Dollar General Apple Pay, Dollar General offers its products at insanely low prices. As a result, it is the go-to grocery and convenience store for many people. But, given its vast customer base, a new customer may wonder if the store takes Apple Pay as a payment method. Apple Pay is a digital wallet payment method that allows users to pay for their products via phone. It makes payment contactless, simple, fast, and convenient and works with Apple devices.
However, regardless of its convenience and simplicity, Dollar General does not accept Apple Pay as a payment method. A while back, there had been speculations about the company installing NFC technology for Apple Pay, but the company didn’t go through with the plan. They instead developed their contactless payment option called DG GO. The company currently has no plans to accept Apple Pay.
Why Doesn’t Dollar General Accept Apple Pay?
Most stores embrace NFC technology to enable the use of digital wallets, while some are yet to make changes. Yet Apple Pay can only work where NFC terminals have been installed.
Here are some reasons Dollar General is yet to transition.
Cost of NFC installation
NFC installation is no mean feat. It requires Dollar General to incur high costs for the entire process. If it were to install NFC technology in most stores, it would hugely affect their revenue. Unfortunately, the company lacks the necessary infrastructure to install this technology, so they cannot cut the expected costs.
- Lack of interest
Dollar General is frequented by shoppers looking for inexpensive items like groceries. Therefore, most of its customers fall into a certain income bracket, although not exclusively. Most are bargain shoppers, and not all have Apple Watches or iPhones. This lack of Apple devices makes them disinterested in Apple Pay. After all, they can’t use it.
Dollar General finds this enough reason not to incur the enormous costs associated with accepting Apple Pay as a payment option in their stores. However, if there is enough push for Apple Pay from consumers, Dollar General may reconsider.
- DG GO availability
Their contactless digital wallet is enough reason not to use Apple Pay as it is a competitor. DG GO allows consumers to scan their items when shopping. When you finish shopping, you can use your phone to pay. DG GO makes checkout easier and faster, like Apple Pay. Dollar General wants its customers to use their app, not a competitor’s.
With their app, they only incur lesser costs of maintaining it than the extra expense in card provider fees for accepting Apple Pay. Their decision not to accept Apple Pay is therefore justified.
- Apple Pay’s processing fees
Accepting Apple Pay translates to extra expenses because of the fees involved. Apple does not charge a fee, but it works with credit card companies that charge customers and clients. This fee varies between credit card companies.
Since Dollar General aims to keep its prices low, it has to keep its operating costs low. It can achieve low operating costs by cutting costs wherever possible. However, processing fees and credit card fees can be pretty high, so they will choose to forego any option they can save on.
Therefore, their choice not to accept Apple Pay can be considered a way of cutting costs, allowing them to keep offering their products at lower prices.
What Payment Options Does Dollar General Accept?
Dollar General does not accept Apple Pay, but it accepts other payment methods including:-
- Credit cards like Mastercard, Discover, American Express, and Visa
- Cash
- Checks
- DG GO
- PayPal but only for its online stores.
Before choosing one of these payment options, it is advisable to check whether your local store accepts it. Some options like DG GO are not available in every store.
Reasons Dollar General should accept Apple Pay.
Sanitary concerns
With the COVID-19 pandemic, shopping is no longer as it used to be. These days, customers are concerned about a store’s sanitary condition before shopping. Apple Pay provides a contactless payment method, which works significantly to curb contact through the exchange of money or cards.
Inclusivity
Most Dollar General customers do not own iPhones. However, those who do may prefer using Apple Pay over other forms of payment, as it is easy, fast, and minimizes contact. Although DG GO has the same features, potential loyal customers with iPhones may feel excluded if their local store does not support DG GO. Accepting Apple Pay makes the store inclusive instead of exclusive.
Increase customer base
Using Apple Pay can grow Dollar General’s consumer base. Apple lovers wouldn’t need further persuasion to shop at its stores. In addition, the convenience Apple Pay offers may bring in new customers, positively affecting the company’s revenue.
Although accepting Apple Pay will require the company to incur extra costs, it may bring in new customers, enabling it to offset the cost.
Adaptability
The changes in technology in digital wallets will be the new normal in the future. Dollar General embraces digital wallets by developing its digital wallet through DG GO. However, the company is only using one facet of this technology. Contactless methods of payment come in the form of NFC and QR codes.
Since DG GO uses QR codes at checkout, the company’s consumers are missing out on the NFC experience. DG GO is a secure payment method, but it only works with apps that support QR code technology.
On the other hand, Apple Pay uses NFC technology that sends signals to NFC-enabled devices, telling them what to do. As a result, it is secure and keeps your customers’ delicate information private.
Both NFC technology and QR codes are great and popular, but one may triumph over the other in the future. As a result, Dollar General should consider accepting Apple Pay to keep all facets of its consumer base served. This move also places the company in a strong position for future shifts when most customers choose digital wallets over cash or other payment methods. This means the company will be better established for survival.