When it comes to concepts of Marketing, few do it better than those in the realm of social media. Examples of traditional marketing practices are thought to be widespread through a variety of industries, however it should be highlighted when such execute as smoothly as this.
Unless you are a small business owner, someone who deals with online payments or work in the tech industry, there is high probability you haven’t heard of Square, Inc. However if you own a mobile phone, computer or tablet, there is almost a certainty that you know about Twitter.
Square Inc is a San Francisco based technology company that was started by co-founder of Twitter Jack Dorsey, located in just over 4 countries around the world. The application for Square is a point of sale software (POS) solution which is free to download via the App store or Google play.
A few years ago, Square entered the Australian market. Some people might say it was all of a sudden, out of nowhere, merely following the trend of tech brands moving through a sample market that is a gateway to Asia. Could this be a company with it’s most recent product release entrenched in the Segmentation, Positioning, Targeting methodology?
In 2015 Square opened it’s first HQ office for Australia in Melbourne, just one year after the initial release of the payment platform globally.
“Melbourne has been chosen as the home of Square’s Australian headquarters due to its thriving small business community of merchants who are already benefiting from Square, as well as having a growing reputation as Australia’s technology hub” (Square Opens Office in Australia, 2015).
At that point in time it would appear that Square saw a segment in the Australian Small business market they could possibly service better than ‘existing’ organisations and made their decision to grow and develop locally.
One year later, was the release of a new product as an enabler to the online payment platform ‘The Card Reader’. This device can clip straight into the headphone jack of a mobile device or tablet, enabling you to accept payments from credit cards on the go.
The bullseye on the target is Square.
In the current Australian market Square pitches itself against Paypal, Braintree (owned by Paypal), Mint Payments, Tyro Payments and now Albert (Commonwealth bank). The difference between Square and its competitors are the fees and ongoing costs which they charge for access to the payment platform.
Pfisterer mentions “A lot of hard work has gone into it to create an alternative solution for small business; we think there is a huge gap in the market in Australia”.
Square is the lowest cost solution in Australia that is free to install with no monthly subscription. The fee on each transaction is 1.9%, compared to Paypal 1.5% + $0.30, and Tyro is variable depending on volume of sales. Each of these payment platforms must integrate with a Point of Sale (POS) system in order to register the sale. Square is both a POS and payment platform, which is why it is the lowest cost overall and the segment of the market it wanted to target.
Square have positioned themselves as a low cost, mobile, easy to use solution for anyone in small business who uses POS, separating themselves distinctly from their competitors.
“Everyone who has seen Square Reader being used around the world wanted that device here, and they wanted it as small as possible and as low-cost as possible,” Pfisterer says at the launch of the card reader in Melbourne.
“You can just throw it in your pocket and go to the market to set up your stall. It really simplifies everything,” said Pfisterer.
The days of complexity are now gone, with mobile payment devices like Square requiring little to no investment, ensuring customer convenience like never before. One, two, three….. easy as STP.