4 Possible New Features for Apple Pay in 2016
Payment technology is continually evolving and will continue to do so in 2016. According to the 2015 Q4 Adyen Mobile Payments Index, more than 30% of global online transactions are now on the mobile platform.
Here are some key points from their report published in January 2016.
- Smartphones are more popular than tablets for online retail purchases
- The iPad records highest average transaction value
- Desktop is the second most popular behind the iPad
- Android mobile and tablets still lag behind iOS mobile and tablets
As iOS is the more popular platform, Apple Pay should grow well in 2016 and it may get many new features.
Here are 4 new expected features for Apple Pay in 2016.
1. In-Browser Payments
Apple has done extremely well for in-app payments. By expanding its use case scenario to the in-browser space, Apple Pay is very likely to expand its user base among Apple and Windows computer users as well. Anyone using their Safari browser could use Apple Pay. Also, if they make a plugin for other browsers, which they most definitely should, they will get a lot more users for Apple Pay.
Related: Best Ways to Accept Payments From Your Customers
2. Peer to Peer (P2P) Payments
Apple has been in talks with US banks like Capital One, J.P. Morgan Chase, Wells Fargo and U.S. Bancorp, to develop a mobile to mobile payment service. Also known as a Peer to Peer (P2P) payment system, it would let users to transfer money to each other using their mobile phones with Apple Pay. Paypal has been offering P2P payments using email for quite some time now. As long as you have an email account, you can link it to Paypal and get paid. Apple pay has been trying to focus its energies on using mobile phones in a similar way. It wants to get users away from using physical credit cards, cash, and checks. This is a highly competitive space with Paypal and Venmo dominating the current market.
3. Apple Pay in more countries
Apple Pay launched in the US in October 2014 and UK in Summer 2015. It’s services launched in Canada and Australia in November of 2015 and most recently on February 18, it launched in China as well. It is expected to launch in Hong Kong, Singapore and Spain in early 2016. Apple Pay’s adoption throughout the world will take some time, but it is showing gradual adoption. As the technology matures and grows in acceptance, we will see it used more and more.
4. More smaller retailers to adopt Apple Pay
While some bigger merchants may be quick to adopt newer technologies with the bigger banks, it is the smaller mom and pop shops that Apple Pay has to warm up to in order to really penetrate the electronic payments market. At the moment a majority of these smaller retailers primarily accept Cash, Credit or Debit Cards and Checks. Square and other mobile Point of Sale (POS) systems which have been around for some time will be hard to beat but not impossible for Apple.
Whatever the case, newer payment technology is needed as it brings better security for merchants and consumers as well. How fast the adoption rate is will ultimately depend on how easy it is for consumers to use the new technology and how easy it is for merchants and retailers to switch.
Related: ACH, Paper Checks, eChecks, Electronic Payments! Confused Yet?
Contact Us for more information on Credit Card Processing, or eChecks and ACH Transactions. Or take us up on our FREE Merchant Account Analysis offer. We’ll analyze your merchant account rates and let you know how to Save! If you are ready, you may be able to Switch and Save!