Empowering Fleet Cards: A Case Study of Open-loop Cards for LUNADIS Pay

Introduction

As fintech innovation continues to accelerate and influence existing commercial card issuers and sectors, the financial landscape is witnessing the emergence of powerful partnerships. Companies from various sectors recognize the tremendous potential in combining their expertise, technologies, and networks with fintech firms. Earlier this year, Cardlay joined forces with the market leading Fleet card provider LUNADIS, a part of the DKV Mobility Group, to deliver a new open-loop Mastercard credit card on top of a spend management solution for the transportation and logistics industry in Europe. This transformative solution, known as LUNADIS Pay, embraces the evolving digital payment ecosystem that reshapes the many aspects of business operations in this sector as well as eliminates manual processes, streamlines expense reporting, minimizes flaws and fraud for small and large fleet companies.

Transitioning From Closed-loop to Open-loop Cards

LUNADIS has clear aspirations for this partnership with Cardlay. The collaboration empowers LUNADIS to offer a market-leading solution that simplifies payment processes, expense handling, and VAT reclaim for its over 100.000 customers across 50 countries. One of the significant impacts of this partnership is the transition from closed-loop cards to open-loop cards. The emergence of Electric Vehicles and IoT in cars will impact the payment rails and networks of the Fleet card immensely. As of now, LUNADIS/ DKV Mobility, primarily operates closed-loop cards, limiting the scope of spend management and the types of transactions that could be managed and reconciled. However, with the adoption of Cardlay's technology, LUNADIS can now offer open-loop cards alongside its existing closed cards to provide a single reconciliation process.  

Embracing Digital Payment Transformation

In today's digital age, where mobile wallets, electric vehicles, IoT and smartphones have become ubiquitous, the move to digital spend management is perfectly aligned with trends in the rest of the world. As governments and private enterprises increasingly adopt digital services and enforce digital payment instruments for enhanced accessibility, potential growth and new legislation, Cardlay's partnership with LUNADIS positions clients and end-users at the forefront of this digital payment transformation. By leveraging the power of advanced APIs, mobile technology and user-friendly interfaces, the Cardlay solution empowers clients to effortlessly manage their corporate expenses in a convenient, secure, and efficient manner.

A Shift Towards Seamless and Efficient Processes

Gone are the days when employees had to keep piles of receipts for months before reporting them to the accounting department, leading to frustration, lost documents, and time-consuming expense reporting. Like the delivery driver who needs to pay for lunch and gas, or if struck by an accident, emergencies, needs money for repairs or parts.

With the advent of LUNADIS Pay, Cardlay and LUNADIS have ushered in a new era of digitized spend management. The partnership addresses these challenges head-on, enabling clients to bid farewell to cumbersome manual processes, lack of spend visibility and embrace a more efficient and streamlined approach to expense management.

Unlocking New Opportunities

Beyond streamlining expense management, Cardlay's collaboration with LUNADIS creates opportunities for clients to access a wider range of financial services and benefits. The LUNADIS Pay platform, powered by Cardlay's technology, enables clients to tap into additional features such as integrated card management, automated VAT reclaim processes, and comprehensive spend analytics. These capabilities not only enhance financial control and visibility but also open doors to potential cost savings and optimization strategies for businesses operating in the transportation and logistics industry.

Conclusion

Cardlay's partnership with LUNADIS marks a significant step forward in the realm of digitalized spend management. By combining their expertise, Cardlay and LUNADIS are revolutionizing the way clients handle corporate expenses in the transportation and logistics industry. The shift towards seamless digital processes brings immense benefits, including simplified workflows, enhanced productivity, and newfound opportunities for growth and cost optimization. As fintech continues to shape the financial landscape, Cardlay remains committed to empowering clients and leading the charge in digital transformation.