Square and GoDaddy Forge a Crucial Partnership: What Investors Need to Know
In Square Inc.'s (NYSE: SQ) third-quarter conference call, CEO Jack Dorsey made it clear that the company's open-platform strategy, which allows Square to be embedded in other business systems, was a significant factor in the company's success. Dorsey said the payments generated from its integration into others' platforms contributed nearly 20% to Square's third-quarter gross payment volume (GPV). He concluded, "These integrations are more important than ever, as online and offline commerce emerge and sellers need to provide a seamless omnichannel experience for their customers."
Embedding Square's payment processing capabilities into other platforms will probably continue to gain importance in the quarters ahead. In the past few months, Square has struck deals with the popular live-event planning platform Eventbrite, and SAP SE's Business One software platform, which provides small and medium-sized retailers with a variety of back-office business services. More recently, Square announced another partnership, this time with GoDaddy Inc. (NYSE: GDDY), a provider of tools that individuals and small businesses need to build professional-looking and fully functional websites.
Square has expanded its capabilities and services exponentially since starting off as a mobile card reader that attached to a smartphone. Image source: Square Inc.
Source: Fool.com
