Square has quickly taken the mobile payment industry by storm. Now businesses and individuals outside of the U.S. can see what all of the buzz is about.
The mobile payment startup said that its mobile card reader is now live in Canada, priced at the same rate — 2.75 percent per swipe — as in the U.S. The deal also offers access to Square’s Merchant Directory and the free Square Register app. This point-of-sale system enables you to process payments, track inventory, monitor transaction reports and loyalty programs, and more.
Canada will mark Square’s first market outside of the U.S. One potential hold-up is that many businesses in Canada rely on the chip-and-pin system — meaning that credit cards feature an embeddable chip and require a PIN number — rather than the magnetic swipe. Some merchants might not be as eager to switch over.
This is a challenge the startup will face as it continues to expand to more international markets. However, it’s possible that we might see more integration with existing apps, similar to the deal Square made with Starbucks. Instead of adopting a whole new system, the coffee chain is integrating the Pay With Square app into its own.
Launched in 2009, Square now has more than 2 million people and businesses accepting credit cards with its dongle for smartphones and tablets. In September Square revealed that its tracking more than $8 billion in annualized payments.