Mobile Cash Collection: T-Mobile Proposing Square Readers to Small Businesses
- T-Mobile USA is distributing Square card readers to small US companies. Faster cash collection may in fact be of interest for its customers as the collected amounts could be deposited into their bank account right on the next business day. This service is added to an already available range of professional services (business apps, support, guaranties in case of equipment loss, theft, damage or malfunction, etc.).
- Also, according to Barclays Capital, the m-commerce sector could represent 5.3 billion dollars in 2011 (+83% compared to 2010) but over 26 million small US businesses are not yet able to accept card payments.
- T-Mobile has opted for US market leader Square to respond to an increasing need in mobile cash collection. For similar reasons, its rivals (AT&T and Verizon Wireless) have first made this move through opting for Intuit’s GoPayment readers (see November 2011 Insight).
- This decision confirms the interest of using Smartphones or tablets as mobile acceptance solution; Square is seen as a means to ensure professional customers’ loyalty with new added value services.
- Square has being rather successful these days as it is also being used by Barack Obama’s presidential campaign teams to collect donations.