Inside Square’s latest releases
Head of F&B Ming-Tai Huh makes the case for a new direct connection between diner and restaurant.
In early October, point of sale and payments company Square released what it calls, “the most significant expansion of its food and beverage platform to date.” The update involves AI and phone-answering bots and other upgrades that are fast becoming table stakes for restaurant technology companies.
“We truly believe restaurants are the backbone of communities,” Ming-Tai Huh, head of food and beverage at Square, told me in a recent interview. “We care about economic empowerment; it is the purpose of our company.”
That focus — and a stat that Huh was happy to trot out, that every dollar spent at a restaurant generates $2.68 of broader economic activity — bolsters what I found to be the most interesting announcement: a restaurant ordering network that Square calls Neighborhoods. It links Square’s restaurant tech to millions of people that use Cash App, a wildly successful sister product from Square’s parent company Block.
Restaurants on the network, as Huh explained to me, get a dedicated ordering channel for pickup and delivery orders. Diners will earn rewards for every order that they can spend on restaurants in the network, and restaurants can market directly to diners inside Cash App.
Cash App is a digital wallet used by 57 million people. Users fund their apps via bank account, debit cards, or even direct deposit; they can send money in peer-to-peer transfers or use a physical — or virtual — debit card for purchases. It’s not a bank, though banking partnerships power some functionality. Still, it’s a valuable financial service for many, including the unbanked and underbanked. (In 2023, the FDIC described 14 percent of American households as “underbanked,” meaning they held accounts but used nonbank products and services to meet their needs.)
Amrita Ahuja, Block’s chief financial officer and chief operating officer, said at a September Goldman Sachs conference that 8 million people use Cash App as their primary bank, regularly depositing paychecks or other earnings and spending hundreds of dollars monthly using the app’s debit card features.
Block likely sees continued focus on Cash App as an investment in its future. During the same interview, Ahuja mentioned the company would court its younger users. Cash App Families lets adults fund accounts and track spending for kids age 13 and older. There are 5 million of these accounts in Cash App.
“In the coming weeks and next couple of months,” Ahuja said, “you’re going to see us do more, both from a product and a marketing perspective with these future spenders and earners of America that we’re excited to grow with.”
Restaurants are a good place to start.
“Commerce is the pillar that unites Square and Cash App,” Ahuja added. “And I think you’ll see more in the next couple of months around Cash App Local and how we’re able to drive incremental demand of Cash App consumers to Square sellers.”
Now it’s time. I recently spoke to Square head of food and beverage Ming-Tai Huh about the latest restaurant releases at Square, including the new Neighborhoods feature.
Per usual, our conversation has been edited for length and clarity.