GoDaddy Payments QR Code App Makes Any Mobile Phone a POS Device

GoDaddy's payment solution follows last week's news that Apple is enabling businesses to turn iPhones into POS devices.

GoDaddy will now allow businesses to take payments via a mobile phone, without the need for dedicated point of sale (POS) hardware.

The new feature utilizes QR codes, which the customer must then scan with their mobile phone to complete payment.

The announcement comes hot on the heels of last week’s news from Apple that iPhone users will be able to may payments directly to another iPhone later this year, with its new ‘Tap to Pay’ feature.

How GoDaddy Payments Works

While Apple’s news last week about its new payment feature revolves around NFC and iPhones communicating with each other, GoDaddy has taken a quite different path. Its solution is QR codes.

Using the GoDaddy Payments app, the vendor can produce a one-time QR code which the customer then scans with their own phone, before completing their purchase with their preferred digital wallet. Once the transaction is completed, the QR code automatically expires.

GoDaddy is pitching payments as a solution for small traders who don’t want, or can’t afford, a separate POS system. Transaction fees are charged at 2.3%, the same as it charges for payments via is POS hardware, although there is also 30 cent surcharge per QR code.

Is this the End of POS Hardware? (Spoiler – No)

Although it may appear that the writing is on the wall for the poor old dedicated POS device, its funeral may be some way off yet. While many businesses would no doubt jump at the chance to do everything on a mobile phone and not purchase separate POS tech, many have already invested millions in this area, ingraining it within their business and linking it to sales, stock taking and even CRM. For these businesses, it’s a case of if it ain’t broke, don’t fix it.

The second wrinkle with some phone payment platforms is that they only accept payments from mobile devices, meaning customers who want to pay by card are left out in the cold. In fact, according to YouGov America data, cash is still king, with 59% of in-store purchases fuelled by good old paper money. Only 9% of customers choose to pay by a mobile app, so don’t go throwing away your POS system just yet.

In the case of GoDaddy’s platform, the company has told us that it is possible for customers to enter their debit/credit card details after scanning the QR code, so it’s not restricted solely to digital wallet payments.

Then there’s the logistics of using a mobile phone on the shop floor. Sure, its fine for the small trader selling coffees out of a van, but is a larger retailer really going to expect staff to use their own phones to take payments? And if they’re going to supply the phones themselves, they may as well put the money into a dedicated POS instead.

Picking the Right POS System

While the retail industry felt the brunt of the pandemic, it has at least done one thing for it – normalized POS systems. With customers being more aware than ever about keeping a safe distance, the ability to pay for goods with just a tap of a card, rather than with cash, meant contact was kept to a minimum.

A POS system can drastically cut the amount of time an employee has to spend handling payments, can collect data about your customers, generate mailing lists, track inventory and more.

POS systems are convenient for both customer and business alike, so its perhaps unsurprising that the industry is predicted to be worth a huge 116 billion by 2026. However, GoDaddy aren’t the only option out there, so we’ve collected some of the best options below for you:

0 out of 0
Tech.co rating for retail
Score out of 5 for general retail suitability based on Tech.co's independent market research.
Best Retail POS for
Tech.co's verdict to help you identify the most suitable choice for your retail business
Price from
The typical lowest starting price. The lowest price available for your business will depend on your needs.
Hardware
iPad app
Is there a version of the software made specifically for iPad use?
Android app
Is there a version of the software made specifically for Android tablet use?
24/7 support
Get started

Vend POS

Square POS

Revel POS

Erply POS

4.4
4.7
4.2
4.1
4.1
4.0
4.9
4.1
4.1

Best to track and train employees

Best for small retail stores and pop-ups

Best small business growth features

Best for CRM tools

Best for small franchises

Best for omnichannel sellers

Best for established retail stores

Best for omnichannel sellers

Best for omnichannel sellers

Free (but transaction fees apply)

$29/user/month

Free (without inventory)

$0 + $14.95 (virtual terminal)

$299 upfront (+$39/month)

$89/user/month for Retail, $69 for Restaurant (as per most recently available figures)

Works with a range of of third-party periperals.

Sold by Square, separately or bundled. Works with most leading brands and has a great free trial.

Available through third-party vendors.

Offers a preconfigured POS terminal with an iPad and tablet stand, a router, a printer, and a cash drawer.

Works with loads of hardware options

Sold by Shopify, but also works with iPads and Android tablets.

Sells everything from full cash stations to mobile card readers.

Works with a range of of third-party periperals.

Specialized hardware available. Not compatible with weighing scales.

Compare prices Try Square Compare prices Compare prices Compare prices Compare Prices Compare Prices Compare prices Visit Lightspeed
About our links

If you click on, sign up to a service through, or make a purchase through the links on our site, or use our quotes tool to receive custom pricing for your business needs, we may earn a referral fee from the supplier(s) of the technology you’re interested in. This helps Tech.co to provide free information and reviews, and carries no additional cost to you. Most importantly, it doesn’t affect our editorial impartiality. Ratings and rankings on Tech.co cannot be bought. Our reviews are based on objective research analysis. Rare exceptions to this will be marked clearly as a ‘sponsored’ table column, or explained by a full advertising disclosure on the page, in place of this one. Click to return to top of page

Did you find this article helpful? Click on one of the following buttons
We're so happy you liked! Get more delivered to your inbox just like it.

We're sorry this article didn't help you today – we welcome feedback, so if there's any way you feel we could improve our content, please email us at contact@tech.co

Written by:
Jack is the Editor for Tech.co. He has over 15 years experience in publishing, having covered both consumer and business technology extensively, including both in print and online. Jack has also led on investigations on topical tech issues, from privacy to price gouging. He has a strong background in research-based content, working with organizations globally, and has also been a member of government advisory committees on tech matters.
Explore More See all news
Back to top
close Step up your business video conferencing with GoToMeeting, our top rated conferencing app – try it free for 14 days Try GoToMeeting Free