Hyundai to launch in-car payments in US

Hyundai’s US business will make in-car payments possible when it launches its latest model, with the first service available through a partnership with parking service provider Parkopedia.

The South Korean car maker will launch Hyundai Pay next year with its Kona model in the US, with drivers able to pay for things using a touchscreen with their banking details stored in the system. The first service to be available to drivers in the US to find, reserve and pay for parking spaces at 6,000 locations from within the vehicle.

Hyundai said nine other models will get Hyundai Pay over time and more features will be added.

“Hyundai Pay is the latest example of our continuous advancements in smart mobility and software-defined vehicles,” said Olabisi Boyle, vice-president, product planning and mobility strategy, Hyundai Motor North America. “With Hyundai Pay’s e-commerce platform, we can elevate customer convenience and extend their digital reach by making everyday needs – like finding and paying for parking – easier, swifter and safer via our connected-car, integrated-cockpit and secure-transaction technology.”

Demand from customers to have the ability to pay for parking from within the car was identified by in a major survey by Parkopedia.   

According to Hans Puvogel, chief operating officer at Parkopedia: “[US] motorists report significant challenges in finding parking and a distinct desire for in-car parking services, with US Hyundai drivers showing a particular interest in accessing parking information through their vehicles.”

Parkopedia’s 2023 Global driver survey shows that 94% of US drivers get stressed when searching for parking, including 18% encountering issues finding a space on every parking search. It also revealed that 58% of US drivers want to be able to search for parking through their vehicle and 68% want to pay for parking through their in-car media system.

The number of connected cars are increasing at a rapid rate and are expected to increase rapidly over the next seven years to 2030, reaching 828.7 million, which is triple the 2022 total of 279.3 million, according to a study from Rethink Research.

Rethink Research’s latest Wireless watch research report and forecast on the connected car market, predicted that revenues derived from car connectivity will increase even more sharply and quadruple to $244bn by 2030, as 5G access becomes increasingly prevalent to deliver added-value services such as ultra-high definition streaming and more advanced driver assistance system features.

The report defines car connectivity as internet access over a public cellular network via an embedded SIM in the vehicle.