In-Vehicle Payment Services Market is estimated to be valued at USD 8.61 Bn in 2025 and is expected to reach USD 26.00 Bn in 2032, exhibiting a compound annual growth rate (CAGR) of 17.1% from 2025 to 2032.
The in-vehicle payment services market is growing swiftly, driven by the increasing adoption of connected cars and the demand for seamless, contactless experiences. These systems allow drivers to pay for tolls, fuel, parking, or food directly through their car’s interface, reducing the need for physical cards or mobile phones.
Automakers like GM, Mercedes-Benz, and BMW are integrating payment solutions into infotainment systems through partnerships with fintech and retail firms. Advancements in IoT, 5G, and telematics are enhancing security and transaction speed, fueling further innovation.
In-vehicle payment services market demand is especially strong in North America and Asia Pacific, supported by robust digital infrastructure, EV growth, and rising mobile payment adoption. As the auto industry shifts toward smart mobility, in-vehicle payments are becoming a key differentiator in the connected car experience.
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The integration of Artificial Intelligence (AI) is significantly transforming the In-Vehicle Payment Services Market by enabling personalized, secure, and seamless transactions within connected cars. AI enhances user experience through voice assistants and natural language processing, allowing drivers to make payments hands-free, be it for fuel, tolls, parking, or food orders. Machine learning algorithms also analyze user preferences, driving habits, and location data to offer predictive payment suggestions and contextual services.
Furthermore, AI is improving fraud detection and payment security by monitoring real-time behavior patterns, reducing unauthorized access. Automakers are integrating AI-powered digital wallets and voice commerce systems that authenticate users through biometrics, enhancing both convenience and safety. As AI continues to mature, it will play a pivotal role in scaling autonomous commerce systems, making in-vehicle payments a core component of the smart mobility ecosystem.
In April 2024, Sheeva.AI announced the integration of its SheevaConnect™ in-car payment technology in the Citroen C3 Aircross SUV AT, India's most affordable automatic mid-sized SUV. This feature enables drivers to pay for fuel at over 32,000 fuel stations nationwide directly from the vehicle.
In terms of mode of payment, the app/e-wallet segment is expected to contribute the highest share of the global in-vehicle payment services market in 2025, due to its convenience, speed, and integration with connected car ecosystems. As vehicles become more digitized, users prefer payment solutions that are already embedded in their smartphones or car infotainment systems. App-based wallets like Apple Pay, Google Pay, Samsung Pay, and OEM-specific apps allow for seamless transactions for tolls, fuel, EV charging, parking, and food services, without needing physical cards or external devices.
For example, Car IQ Inc., an automobile manufacturer, has partnered with Visa, a digital payments provider. Through this collaboration, vehicles can now connect directly with Visa’s global network of merchants and financial institutions. Additionally, Car IQ Pay’s vehicle wallet allows owners to pay for fuel, tolls, parking, insurance, maintenance, and repairs seamlessly from their car.
In terms of application, the gas & charging stations segment represents the largest share of the market in 2025, due to the rising need for convenience, speed, and contactless experiences in everyday travel. As connected vehicles become more advanced, drivers increasingly expect seamless transactions without leaving their cars.
For gas stations, in-vehicle payments eliminate the need to swipe cards or enter PINs at pumps, reducing wait times and enhancing safety. For EV charging stations, where payment interfaces vary widely, embedded payment systems simplify the process, especially during long journeys or for fleet operators.
In July 2025, Tata Motors introduced DrivePay, a new in‑car UPI-based payment system on the Harrier.ev SUV. The feature seamlessly integrates charger discovery, navigation via MapMyIndia (Mappls), and payment—all through the 14.5" infotainment screen. Drivers can locate nearby charging stations, initiate charging sessions by entering amount or units, and pay instantly using in-car interface or iRA mobile app, with auto‑recharge and Fastag balance tracking included. Such innovations are accelerating the in-vehicle payment services market share.
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In North America is expected to dominate in the in-vehicle payment services market with a share of 39.32% in 2025. The dominance is observed due to the region's technological maturity, high car ownership rates, and growing appetite for convenience-based services. Consumers increasingly expect connected, seamless driving experiences, including the ability to make payments for fuel, tolls, parking, and food directly from their car dashboards.
Major automotive OEMs like Ford, GM, and Tesla are integrating in-vehicle payment systems into infotainment platforms. In addition, North America's extensive highway infrastructure and rising adoption of EVs, which often rely on app-based charging networks, further drive demand for integrated payment capabilities.
For instance, in September 2023, Hyundai introduced Hyundai Pay, an innovative in‑vehicle payment service that enables U.S. drivers to locate, reserve, and pay for parking, all from within their vehicles. Initially available at 6,000 Parkopedia-supported locations. Hyundai Pay encourages effortless mobility with easy access to nearby parking, digital payments, and reservation options with no apps or wallets needed. Such innovations are proliferating the in-vehicle payment services market revenue.
Asia Pacific is expected to exhibit the fastest growth during forecast period driven by a combination of urban growth, digital payment maturity, and advancing automotive technology. Countries such as China, Japan, South Korea, and India are rapidly urbanizing and investing in smart city infrastructure, which has increased the need for seamless and contactless transaction systems, especially for toll booths, parking, EV charging, and drive-through services.
Additionally, the widespread use of mobile payment platforms like Alipay, WeChat Pay, and Paytm has created a digitally-savvy consumer base that readily adopts in-vehicle payment systems. The in-vehicle payment services market demand is further driven by government initiatives promoting electric vehicles and smart mobility, particularly in China and South Korea, where digital payment is becoming an integral part of transportation infrastructure.
The United States leads the in-vehicle payment services market due to its advanced connected car ecosystem and high digital wallet adoption. Fuel stations like Shell and ExxonMobil, drive-thru QSRs such as McDonald’s and Starbucks, and smart parking garages are integrating in-car payment options to streamline transactions. Additionally, toll road automation using RFID, NFC, and app-based systems is expanding across major states. These developments, combined with strong automotive tech and consumer readiness, make the U.S. a key driver of the in-car payment services market.
Germany is a key driver of the in-vehicle payment services market due to its strong automotive base and smart mobility focus. OEMs like BMW and Mercedes-Benz are integrating in-car payment systems for EV charging, tolling, parking, and servicing. The rise of "Plug & Charge" capabilities and smart autobahn toll systems reflects growing demand for seamless, embedded payments. Backed by smart city initiatives and EV adoption, Germany is emerging as a leading market for connected vehicle transactions.
China is a key driver of the In-Vehicle Payment Services Market due to its widespread use of mobile payments like WeChat Pay and Alipay. Government initiatives such as “Made in China 2025” and strong EV adoption support the shift to smart mobility. In-car payments are gaining traction in EV charging, smart parking, tolls, and car-sharing platforms, especially in major cities. The country's digital readiness and large connected vehicle ecosystem make it a leader in in-car payment adoption.
| Report Coverage | Details | ||
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| Base Year: | 2024 | Market Size in 2025: | USD 8.61 Bn |
| Historical Data for: | 2020 To 2024 | Forecast Period: | 2025 To 2032 |
| Forecast Period 2025 to 2032 CAGR: | 17.1% | 2032 Value Projection: | USD 26.00 Bn |
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| Companies covered: |
BMW Group, Mastercard, Daimler Ag, Amazon, Ford Motor Company, Volkswagen Ag, Honda Motor Co., Ltd., General Motors Company, and Hyundai Motor |
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Regular payment infrastructures are currently progressing. There is an infrastructure transformation in the payment industry, which is important for competing efficiently and to address progressing requirements of customers. Many countries are modernizing their infrastructure of payments. As the cost of infrastructure renovations can be high for both the bank and system, banks are finding ways to develop services and products on the infrastructure providing value to end users and accelerating the cash transactions in order to recover investments in infrastructure. The rapid adoption of mobile payments is a key part of this evolution and is expected to fuel the growth of the global in-vehicle payment services market price and adoption over the forecast period.
The growing adoption of in-vehicle payment services is expected to generate significant opportunities in the global in-vehicle payment services market forecast period. The use of in-vehicle payment services can aid in ordering food, making payments for food and beverages, as well as purchasing gasoline and groceries, all without requiring drivers to exit the vehicle. It also helps to make payments for the parking and tolls. Thus, demand for these services is increasing rapidly, which in turn is creating growth opportunities in the global in-vehicle payment services market.
The growing need for hassle-free payment systems at toll plazas, gas stations, and parking spaces is expected to bring multiple opportunities in the global in-vehicle payment services market over the forecast period. The adoption of digital payment technology, such as debit cards, mobile payments, and credit cards, is growing rapidly all over the world. Moreover, the availability of high-speed internet at fuel stations and the use of digital payment services are increasing. This, in turn, is creating growth opportunities in the market.
Customer experience is an important part of selling process for market players. These companies are using collaborations and partnerships for improving the in-vehicle experiences for customers and offer them with services for various applications.
The popularity of debit/credit card and its widespread use is increasing for making contactless payments. Several automobile companies are working on development of a strong in-vehicle payment ecosystem in order to enable make hassle-free payments across restaurants, parking slots, gas stations, and toll stations, for consumers. Thus, debit/credit card payment methods are increasingly being adopted. This trend is expected to boost growth of the global in-vehicle payment services market over the forecast period.
The evolution of the in-vehicle payment services market represents a pivotal inflection point in the automotive and digital commerce convergence. From an analyst's perspective, this market’s trajectory is being decisively shaped by automakers’ strategic push to own the data ecosystem, the rapid onboarding of digital wallets by Tier-1 OEMs, and the emergence of fuel and EV charging partnerships as the most lucrative channel in this space.
While several sectors are experimenting with embedded payments, in-vehicle payments have become a key battleground for OEM differentiation. Companies like Hyundai, BMW, and GM have already integrated payment functionalities via voice-activated assistants and infotainment systems. For instance, Mercedes-Benz’s partnership with Mastercard to allow fingerprint-based fuel payments at German filling stations is not just a use case, it’s a signal of where the monetization is headed: frictionless, biometric-secured commerce tied directly to vehicle IDs and user profiles.
Crucially, gas stations and EV charging infrastructure remain the dominant use cases, commanding over 50% of all in-vehicle transactions as of 2024. This dominance is expected to intensify as EV adoption grows, compelling a seamless link between navigation, battery status, and payment execution. As an example, Shell’s SmartPay and ChargePoint’s in-dash integration with automakers are reducing drop-offs in EV journey planning by embedding payment natively into route management, something mobile apps could not accomplish as elegantly.
QR code and RFID-based payments are rapidly being sidelined by embedded e-wallet and app-based models. OEMs are beginning to bypass legacy methods to drive recurring revenue via app-based ecosystems. The NFC-based payment model, though secure, lacks the scalability that app-based services bring, particularly for bundling fuel, parking, toll, and drive-thru services under a unified loyalty platform.
Interestingly, the North American market is no longer the innovation leader in this space. While Tesla’s minimalistic UX has pushed digital experiences, Asia-Pacific OEMs, particularly from South Korea and China are more aggressively pursuing embedded financial features. Kia’s CarPay, launched with Parkopedia, and China's Nio integrating real-time parking payments via Alipay, are examples of how the region is leapfrogging traditional approaches.
*Definition: In-Vehicle Payment Service is a system that allows drivers to make payment and transaction with companies or apps like toll gates, smart parking, gas stations, electric vehicle charging stations etc. In-vehicle payments are not a new concept, but they have recently seen rapid growth as they help reduce the number of people who have to leave their cars to pay for products and services.
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About Author
Monica Shevgan has 9+ years of experience in market research and business consulting driving client-centric product delivery of the Information and Communication Technology (ICT) team, enhancing client experiences, and shaping business strategy for optimal outcomes. Passionate about client success.
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