Mastercard to supercharge small business operations through new innovative platform

Rhea-AI Summary

Mastercard announces Biz360, a comprehensive digital platform designed to help small businesses streamline their operations. The solution comes as a response to research showing 75% of small businesses use digital tools daily, with 25% juggling over six different platforms. Biz360 offers features including consolidated operational tools, automated administrative tasks, customer relationship management, and data-driven insights. The platform will initially launch through collaboration with Hello Alice for select U.S. businesses, with plans for broader market expansion in 2025.

Positive

• Platform addresses a validated market need with 75% of small businesses using digital tools
• Partnership with Hello Alice provides immediate access to U.S. small business network
• Planned expansion to additional markets in 2025 indicates growth potential
• Contributes to Mastercard's achievement of bringing 50M+ small businesses into digital economy

Negative

• Initial rollout to select businesses may restrict immediate revenue impact
• Faces competition in crowded small business solutions market

Insights

Market Research Analyst

The launch of Mastercard Biz360 represents a strategic move to capture a larger share of the small business market, addressing critical pain points in digital operations. With 75% of small businesses already using digital tools but 25% struggling with multiple platforms, this consolidation play targets a clear market need. The platform's integration with Hello Alice, which serves over 1.5 million small businesses, provides a strong initial distribution channel.

The solution's focus on automation, customer engagement and data analytics positions Mastercard to deepen its relationships with small businesses beyond traditional payment processing. This could drive increased transaction volume and create new revenue streams through value-added services. The planned international expansion in 2025 suggests significant growth potential in the small business solutions segment.

Tech Expert

Biz360's architecture as a unified platform addresses the critical issue of tech stack fragmentation in small businesses. The platform's ability to consolidate existing operational tools and payment gateways while offering light-touch implementation reduces adoption barriers. The integration of customer relationship management, marketing automation and business analytics into a single interface positions it as a comprehensive business operating system rather than just another point solution.

The partnership with vcita provides robust technological infrastructure, particularly in areas of customer engagement and payment collection. This strategic approach of building on established technology rather than developing from scratch accelerates time-to-market and ensures reliability.

Mastercard Biz360™ aims to save business owners’ time and resources with a one-stop shop to manage the non-stop workday

PURCHASE, N.Y.--(BUSINESS WIRE)-- Mastercard today announces Biz360, a comprehensive digital solution designed for providers to equip their small business customers with a simplified way to manage the most critical aspects of running and growing a business. With Mastercard Biz360™, business owners can access new features built to streamline their daily operations while also integrating their existing digital tools into this easy-to-use platform.

Digitization is non-negotiable for small businesses. A Mastercard study revealed 75% of small businesses leverage digital tools in their daily operations, and two-thirds listed a seamless, digital experience as critical to their business.¹ But the experience is far from frictionless with 25% of small business owners burdened by using more than six different platforms daily, draining two of their most valuable resources – time and money.²

“Mastercard believes that the stronger the small business, the stronger the community. That’s why we’re committed to empowering small businesses for the digital future by providing the innovative technologies they need to succeed,” said Jane Prokop, executive vice president and global head of small and medium enterprises at Mastercard, “Mastercard Biz360 is the time-saving solution that small businesses need to focus on what matters most – running their business and serving their communities.”

Financial and service providers can offer their small business customers several initial benefits and capabilities through Biz360, including:

• A streamlined digital experience: Instead of relying on siloed technologies, small businesses can consolidate their existing operational tools, subscriptions, and payment gateways into a single destination, in addition to accessing value-added services that optimize productivity.
• Increased efficiency: By automating administrative tasks and integrating business management tools into one platform, entrepreneurs can focus on strategic, revenue-generating activities that drive growth.
• Enhanced customer engagement: This solution offers a client portal where small business owners can manage and cultivate customer relationships, boost loyalty through personalized email and marketing campaigns, and enhance their digital presence with website creation capabilities.
• Data-driven insights: Biz360 provides personalized business performance reports, allowing business owners to unlock valuable insights that help guide more informed decision-making.
• Light-lift implementation: The integration requires minimal effort from both providers and their small business customers, enabling providers to go-to-market quickly with a platform that seamlessly integrates existing tools based on the business owner’s preference, and meets the expectations of modern businesses.

Bringing digital solutions to small businesses through the power of partnership

Small business fintech platform Hello Alice will collaborate with Mastercard on the initial roll out of Mastercard Biz360 to select small businesses across their U.S. network.

“We’re committed to empowering Main Street by equipping American small business owners with the tools they need to succeed in today’s fast-paced, digitally-driven economy,” said Elizabeth Gore, co-founder and president at Hello Alice. “As an extension of our longstanding collaboration with Mastercard, we are proud to be among the first to bring Mastercard Biz360 to select small businesses across our community in the U.S. and play our part in helping these entrepreneurs succeed.”

Mastercard is collaborating with vcita, a leading technology platform designed for organizations that serve the small business market. This differentiated solution for small business owners improves customer engagement, payment collection, and time management.

“We are honored to work with Mastercard who is as dedicated to the success of small businesses as we are,” said Itzik Levy, CEO and founder of vcita. “Our collaboration with Mastercard facilitates the digitization of operations, helping small businesses maximize growth and customer satisfaction.”

Mastercard aims to broaden Biz360’s reach across additional markets in 2025 and expand the platform’s capabilities to address the evolving needs of small business owners. For providers interested in becoming an early adopter of Mastercard Biz360, learn more here.

A track-record for bringing small businesses into the digital economy

Biz360 is the latest addition to Mastercard’s expanding suite of product innovations that go beyond banking, designed to support businesses at every stage of their growth. The digital solution is launching on the heels of Mastercard’s achievement of bringing more than 50 million micro, small, and medium enterprises into the digital economy – a commitment that the company made in 2020 to drive a more inclusive world where every business prospers. Through innovative technology, partnership, and philanthropic pursuits, Mastercard will continue to digitally enable businesses everywhere as part of its ongoing mission to power economies and empower people.

About Mastercard

Mastercard powers economies and empowers people in 200+ countries and territories worldwide. Together with our customers, we’re building a sustainable economy where everyone can prosper. We support a wide range of digital payments choices, making transactions secure, simple, smart and accessible. Our technology and innovation, partnerships and networks combine to deliver a unique set of products and services that help people, businesses and governments realize their greatest potential. www.mastercard.com

Sources

¹ Mastercard, “Small and medium enterprises are big business report”, May 2023.

² US Chamber of Commerce, The Impact of Technology on U.S. Small Business Report, March 2023.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241112083578/en/

Media

Grace Theodore, Global Communications

grace.theodore@mastercard.com



Sangita Bricker, Global Communications

sangita.bricker@mastercard.com

Source: Mastercard Investor Relations

FAQ

What is Mastercard Biz360 and when will it launch?

Mastercard Biz360 is a comprehensive digital platform that helps small businesses manage operations by consolidating tools, automating tasks, and providing business insights. It's launching initially through Hello Alice for select U.S. businesses, with broader market expansion planned for 2025.

What features does Mastercard's Biz360 platform offer to small businesses?

Mastercard Biz360 offers consolidated operational tools, automated administrative tasks, customer relationship management portal, personalized marketing capabilities, website creation tools, and data-driven business performance insights.

How many small businesses use digital tools according to Mastercard's study?

According to Mastercard's study, 75% of small businesses use digital tools in their daily operations, with 25% using more than six different platforms daily.