Visa, Mastercard, American Express, and Discover are planning to combine their online payment options into "a single button," hoping to make customers' shopping easier and reduce friction in the checkout process. The button will be a major competitor to PayPal, and combat what's called "the NASCAR effect," where multiple payment logos and options dot the purchasing interface on online marketplaces "like the side of a race car" (via Bloomberg).

The new project is being headed by Visa and Mastercard, which announced during an industry conference that they will integrate the Visa Checkout and Masterpass payment options into the button. Afterwards, spokespeople for American Express and Discover announced they are joining the project as well. With all of these platforms located behind one button, users who already have payment options saved in each will be able to checkout "with a few clicks."

visa masterpass amex combining
Still, the project is in early stages, with a name and the visual design of the button still undecided. Visa and Mastercard hope to start moving customers enrolled in Visa Checkout and Masterpass to the new program by the end of this year, and expanded checkout support is expected in 2019.

With all of the major credit and debit card companies joining forces, the new button is believed to be a direct competitor to PayPal, which amalgamates a customer's credit cards, debit cards, and bank accounts into one place for easier checkouts.

The aim, according to the card networks, is to make online shopping simple, letting people finish with a few clicks -- an experience pioneered by PayPal Holdings Inc. Yet some analysts say the coordinated effort may ratchet up competition between cards and PayPal, something long seen as a potential risk to that company’s meteoric growth.

“This is always kind of a looming threat to PayPal,” said Thomas McCrohan, an analyst at Mizuho Americas after the first announcements this week.

In a recent survey, 58 percent of merchants said they accepted PayPal in 2017, followed by Apple Pay at 48 percent, Visa Checkout at 26 percent, Masterpass at 16 percent, and AmEx Express Checkout at 9 percent. By providing a less splintered landscape for online shopping, the credit card companies hope to increase visibility among the "one-button concept" marketplace, where people currently "think of PayPal and Amazon Pay," analyst Raymond Pucci said. "People don't really say, 'Oh yeah, Visa and Mastercard.'"

PayPal has been facing increased pressure from rival payments processors recently, with eBay in February detailing plans to phase out its 15-year-long partnership with PayPal to integrate Adyen as its primary payments platform.

PayPal and eBay have an operating agreement to stay partners through mid-2020, so the Adyen alliance will begin slowly by educating buyers and sellers about the new processor in late 2018 and throughout 2019. By 2021, eBay wants to have "transitioned a majority" of its marketplace customers to Adyen, at which time PayPal will be relegated to a secondary checkout option.

Mastercard, Discover, American Express, and Visa also plan to make checkouts simpler in physical stores, this month eliminating the signature requirement for purchases.

Top Rated Comments

Doctor Q Avatar
38 months ago
Choosing the name is easy. D from Discover, IS from Visa, ASTER from MasterCard, and EX from Amex.



Attachment Image
Score: 14 Votes (Like | Disagree)
dannyyankou Avatar
38 months ago
That would simplify things, but websites supporting Apple Pay simplifies it even more.
Score: 9 Votes (Like | Disagree)
Nunyabinez Avatar
38 months ago
I'm really surprised to hear that ApplePay adoption online is at 48%. I haven't encountered nearly that many vendors accepting it. Maybe I just don't shop at the right places. :-/
Actually, I have used it at literally dozens of places that weren't aware they were able to do it.

I amazed at the number of times I hear, "Did you just pay me with your watch? That was cool."
Score: 6 Votes (Like | Disagree)
KrispE00 Avatar
38 months ago
...where people currently "think of PayPal and Amazon Pay,"
Who thinks “Amazon Pay”? I’ve never heard of it. I’ve seen the checkout with Amazon button only a handful of times. And I’ve never seen “Amazon Pay”.
Score: 4 Votes (Like | Disagree)
TallGuyGT Avatar
38 months ago
Not really, since only Safari is supported...
Also works on iPhones and iPads with Safari, which is a pretty large market. I've used it on my phone for several purchases, and it's really fast and convenient.
Score: 3 Votes (Like | Disagree)
Nunyabinez Avatar
38 months ago

Still, the project is in early stages, with a name and the visual design of the button still undecided. l ('https://www.macrumors.com/2018/04/20/visa-mastercard-checkout-button/')
How's this?

Score: 3 Votes (Like | Disagree)

Top Stories

iphone 6 in hand

Apple Faces Another iPhone Lawsuit Over 'Programmed Obsolescence'

Monday March 1, 2021 6:44 am PST by
Apple faces a new class-action lawsuit that accuses it of deliberately releasing iOS updates that slowly reduce the performance of an iPhone, forcing customers to upgrade their devices. The lawsuit comes from the Portuguese Consumer Protection Agency, Deco Proteste (via Marketeer), which in a statement says that it will proceed with a case against the Cupertino tech giant because it...
PIA23764 RoverNamePlateonMars web

NASA Mars Perseverance Rover Uses Same PowerPC Chipset Found in 1998 G3 iMac

Tuesday March 2, 2021 3:21 am PST by
NASA's Perseverance rover, which recently made history landing on the surface of Mars, is powered by the same processor used in an iMac more than 23 years old. Image Credit: NASA As reported by NewScientist (via Gizmodo), the rover includes the PowerPC 750 processor, the same chip used in the G3 iMac in 1998. The main chipset is the same; however, there are differences between the...
magsafe charging brick feature

Prosser: iPhone 12 MagSafe Battery Pack to Feature Reverse Charging

Monday March 1, 2021 1:18 pm PST by
Apple is working on MagSafe-compatible battery packs that will be compatible with the iPhone 12 models, and leaker Jon Prosser today said on the Genius Bar podcast that one version of the battery pack will feature "reverse charging." According to Prosser, Apple is working on two versions of the battery packs, one that's a standard version and one that's a premium version with reverse...
rosetta 2

Rosetta May Be Removed From M1 Macs in Some Regions on macOS 11.3

Tuesday March 2, 2021 5:20 pm PST by
Installing the upcoming macOS 11.3 software update on an M1 Mac may result in Rosetta 2 being removed in one or more regions around the world. In the third beta of macOS 11.3 seeded to developers for testing today, MacRumors contributor Steve Moser uncovered new strings in the beta's code indicating that "Rosetta will be removed upon installing this update." Another new string reads "Rosetta ...
iphone 12 pro display video

iPhone 13 to Include 1TB Storage Option and LiDAR Across the Board, Says Wedbush Analyst

Monday March 1, 2021 4:00 am PST by
Apple's forthcoming iPhone 13 could include a 1TB storage option for some models and LiDAR Scanners across the entire lineup, according to a report from Wedbush analysts. In a new note to investors, seen by MacRumors, Wedbush analyst Daniel Ives said that initial Asian supply chain checks gave the firm "increased confidence" that Apple's 5G-driven product cycle would extend well into 2022,...
Apple Prefer Lightning Over USB C Feature

iPhone Sticking With Lightning Port Over USB-C for 'Foreseeable Future'

Tuesday March 2, 2021 9:32 am PST by
Apple will retain the Lightning connector on the iPhone for the "foreseeable future," with no intention of switching to USB-C, according to reliable analyst Ming-Chi Kuo. In spite of much of the industry moving toward USB-C, Apple will not be using it to replace the Lightning connector on the iPhone 13, or indeed on any iPhone model for the time being. In a note seen by MacRumors yesterday,...
iphone 12 120hz thumbnail feature

Kuo: iPhone 13 Lineup to Feature Smaller Notch and Larger Batteries, 120Hz Display for Pro Models, and More

Monday March 1, 2021 7:50 am PST by
iPhone 13 models will all feature a smaller notch, while the two Pro models will be equipped with low-power LTPO display technology for a 120Hz refresh rate, analyst Ming-Chi Kuo said today in a research note obtained by MacRumors. Subscribe to the MacRumors YouTube channel for more videos. Several other sources have previously claimed that some iPhone 13 models will support a 120Hz refresh...
Screen Shot 2021 03 03 at 11

MagSafe Charging Port for iPhone Appears in Apple Patent

Wednesday March 3, 2021 1:30 am PST by
In a newly granted patent, Apple envisions a type of connectivity port using an iteration of its magnetic MagSafe charger to charge an iPhone, potentially paving the way for a future without Lightning. Submitted to the United States Patent and Trademark Office on Tuesday (via Patently Apple), the patent outlines a three-pinned MagSafe charger, similar to the ones found in older MacBook...
apple transfer google photos 1

Apple Launches Service for Transferring iCloud Photos and Videos to Google Photos

Wednesday March 3, 2021 12:04 pm PST by
Apple this week introduced a new service that's designed to make it quick and easy for iCloud users to transfer their stored photos and videos to Google Photos. As outlined in an Apple support document, you can go to Apple's privacy website and sign in to see the "Transfer a copy of your data" option. If you select this and go through all the steps, Apple will transfer your iCloud photos and ...
galaxy s21 iphone 12 pro max front feature2

Kuo: Some 2022 iPhones to Abandon Notch in Favor of 'Punch-Hole' Display

Monday March 1, 2021 8:05 am PST by
At least some 2022 iPhone models will abandon the notch and switch to a "punch-hole display design" instead, similar to Samsung's recent high-end Galaxy smartphones, analyst Ming-Chi Kuo said today in a research note obtained by MacRumors. Kuo said the hole-punch display design will be adopted by high-end 2022 iPhones at a minimum, and if production yields are good enough, all 2022 iPhone...