How does a digital wallet work?
When a customer adds a card to the wallet, the issuer approves it and a token is created for that device. Apple’s documentation says that, for Apple Pay, a Device Account Number is stored in the device’s secure element and is never stored on Apple’s servers or backed up to iCloud. At checkout the customer confirms with a fingerprint, face scan or passcode, and the wallet passes the token and a transaction-specific dynamic security code to the merchant’s provider. Apple states that for payments in apps and on the web the actual card number is not sent.
Why does it matter?
Wallets remove typing from mobile checkout and bring authentication with them. As an illustrative example: a store whose mobile checkout converts at 60% adds a wallet button. If 20% of mobile buyers switch to it and their sessions convert at 75%, overall mobile conversion rises by about 3 points, and those payments arrive with a token and cryptogram rather than a typed card number.
What are the limits?
Availability depends on the device, the browser, the customer’s country and whether their issuer supports the wallet, which varies widely across CIS, MENA and LATAM markets. Merchants usually need to register their domain or app with the wallet provider through their PSP. And the payment is still a card payment, with the card’s normal declines, refunds and disputes.
Where does Omno use it?
Wallet acceptance depends on the PSP that processes the payment and on registration with the wallet provider. Omno’s routing rules decide which eligible PSP processes each payment, and webhooks report the final status in one format whichever provider processed it.