On 30 September 2024, Mastercardannounced a significant partnership with Amazon Payment Services aimed at enhancing digital payment acceptance across the Middle East and Africa (MEA). This multi-year agreement is set to benefit thousands of merchants in key countries, including Bahrain, Egypt, Jordan, Kuwait, Lebanon, Oman, Qatar, South Africa, and the United Arab Emirates (UAE).
Transforming Payment Solutions
As part of the collaboration, Amazon Payment Services will implement the Mastercard Gateway, a unified solution for payment processing available in 40 regional markets. This integration is expected to facilitate faster, simpler, and more secure transactions for merchants while offering diverse payment options to consumers.
Amnah Ajmal, Executive Vice President of Market Development, EEMEA at Mastercard, stated, “We are proud to partner with Amazon Payment Services to scale payment acceptance and accelerate digitization of payments with innovative solutions.” This partnership is crucial as the region witnesses a rapid increase in the adoption of digital payment methods.
Addressing Consumer Demand
According to the Mastercard Payment Industry Insights Index, consumer interest in innovative payment technologies is soaring. Notably, 95% of consumers in MEA are exploring emerging payment methods, such as wearables, biometrics, digital wallets, QR codes, and contactless payments. Furthermore, 61% of consumers reported they would avoid businesses that do not accept electronic payments.
Peter George, Managing Director of Amazon Payment Services for the Middle East and North Africa, commented, “We are delighted to strengthen our collaboration with Mastercard… the advanced technology solution is connected to all major acquirers around the world.” This collaboration aims not only to improve payment solutions but also to enhance transaction security through synergies with various sectors, including telecommunications and government entities.
Innovative Payment Solutions
In addition to adopting Mastercard Gateway, the two companies have signed an innovation agreement to develop several key features, such as Secure Card on File, Click to Pay, and token authentication services. These enhancements are designed to provide multi-rail checkout options for merchants and create a smoother checkout experience for customers.
The integration of these services aligns with consumer expectations; recent findings from PYMNTS Intelligence indicate that 70% of consumers consider the availability of their preferred payment method a major factor in determining where to shop. As noted by Drew Olson, senior director at Google Pay, “Whatever calculus the user performs to determine the payment methods that they want to use, they want more options across more merchants.”
Conclusion
In conclusion, the partnership between Mastercard and Amazon Payment Services marks a pivotal step towards advancing digital payment solutions in the Middle East and Africa. As both companies strive to enhance consumer experiences and expand merchant capabilities, they are positioned to significantly influence the future of online payments in the region.
