Apple Pay seen to lift UnionBank card usage
Union Bank of the Philippines is expecting Apple Pay to drive higher card usage and eventually contribute to revenues as early customer enrollments point to growing appetite for mobile contactless payments.
UnionBank of the Philippines anticipates that Apple Pay will boost card usage, ultimately boosting revenues as initial customer signups indicate a growing interest in mobile contactless payments, according to UnionBank chief marketing and experience officer Albert Cuadrante. Following the launch of Apple Pay in the Philippines earlier this month, the bank observed a "surge in enrollments" among both debit and credit cardholders.
Cuadrante expressed delight at the enthusiasm of UnionBank's customers regarding the launch, citing the surge in enrollments for debit and credit cards and users sharing videos of successful transactions online. While the bank refrained from disclosing enrollment figures, stating it is too early to gauge Apple Pay's eventual share of its card transactions, Cuadrante expects the service to encourage customers to use their cards more frequently and gradually shift some transactions away from physical cards.
Apple Pay entered the Philippine market alongside UnionBank, China Banking Corp., GoTyme Bank, and Metropolitan Bank & Trust Co. as the first participating banks. Cuadrante believes Apple Pay could also hasten the transition to digital transactions, which are projected to account for around 65 percent of retail transaction volume by 2025, potentially expanding to a 75 to 80 percent share by yearend.
Merchant payments constituted 74 percent of digital payments in the previous year. The bank had already introduced mobile tap-to-pay functionality through its app by the middle of the previous year, giving UnionBank a technological advantage in joining the initial Apple Pay rollout.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
