Elavon announces support for mobile payments service from Apple
Elavon, a provider of payment technology in Canada, has announced that it has become one of the first payment processing companies to support Apple Pay for Canadian businesses. This means that Apple Pay will now be able to be used at existing EMV point of sale terminals in Canada. Apple launched its new mobile payments service in Canada late last year, but has yet to find any significant support among consumers. This is similar to what apple is experiencing in the U.S., where mobile payments have yet to become mainstream.
Support may provide Apple with the momentum it needs to find success in Canada
Backed by Elavon, Apple’s mobile payments service may gain the ability to reach more consumers. This may be a boon for retailers using Elavon terminals, as this will allow them to connect with consumers that are becoming increasingly mobile-centric. These consumers are beginning to use their mobile devices to get their shopping done as they see mobile payments as more convenient. Mobile payments are still relatively uncommon in Canada, but consumers are showing a great deal of interest in services that allow them to use their mobile devices as digital wallets.
Apple Pay security features may make consumers feel safer about mobile payments
One of the reasons that consumers in Canada, as well as elsewhere, are somewhat weary of mobile payments has to do with security concerns. In the past, consumers have fallen prey to malicious groups that sought to exploit their financial information, which was acquired through compromised payment systems. Apple Pay, however, has won praise for its security features, particularly its use of biometric technology.
Apple may face competition from other companies that are involved in the mobile payments space
Mobile payments services are likely to gain more momentum in Canada as new services become more available. Apple is likely to experience some competition in Canada, as there are already mobile payments services available in the country. The company may be able to overcome this competition, however, by leveraging the security of its service.
While Apple Pay will be coming to new markets, Apple has been experiencing some pushback from financial institutions in several markets. Banks, in particular, are unsure of the value of Apple Pay, largely due to the other payment services that exist. Some of these banks have their own mobile payments platforms and see Apple Pay as something that will have only moderate appeal to consumers.