Square vs Shopify POS: Complete 2025 Retail Comparison
Quick Verdict: Choose Square if you want a free, simple POS that works for any business type with no monthly fees. Choose Shopify POS if you already sell online with Shopify or want the best omnichannel retail experience.
Our Recommendation
For Budget-Conscious: Square free tier wins for zero monthly costs
For eCommerce Integration: Shopify wins with native online store sync
For Services + Retail: Square handles both better
Square vs Shopify POS: Quick Comparison
| Square | Toast | Clover | |
|---|---|---|---|
| Starting Price | Free | $0-$69/mo | $14.95/mo |
| Rating | 4.7/5 | 4.6/5 | 4.4/5 |
| Processing Fee | 2.6% + 10c | 2.49% + 15c | 2.3% + 10c |
| Hardware | $49-$799 | $0-$999+ | $599-$1,799 |
| Contract | No contract | 2-year typical | Varies by reseller |
| Free Trial | Yes | No | No |
| Best For | Small Business, Retail | Restaurants, Bars | Retail, Quick Service |
| Read Review | Read Review | Read Review |
Key Differences Between Square and Shopify POS
1. Ecosystem Approach
Square is a standalone business platform that has grown organically:
- Started with payments, added POS features
- Works for retail, restaurants, services, appointments
- Free website builder (Square Online)
- Appointments, payroll, banking all available
- No prerequisite – start with just POS
Shopify POS is the retail extension of Shopify eCommerce:
- Built to complement Shopify online stores
- Unified backend for online and retail
- Requires Shopify subscription
- Best value when combined with online store
- Retail-focused (not for restaurants/services)
2. Pricing Structure
Square Pricing
- Free Plan: $0/month – includes POS, inventory, reports
- Plus (Retail): $60/month/location – advanced features
- Premium: Custom pricing for large businesses
- Processing: 2.6% + $0.10 (in-person)
- Hardware: Reader free, Terminal $299, Register $799
Shopify Pricing
- Basic Shopify: $39/month (includes basic POS)
- POS Pro Add-on: +$89/month/location
- Shopify Plan: $105/month (includes POS Pro at all locations)
- Advanced: $399/month (includes POS Pro)
- Processing: 2.6% + $0.10 with Shopify Payments
- Hardware: POS Go $399, Reader $49, Retail Kit bundles
3. eCommerce Integration
Square Online is included free:
- Basic online store included with Square
- Inventory syncs between online and retail
- Good for simple online selling
- Limited compared to dedicated eCommerce platforms
Shopify is the eCommerce leader:
- World-class online store builder
- Thousands of apps and themes
- Native omnichannel (same cart, checkout, inventory)
- Buy online, pick up in store (BOPIS)
- Ship from store capabilities
4. Feature Comparison
Where Square Excels:
- Free tier: Full POS with no monthly fees
- Versatility: Works for any business type
- Services: Square Appointments for booking
- Banking: Square Checking, Loans built-in
- Simplicity: Quick setup, minimal learning curve
Where Shopify Excels:
- Omnichannel: Best-in-class online/offline unification
- Online store: Superior eCommerce capabilities
- Customer profiles: Unified across all channels
- Marketing: Email, social, and advertising tools
- Apps: 8,000+ apps to extend functionality
5. Hardware Options
Square Hardware:
- Square Reader (magstripe): Free with account
- Square Reader (contactless + chip): $59
- Square Stand (iPad): $149
- Square Terminal: $299
- Square Register: $799 (built-in display)
Shopify Hardware:
- Shopify POS Go: $399 (handheld, all-in-one)
- Card Reader: $49
- Retail Kit bundles: $149-$459
- Works with iPad, iPhone
- Tap to Pay on iPhone (no hardware needed)
Who Should Choose Square?
- Businesses wanting to start with zero monthly costs
- Retailers who do not prioritize online selling
- Businesses offering services (appointments, classes)
- Entrepreneurs testing business ideas
- Restaurants or food businesses
- Pop-up shops and market vendors
Who Should Choose Shopify POS?
- Retailers with existing Shopify online stores
- Businesses where online equals or exceeds in-store sales
- Brands wanting unified customer experience
- Retailers offering buy online, pick up in store
- Fashion, lifestyle, and DTC brands
- Growing retailers planning omnichannel expansion
Square vs Shopify FAQ
Which is cheaper for small retailers?
Square free tier beats any Shopify plan for cost. However, if you already pay for Shopify eCommerce, adding POS is incremental. Calculate your total needs including online.
Can I switch between them easily?
Product and customer data can be exported from either. Square to Shopify is common for retailers growing into eCommerce. The reverse (Shopify to Square) happens when businesses simplify.
Which has better inventory management?
Both handle basic inventory well. Shopify has stronger inventory tracking across channels (knowing which location has stock). Square Plus adds advanced inventory features for retail.
Can I use Square for my Shopify store?
Technically possible but not recommended. You would have two separate inventories and systems. The value of Shopify POS is unified operations.
Which processes payments better?
Both have similar in-person rates (2.6% + $0.10). Square has established reputation for payment reliability. Shopify Payments is powered by Stripe with similar reliability.
Our Bottom Line
Choose Square if you want to start free and add capabilities as you grow. It is the most versatile option that works whether you sell products, food, or services.
Choose Shopify POS if eCommerce is central to your strategy. The unified inventory, customer profiles, and seamless omnichannel experience justify the cost for serious online sellers.
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