Apple Pay a Catalyst for mPayment Growth

Apple Pay a 'Catalyst' for mPayment GrowthA new survey by 451 Research indicates that Apple Pay is “gaining momentum”, the tech market research company says. The mPayment platform is even apparently displacing PayPal.

A quarter of the survey respondents who own smartphones said they expect to use an mPayment app sometime in the following 90 days – a six-point increase from a year ago. And Apple Pay is the top pick among these users, with 45 percent saying that’s the platform they’ll use. PayPal, at 28 percent, has dropped four points over the last three months.

Consumers are also apparently starting to have more faith in the security of mPayment platforms: while 27 percent of the survey respondents said they thought mPayment systems aren’t as safe as credit cards, 24 percent said they thought mPayments are more secure – and that represents a net 26-point increase over the past year. It’s not clear how much Apple’s fingerprint-scanning TouchID authentication system factors into this, but it couldn’t have hurt.

451 Research Senior Mobile Payments Analyst Jordan McKee sees Apple Pay as a game-changer, noting that its introduction “has catalyzed a wave of strategic moves across the mobile payment ecosystem.” We’ve seen the proof in the flood of competition that has emerged since the platform’s debut: Android Pay, Samsung Pay, and even Alibaba has introduced its own mPayment platform, Alipay. As these make their way into the market, we’re likely to see mobile commerce and payment go mainstream in a big way.