The battered, but not down, deal of the day site industry leader launches a new mobile payment platform for SMBs
Groupon recently entered the mobile payments arena with their début of Groupon Payments.
In their ongoing quest to make life easier for local small businesses, and perhaps rebuild its reputation and stock price, Groupon launched their new merchant offering that is sure to be a hit amongst penny-pinching businesses. With the recent acquisitions of point-of-sale technology company Breadcrumbs, mobile payments startup Kima Labs, and comparison shopping site for credit card processors FeeFighters, Groupon has taken a major step toward fulfilling their vision of becoming the “entry point for local transactions.”
To the casual observer, launching a mobile payments platform might seem odd for the deal of the day site behemoth, but it falls in line with Groupon CEO Andrew Mason‘s mission of becoming the “operating system for local commerce.” In fact, Mason’s annual stockholders’ letter in May practically outlined the roadmap for Groupon Payments.
We are building an integrated suite of tools and services that we believe will profoundly change the way we shop locally. Today, Groupon is a marketing tool that connects consumers and merchants. Tomorrow, we aim to move upstream and serve as the entry point for local transactions.
After a successful test period with local businesses in San Francisco, all Groupon merchants in the U.S. can accept payments using the Groupon Merchants iPhone and iPad app and choice of card reader attachment.
At 1.8% per swipe + 15 cents per transaction and no hidden fees, not only has Groupon positioned its pricing to undercut its main competitors, Square (2.75% per swipe) and PayPal Here (2.7% per swipe), Groupon has also promised to beat any competitor’s rate.
Merchants have a variety of performance metrics available through Payments Center including live transaction history, daily sales reports, account deposits and revenue trends. Groupon support staff is also available seven days a week online and by phone to help merchants with any questions or issues that arise.
To contact the writer on this story: Philip Nowak in Chicago at [email protected] To contact the editor on this story: Laura Whitener in Chicago at [email protected] Please contact us if you’d like to submit a small business innovation story or small business tech startup, product or service.
Philip Nowak is the founder of Firmology, a small business news and information media company focused on helping small business owners grow their business through technology and innovation. You can find Philip on Google+, Twitter and LinkedIn.