Square Killed One Of Its Best Apps And Is Launching A Seamless Competitor Instead

Square has officially discontinued its Wallet mobile payment app in favor of a new app aimed at making it easier to pre-order food and beverages from Square merchants, Re/code reports.

Square Wallet, which was introduced three years ago by Twitter co-founder and Square CEO Jack Dorsey, allowed users to seamlessly pay at Square-powered venues by entering their payment information and checking into the location via the app.

The user would simply say his or her name at the register to complete the payment process.

The app was meant to simplify checkout routines by avoiding the use of any physical form of currency, but it didn't catch on the way Square had hoped. The app hasn't been in the iOS App Store's top 200 free finance apps in quite some time, and Square's Ajit Varma told Re/code that it only took two meetings to decide to axe the mobile payment app.

It was a really cool app, but it seems like no one was using.

The move is indicative of the larger challenges surrounding the mobile payment space. According to a report from the Yankee Group in early March, only 16% of mobile device owners have made in-store purchases with their phones as of early 2014, Mobile Commerce Daily reported.

The company's new app, Square Order, takes a different approach to the mobile payment process that's similar to Seamless and GrubHub. Through the app, which is now available in San Fransisco, users can choose an item from a local shop or restaurant, pay and tip directly from his or her phone, and then pick up the order after receiving a notification that it's ready.

Square is most widely known for its mobile card reader that allows merchants to use any smartphone or tablet as a checkout register, but it's had a hard time breaking into the consumer space. The company partnered with Starbucks in 2012, although the deal wasn't enough to commercialize its consumer mobile payment platform.

Square will continue to support Wallet for those already using the app, however, it's no longer available for download.