A hip purveyor of denim goods in New York called Self Edge has launched an iPhone payment system.
Code named (ironically?) “Square,” it consists of a small, plastic card reader that fits into headphone jacks of iPhones (or iPod Touches) and transfers swiped credit card info to an app.
According to coolhunting, it works like this: a store employee totals up merchandise, then the customer adds a signature with their finger via touchscreen. The customer then adds the email address where they want the receipt sent to.
Kiya Babzani, co-owner of Self Edge, told Cult of Mac that Square has plenty of plusses for retailers in a system “expected to expand beyond retail and credit card use.”
“There are no recurring fees for Square, so it costs nothing to sign up. Current fees are 2.5% (+.50 cents) per transaction, extremely low compared to regular credit card rates, they normalize the fees so even if the payer uses an AmEx card, you still pay the same 2.5% which is unheard of in the credit card processing world.”
Another nifty feature: the receipt includes a map showing where the purchase was made, nice if you have to prove those distressed denims were somehow a business expense.
What’s the customer reaction to the iPhone system so far?
Babzani says: “Most people are loving it and are interested in where the product will go once it’s rolled out on a large scale.”
In the meantime, what do you think of iPhone payments?
Images courtesy Coolhunting