Interesting collaborations and innovative solutions have been entered into recently in order to tap into the in-car payment industry.
- Honda Motor Co. introduced a prototype at CES 2017 in the beginning of 2017 allowing drivers to pay for parking or fuel without using a credit card.
- General Motors Co. and Kia Motors Corp. may offer a similar feature in 2017.
- Volkswagen AG bough PaybyPhone, a provider of parking-meter mobile payments.
- Gentex Corp. punted a technology embedded in rear-view mirrors that could make car payments more secure by scanning a person?s iris to verify his or her identity.
- Parking meters able to notify drivers when they are available and to accept payments may be among the first to come online and there will be 9.7 billion connections in the so-called Internet of Things (IoT) that will be used by smart cities by 2020, up from 1.1 billion in 2016.
It is calculated that in the US, people spend on average 48 minutes in car per day and this fact has market potential. Tit has led to new opportunities: In the next 10 years, as self-driving cars catch on, automakers envision vehicles that double as major e-commerce hubs, with consumers shopping for clothing and groceries to be picked up along the route home from work. Visa Inc and Mastercard Inc. are in the race to enable payment capabilities for automakers. Motor manufacturers expect the digital wallets to catch on as the number of connected cars expands. In 2017, the global figure with cellular connectivity alone will rise to 65.7 million cars, up from 40.4 million in 2016 (Gartner research). Read more on bloomberg.com www.bloomberg.com/news/articles/2017-01-23/gm-mastercard-want-your-car-to-pick-up-the-tab-for-that-latte