Mobile payments have become mainstream, with 117.4 million U.S. consumers now using a mobile payment platform as of 2025. Apple Pay leads the pack, commanding a 43.9% mobile payment market share in the U.S. and an extraordinary 92% of the mobile debit wallet market. Accepted by over 90% of U.S. retailers and available in 95 countries, it has grown from a niche feature into one of the most widely adopted payment methods in the world – with revenue jumping from $998 million in 2019 to an estimated $4 billion in 2023.
The growth story is remarkable given that just 9% of iPhone users had activated Apple Pay in the first two years following its 2014 launch. Today, Apple Pay can be activated on 96% of iPhones and over 8,300 banks worldwide support it – 72% of which serve U.S. customers. A continued demand for fast, contactless checkout and the dominance of the iPhone in the U.S. smartphone market have made Apple Pay a near-universal option for consumers, further reinforced by its very low fraud rate of just 0.01% compared to traditional credit card payments.
What Is Apple Pay?
Apple debuted its hands-free, easy-to-use payment app at the 2014 Apple Worldwide Developers Conference. Apple’s announcement was met with enthusiasm from smartphone users and trend chasers worldwide. In the first two years after launch, just 9% of iPhone users had activated Apple Pay – a number that has grown dramatically since.
Apple Pay lets users forgo traditional payment methods by transitioning to an online wallet available through the user’s iPhone and other Apple devices or online accounts with Apple login information. Today, Apple Pay can be activated on 96% of iPhones, is available in 95 countries, and it’s accepted by over 90% of U.S. retailers. As of 2025, more than 8,300 banks worldwide support Apple Pay, 72% of which serve U.S. customers.
Apple Pay users are alerted via a slight vibration, soft beep, or completion screen – depending on the device used – when a payment processes. Built-in security features and biometric authentication measures already in place on the device, like Face ID or Touch ID, protect the user’s sensitive information. These protections contribute to Apple Pay’s remarkably low fraud rate of just 0.01%, which is lower than that of traditional credit card payments.
The platform’s growth is reflected in its widespread adoption. In 2025, 65.6 million U.S. iPhone owners actively used Apple Pay, giving it a 43.9% mobile payment market share in the U.S. and a commanding 92% share of the mobile debit wallet market. That growth is also reflected in revenue, which climbed from $998 million in 2019 to an estimated $4 billion in 2023. If you’re looking to get the most out of your device, check out what’s new with the iPhone 16 to see the latest features that support Apple Pay and beyond.
Since its launch in 2014, Apple Pay has grown from a novelty to a dominant force in mobile payments. When it first launched, just 9% of iPhone users had activated it within the first two years. Fast forward to 2025, and Apple Pay can be activated on 96% of iPhones, with 65.6 million U.S. iPhone owners actively using it.
Apple Pay holds a 43.9% mobile payment market share in the U.S. and dominates the mobile debit wallet space, accounting for 92% of that market. Out of the 117.4 million U.S. consumers who used a mobile payment platform in 2025, Apple Pay is the platform of choice for iPhone users.
Its widespread footprint is equally impressive. Apple Pay is available in 95 countries, supported by over 8,300 banks worldwide – 72% of which serve U.S. customers – and it’s accepted by over 90% of U.S. retailers.
The financial growth has been substantial. Apple Pay revenue grew from $998 million in 2019 to an estimated $4 billion in 2023, reflecting how embedded it has become in consumer spending.
Security has also played a big part in its adoption. Apple Pay carries a fraud rate of just 0.01%, lower than traditional credit card payments, which makes it one of the safest ways to pay at checkout. If you’re looking to make the most out of your iPhone, taking advantage of Apple Pay’s security and convenience is a great place to start.
Benefits of Apple Pay
This payment app has a few benefits for users across devices, like:
- Contactless payment: It lets you pay directly from your smartphone or Apple Watch, meaning reduced contact with dirty checkout terminals, cash and credit cards. With acceptance at over 90% of U.S. retailers, you’ll rarely find yourself reaching for your physical wallet.
- No fees: There is no additional processing or usage fee when you use it, regardless of the device you’re accessing your digital wallet from.
- Security and privacy: Unlike physical credit and debit cards, which can easily be lost, stolen or broken, this is completely digital and protected by your device’s biometric login, passcodes and more. Retailers and online merchants never have access to your payment information, and your device won’t store your card numbers. The only information transferred is the data necessary to complete your transaction – that’s it. Apple Pay also boasts a fraud rate of just 0.01%, significantly lower than traditional credit card payments.
- Person-to-person payments: You can use Apple Pay to send money to friends and family directly through the Messages app using Apple Cash. Simply connect your debit card, set up the transfer and easily split restaurant bills or cover other everyday transactions between the people you know.
- Quick transactions: Instead of manually entering your login information and card data at each online retailer or in-app purchase, it offers a faster alternative to save you time. With Apple Pay activatable on 96% of iPhones and supported by over 8,300 banks worldwide, getting set up is easier than ever.
- Widespread bank support: Over 8,300 banks and financial institutions around the world support Apple Pay, with 72% of them serving U.S. customers. Whether you bank with a major national institution or a local credit union, chances are your bank is already compatible.
How to Set Up and Use Apple Pay on Your Device
Let’s look at how to use Apple Pay through your iPhone, Apple Watch, iPad, Mac or online Apple account:
- Use the Wallet app: Apple Pay is already on your device – no need to download any additional or third-party apps. Find your device’s Wallet app and sign in with your Apple ID.
- Add your card: Once you’re in the Wallet app, you can securely add one or more of your credit or debit cards while still receiving all of your card’s built-in rewards and benefits, like cashback percentages or travel miles. You can add several cards and select one as your default payment option through Apple Pay. If you want to change your default card, you can do so at any time.
- Set up Apple Cash: Open Wallet & Apple Pay in your iPhone settings and turn on Apple Cash, then tap “Apple Cash” under “Payment Cards.” Once you have this set up, you can send and receive money through the Messages app.
- Use security measures: Enable all of your device’s built-in security features, including biometric logins like Face ID and Touch ID, as well as passcodes and Find My iPhone.
If you can’t find or access Apple Pay on your device, check your device’s age and model. Apple Pay can be activated on 96% of iPhones – specifically those with Face ID or Touch ID. Any iPad model – like iPad Minis, should have Apple Pay as long as they have those same biometric features. Apple Pay is available on all Series 1 and later Apple Watches and most Mac models released in or after 2012.
Using Apple Pay In-Person
Over 90% of U.S. retailers now accept Apple Pay for in-store payments. You can also load your store loyalty cards, transit cards, boarding passes and tickets for movies or events in your iPhone wallet.
The Apple Watch and iPhone are two common methods of checkout:
- Using Apple Pay on an Apple Watch: Hold your Apple Watch near the checkout terminal card reader. Your Watch’s display should be facing the terminal. Double click the side button to turn your Watch on. Your Watch will prompt you to choose the card you want to pay with, and your Watch will issue a small beep and slight physical movement when the transaction is successful.
- Using Apple Pay on an iPhone: Unlock your iPhone with Touch ID, Face ID or your passcode. Hold the device near the contactless terminal at the checkout counter, then select which card you would like to authenticate and use. A checkmark and the word “Done” will appear on your phone screen when the transaction is complete.
Using Apple Pay In-App and Online
Apple Pay is available across millions of websites and apps. You can pay for online shopping purchases when browsing via Safari on any of your Apple devices – like your iPad and Mac. Depending on the device and retailer, you could be able to initiate Apple Pay with a quick tap or scan instead of entering checkout information manually each time.
Since Apple Pay is already integrated on your device, you can also use it to pay for and subscribe to Apple services on your iPhone – like iCloud storage upgrades and app purchases.
Apple Pay has come a long way since its launch in 2014, when just 9% of iPhone users had activated it. As of 2025, Apple Pay can be activated on 96% of iPhones, and 65.6 million U.S. iPhone owners actively use it – out of 117.4 million U.S. consumers using a mobile payment platform overall.
That dominance is reflected in its market share. Apple Pay commands a 43.9% share of the U.S. mobile payment market and accounts for a remarkable 92% of the mobile debit wallet market. It is accepted by over 90% of U.S. retailers and is available in 95 countries, with more than 8,300 banks worldwide supporting the platform – 72% of which serve U.S. customers.
From a revenue perspective, Apple Pay has grown significantly, climbing from $998 million in 2019 to an estimated $4 billion in 2023, with continued growth expected through 2026.
Security remains one of Apple Pay’s strongest selling points. It carries a fraud rate of just 0.01%, which is substantially lower than traditional credit card payments. This is largely due to its use of device-specific tokenization and biometric authentication, meaning your actual card number is never transmitted during a transaction.
Whether you’re tapping to pay at a retailer, checking out online, or sending money to a friend, Apple Pay has established itself as the clear leader in mobile payments – and the numbers back that up.
Learn More iPhone Tips at Gazelle
Smartphones continue to smooth along tasks- like shopping. With the help of Apple Pay, you can shop at over 90% of U.S. retailers and millions of online shops with the added protection of biometric security, data privacy, and easy-to-use checkout processes- it makes sense that Apple Pay has grown into a dominant force in mobile payments, now holding a 43.9% mobile payment market share in the U.S. and supported by over 8,300 banks worldwide.
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