Apple Pay is having a moment.
In a new note Tuesday, Deutsche Bank analyst Bryan Keane wrote that holiday spending data out of Salesforce shows Apple Pay adoption is growing at an "extremely rapid pace" this holiday season, with 52% year-over-year growth.
Apple Pay's surge seems to be coming at the expense of long-time dominant player PayPal: Keane noted that PayPal adoption has fallen 8% year over year globally.
Apple Pay and PayPal now make up about 5% and 16%, respectively, of global e-commerce purchases.
The diverging paths of Apple Pay and PayPal come amid a broader mixed start to the holiday shopping season as shoppers balk at inflationary prices.
Consumers spent spent $6.3 billion online through 6 p.m. ET on Cyber Monday, Adobe data showed. Adobe expects that when all the numbers are tallied, Cyber Monday will haul in a record $11.2 billion to $11.6 billion online as consumers sought out deep promotions (and got them).
"Continuing our checks of the unofficial kick-off to holiday, Cyber Monday showed headline promotions that were largely Deeper year over year, inclusive of several connected fitness companies (Peloton, Mirror, Ergatta)," BMO Capital Markets analyst Simeon Siegel wrote in a note.
Adobe said Black Friday weekend spending only rose 4.4% from the prior year to $9.5 billion. For the holiday season to date (Nov. 1 to Nov. 27), consumers have spent $96.42 billion online, up 2.1% year over year.