- Groupon (GRPN -0.6%) has struck deals to have its Breadcrumb mobile payment-processing services supported by point-of-sale terminals from market leaders VeriFone (PAY +1.4%) and Ingenico. The solution is aimed at small businesses.
- The companies are attempting to take on Square, which is processing over $10B/year in transactions (mostly from small businesses), courtesy of its tiny/easy-to-use mobile card readers and related apps. The company's rapid cash turnaround has been a key selling point.
- Groupon, trying to offer an end-to-end suite of local commerce services, says it still expects "most merchants will eventually migrate their payments to tablet and mobile POS systems." But it considers its new offerings a useful interim solution for those sticking with "familiar hardware."
- Groupon officially launched its own mobile card readers last September, and (like a few other firms) is charging lower fees than Square. VeriFone, which has had a rough time lately, abandoned its mobile card reader efforts last December.
Groupon partners with VeriFone to take on Square
Aug 14 2013, 11:56 ET