Apple’s strategy with Apple Card

Created by Apple and designed for iPhone, Apple Card brings together Apple’s hardware, software and services to transform the entire credit card experience.
Created by Apple and designed for iPhone, Apple Card brings together Apple’s hardware, software and services to transform the entire credit card experience.

Ben Bajarin has had the opportunity to use the Apple Card as a part of a private invite/preview since last Friday.

Ben Bajarin for Tech.pinions:

Casual observers of Apple will remark that releasing a credit card is out of character from Apple. I disagree… In my view, and I’ve written extensively on this, Apple is a customer experience company. If you view Apple as a company, who strives to look for product opportunities where customer experience is lacking, and they have an opportunity to solve some pain points for consumers, then any product category is not off-limits.

From my own usage, having an Apple Card made me more intentional about using Apple Pay. While I was already a heavy Apple Pay user and the vast majority of places I shop take Apple Pay, I still did not use it 100% of the time. For whatever reason, at certain stores that accept Apple Pay, I still pulled out my credit card. Perhaps just a creature of habit. All of that changed once I got Apple Card.

I’ve also moved all my Apple iTunes purchases, and subscriptions over to Apple Card to get the 3% on the >$100 a year I spend on app purchases, and subscriptions facilitated by Apple. Here again, the psychological benefit comes through as I started thinking about moving all my subscriptions, even ones I’ve set up outside the App Store, to go through the App Store so I can get 3% on a range of other subscriptions to news or media services. All of this is designed to incentivize me to go through Apple as the marketplace for commerce and services as much as possible.

MacDailyNews Take: Yes, Apple is finally really incentivizing the use of Apple Pay. What a great idea! 😉

Apple, give us a reason to use Apple Pay beyond looking like tech dorks in front of the line at the register. What’s the incentive to use Apple Pay? There is none besides looking like a flaming nerd. As if Apple doesn’t have any money. That, inexplicably, is how they approach Apple Pay. Hello, Tim? Eddy? Talk to some people who actually go to stores and shop for things, please.

Incentivize its use! Give Apple Pay users a percentage of every dollar spent via Apple Pay to spend at Apple Stores. Something. Anything! Get people used to using it first. Sheesh. It’s really not that difficult. It really isn’t.MacDailyNews, August 6, 2015

Imagine at the special media event to introduce the next-gen iPhone next month, Apple CEO Tim Cook says something like this:

“And, of course, the new iPhone works with Apple Pay and, starting today, for every $100 you spend using Apple Pay, you get $1 off at Apple retail and online stores. So, spend $100 on groceries using Apple Pay, you get $1. Spend $300 on a plane ticket using the Delta app, you get $3. Use Apple Pay in your ExxonMobil Speedpass+ app to buy your gas. It all adds up! By the end of the year, you’ll likely have quite a discount on your next iPad, Mac, or iPhone!”

Would you use Apple Pay more if Tim Cook said something like that? We know we certainly would. — MacDailyNews, August 5, 2016

There is no better way to pay than with Apple Watch and Apple Pay. 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. — MacDailyNews, November 30, 2016


  1. Aren’t they giving immediate cash back too? I’m guessing that will be credited to Apple Cash… which will result in more people sending/receiving money since it will automatically be funded.. which over time will reduce the usage of credit card networks,… and eventually work entirely entirely within apple ecosystem.

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