Apple revolutionized smartphone and personal entertainment devices when they introduced the iPhone in 2007. 7 years later they introduced Apple Pay and showed customers and merchants a whole new way to make payments. Today, Apple Pay has over 87 million users worldwide and generates close to $190 billion US dollars of transactions, according to Statista. Yet, many merchants are hesitating to add Apple’s digital wallet service on their apps or online store.
Here are 3 reasons why merchants need to get on board and start adding Apple Pay to further grow their customer base and revenues.
When Apple Pay was introduced in 2014, tokenization was a relatively new term. Today, tokenization is used in a variety of ways by banks to combat the rise of cybercrimes and fraud, and it’s all thanks to Apple for paving the way to this new technology.
Tokenization works by passing payment credit information as an encrypted token where personal data is hidden from the merchant. Typically the only information a merchant collects about an Apple Pay transaction is the date of purchase and the amount. Tokenization gives consumers piece of mind that the information being shared won’t be compromised by hackers and fraudsters since sensitive information is hidden. Tokenization is the leading driver for consumers to use Apple Pay more frequently than paying with their credit card.
The main drivers for Apple Pay’s growth is due in large part to the availability of it on nearly every Apple device. Users with an iPhone, iPad, Apple Watch and MacBook can now make a purchase using Apple Pay. Apple is committed to growing their digital wallet service by partnering with new banks on a quarterly basis worldwide. Currently, Apple Pay is available in over 20 global markets, partnering with 1,600 banks in the USA and over 15 banks in the UK. By 2020, it’s estimated over 60 million users in the US will be using Apple Pay. Merchants not accepting Apple’s digital wallet services will miss out the large growth of revenue opportunities this payment platform will provide.
For consumers, adding Apple Pay is quick and simple. Customers can take a picture of their credit card on their phone and within minutes, the card bank will verify and accept Apple Pay for payments. In some cases, a phone call to the bank is required to verify the card information. Once a card has been verified, consumers can start making purchases immediately on retailer websites and apps that accept Apple Pay.
For merchants, Apple Pay integration requires a few steps, one of which is getting an Apple Pay Developer account and a Merchant ID. Once those items are obtained, the integration moves quickly, but many merchants can find the process a bit challenging and support limited. This is why GlobalOnePay is committed to supporting Apple Pay transactions and providing merchants with the support and assistance during the integration process.
If you want to learn more about how quick and easy it is to integrate Apple Pay for your business, contact us today!
Shallana is currently the eMarketing Brand Manager for GlobalOnePay, a division of Pivotal Payments Inc. As an experienced marketer and writer, she wants to help eCommerce merchants navigate the complexity of the payments industry with simple tips, best practices and informative articles designed to help them grow domestically and internationally.