To enhance the automotive e-commerce and payments experience, Stripe and Ford Motor Company have signed a five-year agreement. The two companies will enhance the online payments infrastructure for providing its Ford and LincoIn dealers in North America and Europe with a seamless digital and e-commerce experience from the second half of 2022.
On being the premier digital payments service platform, Stripe will be a key part of the tech stack and will be able to enhance the efficiency in the processing of e-commerce payments. These payments include vehicle ordering, reservation services, channel customer’s payments from the automaker’s website to the required local Ford or LincoIn dealer, and taking hold of the financing options for Ford’s commercial customers. On this successful agreement, Marion Harris, Ford Motor Credit Company CEO, said, “We have been working with Ford to reimagine our e-commerce payment infrastructure. Stripe’s platform will help us deliver simpler, outstanding payment experiences in any channel customers choose and scale improvements faster.”
The previous year, Stripe raised a $600 million round at a valuation of $95 billion and plans to use the funds to expand its services to Europe. Pertaining to the Ford+ plans for growth and restructure, the company aims to invest $30 billion by 2025 with this signed agreement. By investing in technology, the auto industry makes a move towards capturing more short-term returns as the pandemic dwarfed automakers’ abilities to meet customer needs. Recently Ford and LincoIn also started their subscription services with Amazon Fire TV, therefore having a sturdy digital payment platform is essential.
For scaling new services, having a reliable backbone is necessary. With products like Stripe Connect, Ford can create the best e-commerce platform to enable purchases and payments between third-party buyers and sellers. Mike Clayville, chief revenue officer at Stripe, said, “We’re thrilled to be the payments engine under the hood, powering the next stage of Ford’s digital transformation.” During the pandemic, online purchasing has led to comfortable living, following the same trend, Ford is also making e-commerce possible, and scaling it up with the help of Stripe.
With big names, like, Salesforce, Deliveroo and Shopify already attached to it, Stripe plans to become a key part of Ford’s product and enhance the efficiency in a range of e-commerce payments, including the charging services.