Square’s Card Case Wants To Make An NFC-Equipped iPhone Obsolete Thanks To Tabs

Square’s Card Case Wants To Make An NFC-Equipped iPhone Obsolete Thanks To Tabs

With the iPhone unlikely to get NFC capabilities this year according to reports, waving your iPhone in front of a cash register to pay for your morning coffee will have to wait until 2012 at the earliest. Or will it?

Square has just unveiled their next-generation mobile platform, Square Card Case, and it’s not just an interesting precursor to the promise of NFC, but NFC’s first truly viable alternative in the mobile payments arena… at least when it comes to local merchants.

The idea behind the Card Case is simple. Although the name implies an iPhone case for your iPhone or iPod Touch, Card Case is actually an app that functions as a virtual wallet in which you can place location-specific cards to pay automatically at specific merchants, check out products, get receipts, and more.

Here’s an explanation by Techcrunch:

Once you’ve downloaded your mobile Card Case, you can fill your case with ‘cards’ of all the merchants you visit and buy from who accept Square. When you click on an individual merchant’s card, you’ll be able to see a map of where the merchant is located, contact information, your own order and purchase history, and receipts with the merchant and a daily live menu of items or services from the merchant. You’ll also be able to see what other customers are buying at the store, and merchants can serve customized offers to specific customers based on their purchase history.

So here’s where things get interesting. In a merchant’s card within the case, you can press a “use tab” button which allows the frequent customer to essentially put a purchase on their virtual tab with Square at the merchant. So once you press that button within two blocks of the merchant, you’ll be able to tell the cashier your name and your card will be charged on the merchant’s backend Square register. Because you are a repeat customer, Square already has your payment information. The purchaser will then receive a push notification when the merchant processes the payment.

In other words, the Square Card Case acts as a sort of next-generation bar tab. As long as you’ve made a Square purchase at that store before, you just walk in, tell the cashier your name, and walk out with your goods. Square automatically takes care of the payment and emails you your receipt.

Brilliant… and all without that little Square dongle sticking out of an iPhone. Unfortunately, right now, Square Card Case is only rolled out at just fifty business in New York, Los Angeles, San Francisco, St. Louis and Washington D.C… but local business can sign up here if they’re interested in accepting tabs. Time to pressure my local cappucino maker to get in on this.

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  • schwachs

     I am really for something to start combining all my “loyalty cards”, credit cards, keys, licenses, registrations, etc. onto my iPhone. I think Square just get a head-start in this area.

  • zunaira123

     HTC Incredible S Wonderful handset with impressive features
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  • Sheel Mohnot

    This is fantastic news for small coffeeshops etc everywhere.. This makes for a very compelling use case. It is now far cheaper than a merchant account or verifone for smaller merchants, especially when you factor in that you get a free POS. FeeFighters made a cool calculator that really shows what makes sense for what sized business (mostly square for coffeeshops, etc!).
    http://feefighters.com/square-… 

  • cheesy11

    hmm im still unsure about using this i think il stick with the traditional card reader

  • Fan Tony

    Visit Broadermind for news and tips about outdoor digital accessories.Here are two link for touch screen gloves and iPhone gloves?
    http://www.broadermind.com/Pro
    http://www.broadermind.com/Pro
    Just go and have a look.

  • CharliK

    Tabs will only work in smaller places where there’s no overlap. Otherwise they will still need some kind of validation you are the correct John Smith. 

    Frankly Square should be embracing NFC or similar tech with this Tabs and Card Case system as the way to do that validation. Imagine being able to store all your loyalty etc cards in one app, you select the one you need and tap on the reader and the info is sent. 

About the author

John BrownleeJohn Brownlee is a Contributing Editor. He has also written for Wired, Playboy, Boing Boing, Popular Mechanics, VentureBeat, and Gizmodo. He lives in Boston with his girlfriend and two parakeets. You can follow him here on Twitter.

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