American Express agreed to acquire Tock for $400 million from Squarespace, adding a service that helps customers book dining and other hard-to-get reservations at exclusive venues.

American Express agreed to acquire Tock for $400 million from Squarespace, adding a service that helps customers book dining and other hard-to-get reservations at exclusive venues.

American Express (AXP) has made a strategic move in the dining industry by acquiring Tock, a leading reservation platform owned by e-commerce giant Squarespace (SQSP), for a reported $400 million [1]. Tock enables customers to book hard-to-get reservations at exclusive venues, offering dynamic pricing and takeout and delivery options.

Squarespace, which has been steadily expanding its offerings since the acquisition of appointment scheduling platform Acuity Scheduling and design app Unfold in 2019, saw potential in Tock's capabilities, especially during the pandemic that forced many dining establishments to adapt to takeout and delivery services [1]. Nick Kokonas, the co-founder and co-owner of the Alinea Group in Chicago, launched Tock in 2014 to manage reservations at his renowned restaurant.

AXP's acquisition of Tock is expected to enhance the dining experience for American Express cardholders, as the platform allows for seamless reservation bookings, dynamic pricing, and contactless payments. Furthermore, the acquisition aligns with AXP's focus on digital innovation, as the pandemic has accelerated the adoption of digital solutions in various industries, including dining.

Squarespace founder and CEO Anthony Casalena views the restaurant and hospitality market as a significant and growing e-commerce sector, hoping to expand Tock's reach beyond its current footprint of over 7,000 operators in 200 cities across 30 countries [1].

References:
[1] Bret Thorn. Squarespace Buys Reservations System Tock for $400 Million. Restaurant Hospitality. 12 May 2021. https://www.nrn.com/news/ecommerce-platform-squarespace-buys-reservations-system-tock-more-400-million