Alphabet Inc. (GOOGL) is folding its Android Pay and Google Wallet services into a single brand called Google Pay, in a move announced Monday.
"With Google Pay, it'll be easier for you to use the payment information saved to your Google Account, so you can speed through checkout with peace of mind," Pali Bhat, VP of Product Management for payments explained in a blog post.
Shares of Alphabet gained 0.5% to $1,116. 24 on Monday.
"The lack of unity and consistent messaging has created challenges for consumers in understanding which Google payment product to use, not to mention how, where and why to use it," McKee explained. "The introduction of Google Pay is an attempt to amend this confusion by creating brand cohesion across its payments product suite."
Google Wallet fared poorly in a survey that WPP Ltd.'s Landor branding unit released in November. About 13% of consumers rated Google Wallet as trustworthy in a survey of 17,000 U.S. consumers in the first half of 2017. That was in line with Apple Pay's score, but well behind PayPal industry-leading rate -- which was only 30%. Visa (V) and Mastercard (MA) were trusted by 23% and 17% of survey respondents, respectively.
The question now is whether the new branding of Google Pay will change consumers' perceptions.
"It remains to be seen if the Google Pay brand will enhance consumer understanding and therefore adoption of Google's payments services, or if it will only add another layer of confusion," 451 Research's McKee said.
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