The First Month of Apple Pay
Last Thursday marked one month since the release of Apple Pay, and already we’ve seen a huge impact on the world of mobile payments. Besides a few glitches that occurred the first week, like transactions being processed twice, there has been largely positive experiences and reviews around Apple’s latest star product.
By The Numbers
Even though Apple Pay is currently only accepted at a small fraction of all US retailers, those that are signed on have seen incredible adoption rates by their customers. For example, McDonald’s reported that Apple Pay now accounts for 50% of its tap-to-pay transactions. Whole Foods has also seen impressive usage, with 150,000 Apple Pay transactions across its 384 stores in just the first three weeks. Walgreens saw similar positive results, saying that the number of mobile payments has doubled since Apple Pay was launched.
A Rising Tide Lifts All Boats
The benefits of Apple Pay reach beyond just Apple and its shareholders, however. Its competitors like Google Wallet and Softcard have also seen boosts in usage of their products since October 20th. Google Wallet payment transactions are up 50% and the number of new users has doubled in the month. Similarly, Softcard is being downloaded more often by new users, as well as used more often by current customers.
POS systems provider Verifone also predicts that Apple Pay will have very positive effects on their business. The belief is that Apple Pay will usher in a new wave of POS upgrades to support NFC, and Verifone expects sales to grow 9% as a result. That totals $1.9 billion in the fiscal year.
What Does It All Mean?
Basically, Apple has done it again. They’ve taken a product and idea that people have been discussing as a possibility and the “future,” and given us a beautiful solution that people love and want to use. As more people start adopting mobile wallets, we are going to see many changes occurring in the payments sphere, from banks becoming more mobile, to retailers worldwide accepting mobile payments. And, eventually, we will see the extinction of the leather wallet, which will join the ranks of car phones and digital cameras.