CBA sees Apple dominate digital wallets as contactless accounts for 90% of card payments
According to the Commonwealth Bank of Australia (CBA), Apple has an 80% market share in digital wallets.
In response to the Joint Parliamentary Committee on Business and Financial Services investigation of mobile payment and digital wallet financial services, the ABC said it had seen a rapid increase in the number and value of payments made from mobile devices.
“In August, we estimate that about 90% of ABC credit and debit card payments made in person were made contactless, rather than insertable, and about half of those contactless payments were made. by digital device, rather than on a card. This means digital wallets are poised to become the most popular way to pay in person, ”the bank said.
“Of ABC’s digital wallet payments made by tapping a phone or associated device, 80% are made using Apple devices (eg, Apple iPhone, Apple Watch).”
Based on those numbers, the ABC said this was likely revealing of Apple’s share of payments made from mobile wallets in the country. The bank cited figures indicating that Apple’s share in the United States was around 92%.
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The yellow and black bank added that it had not seen any difference in the fraud rate between digital wallets on Apple devices and those on Android. He said based on his internal fraud data, fraud from all activated third-party digital wallets accounted for less than 0.01% of total spend.
“The number of frauds is extremely low, there is no material difference between the Apple Pay digital wallet hosted on the Apple operating system and Google Pay and Samsung Pay hosted on the Android operating system”, did he declare.
“All digital wallet providers must meet the minimum security standards developed by international card systems (such as Mastercard and Visa) in order to become a certified digital wallet provider for card issuers around the world. ”
He added that both ecosystems have ways to minimize fraud, such as biometric authentication and tokenization.