With 140 million weekly shoppers, the expansion also puts the retailer in direct competition with technology giants such as Apple Inc., Alphabet Inc. and Samsung Electronics Co., which all offer their own ways for consumers to make mobile purchases. The QR code-based payment system differs from that of Apple Pay and Android Pay, as they use a near-field communications (NFC) chip that allows for a customer to tap their phone at an NFC-enabled register.
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In December, Wal-Mart said it would develop its own digital wallet rather than honor existing systems from Apple and others, though Wal-Mart said it isn’t ruling out third-party wallets in the future. The app was built with an emphasis on making shopping faster and easier for customers – from refilling a pharmacy prescription to building a gift registry and finding where an item is located in store.
The company said Wednesday that it’s already seeing 88% of Walmart Pay transactions come from repeat users, though Eckert said Walmart is hoping to acquire new customers with the feature too. The consortium last week suspended its launch indefinitely, saying it plans to focus on other aspects of its business.
Wal-Mart declined to disclose the increase in transactions since the launch, or the number of the mobile app’s users in its stores.
By contrast, Apple, Samsung and Android Pay use alternative card numbers for added security. The Bentonville, Arkansas, company finished upgrading stores in 25 states last week to complete the national rollout.
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“It’s also about saving time and time is a new currency for a busy family”, said Daniel Eckert, senior vice president of services, in a conference call with reporters.
