details

As the Internet of Things continues to grow and drive a more connected world, it is changing the way we live, shop and pay by moving data and the point-of-sale to wherever the consumer wants it to be.

Payment tokens are being put in devices like cars, elevators and wearables to create seamless transactions that users don’t even have to think about. Let’s consider a few examples that are fast approaching and will be taken for granted in the coming years.

You’re driving your car down the road and at 35,900 miles a notification pops up on the dashboard with an offer to extend the car’s warranty for 10,000 miles if you pay now. The warranty offer will of course take into account your driving habits that are tracked by the myriad of sensors on the car (this isn’t going to be the best deal for those of you that have a lead foot like I do). For those that do decide to extend the warranty, a payment token integrated into the car will make it as easy as pressing a button to pay for the extended warranty. The connected car will become a payment hub in the future and also enable things like gas payment through a direct interaction between the car and the gas pump.

Another use case we’ll see in the near future is around connected buildings. Imagine getting home after a long day at work. You step into the elevator and a menu pops up on the screen in the elevator, which will of course be the menu of your favorite local restaurant based on your order history. You have the option to order delivery and transact payment in the elevator before you get to your apartment so you can kick back and relax on the couch as soon as you’re through the door.

read more at ibm.com