Daily Management Review

Apple Pay Launched in Britain, Ropes In Major Banks


Apple Pay Launched in Britain, Ropes In Major Banks
After being first introduced in the United States nine months ago, it was the turn of Britain to make use of Apple mobile payments facilities in Britain.  Apple Pay was formally launched throughout Britain on Tuesday and users of this application would be able to take advantage of the services at more than 250,000 sites, from Tube stations to coffee shops, supermarkets and travel services.
Despite opposition from hold-out banks and stores that seemed to have evaporated as the launch date drew nearer, Tuesday saw many British Apple customers using the facility for tap-and-go purchases. Company sources said that the available sites for the use of Apple Pay in Britain would be more than those that the company has while it has made the launch of the services in the United States. Consumers would be able to use the facility at strategic as well as regular sites which would ease the way people shop.
The application mandates the loading of the credit and debit card details of the user onto either Apple phones or Apple watches. While making payment using Apple pay, the users would just have to hold the Apple Phone or the watch near a contact-less terminal with the user's fingerprints that confirm the identity of the users before making the payment.
While this application would generate some revenue from a small part of every retail transaction that a user makes, the company believes that it would help create a better bond with the customers and users of Apple phones and smart watches. This would also help in increasing customer loyalty and with the application getting popular, would also be reflected in the increase in sale.
The company is hopeful that most of the major banks operational in Britain would support Apple Pay eventually. In a recent development, Barclays allowed the use of its debit card and Barclaycard credit card holders to use Apple Pay to make purchases and pay bills. The company is very optimistic that all the major banks would be on the boat in the near future.  
Technical difficulties, on the launch day, however forced HSBC Holdings, a major bank, to stop the Apple pay services for at least a couple of weeks. The customers of the bank would only be able to use Apple pay after two week break.
Other banks on the other hand put up advertisements in the London subway urging bank customers with Apple phones, tablets and smart watches to link their debit and credit cards to Apple Pay.
Apple pay enjoys the support of big brands and utility services like the Tube-operator Transport for London, retailers Boots, the British pharmacy business of Walgreens Boots Alliance, Costa Coffee, supermarkets Marks and Spencer and Waitrose in favour of the use of Apple Pay.
Apple claims that payments made through Apple Pay is seemingly more secured than most other electronic payment methods once the user has securely entered the card data  in the Apple phones, tablets or smart watches.
Reports say that apple is working to introduce Apple pay next in China, South Korea and Canada
(Source: http://www.reuters.com)