I've heard that Google is not so reliable when it comes to security. If I am right about this, and more people around the world know about this, they may not want to use this service because they are in fear that their personal details and sensitive information might be put in risk. I am not really sure how secure Google is but I read somewhere on Techspot that its image is not so good.
"The mobile app will be able to store your credit cards, offers, loyalty cards, and gift cards, without the bulk or additional weight. "
Credit and debit cards aren't easy enough to carry? I don't exactly like the idea of all of that stuff being on my phone. I'd be worried about someone using that information if my phone was lost or stolen. I also think that phones are easier to break than credit cards. I've never broken a credit card but I've broken plenty of phones.
Because when Exec A brought it up in a meeting to the team he said, 'hey, let's make the phone capable of paying for transactions at point of sale locations instead of credit cards.' and the next thing out of anyone's mouth would have been, 'How do you make it secure.' to which the first guy probably already had an answer.
We know because it's so obvious that people would have concerns that they'd make sure it was at least as reliable as a credit card. A card that you only need a number, expiration date, and 3 digit code to use. With this you'd at least also need to have possesion of the phone... AND if someone does get a hold of it, i'd bet you can disable all your accounts via a call to google, rather than calling each bank or card company separately.
Now... WHY i'd care to use an app over swiping a card, I have no idea. a card swipe is pretty convenient.