Square for restaurants adds Postmates, Doordash, Chowly integration


I like this move for Square.

  1. Allows for restaurants that want to use different delivery services to have POS integration.

  2. Eliminates the need for all the extra IPADS for each delivery service at the restaurant.

  3. Gives the restaurant choice, not forcing them to use Caviar.

  4. Square becomes more of a platform, more integrated into the restaurant operations.

  5. Square is focused on making life easier for its customers.



I like this too. a couple questions and I don’t find the answers in the PR…

  1. SQ for Restaurants is apparently a more premium service…Square for Restaurants sellers don’t pay any extra fees to unlock direct integrations…For sellers that don’t use Square for Restaurants, these integrations will also be coming soon to Square’s free Point of Sale app.

So who pays the cost? That 2nd sentence implies a cost for those not on premium.

  1. Is Twilio communication is behind this capability, or did SQ do the R&D internally (cost either way)? But maybe the Door Dashes of the world already are using TWLO. Still there is a cost.

Who notes gross margin has been steadily climbing…so “free to premium” is apparently priced in…

% of Sales    2014   2015   2016   2017   1Q18  2Q18  3Q18  4Q18  1Q19  
Gross Margin  26.5%   29.2   33.7   37.8   38.1  38.7  40.0  40.7  41.3    Showing power of market leadership 

SG&A notably had been held to 21-22% ish until 2018 and has been climbing…now 24%
R&D remains 15-16% throughout.


Recently I was at Sam’s Club and Square had a display selling hardware and explaining what Square can do for your business.

It was well done and I thought it was a great use of marketing dollars.



Their website says “These integrations will be available with Square Point of Sale later this year”


From the FAQ:
"Direct integrations is available for Square for Restaurants customers only. If you don’t already have a Square for Restaurants subscription, you can click here to start a 30 day free trial. "

Looks like it is an attempt to drive more customers to get SQ for Restaurant.

Looks like after a free period the seller pays for the costs for the delivery service. Don’t know if the communication costs are bundled into this. From the FAQ:

“If you’re new to DoorDash, you’ll get a week free in the DoorDash “Try Me Free” program, where diners can discover your restaurant and get free delivery - DoorDash will cover the cost.”