WEBVTT - Square CEO Jack Dorsey Talks About Terminal & Entrepreneurship

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<v Speaker 1>Square gives the credit card terminal an upgrade. My interview

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<v Speaker 1>with CEO Jack Dorsey. What's going on? I'm Rich Damiro.

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<v Speaker 1>This is Rich on Tech. Just how crazy is the

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<v Speaker 1>current state of payment affairs in our country right now?

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<v Speaker 2>Think about it.

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<v Speaker 1>We just went through the whole chip and dip thing.

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<v Speaker 1>Now we're getting into mobile payments, and when you go

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<v Speaker 1>into a business, you have no idea what payment method

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<v Speaker 1>they are going to accept. Personally, I would love to

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<v Speaker 1>ditch my wallet and only use mobile payments, but you

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<v Speaker 1>never know if they're going to take it. And even

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<v Speaker 1>the newest credit card terminals are still pretty bad. They

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<v Speaker 1>seem to be designed by someone who never has to

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<v Speaker 1>use one. The screen is tiny, you can't even tell

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<v Speaker 1>what it's asking you to do.

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<v Speaker 2>So enter Square.

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<v Speaker 1>This is the company that revolutionized payments by allowing anyone

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<v Speaker 1>to accept a credit card in seconds, thanks to that

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<v Speaker 1>tiny reader that you plugged into your phone.

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<v Speaker 3>Yeah, we saw this nine years ago with a very

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<v Speaker 3>simple purpose, which was we saw sellers missing sales because

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<v Speaker 3>they couldn't accept credit cards, and we realized pretty early

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<v Speaker 3>on it just wasn't about building a credit card reader,

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<v Speaker 3>it was actually helping them make the sale in the

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<v Speaker 3>first place, and we've grown a business around helping them

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<v Speaker 3>not only make that sale, but ideally helping them make

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<v Speaker 3>more sales as well.

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<v Speaker 1>That's Square founder and CEO Jack Dorsey. Recently I met

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<v Speaker 1>up with him in San Francisco, and if his name

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<v Speaker 1>sounds familiar, that's because he's also the guy who started Twitter.

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<v Speaker 1>We checked out some shops using Square hardware along hate Ashbury,

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<v Speaker 1>which is a trendy section of town.

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<v Speaker 3>Our philosophy has always been it doesn't matter what device

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<v Speaker 3>comes across the counter, you should always be set up

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<v Speaker 3>to make the sale. So if someone wants to pay

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<v Speaker 3>with their watch, or their phone, or their chip card

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<v Speaker 3>or swiping their old MasterCard, they can do it. You

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<v Speaker 3>don't have to think about it. It's really in the

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<v Speaker 3>pay it's in the your customer's hand, the payer's hand,

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<v Speaker 3>and we just need to make sure that we're building

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<v Speaker 3>something for a seller where they don't have to think

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<v Speaker 3>about it at all.

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<v Speaker 1>And that's what they hope to accomplish with their latest device.

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<v Speaker 1>It's called Square Terminal and that credit card swipey thing

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<v Speaker 1>that you know but don't love, but it is so

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<v Speaker 1>much better than what we have right now.

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<v Speaker 3>Terminal is uh is the launch I'm most excited about.

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<v Speaker 3>It's just not only something that you see everywhere. You

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<v Speaker 3>see those little rectangular h black boxes that look like

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<v Speaker 3>they barely work, and they have these grungy keypads, and

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<v Speaker 3>you don't want to touch the thing, but you have

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<v Speaker 3>to touch the thing because I swipe your credit card

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<v Speaker 3>and it's always yelling at you too. It's always yelling

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<v Speaker 3>at you. It's screaming at you. It's kind of terrible,

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<v Speaker 3>but like it's you know, it results. It's a culmination

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<v Speaker 3>of our understanding of like how to build hardware and

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<v Speaker 3>build software that work together that it is intuitive that

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<v Speaker 3>you can just pick it up and start using it.

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<v Speaker 1>Terminal looks like an iPhone that's in a permanent white

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<v Speaker 1>plastic housing. It's wireless, it's Wi Fi enabled, you charge

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<v Speaker 1>it up, and it accepts all the ways that we

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<v Speaker 1>want to pay, whether you want to swim your card,

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<v Speaker 1>whether you want to dip your card, or whether you

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<v Speaker 1>want to tap to pay using mobile pay from Google,

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<v Speaker 1>Samsung or Apple.

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<v Speaker 3>It's something we're really proud of because we hope to

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<v Speaker 3>replace all those big and small black boxes on the

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<v Speaker 3>counter that people feel like it's a burden and they

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<v Speaker 3>have to put up with instead of enjoying using so

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<v Speaker 3>that you know, my favorite question ask a seller is

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<v Speaker 3>just how does this make you feel? That's what that's

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<v Speaker 3>what we're trying to build is like how does this

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<v Speaker 3>thing make you feel? And if it makes them feel great,

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<v Speaker 3>if it makes them feel empowered, if it makes them

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<v Speaker 3>feel like they can sell more and they can treat

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<v Speaker 3>their customers better than awesome if it if it doesn't

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<v Speaker 3>come back positive, then way of work to do.

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<v Speaker 2>Terminal is really fast. Plus it's flexible.

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<v Speaker 1>It can hang out on a counter, but since it's wireless,

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<v Speaker 1>it can also be brought anywhere customers want to pay,

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<v Speaker 1>like table side. And one of the businesses that I

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<v Speaker 1>spoke to that tested the terminal told me the battery

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<v Speaker 1>easily lasts the entire day.

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<v Speaker 3>This is a great use case on the countertop here.

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<v Speaker 3>But you know, we have a lot of restaurants who

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<v Speaker 3>are now going to the table and saying, you know,

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<v Speaker 3>it's gonna be you know, fifteen dollars and you swipe

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<v Speaker 3>your card or you tap your watch, or you know,

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<v Speaker 3>you tap your phone, and you operate the whole thing.

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<v Speaker 3>And then I take it back and I go to

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<v Speaker 3>the next table, So it is super flexible for whatever

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<v Speaker 3>a seller needs to do. And that was by design.

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<v Speaker 1>And yes, if you still like an old school receipt

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<v Speaker 1>what some of us need, there is a printer built

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<v Speaker 1>in as well.

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<v Speaker 3>Try to emphasize digital and going to a phone number

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<v Speaker 3>and email address, but you know, sometimes you put one paper.

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<v Speaker 3>It's important.

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<v Speaker 1>After seeing terminal inaction at a busy hair salon, we

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<v Speaker 1>decided to head to a record shop, which to me

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<v Speaker 1>is the quintessential small business. Jack picked out some Marvin

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<v Speaker 1>Gay then paid with his preferred choice, tapping his Apple

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<v Speaker 1>Watch to the Square terminal reader and paying with Apple Pay.

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<v Speaker 3>We believe a small business's key to any community. It

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<v Speaker 3>provides a fabric and a support network that I think

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<v Speaker 3>helps residential neighborhood as well. So anytime you have a

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<v Speaker 3>place to walk, place to hang out, place to think,

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<v Speaker 3>it's it's much more attractive place to live. And it's

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<v Speaker 3>also often these places that are the the meeting points

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<v Speaker 3>where we you know, converse and debate and have conversations

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<v Speaker 3>and move everything forward. So the critical part of our

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<v Speaker 3>society and anything that we can do to help enable

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<v Speaker 3>them to participate more fully in the economy work. We're

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<v Speaker 3>down for now.

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<v Speaker 1>If I ever started a small business, I would love

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<v Speaker 1>to use the stuff that Square offers. And since Jack

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<v Speaker 1>is an entrepreneur and CEO of two companies at the

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<v Speaker 1>same time, I was curious to hear his thoughts on entrepreneurship.

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<v Speaker 3>You definitely have to be a hustler of sorts and

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<v Speaker 3>you know, do whatever it takes to make it work.

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<v Speaker 3>And I love that attitude. It's an entrepreneurial attitude. But

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<v Speaker 3>I hope that you know, our our hardware and our

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<v Speaker 3>software takes a little bit of the burden off. One

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<v Speaker 3>last thing you have to think about, because you should

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<v Speaker 3>never really have to think about making the sale. You

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<v Speaker 3>should think about the creativity and the soul that you

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<v Speaker 3>put into your place or your experience, and how you

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<v Speaker 3>treat your customers and how you hire folks to help

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<v Speaker 3>and you know what that means, and what you might

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<v Speaker 3>want to do for the broader community outside of your

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<v Speaker 3>own location. That's what you should be thinking about. You

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<v Speaker 3>shouldn't be thinking about how does my terminal work.

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<v Speaker 1>Talking to the Square folks about the other way of

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<v Speaker 1>accepting plastics sounds like it's a very complicated process with

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<v Speaker 1>lots of contracts, equipment costs, and negotiations, which is probably

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<v Speaker 1>why we see such a mess when it comes to

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<v Speaker 1>what businesses decide to accept or not accept. Sometimes you

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<v Speaker 1>only take certain cards, others ask for minimum charges when

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<v Speaker 1>using a credit card, or other businesses just don't accept

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<v Speaker 1>cards at all.

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<v Speaker 3>That's the key insight we had is like more and

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<v Speaker 3>more payments, we're moving away from paper cash to a

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<v Speaker 3>credit card, and the credit card industry was leaving merchants

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<v Speaker 3>out because they wouldn't I actually allow them to accept

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<v Speaker 3>them in the first place, because they had to go

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<v Speaker 3>through a credit check process to do that. And a

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<v Speaker 3>lot of people who are just getting started have bad

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<v Speaker 3>credit or don't have much of a credit card record

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<v Speaker 3>at all. Like when we started Square, I was in

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<v Speaker 3>a credit card debt. I had terrible credit, so I

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<v Speaker 3>would not be allowed to start a small business. So

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<v Speaker 3>that's what we faced and just solving that problem, in

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<v Speaker 3>addition to building the hardware on the software, is what

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<v Speaker 3>made us valuable to people.

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<v Speaker 2>Square Terminal is available now.

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<v Speaker 1>It's four hundred dollars or ninety nine dollars if you've

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<v Speaker 1>never had a Square account. After a three hundred dollars

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<v Speaker 1>processing credit you pay two point six percent of transactions

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<v Speaker 1>plus ten cents per transaction. If you have a small business,

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<v Speaker 1>I highly recommend you take a look at what Square offers. Personally,

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<v Speaker 1>as a consumer, I love seeing Square at small businesses.

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<v Speaker 1>It's such a pleasure to use, and from a technology standpoint,

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<v Speaker 1>it just seems like a step in the right direction.

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<v Speaker 2>Thanks so much for listening to the podcast.

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<v Speaker 1>If you enjoy this, please subscribe on your preferred podcasting app,

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<v Speaker 1>and please tell your friends.

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<v Speaker 2>That's the best way we're gonna grow here. I'm Rich Damiro.

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<v Speaker 1>If you want to watch my TV segment with Jack Dorsey,

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<v Speaker 1>you can go to my website Rich on tech dot tv,

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<v Speaker 1>or check the show notes.

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<v Speaker 2>I'm Rich Demiro. I'll talk to you real soon.