What you need to know
- Research suggests that Apple Pay will account for 52% of all OEM transactions by 2024.
- Currently, that figure is around 43%.
- A research paper from Juniper Research says that the value of global contactless transactions will reach 6 trillion dollars in 2024.
A report from Juniper Research says that Apple Pay will account for 52% of all OEM transactions by 2024.
According to Telecompaper:
The research found that Apple Pay will account for a 52 percent share of OEM Pay transaction values, up from 43 percent in 2020. The expansion of Apple Pay's user base in main regions, including the Far East & China and Europe, will drive growth, as well as the extension of Apple's reach outside OEM Pay through its Apple Card initiative.
Research author Susannah Hampton said competitors, including Google and Samsung, must continue to expand the reach of their services in order to make strides in the market.
The whole report states that global contactless transaction values will reach nearly $6 trillion by 2024, up from $2 trillion in 2020, driven in part by significant growth in OEM Pay.
OEM payments are those made through on-device services like Apple Pay, Google and Samsung offer similar 'Pay' services.
The research also notes that whilst in places like the US, contactless cards are becoming increasingly prominent, OEM Pay transactions will still outstrip contactless due to the restrictions placed on contactless cards, namely payment limits. Many contactless card issuers set a limit on how much you can spend in one transaction to limit the damage a thief could do if they were to acquire your card. In contrast, there are no restrictions on payments made through Apple Pay because it's protected by Face or Touch ID, as well as your iPhone or Apple Watch passcode.