Exploring the Future of Embedded Payments
5-23-2025
Exploring the Future of Embedded Payments
The Retail Technology Committee welcomed Ciaran Cassidy, SVP of Global Product Solutions at Global Payments, for a detailed discussion on Embedded Payments. Ciaran provided an in-depth look at how embedded finance is transitioning from being a competitive edge to a business necessity, especially within SaaS platforms.
The session featured real-world examples, market maturity analysis by sector, and growth projections, with active participation from committee members. Key topics included the role of AI, the rise of ISVs as primary distribution channels, and the untapped potential in B2B embedded finance.
Key Takeaways
- Embedded Payments Drive Platform Growth: Embedded and integrated payment solutions have become essential for SaaS providers to increase revenue, simplify user experiences, and stand out in a saturated market.
- Market Maturity Varies by Vertical and Region: Retail (eCommerce, POS, Restaurant) is the most mature in the U.S., while verticals like healthcare, real estate, and insurance show strong emerging potential for embedded finance across the EU and UK markets.
- AI and Data Science Accelerate Adoption: Artificial Intelligence is being utilized to pre-qualify merchants, reducing the time it takes to generate revenue. Additionally, data science is key in refining user experiences, increasing relevancy, and ensuring faster onboarding.
- B2B Opportunities Are Underutilized: There is significant potential for growth in embedded finance for B2B payments, especially through Business Payment Service Providers (BPSPs), which can help digitize sectors that have traditionally relied on checks.
- ISVs Dominate New Merchant Acquisition: Independent Software Vendors now drive the majority of new small and medium-sized business (SMB) merchant additions. While many are embracing embedded payments, fewer than 30% currently offer lending or other financial tools, a gap ripe for innovation.
The session showed that embedded payments are becoming am integral part of payments.
About ETA
The Electronic Transactions Association (ETA) is the global trade association representing more than 500 payments and technology companies. ETA members make commerce possible by processing more than $6 trillion in purchases in the US and deploying payments innovations to merchants and consumers. Learn more: www.electran.org.