Google Pay to shut down today, Why this doesn’t matter to our clients
Google has announced that it is pulling the plug on Google Pay in the US. From 4th June, 2024, some 25 million users of the GPay app in the country will be encouraged to transition to Google Wallet instead.
The move represents a simplification of Google's payment options for Android-based smartphones. With Google Wallet already enabling users to make payments, store ID, boarding passes and public transport tickets – and even start their car – Google Pay is no longer needed.
As part of the GPay shutdown, the peer-to-peer payments feature will disappear, as will integrated cashback offers. Users will have to go to the Google Pay website to transfer any remaining balance into their bank account.
It's important to note at this point, that the process of making in-store and online payments on an Android handset will still be called 'Google Pay', even if the Google Pay app will soon be defunct. And if you think that could cause confusion, we’ve barely scratched the surface.
Cutting through the confusion
Users and financial institutions that have tokenised their payment cards in Google Pay might be feeling a bit perplexed by this change, and with good reason. Google's strategy around Google Wallet and Google Pay has chopped and changed over the years; Google Wallet first emerged in 2011 but didn't see much traction, only to be replaced by Google Pay in 2018.
Then in 2022, Google announced that Google Wallet was coming back to replace Google Pay, but not in all markets. Initially, Google kept Google Pay in the US, but has now decided to shut it down. From 4th June, Google Pay will only remain in Singapore and India.
Certainly when compared to Apple's Apple Pay, which has had the same name since it was introduced 10 years ago, Google's strategy seems to have been: Never let them know your next move. But there is method to Google's madness; Google Wallet is used five times more than the Google Pay app in the US, so the reorganisation makes sense.
As well as streamlining its payment app ecosystem, Google's move is part of a wider push to compete with Apple and position Google Wallet as a super app that does more than just enable payments, but acts as a secure store for all forms of ID, loyalty cards, travel passes and more. It's also going to make the process of adding cards to Google Wallet easier for consumers, who'll now be able to do so by using the camera on their device – as long as the card has a barcode or QR code.
What this means for MeaWallet’s clients
So what does all this mean for financial institutions that have tokenised their cards for use in Google Pay and/or Google Wallet? Quite simply, there's no need to worry. If you're a client of MeaWallet, then these cards will still work after 4th June.
And for those that haven't yet tokenised their cards for Google Wallet but would like to do so in the future, here's a quick overview of how MeaWallet can help you.
MeaWallet's tokenisation solution enables financial institutions to tokenise their payment cards and enable them in OEM wallets such as Google Wallet, Apple Pay and Samsung Pay, as well as Issuer-branded wallets.
The Mea Token Platform requires just a single integration to connect to all Token Service Providers (TSPs) and enables OEM wallets and Issuer wallets in parallel. MTP can be hosted on your premises or at MeaWallet's secure data centre, and we'll handle all of the system maintenance, regulatory changes and upgrades for you.
The MTP also gives you access to all of the functionalities you will need to perform token lifecycle management, customer support and reporting, and our turnkey solution means you can have your solution on the market in next to no time.
For Payment Service Providers, FinTechs and other Financial Institutions that want to digitise cards and enable payments with Google Wallet or any other OEM wallet or Issuer wallet, MeaWallet offers a secure, compliant, certified and easy-to-implement solution through a single connection.
To learn more about Apple Pay tokenisation and Google Wallet, Get in touch with us here!
FAQ: Google Pay Shutdown
Q: Why is Google Pay shutting down?
A: Google is simplifying its payment options by transitioning users from Google Pay to Google Wallet, which offers more functionalities such as storing IDs, boarding passes, and car keys.
Q: What will happen to the Google Pay app?
A: The Google Pay app will be defunct from June 4, 2024, in the US. However, in-store and online payments will still be called "Google Pay."
Q: What steps should I take to transition to Google Wallet?
A: Users need to update their Google Pay app to Google Wallet via their app store. All existing data and payment methods should transition seamlessly.
Q: How will this affect my existing payment cards and transaction history?
A: All existing payment cards and transaction history should transfer automatically to Google Wallet. Users should verify their data post-transition to ensure everything is intact.
Q: What happens if I don't update to Google Wallet by the shutdown date?
A: If users do not update to Google Wallet, their Google Pay app may cease to function, affecting their ability to make payments until the update is completed.
Q: How does this change affect MeaWallet clients?
A: There is no impact on MeaWallet clients. Tokenised cards will continue to work seamlessly with Google Wallet after the transition.
Q: What specific steps should users take to transition from Google Pay to Google Wallet?
A: Users typically need to update their app via their app store. Once updated, the app will function as Google Wallet with existing payment methods and data intact. For precise steps, users should check Google's official support page.
Q: How will the shutdown of Google Pay affect existing user data and transaction history?
A: This data should seamlessly transfer to Google Wallet. However, users should review Google's data retention policies for specifics.
Q: What will happen to users who do not transition to Google Wallet by the shutdown date?
A: Their Google Pay app may cease to function properly, affecting their ability to make payments until they update to Google Wallet.