When announcing Apple Pay last month, Apple showed off a list of launch partners that would be putting the NFC-powered iPhone payment system to work in October, including McDonald’s, Nike, and Macy’s. However, the Daily Dot has compiled a list of businesses that don’t currently have plans to adopt Apple’s mobile payment system, and there are some notable entries on the list.
Of course, it doesn’t seem unexpected that many businesses that didn’t have early access to the hardware and software that makes up Apple Pay would be without current plans to adopt the technology. Many of the companies gave a “non-statement,” so to speak, confirming that they are considering the possibility of implementing the system in the future but don’t currently have a date set to roll it out.
The issue is not so much that these companies are hesitant to adopt change. It seems more likely that they were simply caught off guard by the announcement and need time to evaluate the benefits and costs of rolling the system out across all of their stores. The list of companies still evaluating the technology include big electronics retailers like Best Buy; restaurants like Pizza Hut and Chipotle; Belk; and Bed, Bath & Beyond.
Many other stores appeared on the list, but the easiest way to break it down is to say that if a store doesn’t appear on Apple’s official list of launch partners (seen above), there’s a good chance they haven’t had time to fully determine the benefits of upgrading their entire payment system to accommodate the new tech.
Third-party app developers will have a much easier time implementing Apple Pay, though, since it doesn’t require rolling out all new payment hardware at hundreds or thousands of locations. Apple has released a list of apps that will support Apple Pay at launch later this month (above), but you can expect that several more will likely follow soon after.
The bottom line here: don’t worry if your favorite retailer hasn’t adopted Apple Pay yet, or even says there are currently no plans to do so. Most haven’t had time to figure out exactly how to handle the change, or whether it will be worth the money and effort required.
FTC: We use income earning auto affiliate links. More.
They will adopt. They would be fools not to. So they can say “no” all they want. Its about money…they “will”
If it’s about money they’d be smarter NOT to adopt it. It will cost money to roll out the hardware. On the other hand, NOT rolling out the hardware and refusing to support Apple Pay is unlikely to cost them significantly in terms of lost sales. People will still shop at these stores whether they have Apple Pay or not.
Its true, But its necessary if they were requested by the customer that they demand for ApplePay, I guess they will push for new hardware only if the customers demands it… Otherwise its not needed.
Mike 2015 most retailers are upgrading to new pos terminals avoid being responsible for fraud $ which starts October. Most if not all of these do nfc. This definitely played into apples timing
Retailers don’t own the hardware, the pay a monthly fee for it. It won’t cost them anything to update terminals except time and training. Within the next two to three years you’ll be hard pressed to find a retailer that doesn’t have this capability.
I disagree and think you’re wrong. It’ll be super annoying to shop at those holdout stores, the whole point of Apple Pay is to not have to use ancient paying technology like cash and credit cards. I for one, and I can’t be alone in this, will simply avoid shopping at stores which won’t implement Apple Pay because I don’t want to carry a wallet. I’ll go elsewhere with my money and they will lose my business. No, not every customer has a new iPhone, but many do and in a short amount of time like 1-2 years, most users will have upgraded to an Apple enabled iphone. They too will find it annoying to shop at the holdout stores and in world where there are so many options, it’s easy to lose customers.
“Apple Pay enabled iphone” I meant to say above
It will cost money but the retailers have to update their POS systems by October 2015 to accept chip cards. The incremental cost of including NFC is that update is close to zero (industry folks say that close to 100% are including it).
It may cost money NOT to adopt it… Banks may hold them responsible for fraud and may charge additional fees as a result. If the banks jumped on board. The merchants will accept it or relegate themselves to making less money.
Nope, if your competition adopts it, then you will be force to comply. Convenience is an edge in a competitive environment, and Apple Pay can represent this convenience. Those that adopted earlier will have an edge because of this factor. The competition will follow, so it is about money, but not the way you see it. Lost sales are only lost when people buy elsewhere. Add to this the added security layer of Apple Pay and you will soon see it everywhere.
I’m like Jrox16 i don’t even go to stores that don’t take debit/credit. Then stores have the audacity to tell me they have an ATM. i just don’t understand the mentality behind having to pay an ATM fee for my money that i then have to give to you.
Any place that accepts debit/credit cards must meet PCI DSS compliance. Even still, some of the small stores that accept it are paying a bunch of fees just to accept these types of transactions.
The audacity is people like you demanding they support your “precious” payment technology or lose your business. You probably wouldn’t have bought anything from them in the first place, yet you want them to spend time and money to invest in something that may not see an increase of business?
What will customers do if they shops don’t have Apple pay? They’ll just get their credit cards out and pay the old fashioned way.
I see no reason for any store to implement Apple pay, unless Apple are going to pay them to do it.
Again if you would learn to read retailers will be required to upgrade their hardware to support new chipped credit cards. You would be an idiot not to get readers that support NFC. NFC benefits everyone, not just Apple.
Apple has the most important partners on there side, and its the banks. They want to see Apple Pay succeed. Retailers that don’t support will be in for a rude awakening come 2015, when banks push fraud payments onto the retailers them selves. Just the thought of it will scare retailers into NFC pay terminals.
Unless the “other guy” get Apple Pay and some of your customers start going over there for the added security and convenience. Reason enough to jump in.
apple is late to the party. most of these retailers are coming up with their own payment. theres no reason for apple pay. nobody is going to leave and not buy anything because they dont accept apple pay. Its a convience thing like cash back. You are in line and they dont do cash back do you get out of line put everything back and leave. no you still buy it. are you really going to leave because they dont have apple pay. no youre just going to pull out your wallet and pay.
@jrox16
yeah because not accepting credit cards and only accepting cash destroys business. just ask costco.
Bring Apple Pay to Australia. NFC terminals are available in the majority of the stores here and has been around for a half decade and NOW most retailers are asking customers to pay via NFC so more people are aware of the process here. I can’t wait!
I’d be happy if they’d simply let apps like the Commonwealth Bank app have access to the NFC function.
I believe Apple’s implementation will be better then what any of the banks will be able to do on iOS.
P.S. While I am a customer, I don’t have my entire savings with COMBANK, but my god am I envious of your application.
I think it should start showing up in most places that already have the terminals (which seems to be everywhere in the industrialised world outside of the USA). It’s mostly down to the banks and Apple to work out the processing of the payment, the infrastructure itself is already there.
They have Barclays on board for the launch too which gives me hope that it’s coming to the UK sooner rather than later, which is great because I bank with Barclays!
I wonder if it will work
*there’s
Mike you need to take Best Buy out of your example of retailer this is not about money. Best Buy And Wal Mart have their Merhcant Customer Exchange consortium that is trying to create their own payment network. They wouldn’t have to pay Visa or Apple a transaction fee for each swipe.
For WalMart another reason not to change is they already have terminals that support EMV cards and don’t have a reason to add NFC terminals. Other merchants will Must likely be upgrading to NFC terminals since institutions will be responsible for fraud next year if they don’t have EMV readers, must companies will add terminals that have both EMV and NFC so the cost of supporting Apple Pay will be minimial since they have to update terminals anyway. I think that is a big reason why Apple chose this time to release Apple Pay.
Next year banks will be sending millions of EMV cards to customers and retailers will be installing new terminals that support EMV, so updating to terminals with NFC will be easy and cost effective because they have to buy new terminals.
Apple and Visa will have an easier time rolling out Apple Pay in countries that already have a lot of NFC terminals. People can’t forget this token system is done by Visa and is mostly their technology.
You hit it! taoprophet420!
There are, in my view, things that are mixed wrong, and where exposed by taoprophet420:
– All this news (except this article) has the “blame Apple to get pageviews” on it.
– The need for NFC terminals.
Many of the retailers have ‘huge’ chains. Pizza Hut has 11,139 locations (as of 2012) by wikipedia. So they need ‘huge’ investment and installment.
BUT, by October 2015 they will be charged with fraude cost if they do not have chip+pin card reader, so the change in coming.
– The BestBuy/Walmart Exchange, as far as I know, it is a move to “replace” the actual system.
On the other hand, ApplePay works with the existing system (banks, cards…) taking away the ‘risk of fraud.’ So the incumbents get a win, reducing risks.
The BestBuy/WalMart system bypasses the credit card processors in order to avoid the 2.5 – 3% fee. But it requires you to either (1)use their app and pre-load it with money (don’t know how this is done) or, (2)give them access to your bank account (sort of like a debit card, I hear).
NO WAY am I going to allow WalMart/BestBuy access to my bank account. And pre-load money? Fugggedaboutit. I’ll just continue to use a credit card on the rare occasion that I shop there.
Give it time. The truth is they will all have no choice but to accept Apple Pay eventually.
thats not the truth at all
Since when can speculation be regarded as truth?
I’m still a bit confused how Apple Pay even works? Does it only work at stores that have Apple Pay terminals? Or will it work at any store that accepts mobile phone payments?
It looks like nfc to the retailers. Only banks are aware of the distinction as it works differently there.
If a retailer dies nfc you are in. Walmart and best buy are hoping to replace the cc establishment to avoid the cc fees. Their reasons are Not related to apple or Apple pay per se
NFC and software is my understanding of what’s needed, no special terminals, just NFC readers.
Think back 20 years ago (if you are old enough)! All the fast food restaurants said “No way” to taking credit cards because it would “eat up” their profits. Arby’s was the first around me that said yes and within a few months all other places took credit cards even for dollar menu items. Gas stations didn’t have “Pay-at-the-pump” because the fees would be to high and adding that technology to EVER pump would cause them to go out of business. All companies will adopt the new technology over time. They will also look to their current POS providers to make the technology part of their current stack. We must remember that Apple is not just looking to replace credit cards but our whole wallet.
It will take 10 years for retailers to even think about upgrading to Apple pay… Tapping a credit card is JUST as easy as tapping your phone…Anyways, I really am excited for that ability, and I really hope merchants with NFC currently installed only need like a software update! I am dying for some more fckin details from Apple.
My understanding is that there is no software upgrade needed at the terminal end: The transaction looks like a regular credit card one (but using a one-time number). Only the back end needs upgrading to deal with tokenization, etc.
Just going to add my two cents, as unbiased as I can.
First of all, in the US, new machines are making their way to stores EVERYWHERE, ones that accept CHIP cards, because US credit cards will require this in the coming years. Every CHIP card reader I’ve seen thus far HAS NFC built in, which means you can use Apple Pay. It’s getting to the point where banks are not even offering the old POS systems. They HAVE to have CHIP card compatibility, thus about 95% of the time, enabling NFC capability. Even stores I’ve been to that have registers will built in card readers, have to use these new systems because banks are starting to require it.
As to whether the implementation will be slow, and whether people will choose to go elsewhere, I can’t say. Probably not though, because most people really don’t care how they pay. Yeah, it’s neat and convenient, but at the end of the day, people don’t venture out in the world simply to PAY for things, they venture out to GET things, like food, clothes, whatever else. In the end it’s going to be an NFC world, yes, and magnetic strips are being phased out altogether. It’s really just a matter of time. How much time? We’ll have to see…
Also side note/question, doesn’t McDonalds own Chipotle?? Wouldn’t that mean it’s a matter of time?
>> Also side note/question, doesn’t McDonalds own Chipotle?? Wouldn’t that mean it’s a matter of time?
McDonald’s wishes it owned Chipotle. It was an early investor, but divested shortly before Chipotle went public about 7 years ago.
In terms of competition, Chipotle is eating McDonald’s lunch and dinner, and may be the type of food joint (fast/healthy) that eventually contributes to McDonald’s demise if it doesn’t dramatically overall its menu.
Companies will have to adapt to the times eventually. Not just Apple Pay, but NFC technology. A lot more people, including me, don’t carry cash money anymore and just use cards or their phones to pay. I’d love to be able to use my phone every time I walked into a store instead of worrying about if I have cash or whatever. Sign of the times. Stores will eventually learn that they’ll need NFC as an option.
yeah and if they do they will make their own app (like best buy) to do it. NFC is NFC you dont need apple to use it.
Apple doesn’t let third-party developers access the NFC hardware in the iPhone, so there would be no way for a Best Buy app or any other app to use NFC. In the iPhone, you actually DO need Apple to use it.
Every retailer that apple listed already has NFC payments available. apple hasnt recruited anyone. thats what you all are missing. ive got a nexus 5 and have used NFC at practically all of apples “partners” years ago.
Most stores and restaurants in Australia already have NFC incorporated into the terminals so I think Australia should have gotten Apple Pay first because we already use the technology instead of the US who hardly has any NFC terminals.
Apple pay and nfc is convenient, but I highly suggest people think twice about ditching their wallets anytime soon. Reducing your layers of protection will make it harder in the few cases that you need another way to pay.
I’d suggest moving to a low profile wallet that contains a card (or better, cash) Id, and insurance, and hold it in another pocket.
What if your battery dies and you don’t have a means to charge? What if you are stranded and they don’t have nfc support? Toe companies typically only take cash,
Oops, food trucks commonly only take cash, air compressors for tires often only take quarters.
Another pro tip, keep a card, cash, and a roll of quarters in your car hidden somewhere.
Yeah why I do feel like these people have never heard of Costco or ARCO?
Totally pointless invention. (Really!) That short clip above is such a temptation for a thief (as exist in London thanks to our lax immigration policies, or at least lack of choosing the quality of people we allow into the country), but the main issue is how inconvenient this is in comparison to using a biometric system, such as that recently introduced for Barclay’s business customers.
Apple are capable of innovations that do make a difference, such as MagSafe and AirPlay, but this is like the washing up bowl, something we don’t need.
im a little confused. if a store already has an NCF capable reader will it work there. eg. a cvs/pharmacy has an NFC reader on their card readers, could I use my phone to pay with it or not, or does CVS have to update their machines to work with it?
We should already be prepared for “Apple fail” stories if Apple Pay isn’t accepted everywhere on day 1.
Since the fraud liability is 0% for retailers as long as card is swiped and Apple Pay will likely fall into that same category, there is no benefit there for the retailer. However, the card issuers who foot the bill for most of the fraudulent charges, may push retailers to adopt Apple Pay somehow. Many retailers have been burned publicly recently with data breaches leaking customer information. The data breaches are less lucrative with Apple Pay as account numbers are not transmitted / saved so they cannot be stolen. Of course, this will only work as long as you never pay with an actual credit card. This is a good start to cutting down the amount of data breaches.