“Apple Pay might just be the one thing to bring mobile payments to mainstream adoption. Google Wallet failed to gain traction among consumers. The best efforts of Square and PayPal did not change the fact that mobile payments still trails credit card transactions,” Alcaraz Research writes for Seeking Alpha. “However, the devotion of the iLoyalists will likely help Apple Pay avoid the same $300-million flop of Google Wallet.”
“More retailers will likely join the Apple Pay bandwagon because Apple’s new phones are now compatible with Near Field Communication,” Alcaraz Research writes. “Another reason why Apple Pay will gain more third-party support is that retailers know very well that the iPhone crowd is full of affluent people.”
“Apple’s two major advantages over Google Wallet are better security/privacy features and a guaranteed bigger number of big-spending users. Brand loyalty among Apple iPhone devotees will deliver record sales for the iPhone 6. Consequently, Apple Pay is likely to gain more users than Google Wallet ever did,” Alcaraz Research writes. “Achieving critical mass of users is necessary to make Apple Pay a profitable venture. The more iPhone 6 units sold, the more people will be using Apple Pay. It is not far-fetched to estimate that Apple Pay will have around 20 million active U.S. users within 12 months.”
Read more in the full article here.
MacDailyNews Take: Apple Pay’s security is unmatched. Attention retailers: If you do not have Apple Pay, you do not have us as customers. We will go elsewhere.
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