Why Is Apple Pay Still Lagging?
When it was first announced, Apple Pay seemed to be the answer to every merchant’s problems. It seemed so convenient, so fast, so absolutely trendy and tech-savvy, that clients wouldn’t be able to resist paying for every little item using it. As great as it seemed in the beginning, it became clear to everyone in the merchant processing world that something was amiss. Though it’s being backed by one of the most successful companies in the world, Apple Pay’s popularity still lags with both consumers and merchants alike. Here’s why...
- Not everyone has Apple products. Here’s the blunt truth: not everyone has an iPhone or an iPad. Most have Android phones, and out of those who do have Apple products, most of them just don’t think about using phones as a payment route.
- Other attempts at cardless payment offers have also fallen flat. There have been many other companies that wanted to offer something like Apple Pay. None of them have succeeded – primarily because people actually do like the convenience that cards offer. Changing that paradigm proved to be harder than most thought.
- Did we mention that Android’s use is rising? You can’t use Apple Pay if you have an Android phone...
- Most small merchants still don’t trust the technology behind it. A staggering 87% of small businesses do not accept Apple Pay, and don’t plan to in the near future. When asked why, most business owners said that they feel very shaky about using mobile payments. New technology can be intimidating, especially when there’s no demand for it by consumers.
- Credit card companies are losing out, too. It’s actually pretty expensive for them to back Apple Pay. As a result, they very begrudgingly do so – while also placing an emphasis on their own cards instead.
- It’s expensive for many merchants that have to stick to bare-bones devices. It’s worth noting that it’s always better to get a top of the line terminal like a Clover Point of Sale. However, many merchants who have low quality terminals don’t want to deal with having to buy a new terminal that has all the equipment necessary to process these payments. As a result, fewer merchants are willing to accept Apple Pay than EMV chips.
- Cards are just seen as more secure and easier. Simply put, consumers like the feeling of using a credit card. They see it as easier, safer, and generally less confusing. As a result, that’s what they prefer to pay with.
The bottom line is that Apple Pay still is lagging behind many other forms of payment. For merchants who do want to accept Apple Pay, this can be a good thing. After all, some consumers really do like this payment type. For others, it might not be worth the effort. The only way to find out for sure is to talk to a specialist who can help you learn about its perks and pitfalls. Call an expert at NMS today!