On Tuesday, Mastercard said that it had reached a deal to buy Minna Technologies, a software company that helps customers better manage their subscriptions.
The action was taken in response to Mastercard’s and Visa’s aggressive efforts to diversify their businesses beyond credit and debit cards and into technology services including pay-by-bank payments, cybersecurity, and fraud prevention.
Mastercard refuses to share the transaction’s financial information, which is presently being examined by regulators.
The payments giant claimed that the agreement will enable it to provide customers with a method to access all of their subscriptions in a single view, whether inside your banking app or a central “hub,” in conjunction with other projects it is committed to surrounding subscriptions.
Based in Gothenburg, Sweden, Minna Technologies creates technology that enables users to manage subscriptions within banking apps and websites, irrespective of the payment method they originally used.
According to the company, it collaborates with some of the biggest financial institutions in existence today. It already counts rival Visa and Mastercard as important partners.
In a blog post on Tuesday, Mastercard stated, “These teams and technologies will add to the broader set of tools that help manage the merchant-consumer relationship and minimize any disruption in their experience.”
Modern consumers frequently have a tonne of subscriptions from various providers, including Netflix, Amazon, and Disney Plus, to keep track of. Having numerous subscriptions can make it challenging to cancel them because users may forget which ones they have paid for when.
According to Mastercard, this may have a detrimental effect on retailers since customers who find it difficult to cancel their subscriptions often contact their banks to ask that payments be stopped.
Data from Juniper Research indicates that there are currently 6.8 billion subscriptions worldwide; by 2028, that figure is predicted to increase to 9.3 billion.
Establishment businesses in the financial services industry, like Mastercard, have been expanding their product line quickly to stay competitive with up-and-coming fintech companies that provide consumers with easier-to-use, digitally native methods of managing their money.
A U.S. fintech company called Finicity was purchased by Mastercard in 2020. It allows other banks or other third parties to access a customer’s banking data and process payments on their behalf.
In other words, as a customer, you would simply need to use your fingerprint to confirm your identity when you pay, instead of having to manually enter your card details as it was previously stated that the company would tokenize all cards issued on its network in Europe by 2030.
Meanwhile, Visa is making an effort to compete with fintech rivals. The business introduced Visa A2A, a new service that makes it simpler for customers to set up and manage direct debits—payments that are deducted from your bank account instead of using a credit or debit card—last month.On Tuesday, Mastercard said that it had reached a deal to buy Minna Technologies, a software company that helps customers better manage their subscriptions.
The action was taken in response to Mastercard’s and Visa’s aggressive efforts to diversify their businesses beyond credit and debit cards and into technology services including pay-by-bank payments, cybersecurity, and fraud prevention.
Mastercard refuses to share the transaction’s financial information, which is presently being examined by regulators.
The payments giant claimed that the agreement will enable it to provide customers with a method to access all of their subscriptions in a single view, whether inside your banking app or a central “hub,” in conjunction with other projects it is committed to surrounding subscriptions.
Based in Gothenburg, Sweden, Minna Technologies creates technology that enables users to manage subscriptions within banking apps and websites, irrespective of the payment method they originally used.
According to the company, it collaborates with some of the biggest financial institutions in existence today. It already counts rival Visa and Mastercard as important partners.
In a blog post on Tuesday, Mastercard stated, “These teams and technologies will add to the broader set of tools that help manage the merchant-consumer relationship and minimize any disruption in their experience.”
Modern consumers frequently have a tonne of subscriptions from various providers, including Netflix, Amazon, and Disney Plus, to keep track of. Having numerous subscriptions can make it challenging to cancel them because users may forget which ones they have paid for when.
Mastercard pointed out that this could be detrimental to retailers because customers who find it difficult to cancel their subscriptions wind up contacting their banks to ask that payments be stopped.
Data from Juniper Research indicates that there are currently 6.8 billion subscriptions worldwide; by 2028, that figure is predicted to increase to 9.3 billion.
Establishment businesses in the financial services industry, like Mastercard, have been expanding their product line quickly to stay competitive with up-and-coming fintech companies that provide consumers with easier-to-use, digitally native methods of managing their money.
A U.S. fintech company called Finicity was purchased by Mastercard in 2020. It allows other banks or other third parties to access a customer’s banking data and process payments on their behalf.
In other words, as a customer, you would simply need to use your fingerprint to confirm your identity when you pay, instead of having to manually enter your card details as it was previously stated that the company would tokenize all cards issued on its network in Europe by 2030.
Meanwhile, Visa is making an effort to compete with fintech rivals. The business introduced Visa A2A, a new service that makes it simpler for customers to set up and manage direct debits—payments that are deducted from your bank account instead of using a credit or debit card—last month.