Amazon's Mobile POS Undercuts the Competition

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Amazon's Mobile POS Undercuts the Competition

Amazon has entered the mobile POS business with the release of Amazon Local Register, and is looking to syphon market share from the established players with best-in-class merchant fees. The service is a secure card reader and mobile app that provides local businesses with the tools they need to quickly and easily accept credit and debit cards anywhere from a smartphone or tablet.

Amazon Local Register is similar to the offerings from Square, PayPal, ROAM and others, but with a 1.75% transaction rate for merchants who sign up for the service by Oct. 31 the online giant is positioning itself as the pricing leader — a position it is accustomed to holding. Merchants who sign up for the service by the deadline will enjoy the introductory merchant fees until the end of 2015. Those that sign up after the Oct. 31 date will pay 2.5% merchant fees — still lower than Square's 2.75% rate.

“From clothing stores to contractors, food trucks to accountants, businesses and organizations using Amazon Local Register will enjoy industry-leading low rates, trusted and secure payment processing, and access to award-winning customer support,” Matt Swann, VP of Amazon local commerce said. “We understand that every penny and every minute counts, so we want to make accepting payments so easy and inexpensive that it no longer gets in the way of a business owner doing what they love — serving their customers and growing their business.”

Customers can get started with Amazon Local Register in three simple steps: create an account on, purchase a $10 card reader, and download the free mobile app from Amazon Appstore, Apple App Store or Google Play. The mobile POS app is compatible with a variety of smartphones and tablets, including Apple devices running iOS7, Kindle Fire tablets, select Android smartphones, and Amazon's new Fire phone.

In-app reporting enables businesses to quickly check bottom line performance, sales trends, peak sales times and more. All reporting is easily accessible from a smartphone or tablet and is password-protected. A host of compatible accessories are available including cash drawers, receipt printers and stands.