A public reluctant to use Apple Pay is being enticed by the Apple Card

Posted:
in iPhone
Apple Card is a highly-attractive proposition for existing iPhone owners, and even those users reluctant to use a digital payments service are having second thoughts now that there the Apple Card, suggests a new survey.

Apple CEO Tim Cook introducing Apple Card
Apple CEO Tim Cook introducing Apple Card


Apple's foray into financial services, announced on Monday, could have a considerable audience of potential users in its existing iPhone customer base. Apple Card, which primarily operates on an iPhone and via Apple Pay, is apparently popular with iPhone owners, the primary target audience for the service.

A survey by Business Insider of 1,022 iPhone users asking if they were interested in applying for an Apple Card had 42 percent of respondents claiming they were "extremely interested, with another 17 percent being "very interested," and 13 percent "interested." The vast majority advised some level of interest, with only 15 percent admitting to not being interested in Apple Card at all.

The high amount of interest, especially on the more positive end of the scale, indicates Apple Card is an appealing prospect to its target audience.

In another question asking if users would be more likely to pay with a mobile payment system if they had Apple Card, similar positive results were revealed. 49 percent said they would be "much more likely" to use functions like Apple Pay, while 20 percent were "somewhat more likely," and 11 percent "a little more likely."

Just 13 percent claimed they would be "no more likely" to use Apple Pay if they had Apple Card, and 7 percent admitted they were not interested in Apple Pay at all.

As customers signing up to Apple Card would be able to use it via Apple Pay on the same day as being accepted without having to wait for the physical card component, it is expected Apple Card will help boost Apple Pay usage over time.




In terms of what customers find attractive in Apple Card, 31 percent felt the lack of fees was the best feature. As announced on Monday, there will not be any late, annual, international, or overlimit fees for the card, nor penalty interest for going over spending limits.

Tiered rewards is also an important element to 23 percent of those surveyed, with a further 9 percent singling out the Daily Cash rewards redemption. Customers will be provided a percentage of their purchases to an Apple Pay Cash account every day, which can be used to pay off balances or used for other transactions.

The physical card supplied to customers is also quite popular, with 18 percent finding it to be the most attractive feature. The card will be unusual in that it will be made from titanium, have no visible card number, CVV security code, expiration date, nor signature.

Despite the deep integration with the Wallet app, the management features of the card are less of a selling point than first thought. Only 7 percent thought the card's privacy and security features were the most important part, while 4 percent considered the automatic categorization of purchases for easier tracking was the best feature.

Produced in partnership with Goldman Sachs, Apple will be making Apple Card available to qualified customers in the United States this summer. A rollout to other countries is also planned for after the US launch.
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Comments

  • Reply 1 of 52
    GeorgeBMacGeorgeBMac Posts: 4,493member
    My friend has no trouble sticking her debit card into a gas pump (the largest source of scanners) -- but refuses to use ApplePay because she thinks it is too risky.   Nothing I have been able to say seems to convince her otherwise.

    Apple has a mountain to climb.  
    ... She probably won't be convinced till her kids start using it and she looks old fashioned and foolish.
    danielchowcornchiptjwolfchasmStrangeDayswatto_cobra
  • Reply 2 of 52
    matrix077matrix077 Posts: 641member
    Like I said, a big missed opportunity users can’t apply for one right away after the keynote. 

    I’ll get one immediately when I can. It ticks all the boxes for me. 
    edited March 29 DAalsethlostkiwiwatto_cobra
  • Reply 3 of 52
    I had only used Apple Pay once because I accidentally left my wallet at home and I needed gas badly at that moment. Credit cards are still my go-to payment method even my "Wallet" app has all the cards in there. This is more of a habit that I'm used to. Not to mention when pumping gas, who wants to walk all the way in the store just to use Apple Pay when the pump accepts only cards.
    space2001sportyguy209
  • Reply 4 of 52
    My friend has no trouble sticking her debit card into a gas pump (the largest source of scanners) -- but refuses to use ApplePay because she thinks it is too risky.   Nothing I have been able to say seems to convince her otherwise.

    Apple has a mountain to climb.  
    ... She probably won't be convinced till her kids start using it and she looks old fashioned and foolish.
    Not only that. Many merchants mix up the idea that their NFC device would not take ApplePay, because they think that it is something that they have to get from Apple. In fact many merchants are not aware that their device can process contactless transactions. The thing is that where ever there is a contactless point of sale device, transactions through Apple, Android and Samsung Pay can be processed but many consumers and merchants aren’t aware. Also most people are looking for that Apple Pay sticker before they think to use it. But a contactless POS device is a contactless device. It doesn’t need a sticker from Apple, Android, or Samsung.
    ravnorodomcornchiprob53GeorgeBMacwatto_cobra
  • Reply 5 of 52
    DAalsethDAalseth Posts: 626member
    matrix077 said:
    Like I said, a big missed opportunity users can’t apply for one right away after the keynote. 

    I’ll get one immediately when I can. It ticks all the boxes for me. 
    I could not agree more. I'd have one today if I could. Unfortunately who knows when it will come to Canada. ApplePay itself got to England, Australia, and some parts of Europe, before it came to Canada. I'm not holding my breath.
    greg uvanwatto_cobra
  • Reply 6 of 52
    cornchipcornchip Posts: 1,313member
    My friend has no trouble sticking her debit card into a gas pump (the largest source of scanners) -- but refuses to use ApplePay because she thinks it is too risky.   Nothing I have been able to say seems to convince her otherwise.

    Apple has a mountain to climb.  
    ... She probably won't be convinced till her kids start using it and she looks old fashioned and foolish.
    Not only that. Many merchants mix up the idea that their NFC device would not take ApplePay, because they think that it is something that they have to get from Apple. In fact many merchants are not aware that their device can process contactless transactions. The thing is that where ever there is a contactless point of sale device, transactions through Apple, Android and Samsung Pay can be processed but many consumers and merchants aren’t aware. Also most people are looking for that Apple Pay sticker before they think to use it. But a contactless POS device is a contactless device. It doesn’t need a sticker from Apple, Android, or Samsung.

    I for one, love Apple Pay. Weirdly, all my hipster co-workers (all of whom are iPhone users) think Apple Pay is "for old people". I don't get it. 

    I wish I had kept track of how many times the person behind the counter exclaimed something to the effect "I didn't even know our system did that!". It is becoming less frequent though. It will catch on eventually. Like Steve said "death will take care of that.".
    patchythepirateGeorgeBMaccyberzombiewatto_cobra
  • Reply 7 of 52
     Only 7 percent thought the card's privacy and security features were the most important part
    I just shake my head at this, no matter how many security breaches at Target, Facebook, etc. and people’s personal experiences of their credit cards numbers being stolen, people deep down don’t care about identity theft. I’ll never forget one post by a AppleInsider forum member who didn't want to use Apple Pay because he didn’t want to turn on passcode. What a whining idiot, I hope he doesn’t wake up one day to find out someone withdrew his entire 401k into an offshore account.
    cornchippatchythepirateGeorgeBMacwatto_cobra
  • Reply 8 of 52
    trumptmantrumptman Posts: 16,455member
    I love Apple Pay and use it whenever I can. I keep my bank card attached to my iPhone via a stick on pocket. I hate taking the card out and using it. I prefer just using Apple Pay.

    That said.... I don't see why things like PINS or signatures should still be required when using Apple Pay. It takes away from the magic and seems antiquated and stupid. I mean if I've used my fingerprint or face to prove I am me, what the hell is a four digit number of signature that no one looks at or that isn't mine anyway (since it is on a 3 inch digital surface) would prove about me being me.

    I wish there was some way Apple could force retailers to remove the requirement for a PIN or signature when using Apple Pay. That would dramatically increase adoption in my opinion. Watching people in front of you wave a watch or phone and then just move on while you take out a hunk of plastic and enter a five digit PIN are dramatically different experiences. Waving the watch and then waiting to enter the same PIN....not so dramatically different.
    space2001patchythepiratewatto_cobra
  • Reply 9 of 52
    matrix077 said:
    Like I said, a big missed opportunity users can’t apply for one right away after the keynote. 

    I’ll get one immediately when I can. It ticks all the boxes for me. 
    I don’t think there’s going to be any missed sales opportunities on Apple’s part. When iPhone users like a new product announcement, they’ll buy whenever it’s available. After all, the first iPhone wasn’t available when Jobs first introduced it and sales went okay.
    watto_cobra
  • Reply 10 of 52
    tjwolftjwolf Posts: 275member
    the monk said:
     Only 7 percent thought the card's privacy and security features were the most important part
    I just shake my head at this, no matter how many security breaches at Target, Facebook, etc. and people’s personal experiences of their credit cards numbers being stolen, people deep down don’t care about identity theft. I’ll never forget one post by a AppleInsider forum member who didn't want to use Apple Pay because he didn’t want to turn on passcode. What a whining idiot, I hope he doesn’t wake up one day to find out someone withdrew his entire 401k into an offshore account.
    That 7 percent relates to the Apple Card, not ApplePay itself.  To be honest, the Apple Card doesn't really add all that much security over other credit cards - pretty much just "security by obscurity" (not printing card #, expiration date, and CVV on the physical card).  Every credit card added to Apple Wallet enjoys the same increased ApplePay security.
    cornchipwatto_cobra
  • Reply 11 of 52
    cornchipcornchip Posts: 1,313member
    trumptman said:

    That said.... I don't see why things like PINS or signatures should still be required when using Apple Pay. 

    I have a feeling it's because of the legacy tech that Apple Pay has been shoehorned into. because within those systems Apple Pay is still "run as a 'card'", the system still requires the previously requisite signature or passcode. Those systems aren't smart enough/haven't/can't be/en updated by manufacturers to go "oh this is Apple Pay, we can pass on a PIN", so we still have to do it. 

    Maybe someone has more insider knowledge of how these things work?



    trumptman said:

    I wish there was some way Apple could force retailers to remove the requirement for a PIN or signature when using Apple Pay. That would dramatically increase adoption in my opinion. Watching people in front of you wave a watch or phone and then just move on while you take out a hunk of plastic and enter a five digit PIN are dramatically different experiences. Waving the watch and then waiting to enter the same PIN....not so dramatically different. 


    People probably just think if you don't have to enter a PIN or sign, it's less secure...


    edited March 29 watto_cobra
  • Reply 12 of 52
    rob53rob53 Posts: 2,032member
    trumptman said:
    I love Apple Pay and use it whenever I can. I keep my bank card attached to my iPhone via a stick on pocket. I hate taking the card out and using it. I prefer just using Apple Pay.

    That said.... I don't see why things like PINS or signatures should still be required when using Apple Pay. It takes away from the magic and seems antiquated and stupid. I mean if I've used my fingerprint or face to prove I am me, what the hell is a four digit number of signature that no one looks at or that isn't mine anyway (since it is on a 3 inch digital surface) would prove about me being me.

    I wish there was some way Apple could force retailers to remove the requirement for a PIN or signature when using Apple Pay. That would dramatically increase adoption in my opinion. Watching people in front of you wave a watch or phone and then just move on while you take out a hunk of plastic and enter a five digit PIN are dramatically different experiences. Waving the watch and then waiting to enter the same PIN....not so dramatically different.
    I believe signatures might still be required by some POS terminals if the purchase price is above the threshold required by the bank holding the card. Even so, using a scribble is good 99% of the time because the only time a cashier even looked at my signature on a credit card was at the USPS. Nobody else even looks at them, especially at self-service checkouts. They are unnecessary because no cashier is trained to accurately compare signatures. 

    I still see POS terminals in use that don't take Apple Pay or any NFC payment system and most terminals that do, don't have the feature properly marked ahead of time. The best POS terminals have the payment types allowed on their "home" screen so you know while your items are being processed whether you can use Apple Pay or not. It makes me mad when I have to ask and they say it can be used but they haven't even put a sticker (which they can get from Apple for free) on their stupid terminal to inform buyers. 
    tokyojimuwatto_cobra
  • Reply 13 of 52
    tjwolf said:
    That 7 percent relates to the Apple Card, not ApplePay itself.  To be honest, the Apple Card doesn't really add all that much security over other credit cards - pretty much just "security by obscurity" (not printing card #, expiration date, and CVV on the physical card).  Every credit card added to Apple Wallet enjoys the same increased ApplePay security.
    Yes, but opinion stands. People don’t care about their personal and financial security when it comes to Apple Card or Apple Pay, which the article mentions, is slow to catch on. Yes, security no better than other chip credit cards. Keep in mind, chip credit cards has reduced in-store fraud for stores using chip readers. Online transactions is still a problem, but third party solutions like Albine Burr will help.
    watto_cobra
  • Reply 14 of 52
    kruegdudekruegdude Posts: 340member
    matrix077 said:
    Like I said, a big missed opportunity users can’t apply for one right away after the keynote. 

    I’ll get one immediately when I can. It ticks all the boxes for me. 
    I’m also planning on getting one. It seems to be a better way to consolidate my spend tracking. Time will tell though. But how is this a missed opportunity? Are you saying people would get one now but not when it’s released?
    lostkiwiwatto_cobra
  • Reply 15 of 52
    kruegdudekruegdude Posts: 340member
    cornchip said:
    My friend has no trouble sticking her debit card into a gas pump (the largest source of scanners) -- but refuses to use ApplePay because she thinks it is too risky.   Nothing I have been able to say seems to convince her otherwise.

    Apple has a mountain to climb.  
    ... She probably won't be convinced till her kids start using it and she looks old fashioned and foolish.
    Not only that. Many merchants mix up the idea that their NFC device would not take ApplePay, because they think that it is something that they have to get from Apple. In fact many merchants are not aware that their device can process contactless transactions. The thing is that where ever there is a contactless point of sale device, transactions through Apple, Android and Samsung Pay can be processed but many consumers and merchants aren’t aware. Also most people are looking for that Apple Pay sticker before they think to use it. But a contactless POS device is a contactless device. It doesn’t need a sticker from Apple, Android, or Samsung.

    I for one, love Apple Pay. Weirdly, all my hipster co-workers (all of whom are iPhone users) think Apple Pay is "for old people". I don't get it. 

    I wish I had kept track of how many times the person behind the counter exclaimed something to the effect "I didn't even know our system did that!". It is becoming less frequent though. It will catch on eventually. Like Steve said "death will take care of that.".
    All you need to do is convince one hipster co-worker to use it, the rest will fall in line. 
    GeorgeBMacrusswcornchiplostkiwiwatto_cobra
  • Reply 16 of 52
    kruegdudekruegdude Posts: 340member
    trumptman said:
    I love Apple Pay and use it whenever I can. I keep my bank card attached to my iPhone via a stick on pocket. I hate taking the card out and using it. I prefer just using Apple Pay.

    That said.... I don't see why things like PINS or signatures should still be required when using Apple Pay. It takes away from the magic and seems antiquated and stupid. I mean if I've used my fingerprint or face to prove I am me, what the hell is a four digit number of signature that no one looks at or that isn't mine anyway (since it is on a 3 inch digital surface) would prove about me being me.

    I wish there was some way Apple could force retailers to remove the requirement for a PIN or signature when using Apple Pay. That would dramatically increase adoption in my opinion. Watching people in front of you wave a watch or phone and then just move on while you take out a hunk of plastic and enter a five digit PIN are dramatically different experiences. Waving the watch and then waiting to enter the same PIN....not so dramatically different.
    Signatures and pins are up to the merchant I think. I have run across a number of places that don’t require it although many still do. 
    watto_cobra
  • Reply 17 of 52
    kruegdudekruegdude Posts: 340member
    I do wish AppleInsiderr would fix their commenting system for iPads now I can’t dismiss the keyboard. This JavaScript user experience is horrible. 
    edited March 29 tokyojimuStrangeDayswatto_cobra
  • Reply 18 of 52
    SpamSandwichSpamSandwich Posts: 31,125member
    I had only used Apple Pay once because I accidentally left my wallet at home and I needed gas badly at that moment. Credit cards are still my go-to payment method even my "Wallet" app has all the cards in there. This is more of a habit that I'm used to. Not to mention when pumping gas, who wants to walk all the way in the store just to use Apple Pay when the pump accepts only cards.
    More pumps are being modified to take payments right at the pump, including Apple Pay. This is starting to rollout at Costco gas pumps, for example.
    patchythepirateGeorgeBMaclostkiwiwatto_cobra
  • Reply 19 of 52

    Just 13 percent claimed they would be "no more likely" to use Apple Pay if they had Apple Card, and 7 percent admitted they were not interested in Apple Pay at all.
    Hmm, I would probably fall into the "no more likely" category but that's simply because I'm extremely likely to Apple Pay right now, wherever I can. Having Apple Card won't change that. But the way it's worded makes it sound like 13% of respondents wouldn't really be using Apple Pay very often, especially when the next line is saying how 7% were not interested in Apple Pay at all. That makes me think those 7% are just ill informed.
    watto_cobra
  • Reply 20 of 52
    DAalseth said:
    matrix077 said:
    Like I said, a big missed opportunity users can’t apply for one right away after the keynote. 

    I’ll get one immediately when I can. It ticks all the boxes for me. 
    I could not agree more. I'd have one today if I could. Unfortunately who knows when it will come to Canada. ApplePay itself got to England, Australia, and some parts of Europe, before it came to Canada. I'm not holding my breath.
    I'm in the same boat, being in Canada. I would hop on this in a minute if it were available here. I wanted to use ApplePay so much, that I went out and got an American Express card as that was the first to support ApplePay in Canada. Took another year or so before MasterCard and Visa became available. I use ApplePay, with Apple Watch (my favorite way to use it) every day. It works brilliantly. Groceries, Tim Hortons, etc. The gas pumps have to accept contactless for it to work, but many of them around here do. 
    lostkiwiwatto_cobra
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