More than half of contactless payment terminals in the UK now accept Apple Pay transactions of more than £30 – taking Apple Pay into the territory not serviced by contactless cards and boosting mobile billing & payments.
Retailers now accepting the higher-value payments include supermarkets such as Waitrose and Sainsbury’s and restaurants including Pizza Express and Nando’s.
The move comes as the m-payments bubble in-store looked in danger of bursting. The most recent data from PYMNTS.com shows that both adoption of Apple Pay and its usage are showing the first signs of decline. The percentage of iOS users surveyed that had tried Apple Pay fell from 23.8% in June 2016 to 21.9% in March 2017. Furthermore, in March 2017, 48.6% of those users that had not tried Apple Pay said that they were happy with their current payment method (plastic card) compared to 37.0% in March 2015.
But Apple’s move now make Apple pay a more attractive alternative to contactless cards for many. The news also comes as Forrester predicts that mobile payments are set to almost triple over the next five years, vaulting from €52 billion at the end of 2015 to €148 billion by 2021.
Mobile in-person payments will grow the fastest, increasing almost fivefold between 2016 and 2021, from €4.6 billion in 2016 to €22.8 billion in 2021; they will account for nearly 16% of all mobile payments in the EU-7.
The launch of European mobile payment platforms, such as BNP Paribas’ Wa! in France and PayPal’s collaboration with Vodafone Wallet to enable in-person payments in Italy, as well as the market entry of technology giants like Apple, Google, and Samsung have led to greater consumer awareness of and opportunities for mobile in-person payments.