Dive Brief:
- Braintree will power a new service that allows consumers to request and pay for an Uber car-share ride using Facebook Messenger.
- A unit of PayPal, Braintree will use tokenization to ensure the security of payments as they move seamlessly between apps.
- Facebook Messenger launched a peer-to-peer payments system in June that was seen as a direct competitor of PayPal’s.
Dive Insight:
Facebook Messenger is pushing further into commerce with the help of Braintree, a PayPal unit. The instant-messaging app will soon allow users to order and pay for an Uber ride, and use Braintree to process the payments. Messenger users won’t have to open an Uber account to use the service.
Moving a tokenized transaction between apps like this is what’s known as “contextual” commerce, Braintree says. Enhancing payment portability, contextual commerce helps make the mobile experience more seamless by allowing checkout procedures to move away from the physical lane or page, and into store aisles, apps and other venues.
“This new functionality sits right at the intersection of increased mobile commerce adoption and the rapid growth of on-demand services, and ties the two together to streamline a truly mobile commerce experience,” Braintree GM Juan Benitez said in a blog post announcing the partnership.
