When it comes to point-of-sale (POS) systems and mobile payment solutions, business owners are spoilt for choice. Among these choices, Zettle vs Square stand as two prominent options. In this article, we’ll explore the merits, downsides, features, and pricing of these solutions, thereby enabling businesses in the UK to make informed decisions when choosing a payment solutions provider.
Zettle vs Square
| Criteria | Zettle | Square |
|---|---|---|
| Cost of Card Reader | £29 + VAT (first unit), £59 + VAT (subsequent units) | £16 + VAT |
| Transaction Fees | 1.75% per transaction | 1.75% for chip and PIN or contactless, 2.5% for manually entered or non-European cards |
| Monthly Fees | No monthly fees | No monthly fees |
| Payment Processing | Accepts chip and PIN, contactless, and mobile wallet payments, integrates with PayPal | Accepts chip and PIN, contactless, mobile wallet payments, online payments, invoice payments, virtual terminal payments |
| Inventory Management | Track sales, add product descriptions and images | Inventory counts, low stock alerts, bulk inventory import |
| Integrations | Xero, QuickBooks, Vend, Shopify | Ecwid, WooCommerce, Zoho, Xero, and more |
| Customer Support | Email and phone support Mon-Fri, 9 am to 5 pm | Phone, email, social media support Mon-Fri, 9 am to 5 pm |
| Ease of Use | User-friendly interface, simple set-up | User-friendly interface, simple set-up |
Please note, all prices and features were accurate at the time of writing, but it’s always best to check the latest information on the providers’ websites.
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What are Zettle and Square?
Before we dive into the comparison, it’s essential to familiarise ourselves with what these services entail.
Zettle (previously known as iZettle) is a Swedish financial technology company acquired by PayPal in 2018. The company provides tools for SMEs to accept card payments, manage inventory, and track sales.
Square, on the other hand, is an American financial services and digital payments company co-founded by Jack Dorsey (Twitter’s CEO) in 2009. Square offers an ecosystem of services including payments, hardware, software, and financial services for businesses of all sizes.
Features and functionality
Ease of use
Both Zettle and Square stand out in the market for their user-friendly interfaces. They both provide intuitive apps, easy-to-navigate dashboards, and simple set-up procedures. Thus, even those unfamiliar with digital payment solutions will likely find these systems easy to understand and utilise.
Payment processing
Zettle and Square share a similar approach to payment processing. They both allow businesses to accept chip and PIN, contactless, and mobile wallet payments. Notably, Zettle’s system integrates smoothly with PayPal, reflecting its status as a subsidiary of the digital payments giant.
Square, on the other hand, has a broader scope, offering additional payment options such as online payments, invoice payments, virtual terminal payments, and more.
Inventory management
Both platforms offer decent inventory management features. Square’s system provides more depth, with functionalities for inventory counts, low stock alerts, and bulk inventory import. Zettle, while not as comprehensive as Square, also provides a reliable inventory management system, including the ability to track sales and add product descriptions and images.
Integrations
Both providers have developed a robust ecosystem of integrations. Zettle integrates smoothly with software like Xero and QuickBooks for accounting, Vend for retail POS, and Shopify for e-commerce.
Square offers an equally impressive list of integrations, collaborating with platforms like Ecwid and WooCommerce for e-commerce, Zoho and Xero for accounting, and many more.
Pricing and fees
Card reader costs
The cost of hardware is an important consideration. As of writing, Zettle offers its card reader for £29 + VAT (for the first unit) and £59 + VAT (for subsequent units), while Square’s contactless and chip & PIN reader is available for £16 + VAT. These prices can vary depending on promotional periods.
Transaction fees
Zettle charges a flat fee of 1.75% per transaction, while Square charges 1.75% for chip and PIN or contactless payments, and 2.5% for manually entered or non-European cards.
It’s worth noting that neither provider charges monthly fees, making them accessible options for small businesses or start-ups.
Customer support
Customer support is crucial in any service-based business. Zettle offers email and phone support from Monday to Friday, from 9 am to 5 pm. It also has a comprehensive FAQ section on its website.
Square offers a slightly more comprehensive support system, with customer service available over the phone, via email, and through their social media channels from Monday to Friday, 9 am to 5 pm. They also have an online support centre with a range of guides and FAQs.
Making the right choice
Choosing between Zettle vs Square as a payment solutions provider largely depends on the specific needs of your business.
If your business is small to medium-sized, operates mainly offline, and seeks a simple, cost-effective solution, Zettle might be your best choice. It offers a user-friendly interface, seamless integration with PayPal, and a flat transaction fee.
For businesses that operate online or use a multi-channel sales approach, Square’s broader range of payment options, superior inventory management, and extensive integrations could justify its higher fees.
Remember, the right payment solutions provider for your business should align with your operational model, sales volume, and growth strategy.
FAQ – Zettle vs Square
Yes, you can use both Zettle and Square in your business. However, it’s important to note that operating two systems simultaneously might lead to a more complex workflow and potential confusion. It’s typically more efficient to choose the one that best suits your needs.
No, you don’t need a separate merchant account to use Zettle or Square. Both provide merchant accounts as part of their service, meaning the process of accepting card payments is streamlined and simplified.
Zettle’s standard payout time is 1-2 business days, while Square’s is 1-2 business days for card-present transactions and 2-3 days for card-not-present transactions. However, Square offers a service called ‘Instant Transfers’ (for a 1% fee) which moves funds to your bank account almost instantly.
Both Zettle and Square are trusted payment processors with strong security measures in place to protect your funds. They comply with the Payment Card Industry Data Security Standard (PCI DSS) and use encrypted transactions to protect data.
Both Zettle and Square are versatile enough to suit a range of businesses, from retail to hospitality and service-based industries. They’re particularly beneficial for small to medium-sized businesses due to their ease of use and affordability.
Zettle is primarily geared towards in-person payments but does integrate with e-commerce platforms like Shopify. Square, on the other hand, offers a range of e-commerce solutions, making it a good choice if a significant part of your business is online.
Both Zettle and Square operate with a clear pricing structure. They charge per transaction with no hidden costs, no monthly fees, and no charges for refunds or chargebacks. The main costs outside of transactions will be for optional hardware or add-on services.