Apple Pay will likely arrive in the US shortly after the media event scheduled for Thursday, October 16. But what about Canada? TD Bank’s CIO predicted that Apple Pay won’t be coming to Canada quickly, but IDC has a hint: We will likely see it materialize next year.
This IDC Financial Insights Perspective looks at how Apple Pay will transform mobile and online payment processes in Canada when it arrives, which is expected to be in 2015.
Actually, as we previously pointed out, the infrastructure is ready: Carriers have already deployed mobile wallet solutions, so from a technical perspective, the market is ready. But there are other factors as well, such as regulations and the following question: Are Canadians ready to leave their physical wallets at home and pay with their mobile phone or smartwatch instead?
As a recent PayPal study reveals, the only roadblocks ahead of a Canadian launch for Apple Pay are the regulations and the contracts Apple needs to ink with its banking partners.
Canadians are enthusiastic about emerging technologies: nearly half (45%) of all surveyed are ready to embrace methods such as mobile payments via wearable devices. As digital money gains popularity — about 88% of Canadians made an online purchase from their computer or tablet — there will be a huge change over the next few years in the way we shop and pay for things, Cameron Schmidt, General Manager of PayPal Canada, says.
“More than 5.5 million Canadians already use a PayPal digital wallet. Our users are already online and mobile savvy when it comes to shopping and will likely be among the first to adopt and pay using the latest devices like smartwatches and digital wristbands and future-forward options like Internet-enabled vehicles and appliances.”
Almost a quarter of Canadians are using their mobile phones as wallets to make in-store purchases. They agree that mobile transactions should be effortless and quick, and they use them with without giving it a second thought, because it is simply how they pay.
The PayPal study was conducted by Nielsen from September 4–19 and involved 1,504 Canadians aged 18 and older.
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Did not follow Apple Pay that closely. How is it better than the contactless payment we already make with newer credit card systems? This works extremely well in Canada. Granted it’s not the safest way to do things.
It will use the same terminals as touch to pay systems on new credit and debit cards. Except it’s much safer. No one can tap your phone to pay unless your finger print is being read by the Touch ID. But anyone can take your credit card and go crazy tapping it and paying for stuff.
Another safety feature is that applepay generates a dynamic token for each trasaction, which is rendered useless after one time use so even if a hacker intercepts the code, he/she can’t use it because your credit card information is not transmitted over.
Canada has all the infrastructure in place for applepay to go live today. The only issue is making partnerships with Canadian banks.
lol. True that we actually make contact with the card with the current system. Not really contact less I guess.
Thanks for the info about Apple pay too.
Even though the gesture marketed as “tapping,” the currently systems in Canada use NFC which is contactless.
Instead of pulling out the card, it’s on NFC through the phone. You can setup a default credit card for transactions or select the card you want. It also works together with TouchID for authorization so no need to input pin codes.
it’s that system but better, you use your phone to make that contactless payment and your finger print in the touch ID acts as the pin.
And iTunes radio in 2015 as well?
Now I’m getting greedy
Come on, let’s not get too carried away now
Whatever bank makes the deal first, Ill switch!!!!!
I think Apple just wants to work out the bugs in the States only. Would have been smarter to test it out in Canada with so many people already using NFC, touch-less payment, eInterac or whatever you want to call it. I hope it is deployed in the first half of 2015.
I too want to be greedy and hope for iTunes Radio/Beats in 2015.
As I see the sorry state of our ATM system and how it compares with the flexibility of say ATM’s in Japan where in many you can choose the denomination, currency, even buy public transport vouchers etc. not to mention the outrageous fees to get to our own monies, I will believe it when I DON’T touch it.