Apple Pay is growing, according to a new report from TXN, a firm specializing in consumer spending analysis. TXN’s latest report shows that between December of 2015 and December of 2016, Apple Pay’s transaction volumes increased by a little over 50 percent.
That figure comes with some caveats. It’s nowhere near the 500 percent year-on-year growth alluded to by Apple CEO Tim Cook in a Q4 earnings call, but that could be because Cook was referring to transaction volumes while TXN measured Apple Pay transactions as a percentage of all credit card transactions, and was working with an incomplete data set since not all of the banks providing records actually distinguished between use of their credit cards themselves and through Apple Pay.
Nevertheless, TXN says its data indicates that Apple Pay makes up a small percentage of overall credit card transactions. Even the retailers at which the platform is most often used, Duane Reade and Whole Foods, it makes up only 1.8 and 1.7 percent of credit card transactions, respectively. It’s doing a little better on mobile apps, with its performance in HotelTonight leading at 3.4 percent.
Still, growth is growth, and Apple Pay is unlikely to forfeit a market it helped to pioneer as more users turn to mPayment options, especially as awareness of digital threats – and the security advantage of Touch ID’s biometric scanning – increases.