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    CiTTi Magazine – November 2023

    November 22, 2023By John Thornton
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Daimler and Visa partnership to allow biometrically enabled in-car payments

John ThorntonBy John ThorntonNovember 8, 20213 Mins Read
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https://www.cittimagazine.co.uk/wp-content/uploads/2021/11/D765880.mp4_Basic_Small_-_WEB_MBL_H264_400-1.mp4

German automotive OEM Daimler is to offer ‘native’ in-car payments from next year following a new global technology partnership with Visa.

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, utilising Visa’s Delegated Authentication technology.

From spring 2022, 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.

Antony Cahill, deputy CEO and head of European markets, at Visa in Europe, said: “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.”

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 Mobility’s global payment platform, Mercedes Pay, currently 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.

Franz Reiner, CEO of Daimler Mobility, added: “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 meets 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.”

Mercedes Pay is a component of Daimler’s mobility and digitalisation strategy, and a business segment of Daimler Mobility. Daimler will reportedly be the first automotive company to incorporate the Visa Cloud Token Framework into its vehicles.

Visa’s Cloud Token Framework is a cloud-based security technology developed to allow 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 both in and beyond the car, which are then directly integrated with the consumer’s bank credentials.

As a result, consumers no longer need to enter card numbers to complete a purchase or switch between devices to authenticate payments. The solution will be used to initiate a two-factor authentication.

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John Thornton
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John joined Akabo Media in August 2019 and has worked in B2B publishing since 2013, editing engineering technology titles serving the automotive, marine and sports and entertainment venue sectors. Currently editor of City Transport & Traffic Innovation and Robotics & Innovation magazines, John co-ordinates the day-the-day operations of both titles, using independent editorial content as a platform to bring buyers and sellers together via print and online. In addition to the magazines, John also serves as a chair for the annual Road User Charging Conference in Brussels and can be found sniffing out breaking news stories throughout the halls of Akabo Media’s industry-leading exhibitions.

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