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Industry News

Apple Pay boosts user-base with Fandango deal

Movie ticketing company Fandango has linked up with Apple Pay to offer customers $5 (£3.69/€4.16) discounts when using the service to purchase tickets.

The link with the cinema platform is the latest example of Apple Pay using promotions and discounts as an on-boarding tool for new customers.

The promotion with Fandango demonstrates Apple Pay’s functionality, which might be more appealing to users as it can help reduce friction associated with checking out on mobile due to small screens and slow connection speeds.

According to Business Insider, Apple Pay hopes that its link with Fandango might encourage customers return to the product, therefore increasing not just adoption, but also engagement via habit formation.

Employment of the payments service has declined in the US by 25 per cent, which means Apple needs to use new methods to engage new users.

According to Business Insider some 44 per cent of those that don’t currently use a wallet said they would adopt one if given access to wallet-specific rewards, merchant-specific rewards and loyalty offerings.

Business Insider said: “By incentivising consumers to load their card into Apple Pay, Apple could help recruit new users to the wallet and, in turn, give them a reason to test the product.”