Dive Brief:
- Mercedes-Benz customers in Germany can now pay at the pump at over 3,600 service stations using embedded in-car payments, Mercedes-Benz and Mastercard said Monday.
- The automakers’ native in-car payment service — Mercedes pay+ — allows drivers to start the refueling process from their vehicle and pay at the point of sale using their fingerprint.
- Other automakers, including Hyundai and Tesla, are introducing in-vehicle payments to make it easier for consumers to pay for products and services from their cars.
Dive Insight:
In-vehicle payment systems may grow more important to automakers’ bottom lines as they offer more services and partner with third-party vendors and advertisers. According to ResearchAndMarkets.com, in-car payment transactions could exceed 5 billion by 2026.
“An intuitive payment process and a best-in-class customer experience lay the foundation for the success of digital offerings. We are pioneers in native in-car payment and are already working on the integration of further services," Franz Reiner, chair of the board of Mercedes-Benz Mobility AG, said in a statement.
The Mercedes me Fuel & Pay service starts automatically on the automakers’ MBUX infotainment system when a driver reaches a connected service station and switches off the engine, the company said.
A study commissioned by Mastercard found about half of 18- to 39-year-olds would order and pay for products and services using the infotainment display in their vehicle.
"Digital payments are coming of age, and consumers want to embrace new forms that are infused into their everyday experiences and activities,” Mastercard Chief Digital Officer Jorn Lambert said in a statement.
Mercedes-Benz partnered with Mastercard on its in-car payment service, making it the first automaker to use Mastercard's Secure Card on File for Commerce platform, which uses encryption to protect payment information. The system eliminates the need for a personal identification number or authorization via a mobile device.
Earlier this month, Hyundai Motor America launched Hyundai Pay, the automaker’s in-car payment service. It debuted with a partnership with Parkopedia to help drivers find, reserve and pay for parking.
