Apple Pay is 'Growing at a Tremendous Rate' With 5X More Transaction Volume Than Last Year

[gsmornot]

Apple Pay via the watch is great if you guys have not had a chance to try that. I found myself without my phone recently but paid with my watch instead. I did have a card with me but for some reason left my phone at home.

I have been using Apple Pay since day one. (went out and found a place first day) I have been using more recently to buy gas through the SpeedPass+ app and use it to reload my Starbucks card. I use it where I can.

 

[MH01]

Took my bank forever to get it, but loving it. Great experience .

 

[iGeek2014]

Yep, I was chatting with one of the managers in Morrisons, they have a cardboard collar around every card terminal boasting they accept Apple Pay, although it's still limited to £30. I was trying to impress upon him how they could, and should, have the limit removed because as a business, you want to make it as easy as possible to spend as much as possible.

Most people in the supermarket spend more than £30 on normal weekly shopping, making it useless for them.

As for usage, I could probably get through most weeks using Apple Pay 100% if the limit was lifted.

Despite The Co-Operative Food being listed on Apple's website they too are limited to £30 (that's based on my local store, granted).

If we were using a physical card to complete the transaction, far enough, but seeing the payment is being conducted using a securer system then removing the limit would make sense because it's much more likely the person authorising the payment is the registered card-holder.

Having said that at least Morrison's support contactless/Apple Pay; the likes of Sainsbury's and Asda need to realise it's a growing platform.

 

[Crispy Duck]

Despite The Co-Operative Food being listed on Apple's website they too are limited to £30 (that's based on my local store, granted).

If we were using a physical card to complete the transaction, far enough, but seeing the payment is being conducted using a securer system then removing the limit would make sense because it's much more likely the person authorising the payment is the registered card-holder.

Having said that at least Morrison's support contactless/Apple Pay; the likes of Sainsbury's and Asda need to realise it's a growing platform.

I've even used Apple pay in Poundland of all places – spent a grand total of £2!

 

[ChipOatley]

I've never used Apple Pay since the only two places that take it where I live are a McDonald's and a Walgreens.

 

[neil_cm17]

You should do some reading on chipped cards.

First of all, they are more secure. A one time token is way more secure than static data used on the magnetic stripe from a POS perspective. Second, it's much more difficult to clone the chip on those cards.

Also, Visa & MasterCard have recently rolled out new technology with these EMV chip transactions that allows the consumer to put the chip in the slot before the transaction is finalized, wait a couple of seconds, and then pull the card out.

http://www.nytimes.com/2016/04/20/business/visa-speeds-up-chip-cards-with-software-upgrade.html?_r=0

http://www.vendingmarketwatch.com/news/12199306/mastercard-announces-faster-emv-transaction-solution


With that said, I won't hold my breath on Wendy's accepting it. Their CEO is childish. Just read his reaction to the data breach and why they won't accept chipped cards.

Why are chip cards so slow in the U.S.? Typically here it takes a second or two for the card reader to prompt you to enter you pin number and after that another second or two for the transaction to be authorised. All in all it's very fast.

 

[maxsix]

I find using my contactless Visa card is quicker than using Apple Pay. I also get 2% cash back and I can rely on it everywhere- the only place is use cash is one bakery I like that still has a $10 minimum purchase limit for cards

Contactless Visa card is my favorite by far. Fast, effective and not linked to Apple.

 

[American Hero]

Why are chip cards so slow in the U.S.? Typically here it takes a second or two for the card reader to prompt you to enter you pin number and after that another second or two for the transaction to be authorised. All in all it's very fast.

Probably has something to do with the medicore internet speeds in the United States.

That, and the software hasn't been around long enough yet to optimize the speed.

 

[chrismail627]

Countries and retailers, however, should start to move away from MST and adopt more modern technology.

MST support is nice to have, but imo it's more of a transition tech than anything else.

I do agree, but I think it'll be a while before Apple Pay compatibility will be everywhere.

Please don't use that phrase "the next big thing". Makes you feel like a walking advert. I just read an article about MST and while it is a clever use of an existing technology the article said the issue with the technology is it can't accept other types of cards besides credit cards like ID cars and Subway cards and things.

Haha, I didn't even mean to use "next big thing." I like it though cause it's the best of both worlds, Samsung Pay has NFC + MST, compared to Apple Pay only having NFC. While I do think the market is moving away from MST, it's a great transition technology.

 

[Mike MA]

It would even grow faster if introduced in the rest of the world, e.g. Europe.

 

[tmiw]

Probably has something to do with the medicore internet speeds in the United States.

Authorization is not the issue--it's the initial chip read that's slow. (Try a debit card or one of the rare chip and PIN cards at, say, CVS--the time from insertion to the PIN prompt is way more than the time from pushing Enter to being able to remove the card.)

I do agree, but I think it'll be a while before Apple Pay compatibility will be everywhere.

The US payment environment is such a mess that I actually think it'll be a decade or more before one could feasibly leave their wallet at home. And even that timeframe is questionable; the fact that Visa came out with Quick Chip (and MC's similar system) makes me think that Americans simply don't want any form of contactless payment.

(BTW, a year ago a thread like this would get hundreds of comments. I don't know what that says about what MR thinks about Apple Pay though.)

 

[American Hero]

Authorization is not the issue--it's the initial chip read that's slow. (Try a debit card or one of the rare chip and PIN cards at, say, CVS--the time from insertion to the PIN prompt is way more than the time from pushing Enter to being able to remove the card.)

Can't. It doesn't seem like anywhere takes EMV debit right now, including Rite Aid and Walgreens.

 

[parseckadet]

I've never used Apple Pay since the only two places that take it where I live are a McDonald's and a Walgreens.

In Durango I'm not surprised. Now in Denver...

 

[ecschwarz]

The US payment environment is such a mess that I actually think it'll be a decade or more before one could feasibly leave their wallet at home. And even that timeframe is questionable; the fact that Visa came out with Quick Chip (and MC's similar system) makes me think that Americans simply don't want any form of contactless payment.

I think there is still a huge amount of fear related to contactless payments in the US...people hear stories of "someone could scan your card by standing next to you" and that has created a mindset where contact=safe. Unfortunately, I've heard more comments complaining about EMV chips taking longer and not necessarily being more secure than a magnetic stripe, rather than people understanding the tradeoff of a few seconds for more security. Maybe the issuing banks should have offered some better education with the chip cards?

That being said, I use Apple Pay where I can (although try not to be annoying about it), and have had a few people ask questions about the capabilities and that it's faster than "those chip cards".

 

[American Hero]

I think there is still a huge amount of fear related to contactless payments in the US...people hear stories of "someone could scan your card by standing next to you" and that has created a mindset where contact=safe.

They'll say that and then proceed to swipe their card through the terminal. I'm embarrassed to live in America sometimes. Thanks media for providing a bad reputation for these types of cards!!

Unfortunately, I've heard more comments complaining about EMV chips taking longer and not necessarily being more secure than a magnetic stripe, rather than people understanding the tradeoff of a few seconds for more security

Americans don't want to take the time to learn anything. They swipe without thinking about anything. Perhaps the banks should stop swallowing fraud on debit cards, and then we'll see how much consumers care about security.

Not really sure why Americans make it seem like it takes a rocket scientist to figure out why we're switching systems. Yeah, because we're doing it for no reason.

 

[peterh988]

If we were using a physical card to complete the transaction, far enough, but seeing the payment is being conducted using a securer system then removing the limit would make sense because it's much more likely the person authorising the payment is the registered card-holder.

I think its because currently, the machines can only see a contactless payment as being 'unverified' and so default to the £30 limit. The software/firmware needs updating so that the code can identify Apple Pay as being a 'verified' contactless payment, and so remove the limit. I suppose thats a big deal for a supermarket chain to impliment, too many people to sign off to make it happen quickly.

 

[tmiw]

Can't. It doesn't seem like anywhere takes EMV debit right now, including Rite Aid and Walgreens.

Home Depot, CVS, Walmart and Target do that I know of. I don't really use my debit card that often though so there could be more.

I think there is still a huge amount of fear related to contactless payments in the US...people hear stories of "someone could scan your card by standing next to you" and that has created a mindset where contact=safe.

On the other hand, people do seem to be okay with stuff like Starbucks' system. Maybe Apple just needs to strobe the flash while the payment's happening?

 

[American Hero]

Home Depot, CVS, Walmart and Target do that I know of. I don't really use my debit card that often though so there could be more.

It would be nice is Wegmans finally got on board with EMV. Any information on that?

 

[knemonic]

You should do some reading on chipped cards.

First of all, they are more secure. A one time token is way more secure than static data used on the magnetic stripe from a POS perspective. Second, it's much more difficult to clone the chip on those cards.

Also, Visa & MasterCard have recently rolled out new technology with these EMV chip transactions that allows the consumer to put the chip in the slot before the transaction is finalized, wait a couple of seconds, and then pull the card out.

http://www.nytimes.com/2016/04/20/business/visa-speeds-up-chip-cards-with-software-upgrade.html?_r=0

http://www.vendingmarketwatch.com/news/12199306/mastercard-announces-faster-emv-transaction-solution


With that said, I won't hold my breath on Wendy's accepting it. Their CEO is childish. Just read his reaction to the data breach and why they won't accept chipped cards.

Wait, I'm confused you said a token is more secure but isn't tokens what apple uses? So I'm confused on what you're claiming is more secure.

The problem is yes, visa and MasterCard are bringing out new terminals to speed up the process, and hopefully enable the pin, which is where the security benefit comes from, but this means retailers need to swap out these terminals, and worse wait for the pin aspect to be activated. Retailers take a long time to do this so I doubt these new terminals will be in place within at least a year. By then, most nfc alternatives will be a turned with most retailers, and it will be more smooth a process for all, especially since apple, Samsung and others are on the nfc bandwagon. So I agree, chip pin cards might not be so bad, but the terminal tech not being in place before the chip cards came out is a big problem. They're already falling behind, and retailers keep turning on nfc, so it's gonna be hard for them to catch up on this. Also, I'm sure they're embracing nfc first cause the terminals they have are already good to go, and provide the best experience. So they're being forced to spend more money on new terminals when they already have terminals that do nfc.

Also, I hate the noise those terminals make when the card was successful.

 

[tmiw]

It would be nice is Wegmans finally got on board with EMV. Any information on that?

I don't live anywhere near one so I don't know. However, check out the link in my signature for possible additional places (though I don't list debit support explicitly).

 

[American Hero]

Wait, I'm confused you said a token is more secure but isn't tokens what apple uses? So I'm confused on what you're claiming is more secure.

More secure than using the magnetic stripe on your card to make a purchase.

The problem is yes, visa and MasterCard are bringing out new terminals to speed up the process and hopefully enable the PIN

It's a software update so merchants don't have to buy new terminals. The type of transaction used is determined by the card itself, not the terminal.

Also, I hate the noise those terminals make when the card was successful.

The ones at Rite Aid actually talk to you. But I can see why they make noise, so you don't forget your card.
[doublepost=1461781840][/doublepost]

I don't live anywhere near one so I don't know. However, check out the link in my signature for possible additional places (though I don't list debit support explicitly).

Julie's Diner in North Syracuse, NY takes EMV but doesn't have the enabled consumer facing terminal, just a counter top one. Should that be on your list?

 

[tmiw]

Julie's Diner in North Syracuse, NY takes EMV but doesn't have the enabled consumer facing terminal, just a counter top one. Should that be on your list?

You can actually add entries yourself. Just enter the business/address in the top right corner and a popup over the location should appear on the map. Then check the appropriate boxes and click "add business".

BTW I forgot Macy's too for EMV debit.

 

[parseckadet]

They'll say that and then proceed to swipe their card through the terminal. I'm embarrassed to live in America sometimes. Thanks media for providing a bad reputation for these types of cards!!



Americans don't want to take the time to learn anything. They swipe without thinking about anything. Perhaps the banks should stop swallowing fraud on debit cards, and then we'll see how much consumers care about security.

No need. The terminals can already determine if a swiped card has the EMV chip, and if so require the customer to use that instead. I've seen that a couple of times. So many places have the chip reader disabled that I just assume you have to swipe everywhere. So when I do the swipe, the terminal tells me to insert the chip and I do. Next time I go there I just know to insert instead of swipe.

Not really sure why Americans make it seem like it takes a rocket scientist to figure out why we're switching systems. Yeah, because we're doing it for no reason.

Don't get me started. I STILL see people at the grocery store who can't figure out the self-checkout system. They'll stand there, with their iPhone in their hand, staring at the touch screen as if it's some new fangled devil intent on torturing them. Never mind the fact that the machine has been in that store, and every other grocery store in the state, for 5 years now.

 

[American Hero]

No need. The terminals can already determine if a swiped card has the EMV chip, and if so require the customer to use that instead. I've seen that a couple of times. So many places have the chip reader disabled that I just assume you have to swipe everywhere. So when I do the swipe, the terminal tells me to insert the chip and I do. Next time I go there I just know to insert instead of swipe.

Some old guy was at SuperCuts the other day, and the barber/cashier asked if he had a chipped card,he said "yes," and then went ahead and swiped his card anyway a moment later. Good thing I don't work in an area where chipped (or any) cards are used, as I'd rip my hair out at the stupid customers who don't understand a 15 year old technology.

Don't get me started. I STILL see people at the grocery store who can't figure out the self-checkout system. They'll stand there, with their iPhone in their hand, staring at the touch screen as if it's some new fangled devil intent on torturing them. Never mind the fact that the machine has been in that store, and every other grocery store in the state, for 5 years now.

I still see people writing checks at the grocery store. Where I shop though, there are no self-checkouts (Wegmans).

 

[Chocolatemilty]

I used Apple Pay in-app in the Gametime app to purchase Dodger tickets for the first time last night. I've used it in-store a few times, mostly Walgreen's, Subway, and even our mom-and-pop tire shop, but sometimes finding a place in public to use it is met with resistance (hell, there's even resistance at some spots like Jersey Mike's to use the Chip cards, WTF?). However, using it within the app was very nice. Just wish all commerce apps in the App Store had the capability.