In my neighborhood in New York I’ve been observing a trend (though limited number of data points) of small coffee shops and other small restaurants switching from Square or Clover back to legacy providers like Ingenico etc. Reasons they cite are usually related to downtime / reliability. Apparently some legacy systems process your payment and thereby get a customer out of the door faster, and have less downtime. Another reason I have heard cited is slightly lower take-rate. Has anyone else observed this / any thoughts on this?
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I have not. My impression, talking to the companies, is that both Square and Clover are growing rapidly. The worry I have is the ability to retain merchants when they grow out of the SQ sweet spot and have much more scale for one of the incumbents to go after.