Fintech & Ecommerce

Mercedes-Benz and Visa Launch In-Car Payments in Germany

Mercedes-Benz has rolled out the Mercedes Pay+ feature in cooperation with Visa to enable in-car payments for digital services and on-demand hardware upgrades

Mercedes-Benz and Visa Launch In-Car Payments in Germany

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Mercedes-Benz has begun using Visa Delegated Authentication and Visa Cloud Token Framework technologies to enable native in-car payments via the Mercedes Pay+ digital payment service.

German users will be the first to test the new function, while other European markets are soon to follow.

A new enhanced customer experience will enable car owners of select new vehicle models to authenticate payments via an in-car fingerprint sensor. Initially, the scope of possible in-car transactions is limited to digital services and on-demand hardware upgrades in the Mercedes me Store.

Examples of the digital services you can buy in-car are connectivity apps that control the comfort functions of the car, such as pre-air conditioning of the vehicle via a mobile device. Upgrades to the vehicle software include advanced navigation services that provide information on the weather or available parking spaces at the customer’s destination.

However, Mercedes Pay+ enabled payments will be extended to other services such as fuel purchases later in the year.

“Innovating with partners, Visa can unlock the possibilities that connected devices might bring to commerce. Making your car a secure and fully authenticated payment device brings new ways to enhance journeys and looking ahead, we can imagine many moments where in-car payments could smoothen the driver experience.”
Albrecht Kiel, regional managing director of Central Europe at Visa

The native in-car e-commerce function will be made secure by connecting biometric two-factor authentication in conjunction with the fingerprint sensor. Visa Cloud Tokens provide an additional layer of security, encrypting sensitive payment information by converting data and storing it securely.

Previously, similar payments required typing in a PIN on the MBUX infotainment system or using an additional mobile device for verification. With the new integration, the car itself turns into a payment device.

The car models supporting the new payment method include the EQS and EQE series, the Mercedes-Benz S-Class and C-Class, and the new GLC.

In late 2022, Mercedes’ rival BMW rolled out the in-car parking payment service in Germany and Austria for select vehicles. The new tool enables drivers to locate parking spots, receive automated payment requests and pay at their chosen location with My BMW app or in-car infotainment system.

Nina Bobro

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Nina is passionate about financial technologies and environmental issues, reporting on the industry news and the most exciting projects that build their offerings around the intersection of fintech and sustainability.