Apple Pay now accounts for 1.7 percent of the mobile payments market after its launch on October 20, still lagging behind Google Wallet’s 4 percent share of the market, according to ITG research picked up by MarketWatch.
Even though it’s the new kid on the block, ITG reports Apple Pay is gaining ground quickly, as Apple Pay users are more engaged. According to research, 60 percent of new Apple Pay customers have transacted through the app on multiple occasions and multiple days.
The top three retail locations iOS users took advantage of Apple Pay during its first six weeks on the market were Whole Foods, Walgreens, and McDonalds. The latter makes for a hilarious changeup from the health focused companies.
Whole Foods found the most love from Apple Pay, accounting for 20 percent of all Apple Pay transactions and 28 percent of all Apple Pay dollars spent in November, according to ITG.
Whole Foods has been embracing Apple’s new mobile payments software wholeheartedly, as Jason Buechel, Whole Foods’ chief information officer, said the health-focused company processed 150,000 Apple Pay transactions in the first 17 days of Apple Pay’s launch.
PayPal remains king in the mobile payments space, accounting for 78 percent of the market share in November. ITG analyst Steve Weinstein says Apple Pay “could pose a major threat” to eBay’s PayPal.
Apple announced earlier this week Apple Pay now supports the cards that represent roughly 90% of the credit card purchase volume in the US, after adding a slew of new partners.