic strips on credit or debit cards are worn out and the reader won’t read the card. If that is the case, business owners can enter the card manually, but then 3.50 percent is taken out and goes directly to Square.
Now that the three different readers are laid out, the pros and cons can be evaluated. All the reader devices are run on the same free application: Square Register. The pros for using the Square readers are a huge asset to businesses; the pros are as follows:
• There’s no need for a credit check or merchants account.
• Utilizes “Plug and Play” technology.
• Inventory, daily, monthly or yearly sales are some of the features to help run the business. (See chart)
• Square keeps real-time inventory.
• Businesses are able to process transactions