May 28, 2015
Target CEO Brian Cornell confirmed at the Code Conference in Palos Verdes, California that the company plans to offer in-store support for Apple Pay but the company is first focusing on implementation of chip and PIN payments systems. Though Target was the first retailer to adopt Apple for in-app purchases, the retailer has held off implementing the payment system in stores because it's a "major undertaking."
As stated in Apple Insider, Brian Cornell said, I'd love to have Apple Pay today, and added, Target will be open-minded about other payment platforms once the POS systems are operational.
Target is especially eager to move to a more secure transaction system following a major data breach in late 2013 and 2014 which cost the company approximately $162 million. "Our focus is on getting chip-and-PIN in place in time for the holidays," Cornell said at the second annual Code Conference. "Down the line we want to accept all the types of payments that our guests want. But this decision was all about focus. It is a major undertaking to convert to chip and PIN, and I decided that we can't distract the team."
Cornell also stated, Once the chip and PIN transition is completed, Target will be open-minded about supporting additional payment systems like Apple Pay.
With MCX member Best Buy opting for Apple Pay, other members of the consortium—including Target, Walmart and Lowes—are expected to follow suit.
In a recent news, Best Buy also stated that it should thank Apple as Best Buy was not among the retailers who saw disappointing results this quarter. Best Buy is benefiting from the mobile revolution in many ways. It has flourished with profits this quarter and the shares going up.
Best Buy CEO Hubert Joly said in the interview, Best Buy was always interested in Apple Pay. It was simply waiting to announce plans to adopt it once Apple Pay actually went live.