The expanded variety of options around how monetary value is exchanged between consumers will certainly whittle away at the individuals need to access cash much in the way that personal checks have become increasingly rare. The reality of Apple Pay Cash’s impending accessibility by all users of iOS 11.2 will introduce many to the regular use of a messaged “cash” scheme.
Apple isn’t the first company to launch a P2P product — but it is one of the biggest. And that can be an opportunity for credit unions, according to Mark Ranta, who is head of digital banking solutions at ACI Worldwide in Naples, Florida.
For one thing, Apple Pay Cash could actually push members to use their debit cards more often, he said.
Mercator Advisory Group anticipates uptake of iMessaging Apple Pay Cash will gain traction early on as it acts as an expanded capability on an existing behavior. This stands in contrast to the more gradual uptake of Apple Pay use at the POS, which sought to displace the habit of card use.
For now, the bigger opportunity may be in using the product to build brand equity for credit unions, he explained. Providing Apple Pay Cash and other popular money-movement tools helps credit unions shows they’re able to keep up with the pace of modern technology.
“Apple has a pretty big marketing engine, and just saying that you have the capability to work with Apple goes a long way,” Ranta said.
Overview by Joseph Walent, Associate Director, Customer Interactions Advisory Service at Mercator Advisory Group
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