Apple and the struggle it has endured is extremely hard to watch. The company has been fighting with dropping sales and dipping shares for almost a year now. Nothing is working when it comes to phones and laptops for the company. The prices are skyrocketing and there is nothing the company can do with the saturated market. Apple has been always known for its uniqueness and the recent phones are anything but unique.
This has forced the company to look elsewhere and it has. Apple recently launched a lot of products. Some of them are streaming services, Apple Wallet, Apply Pay and also Credit Card. The credit card of Apple is a bit different from the traditional credit card. However, it has partnered with Goldman Sachs and is doing it differently than any other.
Apple, the iPhone maker is literally going to call the credit card, Apple Card. This card will work in sync with Apple Pay, which is the company’s official wallet. The card users will reap huge benefits as well. The users on every transaction will earn a 2% cash back into the wallet. If the purchase is made through the physical card, the cashback will be 1%.
This credit card will be issued by Goldman Sachs and it is not just the cashback but also the tracking of the payment. Most of the times the spending spree we go on because of the credit cards is just ridiculous. At the end of the month, we are thinking about where and how did we spent so much and for that Apple has a solution. The Wallet will have the feature of tracking your spending. It will also present it by analyzing your spending structure.
The trends of purchases will also be tracked and this will allow us to analyze our spending problems. That said, the company is offering nothing that is out of the ordinary here and many of the credit card analysts were underwhelmed. However, the company could actually do well in this marketplace. The reason for that is its broad customer reach. The card the company has introduced has nothing out of ordinary and does not surpass Citigroup’s Double Cash Card.
That being said, the customer reach for the same will save Apple of any embarrassment. People will use Apple Card and this will allow them to earn some extra cash. Tim Cook, CEO of Apple said that the card is accepted by 70% of the merchants in the United States. Apple Pay can handle around 10 billion transactions at the moment and is ready to launch in 40 more countries by the end of this year.
This shows that the company has really shifted its focus for the time being. It has understood that the phone market is going to saturate even further and the iPhones might not be as good as everybody is expecting it to be this year.