Contactless payments here to stay thanks to COVID-19, Cook says

Posted:
in General Discussion edited October 2020
Apple CEO Tim Cook on an earnings call Thursday said the coronavirus gave Apple Pay and other contactless solutions a boost, adding that the pandemic fundamentally changes consumers' approach to payments.

The Apple Card
The Apple Card


During Apple's fourth quarter earnings call, Cook touted financial success built on double-digit gains in every major hardware category except for iPhone. Cook also praised the company's digital services, a category that includes payment products like Apple Pay and Apple Card.

"We continue to be very enthusiastic about the whole payment services area," Cook said. "Apple Card is is doing well and Apple Pay is doing exceptionally well, as you can imagine in this environment people are less [willing] to hand over a card."

Apple does not view the change as temporary.

"This contactless payment has taken on a different level of adoption. And that I think we'll never go back," Cook said on the call. "The U.S. has been lagging a bit in contactless payment and I think that the pandemic may well [have] put the U.S. on a different trajectory there and so we are very bullish about this area, and view that there there are more things that Apple can do in this space. And, and so it's an area of great interest to us."

The Apple Card, created in conjunction with Goldman Sachs, made its debut in August of 2019. Apple Pay arrived in 2014.

Apple, in the quarter, posted earnings of $64.7 billion, a one percent again over the same period last year. Most segments posted double-digit gains, although the iPhone did not, mostly because the new iPhone line in 2019 launched during the third quarter, while that launch in 2020 was delayed until the fourth.

In addition, Apple's Services, of which Apple Card is a part, has hit a new high of 585 million subscriptions, a number that is expected to hit 600 million by year's end, the company said. The segment also hit a record of $14 billion in revenue, Apple said.

Comments

  • Reply 1 of 10
    Captain Obvious. 

    They’re more convenient. Flu or no flu. 
  • Reply 2 of 10
    Apple Pay is simply a marvelous experience every time I use it and I use it daily.
    JinTech
  • Reply 3 of 10
    Plus the Card bill paying experience is far superior to all of the others. 
  • Reply 4 of 10
    Great, now bring back Touch ID to next year’s iPhone. 
    sc01
  • Reply 5 of 10
    wood1208wood1208 Posts: 2,913member
    Once I started using ApplePay, It has become habit of using it every where allowed. Costco inside warehouse had ApplePay but now at their gas pumps offering contact less laser membership reader and payment. COVID19 has definitely accelerated contact less payment.
    edited October 2020
  • Reply 6 of 10
    Apple Pay is shit if you are wearing mask and there’s no Touch ID.
    edited October 2020
  • Reply 7 of 10
    Great, now bring back Touch ID to next year’s iPhone. 
    Exactly! Finally one honest opinion.
  • Reply 8 of 10
    JinTechJinTech Posts: 1,022member
    sc01 said:
    Apple Pay is shit if you are wearing mask and there’s no Touch ID.
    Unless you have an Apple Watch then it's an absolute breeze and joy to use.
    spheric
  • Reply 9 of 10
    macguimacgui Posts: 2,358member
    I used my Watch and Apple Pay just yesterday at Costco. My only complaint is that Costco doesn't accept MasterCard so I have to select an alternate card instead of my default Apple Card.

    Ok, one more complaint is that none of the Costcos near me have Apple Pay at the pumps.

    Captain Obvious. 

    They’re more convenient. Flu or no flu. 
    Admiral Obvious.

    Adoption of Apple Pay and contact payments in general has been slow. Not having to handle nearly as much cash as in pre-pandemic days is a boon for every one. The US has been very slow to it, and Apple Pay still isn't everywhere contact payments are accepted.

    sc01 said:
    Great, now bring back Touch ID to next year’s iPhone. 
    Exactly! Finally one honest opinion.

    Another honest opinion: that's a dumbass post you made there.




  • Reply 10 of 10
    I for one, am very pleased with the ability to use Apple Pay in more places more frequently.  Even my local gas pumps finally upgraded to Apple Pay.  Course, I am not filling up weekly like I used to.  More like every couple of months or gasp... longer...  If this turns out to be the new way of things, I may have to rethink my car ownership entirely. That this point I go take a drive now and then merely to ensure the battery isn't dying.  
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