Apple Pay Coming to Starbucks, KFC, Chili’s

In a related report by Reuters, apart from Starbucks, KFC and casual dining restaurant chain Chilli’s, were also reported to be supporting Apple’s mobile payment service.

KFC and Chili’s eating establishments will also begin recognizing Apple Pay in 2016, she replied for the Re/policy solutions webinar in Half Moon Bay, California. Now, it looks as if Apple has inked a deal that will greatly expand the presence of its mobile payments solution.

In the meantime, a spokeswoman for Chili’s said that Apple Pay will be the first mobile payment system that they are adopting.

How it works: After inputting your credit card information, open Apple Pay at the register with your fingerprint, select the card you want to use, and hold your phone up to the terminal.

Apple confirms that it is rolling out the mobile-payments service to certain Starbucks establishments before the year ends.

Apple Pay went live in 2014 with about 500 financial-institution partners and 220,000 United States merchant locations that take mobile payments via NFC’s short-range, secure wireless capabilities.

Starbucks did not respond to an IBD request for information as to whether customers would earn loyalty points by using Apple Pay. According to Nizar Assanie, the Vice President of Research at IEMR, “globally, we are expecting mobile payment revenue to rise from $47.2 billion in 2011 to $998.5 billion in 2016”.

We believe that digital efforts like Mobile Order & Pay and delivery services, new third-party loyalty partnerships, food and beverage innovation, better food attachment, Starbucks Reserve premium coffees and Teavana tea should fuel a stronger sales trend in fiscal 2016. Apple Pay was launched previous year, but it only makes up for 1% of all retail transactions in the US. “It was received well by consumers”, she said.

It may be that shoppers weren’t given the opportunity to resort to Apple Pay because many stores still don’t support this payment method, but as recent trends indicate, this is bound to change soon.