Early Apple Pay Reception Tepid Outside of United States

Apple-PayApple Pay is seeing a lukewarm reception in many countries outside of the United States and is making just a "small dent" in the global payments market, according to a new report from Reuters.

In 2015, Apple Pay usage totaled $10.9 billion, most of which came from the United States. That figure is perhaps unsurprising as Apple Pay has been available in the United States since 2014 and only began rolling out to additional countries in 2015. Apple Pay is now available in the United States, the UK, China, Canada, Australia, and Singapore.

Though Apple Pay is in the early stages of adoption outside of the United States, it seems to be struggling to gain a foothold in the countries where it's now available. In China, Apple Pay has to compete with established payment services Alibaba and Tencent, and according to research conducted by Reuters, Chinese users have complained that using Apple Pay is not as seamless as WeChat, Tencent's payment service.

In Britain and Australia, contactless payment cards are in wide use, so iPhone users need to go to the trouble of adding their cards to Apple Pay. Juniper Research analyst Windsor Holden told Reuters that the prevalence of contactless cards makes it more difficult to persuade people to adopt Apple Pay.

"You have over 86 million contactless cards in circulation, you have to persuade Britons to register their cards to the (Apple Pay) service when they can already use them to make a contactless payment," Holden said

Bendigo Bank in Australia says it is experiencing "some unforeseen technical issues" accepting Apple Pay payments at select merchant terminals, something Apple Pay vice president Jennifer Bailey told Reuters was "not representative" of the Apple Pay experience.

Apple Vice President Jennifer Bailey said such experiences were premature and not representative. "Like any set of major technology changes, it takes time," she said. "We want to move as quickly as possible, we push it as quickly as possible."

In addition to a lukewarm reception in the countries where it is available, Apple Pay is seeing a slow global rollout due to the need to negotiate transaction fees with multiple partners. Apple makes approximately 15 cents for every $100 spent in the United States, but has had to negotiate lower fees in some countries. Apple has also faced resistance in locations like Australia, Canada, and the UK because banks in these countries are building their own competing payment products.

Apple Pay hasn't yet caught on globally, but Apple is "working rapidly" to expand Apple Pay to additional locations in Asia and Europe. Apple Pay is expected to debut in Hong Kong in the near future through a partnership with American Express, which will also bring the payments service to Spain later this year. Rumors and leaked documents also point towards negotiations to bring Apple Pay to France, Brazil, and Japan in the not-too-distant future.

In a recent interview with TechCrunch, Bailey said Apple considers a number of factors when deciding where to deploy Apple Pay, including the size of the Apple product market, credit and debit card penetration, and existing contactless payment coverage.

Related Roundup: Apple Pay

Top Rated Comments

(View all)
Avatar
58 months ago
This contradicts what I've seen in the UK. I've been really impressed by how quickly Apple Pay is taking off here, helped by the fact it's accepted almost everywhere.
Score: 25 Votes (Like | Disagree)
Avatar
58 months ago
The Canadian part of this report is extremely skewed as 3 of the 5 major banks signed on around 2 weeks ago ... And the others (and arguably the most popular) signed on THIS MORNING.
Score: 18 Votes (Like | Disagree)
Avatar
58 months ago
This article is ridiculous ... Most of the countries outside of the US has only just seen adoption in the last couple of weeks.

Canada literally didn't officially support it until 2 weeks ago and the 3 major banks signed this morning....

This is a classic bait title and has zero grounds of truth. Canada twitter lit up this morning in celebration of apple pay.
Score: 15 Votes (Like | Disagree)
Avatar
58 months ago

I stopped using Apple Pay months ago, simply because the TouchID is so damn unreliable.

It took me longer to finagle the stupid thing to read my fingerprint than the time it takes to pull out my credit card and even use the chip reader thing.

Sounds like you may have a broken TouchID sensor? Or maybe when you set up your finger/thumb print, you did it at a weird angel? I've been using TouchID and Apple Pay on an iPhone 6 (not S) since day 1 at a variety of stores/locations all across the U.S. and can only think of 1 time I had an issue. Unless you're just complaining to complain, which is staggering on this forum nowadays. What the heck happened? I know it's only gotten worse over the years, but good lord.
Score: 13 Votes (Like | Disagree)
Avatar
58 months ago
This "news" is beyond trash, most countries had a very limited roll out until very recently.
Mac Rumor should be embarrassed to run this thing.
Score: 12 Votes (Like | Disagree)
Avatar
58 months ago
I stopped using Apple Pay months ago, simply because the TouchID is so damn unreliable.

It took me longer to finagle the stupid thing to read my fingerprint than the time it takes to pull out my credit card and even use the chip reader thing.
Score: 8 Votes (Like | Disagree)

Top Stories

Apple References Unreleased 2020 16-Inch MacBook Pro in Boot Camp Update

Monday October 26, 2020 8:42 am PDT by
Last week, Apple released an update for Boot Camp, its utility for running Windows on a Mac. While this update would typically be unremarkable, several of our readers noticed that the release notes reference an unreleased 2020 model of the 16-inch MacBook Pro. While this could easily be a mistake, the 16-inch MacBook Pro is nearly a year old, so it is certainly a worthy candidate for a...

MagSafe Charger Only Charges at Full 15W Speeds With Apple's 20W Power Adapter [Updated]

Monday October 26, 2020 3:38 pm PDT by
Alongside the iPhone 12 and 12 Pro models, Apple introduced a new MagSafe charger that attaches to the magnetic ring in the back of the devices, providing up to 15W of charging power, which is double the speed of the 7.5W Qi-based wireless charging maximum. Apple does not provide a power adapter with the $39 MagSafe charger, requiring users to supply their own USB-C compatible option. Apple...

Google Reportedly Pays Apple $8-12 Billion Per Year to be Default iOS Search Engine

Sunday October 25, 2020 2:59 pm PDT by
The United States Justice Department is targeting a lucrative deal between Apple and Google as part of one of the U.S. government's largest antitrust cases, reports The New York Times. On Tuesday, the Justice Department filed an antitrust lawsuit against Google, claiming the Mountain View-based company used anticompetitive and exclusionary practices in the search and advertising markets to ...

After Mocking Apple, Samsung May Remove Power Adapter From Galaxy S21 Box

Tuesday October 27, 2020 4:29 pm PDT by
Samsung's Galaxy S21, coming in 2021, may not include a power adapter or headphones in the box, according to reports from Korean media sites highlighted by SamMobile. Rumors earlier this year also said that Samsung was considering removing these accessories from future smartphone models, but that didn't stop Samsung from mocking Apple for selling the iPhone 12 models without a power adapter...

Report: Apple Silicon iMac Featuring Desktop Class 'A14T' Chip Coming First Half of 2021

Tuesday October 27, 2020 4:14 am PDT by
The first iMac powered by Apple Silicon is set to arrive in the first half of next year and will feature a desktop class "A14T" chip, according to Chinese-language newspaper The China Times. Codenamed "Mt. Jade," Apple's first custom-made desktop processor will be twinned with its first self-developed GPU, codenamed "Lifuka," both of which are being produced using TSMC's 5-nanometer process, ...

iPhone 12 Six-Foot Drop Test Results: Ceramic Shield More Durable But Not Damage Proof

Monday October 26, 2020 5:00 am PDT by
Apple's new iPhone 12 and iPhone 12 Pro feature a new Ceramic Shield screen that Apple says offers 4x better drop performance. To test that claim, Allstate Protection Plans put the two models through a range of breakability tests and recorded the results. In a face down sidewalk drop test at six feet, the iPhone 12 suffered small cracks and scuffed corners and edges, leaving sharp grooves in ...

Bloomberg: New AirPods and AirPods Pro Coming in 2021, AirPods Studio Delayed, Third HomePod Model Also Possible

Monday October 26, 2020 3:34 am PDT by
Apple plans to update its AirPods line next year with two new models including third-generation AirPods and second-generation AirPods Pro, according to a new report from Bloomberg. The Cupertino, California-based technology giant is working on two new models: third-generation entry-level AirPods and the second version of the AirPods Pro earbuds, according to people familiar with the plans. ...

2020 iPad Air vs. iPad Pro: Hands-On Comparison

Tuesday October 27, 2020 3:03 pm PDT by
Apple announced the new 2020 fourth-generation iPad Air in September, but the new tablets just started shipping out to customers last Friday. We picked one up and thought we'd do a hands-on comparison with the iPad Pro, which was last updated in March, because both tablets are about as powerful and share many similarities. Subscribe to the MacRumors YouTube channel for more videos. Design and ...

iPhone 12 Ceramic Shield Still 'Scratches at Level 6 With Deeper Grooves at Level 7' in Mohs Hardness Test

Wednesday October 28, 2020 7:10 am PDT by
iPhone 12 and iPhone 12 Pro models feature a new Ceramic Shield front cover that is "tougher than any smartphone glass," according to Apple, but the displays on the devices still have similar scratch resistance as previous iPhones based on a new test. Zack Nelson today shared his much-anticipated iPhone 12 Pro durability test on his YouTube channel JerryRigEverything, and based on the Mohs...

Apple Files Mystery 'Personal Computer' With Placeholder 'B2002' Name in Bluetooth Product Database

Tuesday October 27, 2020 12:36 pm PDT by
Last week, a listing appeared in the Bluetooth product database for an Apple product with a placeholder name "B2002" and a model number of "TBD." MacRumors was alerted to the listing by health and fitness tech website MyHealthyApple. The product is filed under the "personal computer" category, which Apple has used for previous Mac and iPad listings in the database, so it is hard to pinpoint...