The strategic advantage of embedded payments for scaling up

So, you’re looking to grow your business. You’ve got a great product or service, a solid customer base, and the future looks bright. But as you think about scaling – taking your business to the next level – you might be overlooking a powerful tool that can make a significant difference: embedded payments.

What are embedded payments? 

Simply put, it’s when payment processing is embedded directly into your existing platform, whether that’s your website, mobile app, or even your business software. Instead of your customers being redirected to a third-party payment gateway, the entire transaction happens within your environment. Think about ordering a ride-sharing service and paying directly through the app, or buying something on a social media platform without ever leaving it. That’s the magic of embedded payments in action.   

Embedded financial services are gaining traction quickly – especially as more business owners and operators outside the financial sector begin to understand their potential. Forbes says “every company is slowly (or in some cases, rapidly) becoming a fintech company.” In fact, according to a Bain and Company report, by 2026, embedded B2B payments in platforms in the U.S. are projected to generate $6.7 billion in revenue, up from $1.9 billion in 2021.

And while it might sound like a minor difference in the payment process, the strategic advantages of embedding payments for a growing business are anything but small. Let’s dive into why this approach can be a game-changer for scalability.

A smoother customer experience, driving higher conversions

Convenience is king. Customers expect easy, fast experiences, and any friction in the purchasing process can lead to abandoned carts and lost sales. Redirecting customers to external payment pages may feel clunky and can raise security concerns in their minds. Embedded payments eliminate this hurdle. By keeping the entire transaction within your familiar interface — by either building it, or simply white-labeling a payments platform — you create a smoother, more intuitive experience. This process builds trust, reduces drop-off rates, and ultimately leads to higher conversion rates – an important factor when you’re aiming for growth.   

Imagine a customer who’s finally decided to purchase your product or service. If they have to click away to a different website, re-enter their details, and navigate an unfamiliar interface, the chances of them completing the purchase decrease. 

However, with embedded payments, they can finalize their order with just a few clicks, right where they are. This not only improves the immediate transaction but also enhances their overall perception of your brand.   

More control over your brand and customer journey

When customers are redirected to a third-party payment gateway, you lose control over the branding and the overall customer journey. The payment page might look and feel completely different from your own platform, creating a disjointed experience. Embedded payments allow you to maintain your brand identity throughout the entire process. You can customize the payment interface to match your website or app, reinforcing brand recognition and creating a cohesive experience.   

This control extends beyond just aesthetics. By owning the entire transaction flow, you gain valuable insights into your customers’ purchasing behavior. You can track data points, understand where potential bottlenecks might be occurring, and optimize the process for better performance. This level of control and data-driven decision-making is invaluable as you scale your operations and become more efficient.

Enhanced security and compliance

While the idea of handling payments directly might sound daunting from a security perspective, reputable embedded payment providers offer security features and handle the complexities of Payment Card Industry (PCI) compliance. By partnering with a trusted provider, you can make sure that your customers’ sensitive data is protected while simplifying your own compliance responsibility. This peace of mind is necessary for building trust with your customers, especially as your transaction volumes increase with scale.

Choosing the right embedded payment partner is important. Look for providers that offer strong security protocols and are PCI DSS compliant. This will not only protect your customers but also protect your business’s reputation.   

A foundation for future growth that leaves room for innovation

Implementing embedded payments isn’t just about solving today’s challenges; it’s about building a solid foundation for future growth and innovation. As your business evolves, having a flexible, one-stop-shop payment infrastructure will allow you to adapt quickly to changing customer needs and market trends. 

For more insights and updates on corporate payments, check out:

• White-labeling: The smarter alternative to building or buying 
• 2025 payment trends
• ACH vs. virtual cards

Learn more about how WEX payment solutions can be tailored to your business, so you can accelerate and streamline operations while creating lasting growth and success for your organization.

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The information in this blog post is for educational purposes only. It is not legal, tax or investment advice. For legal, tax or investment advice, you should consult your own legal counsel, tax, and investment advisers.