Will Apple Pay Increase Online Sales?

Adobe Digital Index says that online stores that enable digital wallet payment options are likely to experience a higher conversion rate, with customers 10% more likely to check out when a mobile wallet option is available.

With the official rollout of the newest mobile wallet solution, Apple Pay, users can now securely pay for items with the help of TouchID authentication. Some backers who have implemented the Apple Pay service in-app are Groupon, OpenTable, Target, Panera, and the Apple store.

Adobe also found that digital wallet payment options are most often utilized via smartphones; meanwhile, about 23% of online purchases utilized another payment form. ADI also noted that 16% of customers apply a mobile wallet payment via desktop and 19% via tablets. Adobe also predicted that Apple Pay is likely to become the default alternate payment method of choice for Apple users, allowing for mobile wallets as a whole to become more commonplace.

Principal Analyst Tamara Gaffney stated, “Most retailers are initially excited about Apple Pay’s implications for the in-store environment, In-store adoption of payment technology, however, typically takes longer because it means new systems at the store. So, as Apple Pay becomes more ubiquitous, its first win could very well be online.”

ADI has also indicated that iOS device users are far more active and engaged in comparison to Android users. Adobe has based their conclusions on 700M app sessions that display 65% of app launches have occurred via iOS while a mere 34% of app launches occur via Android.

Adobe was also able to conclude that iOS users remain in-app twice as long compared to Android users.

Apple Pay can be utilized for online purchases on the iPhone 6, iPhone 6 Plus, iPad Air 2, and iPad mini 3.

For additional news on Apple, visit the PYMNTS.com Apple Pay EcoSystem.