MasterCard and Visa are taking IoT to a whole new level

Both Visa and Mastercard have a similar model of business since their inception. These financial corporations collect a small number of fees for each transaction that their customers make. Nevertheless, Mastercard, as well as Visa, also compete with other acclaimed networks of credit cards around the world. The only rival that Mastercard and Visa has is the fiat currency also known as cash.

The e-commerce industry in association with the Internet of Things has changed the world significantly. By the looks of it, the e-commerce industry has proven out to be extremely beneficial for both Visa and Mastercard. According to the current Chief Finance Officer of Visa, Vasant Prabhu, it is the online purchases that have created a massive virtue for the company. While attending a recently organized conference of analysts, Prabhu indicated that the E-commerce industry has been growing five times in number and this made a little dent of the in-person transactions.

On the other hand, this creates a scenario where people use Visa cards twice as a face-to-face transaction. And this has brought a phenomenal time for the company. More and more devices are connected to the internet. The internet of Things devices makes it easier when a person is trying to carry own an electronic payment. Nowadays people are carrying less cash as they are sure that the outlets in the city accept the payment via connected devices.

Most of the payments via the Internet of Things are carried out by apps or sensors. For instance, when a person goes to fill up the gas of his/her vehicles, the sensors automatically pay for the gas. Vendors around the world depend on the online transactions by through the Internet of Things machines rather than relying on cash. With the help of the Internet of Things, the collectors of the toll booth, parking meters among others can easily facilitate payment by using the cost-effective Internet of Things devices.

**This post was published on https://finance.yahoo.com