Mercedes Benz Group AG (OTC: MBGAF) has partnered with Mastercard Inc (NYSE: MA) to introduce embedded in-car payments at the point of sale.
Through the facility, customers will be able to use a fingerprint sensor in their car to make convenient and secure digital payments at more than 3,600 service stations in Germany.
Removing the need to enter a PIN or authenticate via mobile device, drivers can now leverage convenient payments to enhance the in-vehicle experience.
The native in-car payment service via Mercedes pay+ will turn the car into a form of payment device and can be used to make payments at service stations using the fingerprint sensor integrated into the MBUX infotainment system.
When a driver reaches a connected service station and switches off the engine, the Mercedes me Fuel & Pay service will start automatically on the MBUX infotainment system.
The facility is now live with Mastercard debit and credit cards in current Mercedes-Benz models.
According to a study by the German market research company GfK on behalf of Mastercard, around half of 18- to 39-year-olds would order and pay for services and goods directly via the infotainment display.
"Digital payments are coming of age, and consumers want to embrace new forms that are infused into their everyday experiences and activities," said Chief Digital Officer at Mastercard, Jorn Lambert.
Emerging Payments Analyst Christopher Miller, Javelin said that the model serves as an example of an integrated payments ecosystem that combines consumer need, the right data, and payment credentials to reduce payment friction while retaining payment security.
Price Action: MA shares are trading lower by 0.05% at $402.00 in premarket on the last check Monday.