US financial services giant American Express (AmEx) has teamed up with California-based tech provider VeriFone, allowing cardholders to pay for taxi rides in New York City using their accumulated loyalty points.
Functioning via VeriFone’s taxi POS devices, the programme will enable more than 7,000 taxis throughout the city to process over 200,000 payments daily.
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Upon arriving at their destination, AmEx card users will be able to choose to whether to use cash or loyalty points to pay for the fare, including toll-charges and gratuity.
Commenting on the newly implemented system, Leslie Berland, senior vice president of digital partnerships and development at AmEx, said: "With this announcement, we’re leveraging our unique technology to bring it to life at the most critical commerce touchpoint – the physical point of sale."
AmEx’s collaboration with VeriFone appears to be the latest in a long-term strategy to provide alternative payment systems to its cardholders.
In November 2011, the financial services company filed a patent for spending loyalty points over a computerised network to facilitate a transaction".
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