Square Debuts AI Features for Conversational Commerce Platform

Square has launched AI features within its Square Messages platform, allowing merchants to communicate with customers using suggested replies and actions, a company blog noted.

Square said that these AI messaging features help to “boost a buyer’s reply rate by 10%.”

Also within the blog, Square released its Growth of Mobile and Conversational Commerce report, which shows that almost 40% of businesses aren’t making use of mobile commerce technologies, even as those become more popular.

The study aimed to show the opportunities and challenges faced by businesses as they expand into new commerce channels.

Mobile and conversational commerce is overall on the rise, and the study found that younger people have been more used to using phones to make purchases — Millennials and Gen Z prefer texting with a business.

But with the growing preference toward mobile commerce, only 60% have said they’re using it already. Another 20% have said they’re interested in doing so.

Almost all consumers surveyed, or 98%, were looking to connect with businesses on their mobile devices, with over 60% wanting appointment reminders and order notifications that way. And 30% of consumers think they’ll be using mobile devices to shop more in the next year.

Younger businesses have been more likely to use mobile commerce, and companies that have been in business for 10 years or more are only 51% likely to use the technology.

“Sellers continue to need powerful software that enables them to automate their business and meet the on-the-go needs of modern consumers,” said Saumil Mehta, Head of Point of Sale and E-Commerce at Square. “Mobile commerce technologies are a competitive advantage for merchants to leverage in order to stand out from the noise.”

Square also recently made its Tap to Pay platform available to all U.S. sellers using an iPhone and Square’s POS app, PYMNTS wrote.

Read more: Square Now Opens iPhone Tap to Pay to All US Sellers

Early access for the platform started in June, allowing mobile professionals including contractors and caterers to process contactless payments onsite at their project locations, including hairstylists and beauty professionals who could take payments from customers’ chairs.