Visa introduced a new digital payment system to replace V.me digital wallet. Visa's Checkout is the company's latest move to simplify digital payments for consumers and vendors.
Checkout will replace the outdated platform, which was first introduced into the market in 2011, reported Re/code.
"It's your Visa card for the digital world," CEO Charlie Scharf said.
Thus far, vendor partners include Neiman Marcus, Pizza Hut, Staples and United Airlines. The company has also recruited more than 180 financial institutions to support Checkout including Bank of America, Chase, Wells Fargo Bank and Citi, reported ZDnet. The Checkout app will launch immediately in the United States, Canada and Australia.
On this new venture, Visa will have to compete with contenders such as MasterPass from MasterCard, as well as Amazon and PayPal.
Streamlining the payment process is important to retailers, who often lose revenue to abandoned online shopping carts. One of the bonuses of Checkout is that it can be built directly into e-commerce sites without forcing shoppers to leave the transaction for a different site: think PayPal. In fact, users will just have to enter a login and password. Consumers will be able to pay for products online from virtually any mobile device.
Speed is another selling point, as transactions can be made in as little as five seconds with the assistance of Checkout.
"This is not a wallet," Sam Shrauger, senior VP of Visa, told Re/code. "It is a digital form of the card you love."
The Visa strategy is part of a larger company effort to remake itself for the digital era. Visa even opened a new San Francisco office dedicated to working with a broad array of partners including technology companies.
-See this Re/code article
-See this ZDnet article
DDoS attacks are on the rise
Amazon expands Amazon Coins to mobile devices
Virtual retail currency could translate into not-so-virtual legal nightmares
Overstock, other retailers, accept Bitcoin
J.Crew, Abercrombie, Ralph Lauren may soon be sold on Amazon