Apple Pay has overtaken Mastercard in monetary value of annual transactions, with its total of $6 trillion meaning the service is already halfway to equaling Visa, a new study claims.
Apple Pay is the 2nd payment system
Since its launch in 2013 in the United States, Apple Pay has seen its adoption increase by users, banks and retailers, until in 2021 it accounts for 92% of all debit transactions by mobile wallet. In France, Apple Pay is even accessible for 99% of customers.
Now, according to comparison site TradingPlatforms, Apple Pay is the second most popular digital payment system, beaten only by Visa. The latter, which takes the top spot, processes around $10 trillion in transactions a year, compared to more than $6 trillion for Apple Pay.
This means that for the first time, Apple Pay as a whole – including Apple Card – has overtaken Mastercard, which processes around $4.8 trillion in transactions. Apple Pay also matched Alipay, which reportedly handles exactly $6 trillion in transactions.
Google’s GPay system is said to be in fifth place, with around $2.5 trillion in transactions.
Apple Pay is increasingly becoming the preferred payment method for consumers and businesses. The fact that it has now processed more transactions than Mastercard is a testament to its popularity.
Apple Pay has an unfair advantage and benefits from its monopoly on the NFC hardware of iPhones. We expect to see Apple Pay continue to grow in popularity and market share in the years to come.
The data presented seems to be believable, at least given what we know about Apple’s financial results and transaction fees. The other companies, with the exception of Google, are more transparent when it comes to trading volume, and this data also seems to be about right.
What are the drivers of Apple Pay adoption?
Tap-to-pay (T2P) technology isn’t new, but it has grown by leaps and bounds over the past two years. If Apple Pay is a hit in stores, it is exploding in the online and mobile shopping market. And the pandemic has certainly made it easier.
And you, do you use Apple Pay? Tonight, we can always dream of an Apple Card in France during the iPhone 14 keynote.