Author: David Matney

Here we are with another Square post. Let’s be real: Square is a problem for many of us agents out here. They’ve got the brand recognition, the sleek hardware, and that “self-service” portal that makes merchants feel like they’re in control. But we know what’s usually lurking under the hood of those “simple” flat rates.

The Scene: You’ve been courting a 4-location Philly Cheesesteak empire for six months. High volume, high grease, high potential. You walk in today for your scheduled follow-up, only to see brand-new white iPads and Kitchen Display Systems (KDS) staring back at you.

The owner, Mike, looks at you with a smug grin. “Sorry, pal. I went direct to the Square site, typed in my info, and they gave me a ‘Custom Quote’ right there: 2.6% and $0.15 a transaction. No more complicated statements. Oh, and did you know they have a kitchen monitor now? It’s slick.”

The “Salesperson Math” (Internal Monologue):

You’re looking at his menu. The average ticket is $20.00.

• Square’s “Custom” Cost: $0.52 (2.6%) + $0.15 = $0.67 per sandwich.
• That is an effective rate of 3.35%. On a standard Interchange Plus model, you know that for a $20.00 ticket, even with a healthy margin, he should be sitting closer to 2.30% or 2.40% total. Mike is effectively paying a 1% “convenience tax” on every single cheesesteak he flips. Plus, he hasn’t even seen the monthly “Software Subscription” bill for those 4 locations and KDS screens yet.

The Dilemma:

Mike is in the “Honeymoon Phase.” He thinks he just outsmarted the industry. If you start “math-ing” him to death right now, you look like a sore loser. If you walk away, he stays overcharged for the next three years while his “custom” rate eats his margins.

What Would You Do?

• A. The “Receipt Challenge”: Buy a cheesesteak. When he rings it up, show him the math on that $20.00 ticket right there. “Mike, you just paid 67 cents to process this sandwich. I could have done it for 46 cents. You sell 5,000 of these a month… you do the math.”
• B. The “Software Audit” Long Game: Congratulate him on the KDS. Then ask: “Did they waive the $50/month per location ‘Restaurant Plus’ fee and the $30/month per screen KDS fee, or is that on top of the 2.6%?” Plant the seed and wait for the first statement to hit.
• C. The “Hardware Pivot”: Focus on the environment. “iPads are great for boutiques, but they hate steak grease and high-heat kitchens. When that WiFi drops or the screen glitches, who are you calling? Use them for a month, then let’s talk about a ruggedized system that actually saves you money.”
• D. The Graceful Exit: Wish him luck and move on. Some merchants need to feel the sting of a Square statement before they’ll value a real consultant.

How do you handle the “But I got a custom quote from the website” objection? Drop your strategy in the comments!

Happy Selling,

David