Rite Aid Disables Apple Pay Support After Initially Accepting Payments

[giantfan1224]

when you process billions of dollars in transactions it adds up

So does the fraud with less secure transactions.

 

[Huracan]

It's a pity how some petty (pun intended) business decisions stand in the way of technological progress and innovation. Disabling the NFC receiver, ridiculous, backwards and it can only damage their business, not help it.

 

[jw2002]

I think that this is the dumbest decision rite aid could have made.... Seriously if you have apple pay, you are just going to go to walgreens now and never shop at rite aid. Its all about convience now... now that you don't need to swipe your card...

Agree. In the short term Rite Aid is probably forced to not accept Apple Pay thanks to CurrentC restrictions. However, given the uproar and pressure I will bet that Rite Aid is seeking a more inclusive solution to either (a) negotiate more permissive terms with CurrentC or (b) replace CurrentC with something else.

Keep in mind that retailers also look at employee metrics such as transaction speed. Faster transactions via Apple Pay will improve employee productivity, and that very well could mean more to Rite Aid's bottom line than maintaining a relationship with CurrentC.

 

[StyxMaker]

Nothing to be confused about... Target can't draw any more money from a checking account than I put in it. The account that they have access to never has any money in it unless I intend to spend money. And, then only what I intend to spend from that account is placed in there.



Can't steal what you can't find. I could post that account number all over the world and it wouldn't cost me a dime. It also cannot be overdrawn, so if it's zero, it is zero. It's covered.



I have numerous accounts, they all serve different purposes.



Any money I allow to accumulate is in a totally different bank.



And, I don't link any of my accounts.



And, yes, for my banking, and real credit cards, I only deal with local banks with local presence.

And you claim using Apple pay is too complicated.

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Yeah, cause Apple never does that... right....



Anyone remember iTunes? Not only does it recommend shows and music based on what you've purchased before, but they'll also constantly e-mail you with things they think you would like if you dare to give them an email address.



The junk e-mail account I have gets more advertisements from Apple than anyone else.

How did you arrange that? I never get email from Apple recommending anything in iTunes.

 

[TraceyS/FL]

Keep in mind that retailers also look at employee metrics such as transaction speed. Faster transactions via Apple Pay will improve employee productivity, and that very well could mean more to Rite Aid's bottom line than maintaining a relationship with CurrentC.

The problem is the slowest guests aren't the ones using the cards this will work with. In my case it is the people digging for exact change or writing checks that take me red in the speed area.

Those people are still going to be slow.

Thankfully I don't care about speed - I ask my manager what he wants me to do, holler at the little old lady digging her pennies out or just keep them happy so they come back. Happy wins.

But yes, we as cashiers do get beat up when you guys take your time paying... like we can control it.

 

[StyxMaker]

It's not going to stop the retail location from harvesting demographics and buying preferences. So not sure I see the point of your post. Ok - so Apple won't be collecting it.

How can they harvest demographic and purchasing information about me when all they get is a token for the transaction that only the bank can connect to my card number?

 

[elev8d]

It was turned off because they can't track who is buying what, which is terrible for retailers from a research and strategy perspective.

 

[doelcm82]

I think it will be a long time before there's critical mass to the point where the general population WON'T go into a store because of Apple pay. Convenience comes in many forms. Payment is one. But there are other factors like location, price, wait time, customer service, return policies, inventory, etc. Apple pay (at current) doesn't offer an incentive other than convenience. It's not, unto itself, a funded account. What I mean is - there are a lot of college towns that have stores that use a campus pay system. Businesses that participate vs those that don't clearly have an advantage for those that like using those apps, etc. I don't see Apple pay as having that same "hold." It's just another payment method. And as long as stores take cash and credit cards, it's likely not to "anger" or frustrate most consumers just because a store doesn't accept it. Contactless payment systems have existed for a long time - without the need for a phone.

I've seen a number of paradigm shifts over the years, and they happened pretty quickly once they reached critical mass. As you said, contactless payment systems have existed for a long time and haven't reached critical mass. Does that mean Apple Pay is just another one in the bunch? As likely to languish as the others? I don't think so. Apple wasn't the first smart phone. Or the first mp3 player. It wasn't the first tablet. It's not going to be the first smart watch.

CD's were just another way to play music, and they had an uphill battle against LP's, and everyone's record collection. But once stores started to stock CDs of the music people wanted to buy, the LPS were gone seemingly overnight. They had to package the CDs in long cardboard cases so they'd fit in the bins that were designed for 12" records. VHS to DVD was just as fast. As was CRT to flat screen HDTV. It was ten years after I read about HDTV before I ever saw it in person. Then, almost immediately, there weren't any old-style TV's on display.

I see Apple Pay helping to take contactless payments over the threshold, after the path was paved by Google Wallet and contactless cards.

I think in ten years or less, the banks will not mail you a plastic credit card unless you specifically request one. They'll send you a secure code that you use to set up your account on your favorite smart phone (or smart watch or smart ring).

 

[StyxMaker]

You know, that's a dramatic way of looking at it. I actually drive very little. There's hardly any reason to. I walk into a bank twice a month. Pretty unintrusive on my life. I stop at both of them 1 time each month.



Financial life is pretty simple. I know where my money is. And, I'm not on a quest to seek additional people to manage my purchases out of fear of losing money. Sounds like you got more to worry about than me.

Once a month bank trips, that's inconveniant. I haven't been inside my bank in years.

 

[caesarp]

Ultimately this thread is about a retailer choosing not to accept NFC payments. The drama in this thread over that decision is laughable.

Is it? No, I suggest not. Its about a retailer who initially took all kinds of NFC payments, and then later decided to revoke specific types of NFC payments. That's the difference. That makes the retailer different from one that never took such payments (and may never), to more like one that spitefully (and not customer-focused) removed them despite having the capability in place.

 

[tmiw]

Is it? No, I suggest not. Its about a retailer who initially took all kinds of NFC payments, and then later decided to revoke specific types of NFC payments. That's the difference. That makes the retailer different from one that never took such payments (and may never), to more like one that spitefully (and not customer-focused) removed them despite having the capability in place.

Wait, have we confirmed that it's just phone-based NFC that's blocked? I thought that was impossible without blocking the others.

 

[caesarp]

Headlines should read, Apple fanatics who consider themselves too good to shop at Rite Aid make empty threats to boycott store they don't shop at anyway.

Or, how about, a large retail chain takes action to alienate customers and limit types of mobile payments they can make, despite having the capability to accept those types of payments and turning it off in what appears to be a spiteful move, taking away customer choice.

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Again I have to ask - seriously. Is this what people are now thinking after a few days of Apple pay being available? That they will no longer shop in stores that don't offer it?

WOW

Probably not. But it is still a dick move by a retailer. How does this help the customers?

 

[TraceyS/FL]

I've seen a number of paradigm shifts over the years, and they happened pretty quickly once they reached critical mass. As you said, contactless payment systems have existed for a long time and haven't reached critical mass. Does that mean Apple Pay is just another one in the bunch? As likely to languish as the others? I don't think so. Apple wasn't the first smart phone. Or the first mp3 player. It wasn't the first tablet. It's not going to be the first smart watch.

CD's were just another way to play music, and they had an uphill battle against LP's, and everyone's record collection. But once stores started to stock CDs of the music people wanted to buy, the LPS were gone seemingly overnight. They had to package the CDs in long cardboard cases so they'd fit in the bins that were designed for 12" records. VHS to DVD was just as fast. As was CRT to flat screen HDTV. It was ten years after I read about HDTV before I ever saw it in person. Then, almost immediately, there weren't any old-style TV's on display.

I see Apple Pay helping to take contactless payments over the threshold, after the path was paved by Google Wallet and contactless cards.

I think in ten years or less, the banks will not mail you a plastic credit card unless you specifically request one. They'll send you a secure code that you use to set up your account on your favorite smart phone (or smart watch or smart ring).

This sums up my take on it too. Apple will be what pushes it mainstream, onto the next wave in payments.

The person below that indicated the bank won't send cards unless you ask - I see that happening too.

The act of replacing cards, and issuing them isn't cheap. If it was my bank would not have just sent me a non-chipped card due to the HD fiasco. Instead they sent an old school one - and i'm still on track to have it replaced sometime next year. Such a good time that will be - I hope it is the same number.

Moving onto the next item on my list to update from that card replacement....

 

[caesarp]

Target would actually. We have their Target card and they don't have to pay for the credit card fees, so that is why you save 5% using the Target card. So yes, savings does get passed down to the customer.

Right, so all they have to do is say if you use your credit card you pay x, if you use something else you don't. Gas stations used to do that too.

So what's the reason Rite Aid can't do that?

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Wait, have we confirmed that it's just phone-based NFC that's blocked? I thought that was impossible without blocking the others.

They have a message on the cashier's screen that specifically says no Apple Pay. Not sure if this effect other NFC transactions or not.

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The problem is the slowest guests aren't the ones using the cards this will work with. In my case it is the people digging for exact change or writing checks that take me red in the speed area.

Those people are still going to be slow.

Thankfully I don't care about speed - I ask my manager what he wants me to do, holler at the little old lady digging her pennies out or just keep them happy so they come back. Happy wins.

But yes, we as cashiers do get beat up when you guys take your time paying... like we can control it.

Well the manager can hire more cashiers. I hate when there are 10 cash registers and only two open. I rarely if ever see all cash registers used (maybe the day before Xmas)?

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At what point does someone realize they're in over their head and get out while they still can? It does make for an entertaining read though

Yeah, I noticed flyinmac never responded to that post!

 

[twigman08]

I read the article but haven't read all the replies, so forgive me if someone explained this more:

So they didn't just disable Apple Pay, they disabled Google Wallet too?
So they both go from working to not working in only a days time?

I agree, bad business decision if that is true.

 

[iososx]

The Hype Gives Way Revealing The Truth...

I'll keep it brief, it didn't interest me.

Here's more from an article:

“Apple Pay: I'm Not Impressed“


http://readwrite.com/2014/10/21/apple-pay-problems

 

[Huracan]

Ok, I've done something about it and written a short message to Rite Aid corporate in their website contact page. If you feel strongly about this I would encourage you to write to Rite Aid directly. Everybody loses when the payment market is split. Imagine if businesses out there would only take Master Card, or VISA, instead of both. American Express has a bit of that problem. In general consumers benefit when there is wide acceptance for a payment method. I don't personally have to worry if my card is VISA or MasterCard. I know if a business accepts one it also accepts the other.

 

[giantfan1224]

I'll keep it brief, it didn't interest me.

Here's more from an article:

“Apple Pay: I'm Not Impressed“


http://readwrite.com/2014/10/21/apple-pay-problems

This guy writes like a hack. What, he expected it to be 100% rolled out and flawless from day 1? What a joke.

It turns out that that's not much easier than the old way: Take your credit card out. Swipe. Get a paper receipt.

What was he expecting? The big difference and benefit for me is I don't have to worry about a security breach at the establishment where I used Apple Pay and having my info hacked. Not to mention that I don't have to carry the credit card around. Since I always have my phone it's a win/win.

 

[Primejimbo]

I'll keep it brief, it didn't interest me.

Here's more from an article:

“Apple Pay: I'm Not Impressed“


http://readwrite.com/2014/10/21/apple-pay-problems

It's new and this is false:
"Problem No. 4: It's No Better Than Swiping

The reality of Apple Pay is this: Take your phone out. Hold your finger down. Tap. Wait for a notification on your phone. Get a paper receipt.

It turns out that that's not much easier than the old way: Take your credit card out. Swipe. Get a paper receipt."

The issue is Apple Pay is far more secured than swiping a credit card and that's one of the main points of this.

I thought this was a good read:
http://www.forbes.com/sites/markrog...g-to-be-great-why-the-skeptics-have-it-wrong/

What was he expecting? The big difference and benefit for me is I don't have to worry about a security breach at the establishment where I used Apple Pay and having my info hacked. Not to mention that I don't have to carry the credit card around. Since I always have my phone it's a win/win.

Again, great points!

 

[Eitel]

How can they harvest demographic and purchasing information about me when all they get is a token for the transaction that only the bank can connect to my card number?

By pushing their rewards card. Then they have a number tied to you.

 

[Seannyb]

Right, so all they have to do is say if you use your credit card you pay x, if you use something else you don't. Gas stations used to do that too.

So what's the reason Rite Aid can't do that?

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They have a message on the cashier's screen that specifically says no Apple Pay. Not sure if this effect other NFC transactions or not.

----------



Well the manager can hire more cashiers. I hate when there are 10 cash registers and only two open. I rarely if ever see all cash registers used (maybe the day before Xmas)?

----------



Yeah, I noticed flyinmac never responded to that post!

Haha flyinmac will be back, pretty dedicated Troll right there

 

[StyxMaker]

By pushing their rewards card. Then they have a number tied to you.

They can't force you to use a rewards card.

 

[BruiserB]

I'll keep it brief, it didn't interest me.



Here's more from an article:



“Apple Pay: I'm Not Impressed“





http://readwrite.com/2014/10/21/apple-pay-problems

For me the most interesting thing in your article is the info that MasterCard has an app that shows where contactless payments can be made. (And most places that take contactless MCs will also take Visa/AMEX).

https://itunes.apple.com/us/app/mastercard-nearby/id778074772?mt=8

I don't know where RiteAids are geographically....do they still show up in the app?

 

[ipader]

Among the disgruntled users was Josh who shared his experiences and his conclusions that Rite Aid is deliberately crippling its payment systems to prevent Apple Pay transactions.
Quote:
Today, Allison asked me to pick up a few things on my way home from the office, and I'm a major nerd, so naturally I was all too happy to oblige. I was equally disappointed, then, when my transaction was declined with a message on the terminal informing me that Apple Pay was not supported. The terminal mentioned Apple Pay by name. So the system is smart enough to know about Apple Pay and to decide not to take it.

They don't hate NFC. CurrenC is going to use NFC as well. They hate that they are being cut out of the personal data loop. Currently they track customers by account number. When you swipe your card they are looking up all the purchases you have made in the past and providing targeted coupons and offers. Bank sponsored NFC transactions happen with one time authorization codes. This weakens account relationship tracking as they only know the bank, not the account.

So much effort to buy a pack of condoms!

These two posts above, together, could definitely cause major problems for customers.
Example: Let’s say that Josh is out one night and meets someone special that he decides to get intimate with and he stops at Rite Aid (or another store that use the CurrenC network) to purchase a few condoms (Don’t Judge Josh, this is only an EXAMPLE). Next time his wife Allison shops in Rite Aid (they share the same CC account #), targeted coupons for condoms and sexual aides could spit out with the receipt. Perhaps emails to her would promote more items for his alleged transgressions. This could have very bad ramifications if Allison starts speculating why these products are now being marketed to her.

Apple Pay eliminates tracking of purchases and activities tied to you.

 

[BruiserB]

Haha flyinmac will be back, pretty dedicated Troll right there

I am impressed that he's a long term member and not just a recent joiner. Find it hard to believe he doesn't use the internet for financial stuff. I don't doubt he's telling the truth, but for me that's one of the main uses of the internet.