The transaction value of in-vehicle payments made using embedded onboard systems will rise from US$543m in 2020 to $86bn in 2025, driven by fuel, parking, food, drink and other ecommerce purchases, Juniper Research predicts.
The increasing integration of voice assistants and other improvements in the ecosystem will result in this “dramatic growth”, the researchers say.
“This will be largely due to the high number of anticipated future partnerships in this area, as well as the ease of migrating existing mobile payment solutions into in-vehicle systems,” they explain.
Voice commerce will be “a major supporting factor in the in-vehicle payments market,” Juniper adds. “The increasing integration of voice assistants within the vehicle’s systems, not just via smartphone mirroring, will enable drivers to make ecommerce purchases from behind the wheel in a seamless way.
“This will drive other in-vehicle payments, including ecommerce, food and drinks to over US$11bn in 2025, from just $12m in 2020.”
By 2025, fuel and electric vehicle charging payments will account for more than three quarters (77%) of in-vehicle payments value, the analysts add.