Apple Pay Breakfast briefing 6 October 2015 Apple
Apple Pay Breakfast briefing 6 October 2015
Apple Pay now accepted • In store • In-app purchases • Transport for London
In store • UK high street retailers • Potential to be many more as uses NFC readers that provide technology for contactless
In-app • Extra payment option
London Underground • No Oyster card or ticket required • i. Phone or Apple watch • Create account on Tf. L website to view journeys and payments • Simple to apply for refunds when things go wrong
UK Market
Contactless in UK • 70 million cards issued • 259 k bank-owned terminals available • £ 2. 5 bn spend in 2015 H 1 • 2014 - 27% of all card transactions in Leeds were contactless
Contactless in UK • June 2015 – Over 80 million transactions - trebled since May 2014 – Average spend of £ 6. 98 • September 2015 – Transaction limit raised to £ 30 – Not implemented by all retailers
Apple Pay in UK • Apple Pay UK launch 14 July 2015 – 1 million transactions in first 3 days • Payment limit £ 30 • With option to accept higher value because it has ID confirmation
Apple Pay available most high street banks • • HSBC & first direct Nat. West Santander Nationwide Lloyds Halifax Bank of Scotland Coming soon • TSB • Barclays
Apple Pay devices • i. Phone 6 models • Apple Watch • 80% of Apple Watch owners use Apple Pay
How to use Apple Pay
How to set up Apple Pay • Open Passbook (i. OS 8) or Wallet (i. OS 9) • • Tap to link a new card Photograph your card Add security code And you’re done
How to use Apple Pay in store
How to use Apple Pay in app
Competitors
Barclays b. Pay • Sticker, fob, wristband – Purchased separately • Pre-loaded from an account – Limited to UK Visa & Mastercard • No additional security required • Mobile app to track spending & top up on the go
Android Pay • Released end 2015 in US • Payment available – In store by NFC – In app • Direct competitor
Samsung Pay • South Korea - released August – 1. 5 million transactions $30 million • USA - released 28 September • Releasing soon – UK, China & Spain • Available on – Galaxy S 6 models – Note 5 • Uses Magnetic Secure Transmission (MST) so usable on swipe machines
Samsung pay 20
What’s ahead?
Seamless payments Amazon One-Click • Differentiates service • Drives loyalty
Enabling the “spontaneity economy” • High browsing rates on e-commerce • But users switch to desktop to checkout – Tricky to enter full details (address & credit card info) on the phone • Phone payment can increase the number of spontaneous purchases
‘Zero interaction’ retail experience • • Pick up an item Scan it in Pay from the app Walk out with your purchase
Loyalty cards • Integrating mobile payment with loyalty points to promote seamless checkout • Coming with Wallet i. OS 9
Improving accessibility • Wheelchair users may not be able to reach and see PIN pad but holding phone out will be easier • People with reduced hand mobility can use fingerprint ID and don’t have to expose security by asking someone else to type PIN • No need to remember PIN so easier for people with learning difficulties or mild dementia
What’s ahead? • Seamless payments in app could encourage app usage vs response websites • More conversions on mobile • Increase in smaller purchases
Questions?
- Slides: 28