Visa is finally making its Visa Token Service open to automakers, which will mean that it will be possible for drivers to pay for fuel and other purchases without having to leave their vehicles.
The service works using a fuel app that is integrated with the vehicle's head unit. The app can detect when the vehicle is running low on fuel, and can offer directions to the nearest gas station. Once the vehicle is parked next to a gas pump, the app figures out exactly how much fuel is needed and calculates the related cost. The driver can then send payment via the app's in-car display, which is integrated with Visa's online payment service.
The use of Visa Token Service to pay for fuel is set to be tested in the USA over three months, but there's no question that the convenience of in-car fuel payments makes for a much-needed upgrade over the current system.
Key Themes Behind This Trend
- In-car Payments
- Disruptive Innovation Opportunity: Automakers can capitalize on the convenience of in-car payments to offer a seamless and efficient fueling experience for drivers.
- Integrated Fuel Apps
- Disruptive Innovation Opportunity: Developers can create integrated fuel apps that not only guide drivers to the nearest gas station but also accurately calculate fuel needed and enable seamless in-car payments.
- Visa Token Service
- Disruptive Innovation Opportunity: Visa can expand the use of its Visa Token Service beyond fuel payments to other in-car purchases, revolutionizing the way drivers make transactions.
Where This Applies
- Automotive
- Disruptive Innovation Opportunity: Automakers can leverage in-car fuel payments to enhance the overall driving experience and create a competitive edge in the automotive industry.
- Mobile App Development
- Disruptive Innovation Opportunity: Developers can specialize in creating integrated fuel apps that seamlessly connect with the vehicle's head unit, fuel gauge, and payment systems.
- Financial Technology
- Disruptive Innovation Opportunity: Financial technology companies, like Visa, can explore expanding their token services to enable secure and convenient in-car payments for various industries.
