PURCHASE, N.Y.—Internet of Things, or IOT, devices can be great tools for delivering loyalty rewards from issuers.
That is the opinion of Mastercard, which recently collaborated with Accenture to launch the “IoT Commerce Framework” – a two-pronged white paper series outlining key capabilities needed to conduct consistent and secure digital payment experiences with virtually anything.
Part one of the series highlighted the need for a streamlined approach to devices, consumers and merchants, transactions, and enablement and management.
In part two, Mastercard expands on four additional and critical components necessary to build out a successful IoT commerce ecosystem, including the growing importance of loyalty and rewards delivered via IoT devices.
“If integrated properly, loyalty and rewards will help users trust their connected devices and understand the value of intelligent commerce at large,” stated Mastercard. “From the wearable device that prompts a runner to grab a free water bottle at a nearby store, to the connected car that autonomously activates a discount coupon from a local gas station based on brand loyalty, the possibilities are endless.”
However, hardware manufacturers, software integrators, commerce platforms, payment providers and merchants will have to champion their offerings while collaborating with one another in this space, said the company.
“Once these players can agree upon an ecosystem that ensures an overall safe and seamless process to drive loyalty behaviors, loyalty itself will become a key component to IoT,” Mastercard said.