Apple Pay Accounts for 1 in 2 OEM Pay Users Globally

Apple Pay Accounts for 1 in 2 OEM Pay Users Globally
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New data from Juniper Research estimates the global number of mobile contactless users will exceed 760 million by 2020, up from an estimated 440 million in 2018. It forecasts OEM Pay services, including Apple Pay, Samsung Pay and Google Pay, will reach 450 million by 2020, with Apple accounting for 1 in 2 OEM Pay users globally.

According to the new research the combined market share of Apple, Samsung and Google will reach 60% of global mobile contactless users by 2023, up from an estimated 50% in 2018. Other OEM Pay users, including the likes of Huawei Pay, Xiaomi Pay, Fitbit Pay and Garmin Pay, will exceed 20 million by 2020. Meanwhile, well over 200 banks had deployed HCE-wallet services in 2017, expected to drive future growth in many markets.

While contactless payments use has risen rapidly, this does not mean higher growth for mobile contactless payments. In many established markets, contactless cards remain the most likely to have increased current and future usage by consumers, and OEM Pay options may struggle to gain traction amongst existing users in such markets.

However, the research found that contactless payment transactions, conducted across all types of payment cards, mobile and wearable devices, will reach $1 trillion in value this year, a year earlier than previously anticipated by Juniper Research.

“With contactless payments becoming the norm in many global markets, the attendant payment infrastructure is also becoming well established. Indeed, in markets such as Europe, contactless payments are becoming the preferred method of in-store payments“, said research author Nitin Bhas. On a global level, contactless card payments are strongest in Far East & China and Europe; accounting for 78% of global transaction volume in 2018.