Apple Pay or We Don’t Pay

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Generation Z—the age group between 18 and 26—has an overwhelming preference for digital wallets, per PYMNTS. So much so that, in a separate study, 78% of Gen Zers said they’d stop shopping at a merchant that didn’t accept digital wallets.

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Gen Z prefers digital wallets like Apple Pay and Google Wallet because they provide a convenient and secure way to make in-store and online purchases without exposing sensitive debit or credit card data to risk.

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Apple Pay and Google Wallet are free of charge to merchants, but an alarming number of small- to medium-sized businesses (SMBs) have yet to set them up. Recent research of U.S. merchants by J.D. Power revealed that only 57% of small- to medium-sized businesses (SMBs) accept digital wallets, and many do not plan to accept them in the next 3 years.

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However, there are drawbacks to going cash-free, as many entrepreneurs may need help understanding how to set up digital payments. Some also prefer to prioritize lower-income households that continue to rely on cash for payments.

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One piece of data that could drive more merchant adoption is that 47% of Americans say that having access to digital wallets makes them spend more than when they use physical cards or cash.

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SMBs are leaving money on the table when they don’t take the steps to set up cashless payments.