In venture into digital payments, Daimler acquires fintech firm PayCash Europe SA. to create Mercedes Pay
Daimler AG, the owner of several global brands including Mercedes-Benz, has acquired PayCash Europe SA. By moving into the payments business, Daimler AG will be launching its own electronic payment services provider under the Mercedes pay brand name.
Klaus Entenmann, Chairman of the Board of Management of Daimler Financial Services AG, stated: “Our philosophy is to provide mobility at your fingertips. ‘Mercedes pay’ allows our customers to easily and securely pay for our mobility offerings and services using their smartphones. “Mercedes pay” will mainly benefit customers who, in the future, will only need to provide their payment details one time, in order to be able to use a range of Daimler’s services. This is made possible by the eWallet function, a virtual source of payment.”
Mercedes Pay will be integrated into Daimler Mobility Services GmbH.
A subsidiary of Daimler Financial Services which incorporates different mobility services, including car2go, and the mytaxi app. The company also plans to use the payments system for its vehicle financing operations.
Bodo Uebber, Member of the Board of Management of Daimler AG, stated, “Mercedes Pay is a fundamental component of our mobility and digitization strategy. Daimler’s new payment system underscores our ambition, as a leading provider of digital mobility services, to make the products and services we offer even more appealing.”
Daimler’s acquisition of PayCash Europe comes at a time of increased interest from the automotive industry in digital payments and blockchain technology. Recent examples of partnerships include the financial arm of Toyota Motors joining the R3 enterprise blockchain consortium, Honda’s in-vehicle payments system in partnership with Visa and General Motors partnership with Mastercard.
PayCash Europe SA is a financial institution regulated by the Luxembourg banking authority. The ePayment company was founded in 2012 and offers a digital payment platform for mobile payment as well as e-money solutions for cryptocurrencies, such as Bitcoin and eWallet systems.