Is Apple a Major Player in Mobile Payments?
It’s difficult to find a market in which Apple doesn’t exert tremendous influence, but what about mobile payments?
According to IDC Financial Insights‘ new report, “Business Strategy: Apple and the Payments Tipping Point,” Apple may not yet be a mobile payments behemoth, but the tide could soon be turning.
“The possibility of Apple playing an increasing role in payments, one that leverages its entire ecosystem of online digital stores, brick-and-mortar retail outlets, and line of mobile devices to facilitate payments, has spurred considerable interest and debate within the payment community and tech press,” the report summary reads. “The question then is what does Apple stand to gain? And more importantly, what does Apple’s presence in the payment landscape mean for retailers, banks, processors, and other stakeholders?”
Based on the projections made, IDC believes that Apple’s solution, regardless of how it develops, will be aimed at making Apple’s devices more competitive, not disrupting the current payment market.
Apple’s entrance in payments will help the entire mobile payment space, creating a tipping point for the adoption of mobile payments for both consumers and merchants.
“Apple has been actively involved in making payments more convenient and streamlined for consumers who use its device,” said James Wester, IDC practice director for Worldwide Payment Strategies and author of the report. “Apple’s unique role as a device manufacturer, OS provider, and online retailer means Apple has the ability to impact the way payments evolve like few other companies. Merchants, issuers, processors, and other payment stakeholders will need to understand that impact and begin adjusting their investments and strategies accordingly.”