These days many people are trying to compare Square to Roam Data, implying these two are in competition with one another. Simply put, this is a completely invalid comparison. While both Roam Data and Square have their own credit cardtechnology, this is the only thing these companies have in common. Roam Data is a technology and service provider that doesn’t provide merchant accounts. Roam works with companies such as Payment Max, who is a Merchant Service Provider. Square is a Merchant Provider, so the real rivalry is between Square and companies such as Payment Max, not Roam Data. Comparing Roam Data and Square will result in the discovery of further differences between these two companies.
Square and Roam Data technologies are designed for two different purposes. Square’s technology is designed for a low volume peer to peer payments, with an inexpensive swiper that does not use encryption. Roam Data is designed for merchants that have a higher volume of transaction. The differences in the swiper technologies result in an even larger gap between Roam and Square’s services. Because Roam’s swiper is more technologically advanced it can be used by more mobile devices. Also Roam technology encrypts the credit card data within the swiper before it is ever sent to a mobile device. This protects customers from identity theft. Square’s swiper is less advanced, without in-swiper encryption, and can be used on less devices. Roam technology also has a higher card read rate and is less prone to errors than Square technology. These two technologies are very different, with very different business uses.
As mentioned before, the major difference between Square and Roam Data are their business models. Square is a Merchant Service Provider who provides both technology and merchant accounts. Roam Data simply supplies technology and support to Merchant Service Providers such as Payment Max. This allow Roam to focus on advancing technology and support instead of having to worry about the merchant account part of the business. Payment Max and other Merchant Service Providers and Square’s real competition in the mobile credit card transaction processing industry.