Tuesday, April 28, 2015
FAIRFIELD-SUISUN, CALIFORNIA
99 CENTS

Amazon debuts mobile payment app and card reader

By
From page B6 | August 14, 2014 |

NEW YORK — Amazon is taking direct aim at mobile payment systems such as Square by introducing the Amazon Local Register, a credit-card processing device and mobile app designed to help small business owners accept payments through their smartphones and tablets.

The move places the largest U.S. e-commerce retailer in competition with Square and other established mobile payment processing systems such as PayPal Here and Intuit’s GoPayment.

Amazon’s technology includes a card reader that attaches to a smartphone, Kindle or tablet. The reader processes credit or debit card payments via a secure Amazon network, the same one that processes Amazon.com purchases. The service is designed to serve on-the-go small business owners who might otherwise only accept cash or checks, including massage therapists, food truck operators and artists who sell their work at outdoor fairs.

Small businesses can start using Local Register by creating an account on http://localregister.amazon.com. Businesses must buy Amazon’s card reader for $10, and download the free mobile app from the Amazon app store, the Apple app store or Google Play. The app works on most smartphones and tablets, including the Kindle Fire.

Similar to Amazon’s strategy in many of its businesses, the company aims to compete on price in the mobile payment arena. For customers who sign up for the service by Oct. 31, Amazon will take as its fee 1.75 percent of each payment processed, or each “swipe” of the card, a special rate that will last until Jan. 1, 2016. For people who sign up after Oct. 31, Amazon will take a service fee of 2.5 percent of each payment processed.

The first $10 in transaction fees will be credited back to the customer, essentially paying for the card reader.

That’s below most of its competitors’ rates. Square takes a fee of 2.75 percent of each transaction. PayPal Here takes 2.7 percent of each transaction and Intuit’s GoPayment rates start at 1.75 percent per transaction if businesses pay a $19.95 monthly rate or 2.4 percent of each transaction without a monthly payment.

“I’ve actually heard some business owners say the only thing that would make them change (point of sale) systems is cost savings,” said Matt Swann, vice president of local commerce for Amazon.

“Payments are hard and that’s one of the things that gets in the way of serving customers, especially for small businesses,” Swann said. “Payment tools need to be inexpensive, simple and trusted to get the job done.”

Amazon is entering the mobile payment space as the industry continues its rapid growth. IDC estimates that mobile payments could top a trillion dollars globally within the next five years. That includes all forms of mobile payments, such as items purchased online via a phone or tablet, fund transfers and items bought using a mobile gadget as a payment-accepting device.

It’s difficult to isolate the exact portion of that market represented by point-of-sale mobile commerce, since the biggest player, Square, is private and doesn’t divulge sales. Also, PayPal doesn’t break out specific revenue from its Here product.

Baird Equity analyst Colin Sebastian said Amazon’s move was partly expected since the company bought mobile payment company GoPago in 2013.

“The announcement suggests the lines between commerce and payment platforms continue to blur, and we still anticipate other large technology players (like Google and Apple) to expand their own existing payment initiatives, including in-store point-of-sale services.”

Local Register is part of a slew of new products and services that Seattle-based Amazon has introduced this year. The company’s Fire smartphone debuted this month. In April, it began selling the Fire TV, a media streaming device. Meanwhile, Amazon is expanding its same-day delivery service and offering grocery delivery and video and music streaming for its Prime loyalty club members.

Investors have largely given Amazon a pass on profit as it focuses on spending the money it makes to grow and expand into new areas. But there are some signs patience may be waning. The company’s most recent quarterly report in July showed a deeper-than-expected second quarter loss despite surging revenue. Since then, the company’s stock has fallen about 11 percent.

Amazon has been expanding into the payment space with other products: Amazon payments, which lets users with stored credit card or banking information on the Amazon site use their Amazon login to pay at sites other than Amazon. And Amazon Wallet, a beta app that lets users store gift cards, loyalty and rewards cards and membership cards and redeem them in store or online.

 

The Associated Press

The Associated Press

LEAVE A COMMENT

Discussion | No comments

The Daily Republic does not necessarily condone the comments here, nor does it review every post. Read our full policy

.

Solano News

Explore habitat of bats at special Solano-Yolo event

By Amy Maginnis-Honey | From Page: A7, 2 Comments | Gallery

 
Train hits car, kills 1

By Jess Sullivan | From Page: , 6 Comments | Gallery

 
Dollar Tree settles illegal dumping case

By Jess Sullivan | From Page: A5, 1 Comment

 
Man walks to bring awareness to need for divorce reform

By Kevin W. Green | From Page: A3 | Gallery

 
‘The Mask You Live In’ set for Vacaville premiere

By Ryan McCarthy | From Page: A2 | Gallery

 
Woman reported missing in Fairfield

By Ryan McCarthy | From Page: | Gallery

Caltrans reminds motorists of Highway 12 bridge work

By Kevin W. Green | From Page: A5

 
Thor, Iron Man, Captain America return to movie screens

By Amy Maginnis-Honey | From Page: A7 | Gallery

Chambers plans Cinco de Mayo celebration

By Kevin W. Green | From Page: A7

 
Rio Vista to celebrate endive once again

By Susan Winlow | From Page: A7

Full slate of events on tap in downtown Vacaville

By Amy Maginnis-Honey | From Page: A7

 
Fairfield police log: April 26, 2015

By Glen Faison | From Page: A12

Fairfield police log: April 25, 2015

By Glen Faison | From Page: A12

 
Fairfield police log: April 24, 2015

By Glen Faison | From Page: A12

Suisun City police log: April 26, 2015

By Glen Faison | From Page: A12

 
Suisun City police log: April 25, 2015

By Glen Faison | From Page: A12

Suisun City police log: April 24, 2015

By Glen Faison | From Page: A12

 
.

US / World

 
Loretta Lynch sworn in as new US attorney general

By The Associated Press | From Page: B2, 2 Comments

GOP defense budget challenges Obama on Ukraine, Guantanamo

By The Associated Press | From Page: B2

 
Senate expands community colleges’ reach on sexual assault

By The Associated Press | From Page: B2

Tuna company, 2 employees charged in death of worker in oven

By The Associated Press | From Page: B2

 
Woman convicted of murder after young daughter disappeared

By The Associated Press | From Page: B2

Ex-Guantanamo detainees in Uruguay protest at US Embassy

By The Associated Press | From Page: B2

 
Cash handoffs, extortion fuel Mediterranean trafficking

By The Associated Press | From Page: B2

 
High court rejects appeal from protester at military base

By The Associated Press | From Page: B2

Study blames global warming for 75 percent of very hot days

By The Associated Press | From Page: B2

 
Nepal quake death toll tops 4,000; villages plead for aid

By The Associated Press | From Page: B2, 2 Comments | Gallery

Corinthian Colleges closes all 28 remaining campuses

By The Associated Press | From Page: B2

 
California teen confesses to fatally stabbing 9-year-old boy

By The Associated Press | From Page: B2

New Ellis Island center to complete US immigration story

By The Associated Press | From Page: B2

 
US, Japan boost defense ties with eyes on China, NKorea

By The Associated Press | From Page: B2

Coast Guard suspends search for 4 missing off Alabama coast

By The Associated Press | From Page: B2

 
Tiny California tribe turns to adoption to boost revenue

By The Associated Press | From Page: B2

Yemen’s exiled government declares 3 disaster zones

By The Associated Press | From Page: B2

 
Prosecutor: 2 exams found James Holmes to be sane

By The Associated Press | From Page: B2, 1 Comment

 
Judge won’t delay order on inmate sex reassignment surgery

By The Associated Press | From Page: B2, 4 Comments | Gallery

 
.

Opinion

Time for multiple-county tourism, arts, downtown project

By Letter to the Editor | From Page: A11

 
What’s Marco Rubio’s secret?

By Jennifer Rubin | From Page: A11, 8 Comments

 
.

Living

Community Calendar: April 28, 2015

By Susan Hiland | From Page: A2

 
.

Entertainment

Jayne Meadows, actress and TV personality, dies at 95

By The Associated Press | From Page: B3 | Gallery

 
Winehouse family criticizes ‘misleading’ movie about singer

By The Associated Press | From Page: B3

Singer Jamie Barton wins the ‘Heisman Trophy’ of music

By The Associated Press | From Page: B3 | Gallery

 
Rushdie chastises authors protesting Hebdo tribute

By The Associated Press | From Page: B3

 
It’s nail-biting time on Broadway ahead of Tony nominations

By The Associated Press | From Page: B3

‘Black-ish’ creator set to write ‘Good Times’ movie

By The Associated Press | From Page: B3

 
Don Mankiewicz, Oscar-nominated screenwriter, dies at 93

By The Associated Press | From Page: B3

Salma Hayek hopes ‘The Prophet’ inspires new generations

By The Associated Press | From Page: B3

 
TVGrid April 28

By Daily Republic Syndicated Content | From Page: B7

.

Sports

 
Dodgers pitcher McCarthy out for season with elbow injury

By The Associated Press | From Page: B1

Sharks near agreement to extend lease in San Jose

By The Associated Press | From Page: B1

 
Raiders head into draft in need of receiver, pass rusher

By The Associated Press | From Page: B1

Pacquiao, Roach scheme on plan for Mayweather’s defense

By The Associated Press | From Page: B1

 
A new format, more golf for all at Match Play

By The Associated Press | From Page: B1

Orioles’ game in Baltimore postponed due to safety concerns

By The Associated Press | From Page: B1

 
Warriors trying to stay sharp while waiting for 2nd round

By The Associated Press | From Page: B1

Kerr wins Rudy Tomjanovich Award from Pro Basketball Writers

By The Associated Press | From Page: B1 | Gallery

 
Cards ace Adam Wainwright out for season with torn Achilles

By The Associated Press | From Page: B1

Owner Ahmed Zayat takes aim at Kentucky Derby with 3 horses

By The Associated Press | From Page: B1

 
Equestrian aims for more nations competing at Olympics

By The Associated Press | From Page: B1 | Gallery

Cavaliers move on without Love, out with dislocated shoulder

By The Associated Press | From Page: B1

 
Redskins to pick up 5th-year option on Robert Griffin III

By The Associated Press | From Page: B1

Rare Honus Wagner baseball card sells for $1.32 million

By The Associated Press | From Page: B1

 
Arrest warrant sought for UFC champ in hit-and-run crash

By The Associated Press | From Page: B1

Hamilton given back to Texas after troubled Angels stint

By The Associated Press | From Page: B1

 
89-year-old former Kansas player scores in alumni scrimmage

By The Associated Press | From Page: B1

Arena talks underway in Seattle suburb with eye on hockey

By The Associated Press | From Page: B1

 
Vegas sets up ‘concentric’ security for upcoming megafight

By The Associated Press | From Page: B1

Packers will retire Favre’s jersey on Thanksgiving

By The Associated Press | From Page: B1

 
Grizzlies G Mike Conley has facial surgery

By The Associated Press | From Page: B1

Peterson absent but still wanted back by Vikings

By The Associated Press | From Page: B1

 
.

Business

Ex-executive gets prison for $27M insider trading scheme

By The Associated Press | From Page: B4

 
High court to consider lawsuits over personal data

By The Associated Press | From Page: B4, 1 Comment

Discover discovers Apple Pay for its US cardholders

By The Associated Press | From Page: B4

 
With economy uncertain, no Fed rate hike is seen before fall

By The Associated Press | From Page: B4

Change to Greek bailout negotiating team fuels market hopes

By The Associated Press | From Page: B4

 
Burger King heats it up with spicy Whopper and sales surge

By The Associated Press | From Page: B4

Forget the watch: Apple’s iPhones are still the main event

By The Associated Press | From Page: B4

 
Truckers at huge seaport complex strike; impact minimal

By The Associated Press | From Page: B4

ESPN suing Verizon over unbundling of its sports channel

By The Associated Press | From Page: B4 | Gallery

 
.

Obituaries

.

Comics

Garfield April 28

By Daily Republic Syndicated Content | From Page: B4

 
For Better or Worse April 28

By Daily Republic Syndicated Content | From Page: B4

Bridge April 28

By Daily Republic Syndicated Content | From Page: B5

 
Baby Blues April 28

By Daily Republic Syndicated Content | From Page: B4

Pickles April 28

By Daily Republic Syndicated Content | From Page: B4

 
Get Fuzzy April 28

By Daily Republic Syndicated Content | From Page: B4

Dilbert April 28

By Daily Republic Syndicated Content | From Page: B4

 
Baldo April 28

By Daily Republic Syndicated Content | From Page: B4

B.C. April 28

By Daily Republic Syndicated Content | From Page: B4

 
Blondie April 28

By Daily Republic Syndicated Content | From Page: B4

Cryptoquote April 28

By Daily Republic Syndicated Content | From Page: B5

 
Word Sleuth April 28

By Daily Republic Syndicated Content | From Page: B5

Frank and Ernest April 28

By Daily Republic Syndicated Content | From Page: B4

 
Wizard of Id April 28

By Daily Republic Syndicated Content | From Page: B4

Crossword April 28

By Daily Republic Syndicated Content | From Page: B5

 
Peanuts April 28

By Daily Republic Syndicated Content | From Page: B4

Beetle Bailey April 28

By Daily Republic Syndicated Content | From Page: B4

 
Sally Forth April 28

By Daily Republic Syndicated Content | From Page: B4

Zits April 28

By Daily Republic Syndicated Content | From Page: B4

 
Sudoku April 28

By Daily Republic Syndicated Content | From Page: B5

Rose is Rose April 28

By Daily Republic Syndicated Content | From Page: B4