Walmart Pay 'Close to Surpassing' Apple Pay in U.S. Mobile Payments Usage

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Walmart announced "Walmart Pay" in December of 2015, bundling its mobile payment solution directly into the Walmart app for iOS and Android devices and entering the market one year after Apple's own Apple Pay launched in 2014. Now available nationwide in 4,774 Walmart stores, Walmart Pay is "close to surpassing" Apple Pay in terms of mobile payments usage in the United States (via Bloomberg).

According to Daniel Eckert, senior vice president of Walmart services and digital acceleration, Walmart Pay is enrolling "tens of thousands of new users a day," and has seen a steady growth over the past few months. Two-thirds of those who try it use it again within twenty-one days. These statistics give Eckert confidence that Walmart Pay will soon beat Apple Pay in the U.S., "in terms of use by shoppers in stores where they're accepted."

Wal-Mart Stores Inc.'s app is close to surpassing Apple Pay in usage for mobile payments in the U.S., giving the world's largest retailer even more clout as a growing number of people shop with their smartphones.

"If daily enrollments don't slow down, I think that's pretty well in the cards shortly," said Eckert, senior vice president for services and digital acceleration. "I would have to imagine we are getting pretty close."
Market researcher Richard Crone predicted that Walmart Pay will grow bigger than Apple Pay in active U.S. users (who use the mobile wallets for at least two transactions per month) by the end of 2018. Walmart and Apple reportedly held discussions in early 2016 that centered upon incorporating Apple Pay into the Walmart iOS app, but fell through because of the "difficulty of blending the technology underpinning each company's approach."

Walmart is said to have begun gaining ground on Apple earlier in 2017, when 5.1 percent of Walmart shoppers said they used Walmart Pay this past June, just below the 5.5 percent of iPhone users who said the same at locations that accept Apple Pay. In terms of other competitors, Walmart Pay's adoption rate is "higher than Samsung Pay and Android Pay combined." One analyst pointed out this is likely because Walmart owns and controls the mobile wallet software and "can make quick changes."


"Apple Pay's road is much more difficult than Wal-Mart's is," Brendan Miller, an analyst at Forrester Research, said in a phone interview. "It means that Wal-Mart can make quicker changes, they can move faster in many respects than Apple Pay." Forrester's survey of 58,000 online consumers in the first half of 2017 found that 7 percent of them used Apple Pay in the past three months, while 6 percent used Walmart Pay.
Although the services are similar in their payment goals, there are a few differences between Walmart Pay and Apple Pay. Walmart's mobile wallet presents users with a barcode that has to be scanned to complete a transaction, unlike Apple Pay's NFC tap-based system. Walmart Pay also incorporates all of a user's in-store offers, promotions, rewards, and gift card balances in one place, which Apple Pay is still inconsistent in supporting for many stores.

Despite their close rivalry in the mobile wallet space, Walmart is reportedly "more interested" in directly competing with Amazon than Apple. Over the past year, Amazon has been expanding quickly in the grocery space with its various test projects like Amazon Go and its acquisition of Whole Foods. Walmart said it will continue focusing on expanding the features of Walmart Pay as more competition emerges, and according to Crone the debut of the software has provided a solid launchpad for the company's future: "They flawlessly deployed the system, and it works."

Article Link: Walmart Pay 'Close to Surpassing' Apple Pay in U.S. Mobile Payments Usage
 

geoff5093

macrumors 68020
Sep 16, 2014
2,221
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Dover, NH
If only Apple would incentivize companies to switch to NFC faster. They're just hoping that companies adopt NFC because users want it, but clearly this isn't happening fast enough.

It would also be great if Apple used just a small portion of their profits to create an incentive for consumers, like getting iTunes credit for ever X amount of money spent or transactions made. Samsung Pay and Android Pay both have similar promotions. The problem is corporations aren't willingly switching to NFC just because a very small user base want it.
 

Scottsoapbox

macrumors 6502a
Oct 10, 2014
851
3,018
Unsurprising. Apple pay is basically Walgreens pay.

Most merchants aren't even sure if and what NFC they support and it seems to rarely be Apple based on waving my phone around.

And small businesses are almost exclusively square these days.
 

neuropsychguy

macrumors 65816
Sep 29, 2008
1,225
1,723
Well we know this "study" wasn't peer reviewed. Walmart Pay is accepted in Walmart and Walmart and Walmart... Apple Pay is accepted in many stores. This is a comparison of two very different things. If Walmart Pay branches out and is accepted at other stores then we can start to make the comparison.
 

cardfan

macrumors 68020
Mar 23, 2012
2,090
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Not a surprise since I never use apple pay unless it's online staring at me. I haven't used this crap at a store since discover ran their promotion. It's way too inconvenient. It's up to Apple to make it worthwhile to use. Open up that wallet and start offering rewards Apple..
 

Gueeds

macrumors regular
Jul 29, 2015
121
94
Walmart Pay is ok. I once got logged out when I tried to buy something. So I had to scramble to enter my account info: no issues with Apple Pay there.

Also, if you get hounded by the checkers at the exits, good luck explaining to them why you don’t have a receipt because you used Walmart Pay
 

MysteryMii215

macrumors regular
Jan 10, 2016
135
191
NYC area
If daily enrollments don't slow down, I think that's pretty well in the cards shortly," said Eckert

Welp, they just jinxed any chance of that happening by saying it to the public.

PS. Walmart is just one server breach away from people never using Walmart Pay ever again.​
 
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Chupa Chupa

macrumors G5
Jul 16, 2002
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Is Walmart pay directly comparable to Apple Pay though? I mean, yes, both are mobile payment systems, but is Walmart Pay accepted anywhere other than WM? It seems like it's a one-store system whereas Apple Pay is more "universal."

I'm not a regular WM shopper but they are the only place in town that sells Chili Chocolate Granola bars and they are my "crack." So I have to venture in a couple times a year to buy my horde. One thing I noticed that is different than Apple Pay (because it saves WM $ no doubt) is that when you self check out the WM Pay option is the biggest icon. (I don't use it myself -- no reason to).

OTOH when I'm shopping at other stores I almost have to know ahead of time if they accept it. There is typically zero promotion of its availability. And that is a problem because no one wants to look like a dolt trying to tap a console that isn't NFC capable (I've seen a lot of consoles that have the NFC logo but the NFC is actually turned off).

So I think Apple could do a lot better promotion here -- either lowering the rate it gets per charge or offering merchants promotional $. But in exchange require merchants to display an Apple Pay logo on the console or nearby.
 
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a.gomez

macrumors 6502a
Oct 10, 2008
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726
Sure, you use whatever the store you shop at takes. Also sounds like it is better tailored to the Walmart store. Would be insane not to use it.
 

cardfan

macrumors 68020
Mar 23, 2012
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OTOH when I'm shopping at other stores I almost have to know ahead of time if they accept it. There is typically zero promotion of its availability. And that is a problem because no one wants to look like a dolt trying to tap a console that isn't NFC capable (I've seen a lot of consoles that have the NFC logo but the NFC is actually turned off).

So I think Apple could do a lot better promotion here -- either lowering the rate it gets per charge or offering merchants promotional $. But in exchange require merchants to display and Apple Pay logo on the console or nearby.
Yep, this basically. This is why it's not that convenient. But I would go through this trouble if Apple makes it worth my while..just as discover did with its 25% off promo way back when.
 
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TreyCox

macrumors regular
Jan 6, 2012
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Washington, DC
I've been using Walmart pay a lot since getting the iPhone X. Face ID makes it really easy. I just go to the self-checkout, the iPhone scans my face, I scan the code on the screen, and it's ready to go.
 
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NachoGrande

macrumors 6502a
Mar 30, 2010
931
1,468
Is Walmart pay directly comparable to Apple Pay though? I mean, yes, both are mobile payment systems, but is Walmart Pay accepted anywhere other than WM? It seems like it's a one-store system whereas Apple Pay is more "universal."

I'm not a regular WM shopper but they are the only place in town that sells Chili Chocolate Granola bars and they are my "crack." So I have to venture in a couple times a year to buy my horde. One thing I noticed that is different than Apple Pay (because it saves WM $ no doubt) is that when you self check out the WM Pay option is the biggest icon. (I don't use it myself -- no reason to).

OTOH when I'm shopping at other stores I almost have to know ahead of time if they accept it. There is typically zero promotion of its availability. And that is a problem because no one wants to look like a dolt trying to tap a console that isn't NFC capable (I've seen a lot of consoles that have the NFC logo but the NFC is actually turned off).

So I think Apple could do a lot better promotion here -- either lowering the rate it gets per charge or offering merchants promotional $. But in exchange require merchants to display and Apple Pay logo on the console or nearby.
That's my problem with apple pay. Unless I see a sticker saying that it works I don't even try. I can't tell you how many times I looked like an idiot trying to pay with my phone only to find out it doesn't work.
 

Pman17

macrumors regular
Mar 12, 2011
235
91
Galveston, TX
Not surprising, one of the issues is most merchants don't advertise Apple Pay. You also don't see the NFC or Apple Pay options till you're unsure and pull out the card by the time it displays on the payment screen. Kinda feels awkward too when you don't have a card ready. Many don't even know what NFC or the symbol is or that it's related to Apple Pay.

Walmart advertises Walmart Pay big time, you're exposed to it immediately when you look at the pay pad screen for the first time. Another thing is people shop for groceries every week so Walmart has the edge because they're exposed to Walmart Pay advertising every week. Not really any other grocery store has NFC. I can't pay with Apple Pay at HEB or Kroger in Texas where I do most of my shopping.

If Apple wants to gain ground, they have to push it and a good start is the grocery stores. Whole Foods doesn't count.
 

GrumpyMom

macrumors G3
Sep 11, 2014
8,336
11,502
@Chupa Chupa there is actually such a thing as chili chocolate granola bars? :eek: My mind is blown. :eek::eek::eek: I do like chili. I love chocolate. I’m good with granola. I can’t imagine them together. I only go to Walmart when I’m down south. Next time I go, I’ll go seek out this strange treat you mention.
 
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AJ5790

macrumors 6502
Jun 1, 2016
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Phoenix
Unsurprising. Apple pay is basically Walgreens pay.

Most merchants aren't even sure if and what NFC they support and it seems to rarely be Apple based on waving my phone around.

And small businesses are almost exclusively square these days.
Completely inaccurate. True when Apple Pay came out but no longer. My gas station started taking it 6 months ago. Last major one for us is grocery store, and Safeway announces they’re adding support. Speaking of small businesses, I’m a high school teacher and run our senior class fundraising efforts, and even we take Apple Pay because of Square.