Today, Visa announced an agreement with Postmates, the nations largest on-demand delivery network, to enable real-time2 funds disbursement to their entire fleet. This new feature, called Postmates Instant Deposits, is facilitated by Stripes Instant Payouts feature, running on Visa Direct, Visas real-time push payments platform, and is now live and available to the Postmates fleet of more than 200,000 in the United States.
The Postmates fleet is responsible for facilitating the millions of deliveries that Postmates makes each month. Since launch in 2011, Postmates has relied on Stripe Connect, Stripes product for multi-sided marketplaces, to handle all aspects of the payments experience, including accepting payments from customers and sending payments to postmates. Now with this new agreement for Visa Direct, postmates who are Visa cardholders will be able to use Stripe Instant Payouts to gain real-time access to their earnings, as opposed to waiting 4-7 business days to receive payouts. By routing transactions through Visa Direct, Postmates is able to offer members of its fleet a quick, secure payment experience that sets them apart from competitors.
As we see the on-demand economy gain momentum, Visa Directs real-time funds disbursement capability allows funds to be available to individuals in minutes “ including nights, weekends, and holidays “ providing flexibility and choice for workers to access their earnings, said Cecilia Frew, senior vice president and head of North America Push Payments at Visa. Faster access to money matters and Visa Direct is uniquely positioned to help companies like Postmates who have a growing and on-demand workforce.
As a world leader in digital payments, Visa is committed to providing faster innovative payment solutions that can help on-demand economy businesses and workers meet specific payments challenges. Visa has identified partners like Stripe, whose Instant Payouts feature uses Visa Direct to help businesses send money in real time to employees, contractors and service producers for wages, expenses and other business payment disbursements. An overwhelming majority of on-demand workers, 84%, reported they would do more work if they were paid faster3. Moreover, recent research by Aite Group, commissioned by Visa, found that the number one reason that businesses offer real-time payments is to enhance the customer experience.4
Postmates helps customers in 400 cities with food, grocery or whatever-you-can-think-of delivery, whenever they need it. Together with Visa Direct, Postmates is integrating Stripes Instant Payouts to attract and retain its fleet in the United States, ultimately maintaining the health of its growing business.
Teaming up with Visa and Stripe to give our more than 200,000 ˜postmates what they need, real-time access to their earnings, was an easy decision, said James Butts, Vice President of Product & Design at Postmates. Postmates is a market leader in the fast-growing on-demand delivery space. As the originators of on-demand ˜anything, Postmates offers the ultimate in convenience, and with Instant Deposits, we can extend that convenience to our fleet.
For more information about Visa Direct, visit: https://usa.visa.com/partner-with-us/payment-technology/visa-direct.html.
About Visa Inc.
Visa Inc. (NYSE: V) is the worlds leader in digital payments. Our mission is to connect the world through the most innovative, reliable and secure payment network – enabling individuals, businesses and economies to thrive. Our advanced global processing network, VisaNet, provides secure and reliable payments around the world, and is capable of handling more than 65,000 transaction messages a second. The companys relentless focus on innovation is a catalyst for the rapid growth of connected commerce on any device, and a driving force behind the dream of a cashless future for everyone, everywhere. As the world moves from analog to digital, Visa is applying our brand, products, people, network and scale to reshape the future of commerce. For more information, visit About Visa, visacorporate.tumblr.com and @VisaNews.
Postmates helps people unlock the best of their cities “ and their lives, with an insanely reliable on-demand “anything” network. Launched in 2011, Postmates pioneered the on-demand delivery movement in the US by offering delivery from restaurants and stores previously only available offline. The company now operates in more than 400 US cities, as well as Mexico, and provides access to over 250,000 merchants. Postmates is headquartered in San Francisco and has 680 employees. Learn more: www.postmates.com.
1 Actual fund availability depends on receiving financial institution and region. Visa requires fast-funds enabled issuers to make funds available to their recipient cardholders within a maximum of 30 minutes of approving the transaction. Please refer to the Visa Direct team and the Visa Direct Original Credit Transaction Global Implementation Guide for more information.
2 See citation 1
3 PYMNTSs Gig Economy Index | https://www.pymnts.com/digital-payments/2018/uber-lyft-gig-economy-instant-pay/
4 Visa & Aite Group, Funds Disbursements Research commissioned by Visa, Industry Executive Interviews, Q4 2017.