Deal-of-the-deal discount website Groupon is set to expand its business into a new field: payments. According to Venture Beat, Groupon is testing out a new system which could challenge established services like PayPal, Square and Verifone.
Groupon is looking forward aggressively beating its enemies: the company will be charging a 1.8 percent transaction fee and a 15 percent per transaction charge for all purchases made using the system, which is substantially less than its contenders.
Groupon will also be giving away a free iPod Touch and a free card reader for real-life merchants willing to take a Groupon terminal. With this new move, we don't really know where Groupon is trying to step in, but we do know payment processing is a very competitive industry and coming out on top isn't going to be easy.