One fifth of iPhone 6 owners in the US (20%) have used Apple Pay at least once, research from First Annapolis Consulting reveals, down from 22% in spring last year. 15% say they use it regularly — more than once per month — down from 19% in the 2015 survey.
66% have used the service to make an in-store purchase, while 52% have done so to make an in-app payment. 60% are “very satisfied” with their experience of using Apple Pay, while 94% are at least “somewhat satisfied”. No respondent indicated any level of dissatisfaction with the mobile payment service.
On average, Apple Pay users have loaded 2.3 cards into Apple Pay. 75% of cards loaded were general purpose payment cards — 41% credit, 30% debit and 4% prepaid — while 25% were proprietary retail store or loyalty cards.
73% of the 1,300 household financial decision-makers and smartphone users surveyed have heard of Apple Pay. Awareness increases to 84% among those who own an iPhone 6.
“Awareness among iPhone 6 users is down slightly from 88% in our spring 2015 survey,” says Hugh Gallagher, a principal at First Annapolis. “High awareness is a necessary but not sufficient condition for the success of a new payment service such as Apple Pay. At this point in time, the typical financial institution can expect 1 to 2% of cardholders to use Apple Pay two or more times, based on the survey results.
“This represents positive momentum for the evolution of the US mobile payments market, but it also suggests a long adoption curve. Despite different stakeholder interests and mobile-related initiatives, most signs point to long-term success.”
“While early adoption of Apple Pay may not be as high as expected and appears to have plateaued since the initial launch in October 2014, usage is likely to continue to increase with the proliferation of other mobile payment solutions which should expand the merchant acceptance base and broaden the availability and visibility of mobile payments in general,” Gallagher adds.