Digital wallet setback

BLAYNE SLABBERT

The day I leave my wallet at home and rely on my smartphone for buying things is not getting any closer.

A year ago, I was pretty confident that by now many Kiwis would be using their phones and smartwatches instead of their Eftpos and credit cards.

That hope took a blow recently when Kiwi company Semble admitted defeat in developing a payment app.

It was a venture between Kiwi banks and telecommunications companies that tried to head off global tech companies.

However, it didn’t work with iPhones, not all the banks were on board and many major retailers didn’t have the payment terminals required.

So, what next for Kiwis who want the convenience of a digital wallet?

If you have an iPhone then you will need to be patient.

Apple will not let any bank

Banks don't want to involve Apple because they'll have to share the money they make from processing payments.

have access to the tech required to make mobile payments. That’s because the company has its own payment app, Apple Pay.

Banks don’t want to involve Apple because they’ll have to share the money they make from processing payments.

That means we’ll have to wait for the Kiwi banks to come to an agreement with Apple.

The first one may be ANZ. Its Australian counterpart started using Apple Pay earlier this year and the bank claims its gaining new customers because people want access to the service.

The other Australian banks are asking their commerce commission to allow them to team up when negotiating with Apple in a bid to get a better deal. No New Zealand bank has announced a deal with Apple.

But it’s not all bad news. Kiwis who own Android phones and have accounts at certain banks have access to a digital wallet. I’m not sure how popular they are, especially since none of the banks advertise the service on their homepages.

Kiwis will one day get digital wallets that can be used on any device at any store, but I think we’ll have to wait a few more years for it to happen.