In reply to Mike W..

Loyalty programmes are a big business. Major retailers are profiting on razor-thin margins largely because they run massive loyalty programmes where they track their customers' purchasing habits and offer targeted promotions. Apple is aware that disabling, or severely crippling this ability is a big problem for retailers. Therefore, for customers who want it, and retailers who need it, Apple will offer ability to use 'rewards' programmes. You (the customer) share your purchasing history, the retailer offers you rewards. If you don't want it, the retailer will NEVER have your private information, as long as you use ApplePay.

Using your credit card for payment instead of ApplePay, retailer will have it all, whether you like it or not. ApplePay is obviously a better choice, protecting you if you don't want those 'rewards', but letting you have them, if you don't care for your privacy. In other words, ApplePay offers you choice; with ordinary credit cards, you get no privacy protection at all.