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January 2nd, 2007

MasterCard Continues PayPass Expansion with Ohio Turnpike, Cadbury Schweppes Initiatives

By Justin McHenry

MasterCard closed out 2006 by announcing two more significant additions to its PayPass swipeless credit card payment offerings. First, MasterCard announced the rollout of credit card accepting vending machines for Cadbury Schweppes products, which include Dr. Pepper, 7Up, Snapple and other beverages. In the second, MasterCard announced the testing of PayPass payments on the Ohio turnpike. Both projects involve the use of USA Technologies “e-Port Payment Solution” to facilitate transactions.

About 1,000 specially-equipped Cadbury Schweppes machines will debut in New York, Chicago and Dallas. The vending machines will accept both traditional swiped credit cards and the “contactless” credit cards that use radio-frequency identification (RFID) to allow transactions by passing the card in front of a special reader.

In July of 2006 a similar rollout of Coca-Cola machines in Philadelphia took place, and MasterCard plans to continue expanding its credit-card-equipped vending machine fleet.

The Ohio Turnpike test is a modest one, with several exits to the west of Cleveland being outfitted with the readers that will allow travelers a new payment option that is potentially faster than digging out cash to pay a toll both worker. No one’s saying so, but if it catches on, could PayPass put some toll booth workers out of work?

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