The chicken or the egg problem that has been facing mobile payment adoption in the US continues to ease with Costco Wholesale joining the ranks of 7-11 and CVS Health to accept Apple Pay. It’s all about reducing transaction friction but I’d also add it’s a relief for someone like me that sometimes forgets his wallet, but not his iPhone. With Consumer Reports recently crowning Apple Pay the winner in a head to head showdown of mobile peer-to-peer payment platforms, beating out the likes of Venmo and Square, and greater retail acceptance we are likely to see greater usage in the coming quarters- a positive for Apple’s growing Services business.
Costco has announced that it now accepts Apple Pay at all of its US warehouse stores, and says that the payment method will be coming soon to its gas stations …
The company told CNET that contactless terminals have been installed at both store checkouts and gas stations, but the latter are not yet in use.
Costco was a notable Apple Pay holdout after 7-11 and CVS finally announced their own rollouts last month.
.A recent analyst report suggested that Apple Pay now has more than 250M users worldwide, led by international adoption. Use of the service for online payments is lagging significantly behind offline use, though a recent survey suggested that demand is there.