P97 Networks has partnered with Visa to expand its mobile payment offerings for convenience stores.
“This collaboration will help reduce friction for in-car payments, enable EV charging payments on public networks and further accelerate mobile payment innovation and adoption,” the company said in a statement on Tuesday (Jan 31).
The first step of the project is the deployment of P97’s enhanced network token services to connect millions of digital wallets and connected cars “to create a highly secure and unique mobile payment experience.”
According to the announcement, the two companies will work together in the coming months to deliver various related commercial experiences, such as payment solutions for EV charging over public networks and fleet charging solutions.
Ansar Ansari, Visa’s senior vice president and global head of product platforms, noted in a statement that the partnership demonstrates the security that tokens provide to automotive original equipment manufacturers (OEMs), energy brands and issuers.
“Drivers and consumers who use digital payments and mobile apps tend to be more loyal and transact with the same brands more often,” said Ansari.
As PYMNTS wrote, the partnership comes amid a larger transformation in the convenience store sector.
These stores are increasingly being called upon to digitize their in-store experience, according to the “Instant Payments Transformation Guide: Grocery, Pharmacy and Convenience Retailers,” a collaborative study by PYMNTS and ACI Worldwide.
This research, which was drawn from a survey of 300 US and UK retailers, found that 81% of store owners see access to mobile apps as key to in-store customer loyalty, while 77% said the same about digital rewards and coupons.
The same study found that convenience retailers disproportionately view scan-and-go technology as positive, PYMNTS reported last week.
For example, convenience retail giant 7-Eleven has offered its own mobile checkout for years, initially in 2018. introducing the Scan & Pay option on the brand’s mobile app. The option remains available at participating locations, according to the convenience store chain’s website. in 2021 Over the summer, 7-Eleven expanded this Mobile Checkout service to 3,000 U.S. stores as an option for loyalty program members.
The report notes that a total of 39% of retailers believe that consumers are very or very likely to switch merchants if they are not offered the option to scan products and pay without waiting in line. However, in self-service stores, this proportion is significantly higher. Almost half (47 percent) of convenience stores and pharmacies said they believe consumers will change this.
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The PYMNTS study “New Payment Options: Why Consumers Are Trying to Use Digital Wallets” found that by 2022 52% of US consumers have tried a new payment method, many choosing to try digital wallets for the first time.