‍The Rise of Embedded Payments in B2B

Traditionally, businesses have had to rely on third-party integrations to enable their customers to accept payments, leading to a disjointed and often frustrating experience. However, with the development of innovative embedded payment solutions, the tides are finally turning.

All merchants aim to make it easier for buyers to purchase from them, and that’s the core aim for embedded payment solutions. By embedding payment tools directly into their own software platforms, merchants are able to deliver a cohesive and streamlined experience for their customers. This shift towards embedded payments is not merely a passing trend but a strategic move that is gaining momentum across the B2B commerce landscape.

What are Embedded Payments?

In simple terms, embedded finance is where businesses offer buyers financial services by incorporating those services within its non-financial goods and services.

To bring this to life, let's say you’re a marketplace or eCommerce retailer. You know your market well and excel in providing the goods or services buyers are looking for, but you’re also aware of some of the limitations in your payment offering: Your checkout redirects buyers to third parties to process transactions (even if they are regular customers), you lose sight of the user behaviour insight, you’re paying high transaction costs & you’re unable to offer flexible payment terms within your platform.

Embedded payment providers are payment facilitators that offer seamless platform integration and more control over transactions. The services are often offered as whitelabel solutions so merchants can offer payment processing and additional services under their brand name.

Leveraging embedded payment solutions allows you to own the buyer relationship directly during the payment process, allowing you to solve for the disruptive experience and limited payment options. 

The Benefits of Embedded Payments

Embedded payments offer a multitude of benefits that can significantly enhance the operations and financial well-being of B2B enterprises. Let's delve into the key advantages:

1. Better Buyer Experience & Increased Loyalty

Embedded payments provide a unified and frictionless experience for buyers, where the payment process is seamlessly integrated into the overall platform, eliminating the need for disruptive redirects or external gateways.

This streamlined and frictionless payment experience results in happy buyers, which in turn leads to higher conversion rates. Buyers are less likely to abandon their transactions due to cumbersome or complicated payment processes, and will be more likely to return for repeat purchases.

2. Consistent Multichannel Experience

While the world is becoming more digital, offline sales still account for 90% of B2B commerce. Therefore, it's critical that merchants provide a payment experience that meets the needs of their buyers, now matter the sales channel they come through. Embedded payment options enable you to offer a unified solution enabling you to; benefit from cross-channel data in your backend systems, offer the same flexible terms & provide a consistent payment experience through all sales channels.

3. Streamlined Buyer Onboarding

Embedded payments eliminate the need for buyers to navigate through multiple third-party integrations, simplifying the onboarding process and reducing the administrative burden. This in turn, enhances customer satisfaction and loyalty.

Things can get complicated when B2B merchants need to offer flexible credit limits. Learn more about how Kriya handles authentication, offering a single flow for onboarding buyers, setting spending limits and taking care of anti-fraud protection. 

4. Efficiency Improvements

One of the key aims of embedded payment solutions is to reduce unnecessary, outdated processes, to drive significant efficiency gains. These can come in the form of automated processes like factors covered above (onboarding customers, cross-channel data management, automated payment terms, and reduced reliance on third-party platforms). But there are efficiency opportunities in other areas too, for example by embedding payments with Kriya, Halfords were able to automate their existing trade credit processes. 

5. Revenue Opportunities

There are several ways embedded payments can present revenue growth opportunities. They can enable merchants to expand internationally and offer goods/services to a global marketplace. For some merchants, being able to monetise payment collection can be highly lucrative. 

5. Enhanced Data Insights

The data merchants can obtain from each transaction is among embedded payments' most significant advantages. With a deeper understanding of buyer behaviour they can make more impactful decisions based on purchases and preferences. This insight can be used to develop personalised experiences, identify key buyer segments & optimise inventory. Having greater oversight of key performance indicators can inform strategic decision-making.

“Being able to offer credit has helped our customers manage their working capital and buy more. As a result, customers appreciate our service even more, as evidenced by higher repeat purchase and retention levels for customers that make use of Nivoda credit.”

Read the case study

Embedded Payments with Kriya.

For merchants looking to offer flexible payment terms, a frictionless payment experience Kriya provides the perfect solution.

Onboard, authenticate and offer payment terms in a single payment flow. We handle the payment collection, pay you the funds upfront and handle the credit risk.

• One solution for both online and offline transactions
• Instant buyer authentication & spending limits set
• Flexible payment terms
• Kriya pays you in full on delivery of order
• Kriya takes on the risk & handles payment collection

Learn more about how Kriya can drive:

• 40% Buyer Adoption
• 2x Likelihood of repeat orders
• 45% Revenue Growth
• 4x Increase in acquisition of new buyers

‍Talk to our team today

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