New Juniper Research Study Says Apple Pay May Be Ultimate Mobile Payments Winner
Looking at the mobile payments environment, there are a lot of competitors out there, and it’s easy to think that the market is so diffuse that there’s no clear winner or loser right now. As it turns out, a new study from Juniper Research suggests that there may be a clear winner after all, and it’s none other than Apple Pay.
The Juniper Research study suggests that Apple Pay will actually account for half of all OEM payments made worldwide by 2020. That’s an interesting development, as currently, Apple, Samsung and Google together make up around 50 percent of the market for contactless mobile payments worldwide. By 2020, meanwhile, the OEM payments market is projected to spike to reach 450 million payments, and the triumvirate of Apple, Samsung and Google will have about 60 percent of that market between them.
That’s not to say there won’t be plenty of others; the current mobile contactless payments market is currently perched around the 440 million mark—just a hair under the total OEM market in 2020—and by 2020, the total mobile contactless market should clear the 760 million mark. So while Apple will have a pretty hefty slice of the pie, it won’t be alone in this market by any stretch.
The various other OEM payments providers—Huawei Pay, Xiaomi Pay, and so on—will pull in around 20 million payments by 2020. With over 200 banks stepping into the fray with HCE-wallet services just as of 2017, more gains are expected to follow.
With some reports suggesting that Apple Pay adoption is on the rise, these numbers have clear anchor in reality. After all, we’re talking about an OEM platform that’s got a massive following, and one that hasn’t exactly been eager to adopt the mobile payments side of things at Apple. If that trend is actually changing—and some reports say that’s exactly the case—then Apple stands to make one doozy of a payday.
Only time will tell how accurate Juniper’s projections are, but there’s enough to suggest it may be on to something. Apple Pay could be a much bigger part of the landscape to come than a lot of people saw coming.