WSJ: Inroads Made by Apple Pay Propel ‘Mobile Wallet’ Idea
On Monday, January 26, 2015, the Wall Street Journal (WSJ) reported on the increased acceptance of Apple Pay payments in an article titled Inroads Made by Apple Pay Propel ‘Mobile Wallet’ Idea. And though there was little in the way of hard numbers on actual use, their merchant straw poll reported a generous uptick in the number of people using Apple’s near field communications (NFC) device. Considering the overall lack of NFC use by the mass market in the past, any increase at all would look like a huge jump. The key number reported in the article from Apple is that more than 220,000 locations now accept Apple Pay.
The following day, Tuesday January 27, Apple reported a staggering record quarter, along with news it had sold 74.5 million new iPhones. That’s 74,500,000 additional Apple Pay capable mobile devices. It’s pretty safe to assume that in the near future, curiosity alone may lead to many more consumers using Apple Pay.
The question with mobile payment implementation has always been a “chicken-and-egg” approach. Merchants would have to invest in new technology to accept consumers’ NFC devices. And, NFC devices would need to get in the hands of consumers before merchants would invest in the payment equipment. The good news across the board is more and more consumers are finding the technology in their hands and merchants are discovering upgraded terminals purchased to meet new industry standards related to PCI DSS and EMV often equipped with NFC communication, thus Apple Pay capable. In this case, both chicken and egg are hitting the market at the same time.