Retailers report strong customer interest in Apple Pay after first weeks of service
It appears that Apple Pay is off to a good start as participating retailers nationwide report the service is generating high levels of interest from customers looking to try it out, something heretofore unheard of in the mobile wallet space.
According to The New York Times, initial Apple Pay transaction statistics from major retailers across the U.S. may not be indicative of booming adoption rates, but the numbers indicate interest is substantially higher than previous rollouts from the likes of Google. The publication reports Apple Pay is even creating a tailwind for competitors by raising awareness of mobile payment options.
It was reported earlier this week that Apple Pay accounts for one percent of all transactions at upscale grocer Whole Foods, and the Times now says the chain has logged more than 150,000 iPhone-based transactions. Similarly, McDonald's says Apple Pay makes up half of its "tap-to-pay" transactions, while Walgreens has seen digital wallet buys double since Apple Pay launched toward the end of October.
Some retailers are not seeing the same adoption rates, however. For example, Toys "R" Us said in-store mobile payments has risen only slightly over the past three weeks, speculating that most customers are still adapting to the new technology.
According to Softcard, a mobile NFC-based joint venture backed by Verizon, AT&T and T-Mobile, the rollout of Apple Pay has increased consumer interest in the overall mobile payments sector. CEO Michael Abbott said Softcard app downloads have spiked and more transactions are being conducted by existing users. He attributes the boost to Apple's decision to use NFC technology, meaning terminals compatible with Apple Pay are likely to work with Softcard.
Abbott said that because of Apple Pay, other companies are looking to incorporate NFC into their own proprietary solutions.
Today's report lends concrete data to Apple Pay adoption, offering welcome perspective on the system's rollout. Previously, Apple CEO Tim Cook said over one million users activated credit cards through Apple Pay in the first 72 hours after launch.
Apple is slowly adding to its list of stores that accept Apple Pay, the most recent being Winn-Dixie and Bi-Lo.
According to The New York Times, initial Apple Pay transaction statistics from major retailers across the U.S. may not be indicative of booming adoption rates, but the numbers indicate interest is substantially higher than previous rollouts from the likes of Google. The publication reports Apple Pay is even creating a tailwind for competitors by raising awareness of mobile payment options.
It was reported earlier this week that Apple Pay accounts for one percent of all transactions at upscale grocer Whole Foods, and the Times now says the chain has logged more than 150,000 iPhone-based transactions. Similarly, McDonald's says Apple Pay makes up half of its "tap-to-pay" transactions, while Walgreens has seen digital wallet buys double since Apple Pay launched toward the end of October.
Some retailers are not seeing the same adoption rates, however. For example, Toys "R" Us said in-store mobile payments has risen only slightly over the past three weeks, speculating that most customers are still adapting to the new technology.
According to Softcard, a mobile NFC-based joint venture backed by Verizon, AT&T and T-Mobile, the rollout of Apple Pay has increased consumer interest in the overall mobile payments sector. CEO Michael Abbott said Softcard app downloads have spiked and more transactions are being conducted by existing users. He attributes the boost to Apple's decision to use NFC technology, meaning terminals compatible with Apple Pay are likely to work with Softcard.
Abbott said that because of Apple Pay, other companies are looking to incorporate NFC into their own proprietary solutions.
Today's report lends concrete data to Apple Pay adoption, offering welcome perspective on the system's rollout. Previously, Apple CEO Tim Cook said over one million users activated credit cards through Apple Pay in the first 72 hours after launch.
Apple is slowly adding to its list of stores that accept Apple Pay, the most recent being Winn-Dixie and Bi-Lo.
Comments
“How many iPhone 6 have sold? And how many of them are being used with Apple Pay? Yeesh, in two years we may have lost a fair share of that market... hmm...”
Par for the course with Apple. I'd be surprised if it didn't. Remember the huge boost in unit sales and profits Blackberry née Research in Motion received after the iPhone hit the market.
I'm surprised by this number. I would have expected it to be higher, but to think that about 50% of all NFC-based payments are by a device that's
been on the market for 2 monthsonly had mobile payments for 3 weeks compared to the years NFC-based devices have been on the market in the US.My guess is that people that typically own new iPhones are likely to save a lot of time and money by buying such items online.
I am surprised we're not seeing more info on merchant adoption of NFC. Still stating 220k locations on apple.com is not how I'd go.
Apple is slowly adding to its list of stores that accept Apple Pay, the most recent being Winn-Dixie and Bi-Lo.[/quote]
LOL! Slowly? 3 weeks in and we're calling the expansion "slow"? How many new retailers per week would be required to say that they are "quickly" adding to the list of stores?
They are a CurrentC member but after their highly publicized breach that apparently lasted 6 months I wonder if they are supporting ?Pay to help their image.
Best Buy will be counting on Apple products for a significant portion of their upcoming Holiday sales. I can understand shopping there for their Black Friday "specials", but beyond that, if you are paying full retail for a Mac Book, iPad, Apple TV, iPhone, etc., please DO NOT patronize Best Buy! Instead go elsewhere, especially to an Apple Store.
Please don't patronize a store that specifically blocks this important iPhone 6 feature. And whenever possible, patronize the stores that DO support Apple Pay such as McDonalds, Subway, Walgreens, et al, and ask the other stores managers to communicate to their franchises that you want the fingerprint security features afforded through Apple Pay.
Thought about using it there but I'm guessing that means you can't have the receipt emailed to you? Unless perhaps you enter the email each time? Which would less convenient than just swiping the card?
According to The New York Times, initial Apple Pay transaction statistics from major retailers across the U.S. may not be indicative of booming adoption rates
Yes it is.
There are booming adoption rates and they can tell simply because of transaction statistics from major retailers across the U.S.
If it was not being widely adopted, the transaction statistics would not be so dramatically increased.
However, some retailers, such as Toys-R-Us, have not seen such a dramatic increase as others.
Do you want fries and a drink with your McPhone?
Apple pay where i can. Amex else where
The important thing is to express interest to NON-participating retailers. I've made it a habit to ask every point of purchase I use if they accept ApplePay, whether I know they don't or not.
After watching that unfold in line a few times now, make sure you channel your enthusiasm in the right place. Badgering the $9/hr cashier gets you nowhere. I assure you they don't even have a large empty bookcase to showcase you the lack of f@$ks given about you wanting Apple Pay. They have no say or influence. Take it up with customer service or a manager. Heckling the powerless lowest member on the totem pole is just a waste of everyone's time.
My iPhone 6 should arrive around Nov. 20th, looking forward to loading the Quicksilver Card and using ApplePay shortly thereafter.
%u2013 but I still have to punch in "Yes" or "No" to all kinds of come-ons from Walgreens on their tap-to-pay touch screen ("Do you want to contribute money to this charity?" "How about that charity?" 'Are you a member of our Walgreens Rewards Program? If so, punch in your telephone number" etc. etc. etc.)
And because their touch screen sucks, every one of those buttons has to be pressed and wiggled three or four times before they register a response.
Ends up taking just about as much time as it always has.
Apple Pay was supposed to make the whole process take two seconds. Instead the merchants may just see it as an excuse to clog up the check-out process with even more time-wasting solicitations.
I simply ask if they take ApplePay yet, and if they say no I use my card. Not all $9 an hour cashiers are brain dead and the word goes up the chain if enough people ask.. You seem mighty presumptuous.
Bottom line: Whatever is most convenient for me to make the purchase I want at any given time.
Realization I: ?Pay is a success and nothing I specifically do will change its near universal adoption in the US.
Realization II: As [@]thataveragejoe[/@] states, badgering retail employees making less than a living wage means nothing to the execs. You might as well go harass a migrant farm worker because your frozen peas tasted mushy.
Remember, of course, that this is perfectly legal, and the lawsuit against them is invalid.
Agree. I'm buying my next iPhone from McDonlads
I used ?Pay 3 times at McDonalds and had trouble 2 out of those 3. Each time the manager had to come out and help. Apparently there is some kind of button they need to press on the register to finish the transaction and the employees were not trained, but the manager knew.
Kind of annoying to stand there holding out your phone trying to get it to work while people behind you are staring while they're looking for the manager. I felt like one of those old ladies holding up the line trying to use a check. Hopefully everyone will be familiar with the process soon.
The new chip cards require that they be inserted in the reader before the start of the transaction and remain in the reader until the end. (Presumably to transmit the intimate details of the transaction to the card issuer - what are we buying.)
The problem is that most people decide what card to use depending on the total of the transaction - like when grocery shopping. I know I do.