An email has been sent to your address with instructions for changing your password.
There is no user registered with this email.
Sign Up
To create a free account, please fill out the form below.
Thank you for signing up!
A confirmation email has been sent to your email address. Please check your email and follow the instructions in the message to complete the registration process. If you do not receive the email, please check your spam folder or contact us for assistance.
Welcome to our platform!
Oops!
Something went wrong while trying to create your new account. Please try again and if the problem persist, Email Us to receive support.
Daimler Mobility and Visa Form Global Technology Partnership to Integrate Digital Commerce Into the Car Seamlessly and Conveniently
Rhea-AI Impact
(Neutral)
Rhea-AI Sentiment
(Very Positive)
Tags
partnership
Rhea-AI Summary
Daimler Mobility has partnered with Visa to introduce native in-car payment solutions for Mercedes-Benz customers in Europe beginning spring 2022. Utilizing biometric fingerprint authentication, these payments can be made directly through the car's MBUX system, enhancing convenience and security. With the integration of Visa’s Cloud Token Framework, customer payment details will be securely stored and managed. This innovation aligns with trends in connected vehicles, with expectations of in-car payment volumes reaching approximately $86 billion by 2025.
Positive
Introduction of native in-car payments using biometric authentication.
Partnership with Visa enhances security and convenience in transactions.
Estimated in-car payment volume to reach $86 billion by 2025.
Negative
None.
From spring 2022, Visa's technology will allow Mercedes-Benz customers in Europe to pay for goods and services by using their fingerprint in the car.
Daimler aims to make the car a payment device to initiate two-factor authentication.
STUTTGART, Germany & LONDON--(BUSINESS WIRE)--
As a result of a new global technology partnership between Daimler Mobility and Visa, Daimler will offer “native” in-car payments. This means that entering passwords or relying on mobile devices for payment authentication may soon be a thing of the past as the vehicle itself becomes a biometrically enabled payments device, thanks to Visa’s Delegated Authentication technology.
From spring 2022 onwards, Mercedes-Benz customers in the UK and Germany will be able to make payments using a fingerprint sensor in the car, with other European markets to follow. Purchases can then be made directly through the car’s head unit, or MBUX. The solution is anticipated to be available in other markets globally at a later stage.
In-car commerce has become an integral aspect of the luxury customer experience. For example, Daimler Mobility's global payment platform called Mercedes pay enables customers to buy goods and services directly in their car, including Mercedes me services, as well as for other use cases such as fuelling and parking.
Antony Cahill, Deputy CEO and Head of European Markets, at Visa in Europe:
"We are excited to bring to life a native solution for in-car payments for the first time, together with our partner Daimler Mobility. It is significant that both the successful pilot testing and initial launch activities are taking place in Europe, a world-leading hub for payments and automotive innovation. This is a powerful example of how the world’s leader in digital payments and the inventor of the automobile are able to combine their technologies to create the next generation of smart solutions for the automobility sector, providing the driver and passengers with a completely new in-car connected commerce experience.”
Franz Reiner, Chief Executive Officer, Daimler Mobility:
“Mercedes pay is our competence centre for in-car payment, through which we offer our customers worldwide digital services seamlessly integrated within the Mercedes-Benz ecosystem. In partnership with Visa, Daimler aims to offer native in-car payments that meet the requirements of two-factor authentication in a secure and user-friendly way. There is nothing more convenient than authorising a payment with your fingerprint. A luxury customer experience of course includes the aspect of safety, and we fulfil that through native in-car payment. We offer our customers security not only when driving, but also when paying.”
The technology behind native in-car digital commerce
Mercedes pay is a component of Daimler’s mobility and digitalization strategy, and a business segment of Daimler Mobility. Daimler will be the first ever automotive company in the world to incorporate the Visa Cloud Token Framework into its vehicles. Visa’s Cloud Token Framework is a cloud-based security technology that allows more flexibility across multiple devices as Visa Cloud Tokens protect and remove sensitive payment information by converting data and storing it securely. They also enable multiple device pairing in and beyond the car, which are then directly integrated with the consumer’s bank credentials. This significantly improves the overall payment experience as consumers no longer need to enter long card numbers to complete a purchase or switch between devices to authenticate payments. The solution will be used to initiate a two-factor authentication1.
Promising future for in-car digital commerce
In the next two years alone, the number of connected cars is estimated to increase to more than 352 million worldwide2 and the total volume of in-car payments is set to reach approximately $86 billion by 20253.
Mobility trends like electric vehicles, car sharing, autonomous driving and connected cars are increasing the demand for innovative payment methods within the vehicle itself. Today, when you buy car-related services, many require the motorist to use a separate device to log onto an app or website. Daimler and Visa’s ambition is to enable users to have a hassle-free payments experience through the car, while also expanding the choice and quality of experiences available to them.
Daimler Mobility at a Glance
In addition to Mercedes-Benz AG and Daimler Truck AG, Daimler Mobility AG is one of the three business divisions of Daimler AG. It has about 11,650 employees and specializes in financial and mobility solutions. Its products range from leasing, financing, and insurance products to innovative fleet management systems and app-based mobility services. As a financial services provider, the business division supports the sales of the Daimler Group’s automotive brands worldwide. In Germany, Mercedes-Benz Bank AG, part of the Daimler Mobility division, is one of the country’s leading automotive banks. It provides around one million customers with financial leeway as well as call-money and fixed-interest-rate accounts in the direct banking business. The product range is supplemented by flexible mobility services such as Mercedes-Benz Rent and EQ subscriptions, which enable an uncomplicated and flexible entry into electro mobility. Through its subsidiary Athlon, Daimler Mobility is represented in the commercial fleet management segment as well as in vehicle leasing in Europe. The company manages more than 400,000 vehicles in total. As a strategic investor, Daimler Mobility also participates in the business potential of digital mobility solutions through its holdings. The focus is on its involvement in FREE NOW, SHARE NOW and CHARGE NOW. These pillars combine ride-hailing, carsharing, multimodal mobility and the charging of electric vehicles. Daimler Mobility’s portfolio also contains holdings in the limousine ride-hailing service StarRides in China and the chauffeur service provider Blacklane. In 2020, Daimler Mobility financed or leased around 50 percent of the vehicles sold by Daimler worldwide. This corresponds to a contract volume of €150.6 billion. In 2020, the business division generated revenue of €27.7 billion and achieved EBIT of €1.4 billion. Daimler Mobility operates in 39 countries.
Visa Inc. (NYSE: V) is the world’s leader in digital payments. Our mission is to connect the world through the most innovative, reliable and secure payment network - enabling individuals, businesses and economies to thrive. Our advanced global processing network, VisaNet, provides secure and reliable payments around the world, and is capable of handling more than 65,000 transaction messages a second. The company’s relentless focus on innovation is a catalyst for the rapid growth of digital commerce on any device for everyone, everywhere. As the world moves from analogue to digital, Visa is applying our brand, products, people, network and scale to reshape the future of commerce. For more information, visit About Visa, visa.com/blog and @VisaNews.
1 Strong Customer Authentication (SCA) compliance requires two-factor authentication consisting of the following: something the consumer knows (e.g. a password), possess (e.g. a connected device) or is (e.g. biometrics). Daimler Mobility makes use of Visa’s Delegated Authentication Service, making it possible to apply SCA on behalf of the issuer.
