Apple to face tough competition in mobile payments

Apple-officeApple Pay is backed by a host of big retailers, along with most major banks and credit card issuers, including Visa, MasterCard and American Express. (Image source: Adam Fagen/Flicker)Apple's move to enter eCommerce market with Apple Pay, a digital payment system that lets people pay for retail store purchases using their phones, has been met with scepticism from existing market players, according to Powa Technologies

In a statement, UK-based Powa Technologies said that the eCommerce landscape in mobile payments is expected to be worth more than $US930bn by 2017.

The eCommerce sector is already saturated by a variety of different players including banks, retailers, and technology companies all offering their own solutions, leaving companies and merchants with an array of options, the company added.

Dan Wagner, CEO of Powa Technologies, said, "Consumers are finding themselves increasingly swamped by mobile payment apps. They don't want thousands of different apps that can each be used in a couple of different places - they want one universal app they know they can use anywhere. Just as wallets are stuffed with store cards, users are being asked to fill their smartphones with individual payment apps they will rarely use."

Wagner concluded that consumers would be seduced by the ease and convenience of using one app across all platforms and the winner would be the app that secures universal adoption right across the retail landscape.

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