One popular online coupon firm recently began testing a payment reader system to take advantage of the profit in the sector.
Business Insider reports Groupon is planning to introduce a payment system that will directly compete with PayPal, Verifone and others. The source states that the firm is hoping to have an advantage over others in the sector by charging significantly less for merchants who choose to use the system.
“The pricing is extremely aggressive, with a 1.8% transaction fee and a 15 cent per transaction charge for transactions processed through the terminal,” the source reports.”Square charges 2.75% with no per transaction fee. PayPal Here and Verifone Sail charge 2.7%, also with no transaction fee.”
Groupon will also be giving stores that sign up a free iPod touch to help incorporate the system. The source goes on to report that the new service is already being used in the San Francisco area.
The company made other news when it rolled out a new incentive program. Groupon Rewards was tested in Philadelphia before becoming available to merchants throughout the United States.Back To Blog