Apple Pay continues to grow, now supporting the credit cards that make up 90% of all credit card purchases here in the United States, and Apple is adding new banks by the day.
Apple Pay is really beginning to thrive. While the growth of usage is less than the growth of adaptation – the signs all point to a very bright future for the company who only started their venture in payment solutions publicly earlier in the fall. Apple revealed that the credit cards that were on board with Apple Pay accounted for 90% of all credit card purchases that are made in the United States. However, the good news for Apple Pay doesn’t just stop there. This also comes as the company announces further additions to the list of stores that now support Apple Pay – as well as the addition of 10 banks that would join the Apple Pay network.
Some of the stores included Winn-Dixie a grocery chain in the United States, as well as Staples – an office and tech supplies store. Like many of the ventures Apple takes on, this one is working out in general practice as well. McDonald’s reported that 50% of all of the company’s NFC payments were executed via Apple Pay, and those numbers come as recently as November.
For a product that has been on the market for such a short period of time, and given the amount of time other competitors had to get ahead in the market – it would appear as though Apple is having no trouble keeping up with their competition.
This Friday though, Apple Pay will be making it’s NBA debut as the mobile payment solution will be run for the first time in an NBA arena. The Amway Center – where the Orlando Magic play will be giving shoppers the opportunity to use Apple Pay at concession stands, as well as retail stores inside the facility. As result, the Magic will be running promotions to promote Apple’s mobile payment system within the arena. Their partner will be Chase, who will be providing much of the funding for the venture. This technology, and this payment system being integrated into facilities across the United States could mean a serious pay day for credit card companies and Apple.
Professional sporting events in the United States are consistently viewed as some of the most-expensive places to either attend, or buy varying products – so the more exposure and the more success that Apple Pay has in arenas in the United States would prove beneficial for the company long term.
Rumors suggest though that Apple will not be alone in the mobile payment space for long. Samsung is rumored to be working on a project related to Apple Pay, and some have even suggested that the model would be nearly a carbon copy of what Apple Pay is doing currently. However, it remains to be seen if Samsung is doing that, or if this is just another rumor gone awry.
Even with the great early success though, there is one major roadblock standing in the way of Apple Pay and ultimately becoming a massive success at the mainstream level in most-stores. UBS and many others within the industry argue that Apple won’t win over more merchants until they allow those merchants to “push” deals through to user’s phones who are nearby.
The combined with the lofty expense of upgrading payment terminals – and many are left questioning the positive notes of success that users of Apple Pay have seen to date. As with anything within the retail space – it’s about marketing, more than it’s about ease of shopping experience.