Apple Pay Strategic Outllk

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Table of Contents

Apple Pay        

Introduction        

Working        

Market and Industry Analysis        

Competition Analysis        

Apple’s Strategy to tap the market potential        

Future Scope and Strategy        

Apple Watch        

Introduction        

Competitive Scenario for Apple Watch        

Competition Analysis        

Future Scenario        

Recommendation for Tim Cook        

Creating Synergies        

Reduce the platform specific constraint        

Venturing the new territories        

References        

Apple Pay

Introduction

Apple Pay was launched on September 9, 2014 and is a standout amongst the most progressive items by Apple in the post Jobs period. Simplifying the procedure of installments in the simplest and immortal way, Apple Pay is the advanced digital wallet and operates by utilizing the rising innovation of Near Far Communication (NFC). In spite of this fact, this product is not a way breaking model in itself, for there do exist different players, for example, Google Wallet and Paypal etc, which has also adapted a comparable model of contactless credit and debit cards. However, what separates Apple Pay and gives it its edge over the competitors is its wide acceptability, enhanced security aspect and its user friendliness.

Coupled with iPhone 6 and above range of models, Apple Watch iPad Air 2, iPad Pro and iPad Mini 3 and later Apple Pay is ought to change the pattern of online payments. Apple Pay constituted about 8% of the aggregate online payments in North America as of 2015.

Working

Each time somebody hands over his credit or check card to pay, the card number and character are noticeable, and swiping of card triggers a trade of data (which is touchy and subsequently should be shielded). With Apple Pay, rather than utilizing the genuine credit and check card numbers when somebody includes his card, unique Device Account Number is assigned and safely stored in the Secure Element, a dedicated chip in iPhone, iPad, and Apple Watch. Every card added to Apple pay application is assigned a unique Device id. During transaction, the Device Account Number and transaction specific id, is used to handle the payment. So the real debit and credit card numbers are never exposed to the vendors. Also every transaction on iPhone and iPad, every exchange requires Touch ID thus further enhancing the security standards as only the owner can make the transaction.