Apple Pay Responsible for 1% of Digital Payment Dollars in November, Most Popular at Whole Foods

[MacRumors]

Apple Pay is seeing impressive early adoption numbers according to a new ITG Investment Research Report on Mobile Payments (via MarketWatch), which suggests Apple's new payment service was responsible for a total of 1 percent of digital payment dollars during the month of November.

Apple still trails industry leaders like Square and PayPal, which captured 18 and 78 percent of digital payment dollars in November, respectively, but ITG analysts suggest Apple Pay is showing strong momentum given that it's available only to customers with the newest hardware and supported by a limited number of merchants.

According to the report, which uses data from ITG's Investment Research consumer panel, 60 percent of new Apple Pay customers used the service on multiple days throughout November, averaging 1.4 use times per week. In comparison, only 20 percent of new PayPal customers used the service multiple times during the same time period.

Among customers who used Apple Pay, Whole Foods was the location where the service was used most, capturing 20 percent of all Apple Pay transactions. Walgreens came in second, with 19 percent of transactions, and McDonald's was third, with 11 percent of transactions. Whole Foods was also saw the highest spending, responsible for 28 percent of all Apple Pay dollars spent.

Available since October 20, Apple Pay is accepted at several of Apple's partner stores and at more than 200,000 retail locations where NFC payments are accepted. Apple has given little indication of Apple Pay's early success, but in October, Apple CEO Tim Cook revealed that Apple Pay had seen more than one million credit and debit card activations during its first 72 hours of availability.

Article Link: Apple Pay Responsible for 1% of Digital Payment Dollars in November, Most Popular at Whole Foods

 

[Sinequanon83]

Especially interesting given how much of a flap there was about CVS refusing Apple Pay. I wonder how many customers they sent to Walgreens to try out Apple Pay?

 

[3NV7]

"Most Popular at Whole Foods"

Stereotypes FTW!

 

[gbc204]

I didn't think I would ever use Apple Pay, but now I use it whenever I can. It feels like the future. I used to get annoyed when people in line ahead of me would fumble for cash, or worse coins, (or god forbid WRITE A CHECK) and hold up the line. Now I get annoyed at the 10 extra seconds it takes to use a credit card. It really is fantastically convenient. I wish I could store my Target card info and other stuff like that on the phone too.

 

[WannaGoMac]

Whole Foods because it's the only place I've found to use it (and I suspect most other people too)

 

[gbc204]

"Most Popular at Whole Foods"

Stereotypes FTW!

Well Whole Foods was one of the first adopters, and as far as I saw, one of the only stores where it was available at launch. But I get your point. I can't wait for the Apple Watch so I can buy ridiculously overpriced food using the ridiculously overpriced accessory to my ridiculously overpriced phone. Technology!

Interestingly, CVS has it now, but for some reason I have to physically tap the phone to their reader, whereas at Whole Foods I can just float it around the reader. Wish it were more uniformly implemented.

 

[Mad Mac Maniac]

There was a pretty large amount of cheering when whole foods was announced at the keynote. haha.

Honestly, I think it's mostly because whole foods is the only grocery store that I'm aware of that uses apple pay.

 

[sw1tcher]

Well Whole Foods was one of the first adopters, and as far as I saw, one of the only stores where it was available at launch.

 

[GuitarDTO]

Used it today again at Meijer. Bottom line is as soon as it's available more places I'll use it everywhere

 

[zhenya]

There was a pretty large amount of cheering when whole foods was announced at the keynote. haha.

Honestly, I think it's mostly because whole foods is the only grocery store that I'm aware of that uses apple pay.

It works at our regional chain of Wegmans stores although they don't say anything about it. (Wegmans is way better than Whole Foods as well!!)

 

[dannyyankou]

Pretty impressive considering it only launched 2 months ago.

 

[gbc204]

It works at our regional chain of Wegmans stores although they don't say anything about it. (Wegmans is way better than Whole Foods as well!!)

I LOVE Wegmans, but unfortunately live on the west coast now. SO much better than Whole Foods. And cheaper.

 

[Jsameds]

"Most Popular at Whole Foods"

Stereotypes FTW!

"...followed by tickets to The Steve Jobs Experience, and then in a close third - "How to Buy Overpriced and Underpowered Technology" college course.

Only messin'

 

[gbc204]

Image

That's a big list, but honestly Whole Foods and Walgreens are the ONLY ones of those stores I've even set foot in in the last six months. Explains why I haven't seen it in most places I guess.

 

[Patriot24]

"Most Popular at Whole Foods"

Early adopter target market and demographics FTW!

Fixed that for you.

 

[NY Guitarist]

"Most Popular at Whole Foods"

Stereotypes FTW!

It's getting real!

Whole Foods Parking Lot - Music Video

 

[Kissaragi]

1% sounds like a lot given how new it is

 

[dwsolberg]

At one point, Steve Job's goal was for the iPhone to get 1% of the phone market.

 

[mantan]

Kind of a misleading use of numbers. Since very few companies accept Apple Pay, it stands to reason the 3 biggest 'chain' type places that do repetitive business will top the list.

In regards to the CVS comment, other than a few Apple diehards, I doubt many changed their long term buying habits for long. Apple Pay has the potential to be great, but right now it's an extra convenience more than anything that's going to drive employees to certain businesses.

I'm hopeful that it eventually spreads...but until the MCX consortium releases the (hopefully ill-fated CurrentC) app, we'll pretty much be limited to the same companies who accept it today.

 

[chasemay]

There was a pretty large amount of cheering when whole foods was announced at the keynote. haha.

Honestly, I think it's mostly because whole foods is the only grocery store that I'm aware of that uses apple pay.

The Winn-Dixie chain of grocery stores uses it down here in Louisiana. Not sure if this is a national chain or just here in LA. It was my first use of Apple pay.

 

[Rogifan]

Ok office max get with the party.

 

[Glideslope]

"Most Popular at Whole Foods"

Stereotypes FTW!

For the record: I used it at McDonalds last week on Breakfast Burritos and a large Coffee. Probably as far from "Whole Foods" as one can go.

 

[Michael Goff]

I'd use it, but the only places with NFC around here are McDonald's and CVS. Out Subway doesn't even have it for some reason.

 

[dannyyankou]

At one point, Steve Job's goal was for the iPhone to get 1% of the phone market.

And now, it makes up 4% of the phone market.

 

[redman042]

Every time I read about another retailer hack I am convinced Apple Pay is gonna be huge.

Sadly it will take time to roll out. I've had my 6 Plus for over a month and have not been able to use it yet. Tried in a McDonalds drive-thru once but abandoned the idea when I got worried about dropping my phone while trying to hold a 6 Plus out the window and place my thumb on the sensor at the same time. The whole exercise was way too awkward.

Tried another time at a major retail store but the terminal was glitching out.

Eventually I'll get to use this, but in my area the great majority of retailers are using older payment terminals still.