Tag: mobile payments apple

Apple could find a foothold in mobile payments through its Cloud

Apple Pay could become a more powerful platform with the help of the Cloud

Apple may benefit by shifting its mobile payments platform, Apple Pay, to the Cloud. Apple Pay was launched late last year and quickly managed to gain support from Apple fans. According to Apple, the mobile payments platform has more than 1 million users, though a relatively small number of these consumers are actually using the platform to purchase products online and in physical stores. Connecting the platform to Apple’s powerful Cloud could lead to some benefits for the payment service.

Competition is forcing Apple to look for new ways to engage mobile consumers

Apple is facing growing competition from various companies that are interested in mobile payments. These companies want to establish a foothold in this sector and some have already launched their own mobile payments services. In order to beat the competition, Apple will have to find new ways to engage consumers and provide them with valuable services. Shifting to a cloud-based service may provide Apple Pay with a fighting edge against the competition, as it would lead to several benefits.

Cloud integration could ensure consumer loyalty and provide better payment services

Mobile Payments - Cloud TechnologyOne of the benefits of migrating Apple Pay to the Cloud would be customer loyalty. A recent survey found that approximately 5% of iPhone owners use Apple Pay regularly, with some preferring to use traditional forms of commerce. The Cloud may also be able to introduce a wide range of value-added services, such as allowing consumers to store digital receipts for record keeping purposes. Notably, the Cloud could also lead to a smarter Apple Pay, one which can learn from the shopping habits of its user and offer a better mobile payments experience.

Apple Pay has had trouble effectively engaging consumers

While Apple has taken a strong interest in mobile payments, the company’s payments service has struggled to find mainstream success. Apple Pay’s initial launch was supported by a wide range of retailers and banks, but these organizations are beginning to show strong favor for other payment services, largely because they do not charge fees like Apple Pay does. Mobile payments have yet to attract the favor of the majority of consumers as well, with many preferring traditional forms of payment.

Apple is looking to take another step into mobile payments

Apple may be working with banks to develop a person-to-person payment service

Apple is reportedly in discussions with banks in the United States to develop a new payment service that would serve as a person-to-person platform. Such a system could further strengthen Apple’s position in the mobile payments space, where it has already established a strong foothold. While Apple may be in negotiations with banks, it is as yet unclear whether or not these organizations will be working with the company to develop this sort of person-to-person system.

Consumers are becoming more active in the mobile payments field

Many consumers in the United States are beginning to embrace mobile payments, but these consumers represent a relatively small portion of the country’s mobile audience. Should Apple acquire support from banks for this new initiative, it would be in a better position to compete with other organizations that have become involved in mobile payments. Apple Pay, which was launched a relatively short time ago, has managed to find some success, but still lags behind other payment systems in terms of adoption among consumers.

Demand for person-to-person money transfer services is rising quickly

Mobile Payments - AppleAs consumers become more involved in mobile payments, the demand for money transferring services is on the rise. Consumers want to be able to send money to their friends and family, a service that is featured in some payment systems that have already been well established. If Apple moves forward with its plans, its new mobile payments service is likely to be similar to PayPal’s Venmo platform, which has acquires strong support from a wide range of consumers.

How Apple will continue to generate revenue from mobile payments is uncertain

One of the concerns regarding the new service is how Apple will generate revenue through it. Apple Pay issues fees associated with every transaction being made, and these fees are imposed on retailers as a way to make the platform profitable. The new service may introduce fees on person-to-person money transfers, but Apple has offered any specific details concerning this. The company has not yet highlighted ways it could generate revenue through the service.