“In addition to the App Store and Apple Music, Apple Pay is turning out to be another promising product for the [Services] segment. Transactions on Apple Pay were up 500% on a year-over-year basis in September 2016,” Puneet Sikka writes for Market Realist. “In fact, in September, Apple completed more Apple Pay transactions than in all of fiscal 2015.”
“Along with growing its transaction volume, Apple is also trying to increase the number of Apple Pay locations,” Sikka writes. “Apple recently launched its Apple Pay service in a number of markets such as Japan, Russia, and New Zealand.”
“Early this year, Apple also launched its Apple Pay service in China, which the company believes could be the biggest market for Apple Pay,” Sikka writes. “The research company eMarketer estimates that the US mobile payment market could triple in 2016, growing from ~$8.7 billion in 2015 to $27.1 billion in 2016.”
Read more in the full article here.
MacDailyNews Take: Two simple things could turbocharge Apple Pay usage: Better (or actual) signage at the point of sale and incentives for using Apple Pay. Imagine Apple Pay usage if Apple simply offered $1 to spend at the Apple Store for every hundred spent via Apple Pay.
SEE ALSO:
Apple Pay messaging at point-of-sale drives 135% increase in mobile payments usage – November 21, 2016
Apple Pay at two years: Not much to celebrate – yet – October 20, 2016
Apple Pay’s frequency of usage is putrid – August 3, 2016
Apple Pay and wannabes must offer perks to grow – December 14, 2015
Starbucks, KFC, and Chili’s to accept Apple Pay this year – October 8, 2015
Barclays to bring Apple Pay to the UK in early 2016 – October 7, 2015
Some Best Buy stores are now accepting Apple Pay – September 18, 2015
MCX CEO gone a day after Apple Pay lands Best Buy – April 28, 2015
Best Buy capitulates, to accept Apple Pay despite CurrentC allegiance – April 27, 2015
Major retailers see Apple Pay wave – November 17, 2014
In only 3 weeks, Apple Pay is changing how consumers pay – November 17, 2014
Boycott CVS and Rite Aid – October 27, 2014
Bad business: CVS and Rite Aid antagonize their most well-heeled customers by blocking Apple Pay – October 27, 2014
CVS stores reportedly disabling NFC to shut down Apple Pay – October 25, 2014
iPhone users earn significantly more than those who settle for Android phones – October 8, 2014
Yet more proof that Android is for poor people – June 27, 2014
More proof that Android is for poor people – May 13, 2014
Apple’s iOS dominates in richer countries, Android in poorer regions – March 25, 2014
Twitter heat map shows iPhone use by the affluent, Android by the poor – June 20, 2013
No need for incentives for me. Apple pay on Apple watch is sooooo convenient. I use Apple watch with nfc-enabled pos terminals for almost all my purchases. Non-nfc terminals are getting rare here in Switzerland.
Pay on the watch is awesome. Took me a moment to figure it out, as there’s a delay, sometimes up to 5 seconds, when putting the watch to the terminal (screen to screen is the other secret). Now, it’s all I use when permitted.
Came across my first Pay With Apple Pay button on a website. So I tried it. It required me to double press the button on my Watch. End up failing, but it looked cool. I hope I get to try it again soon.
In my office, we have 11 people. 10 have iPhones (the lone Android user isn’t allowed Apple hardware by her Apple-hating husband…). Out of those ten, six have iPhone 6 and later (capable of ApplePay). Out of those six, I’m the only one who has actually set up and uses ApplePay.
When I mention it to the others, they show mild interest in it, but ultimately never bother doing anything about it. For the most part, the perception is that it is just too much hassle to set it up, with no obvious benefit (other than slightly shorter check-out time). I have had to avoid sounding like a pathetic fanboi explaining the convenience (having one hand free for other things when single-handedly using the phone vs. pulling a card out of a wallet), or the security (made-up number, secure enclave).
MDN is correct. The only way to increase ApplePay usage is to aggressively promote it, and to offer incentives for its usage.
In markets where “tap and go” is enabled for chip-based cards there is no discernible advantage for Apple Pay. In fact it’s more of a nuisance: i often inadvertently activate it when I mean to open the phone. I am going to remove it altogether – I just never use it.
I did see someone use it in Starbucks here in Spain a few days ago. Probably an American visiting – Europe is android country still by a long way.
Here in Europe contactless transactions are prevalent but in many areas there are still thriving small shops that aren’t interested in jumping to the latest fad. The merchant needs a reason to change, and Apple hasn’t offered one.
It would be nice to not have to carry coin, card, & mobile but you lead a very dull life if any one of those payment methods covers all your needs. Get out more, people!
Growing at a rapid rate is easy when you are still a tiny number. If Apple ever wants to be the preferred payment system, it really need to get off its fat ass and educate users what makes Apple Pay different and how to use it. Horrible marketing effort so far.
For some reason here in Canada you always have to answer question: credit or debit..
When I have CC in my hand they see it and don’t ask. When I use Iphone I have to say credit and that bothers me 🙂
They need some sort of icon or sticker wherever Apple Pay is active. I would use it if I knew it was available.