), which launched an iPad-based point-of-sale (POS) service for
retail establishments and restaurants in October last year, has
been pushing to achieve its lofty ambitions of becoming the
'operating system (
) for local commerce' by integrating payments and now inventory
management to the POS service. The service is named Breadcrumb
after the POS company it acquired in 2012.
The new inventory management area of the app allows for easy
uploading of menu items and inventory count to its iPad terminals.
It helps local businesses manage inventory better by providing real
time inventory data. This is ideal for venues with large inventory
with limited items such as bottles of wine and helps track costs
better. The new release alsointegrates functions such as caller ID
and customer identification for faster phone order entry. It does
this by automatically displaying repeat customers' addresses or
saving new customers in the system for future use. The service
costs $99 per month to authorize one iPad, $199 for two, $299 for
five and $399 for up to 10. This is a key pivot in Groupon's
business as the daily deals giant seeks to diversify away from the
Check out our complete analysis of Groupon
Groupon To Become The OS For Local Commerce
Breadcrumb is fully integrated with Groupon Payments, an online
payment service, that the company claims to be the lowest cost
option for merchants and small businesses accepting credit cards.
The payment service is also integrated into the Groupon
Merchants app for the iPhone and the iPod Touch. The service
charges 1.8% plus 15 cents per transaction for MasterCard, Visa and
Discover. For American Express, the company charges 3% plus 15
cents per transaction.
Apart from being cheaper, the advantage of the payment service
is that the merchants will receive credit card deposits in their
bank accounts overnight compared to the usual 2-3 business days
offered by most other credit card processing services. The
service is mainly targeted at businesses that run deals with
Groupon, but the company is also running a pilot test offering the
service to non-Groupon merchants at 2.2% (or 3% for American
Express) plus 15 cents per transaction.
We currently have a
Trefis price estimate for Groupon
, which stands nearly 70% above its current market price.
a Company's Products Impact its Stock Price at Trefis