It’s estimated that nearly 1 in 6 U.S. consumers uses Apple Pay at least once a month. This popular mobile wallet is accepted by more than 85% of U.S. retailers. If your business isn’t equipped to accept Apple Pay, you could be missing out on potential sales. The good news? It’s relatively easy to offer Apple Pay. Here’s what you need to know.
[Read more: The Coronavirus is Pushing Wider Acceptance of Contactless Payments]
What is Apple Pay?
Apple Pay is a contactless payment that’s available on Apple devices like the iPhone, iPad, Mac, and Apple Watch. Users open the Wallet app and follow a series of prompts to load and verify their card information. Apple Pay then securely stores the card details, including the card number, expiration date, and PIN code.
There are two ways that a customer can use Apple Pay to complete a transaction. First, a customer can pay for a purchase in person by simply holding their phone or watch over a contactless reader. The device’s NFC chip transmits an encrypted virtual account number to the POS.
Another way that Apple Pay can be used for purchases is online or in an app. If a customer is shopping on an iPhone, iPad, or Mac while using the Safari browser, they can use the “Pay with Apple Pay” button on a vendor’s website to prompt the Apple Pay script. Then, the customer can verify their identity with a Face ID, Touch ID, or passcode to complete the purchase without manually entering any card details.
[Read more: Guide to E-Commerce Credit Card Processing]
It’s best to discuss options with your merchant account provider or payment processor to determine what equipment will be the most efficient and cost-effective for your business.
POS provider Clover
How to accept Apple Pay
To accept Apple Pay at your premises, you’ll need a POS system that’s able to accept contactless payments. Most NFC-enabled terminals accept Apple Pay, and Apple has a list of recommended e-commerce platforms and payment service providers. But the hardware isn’t the only cost you’ll need to consider.
“Prices for NFC terminals range, and depend on if you want to use a terminal that sits on your countertop or use a mobile card reader that pairs with a smartphone or tablet. Additionally, based on the hardware you select, you may also need to invest in software upgrades,” wrote point-of-sale (POS) provider Clover. “It’s best to discuss options with your merchant account provider or payment processor to determine what equipment will be the most efficient and cost-effective for your business.”
Once you have the right contactless payment-capable POS, there are no additional fees you, the merchant, will have to pay for using Apple Pay. As a business owner, you will pay the same credit card rates and fees as you would for a card-present transaction.
And once you have the right hardware and software in place, accepting Apple Pay is simple. A customer holds their Apple device near the reader until four green lights appear and the chime sounds. Your cashier will see a check mark on the screen telling you the transaction has been successfully completed.
To accept Apple Pay on your e-commerce site, the process is slightly more involved. First, you may need to remind customers that they need to use the Safari web browser to complete their purchase using Apple Pay. Next, you’ll need to be using an authorized credit card payment provider such as Shopify Payments, Stripe, or First Data Payeezy to add Apple Pay as a payment option. Work with your website developer to enable Apple Pay for your online store.
Finally, it’s a good idea to train your staff to understand how to accept Apple Pay. Many customers might be using this mobile wallet for the first time when they come to your store. Apple Pay is meant to make transactions easier and more convenient, but this goal can only be achieved when there’s someone who can guide the process and troubleshoot as needed.
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