Embedded Payments Revenue to Surpass $59 Billion Globally by 2027

The global revenue from embedded payments for embedded finance vendors will reach $59 billion in 2027, from $32 billion in 2023; representing growth of 84%, according to a new study from Juniper Research. The report predicts growth of integrated payments will erode the dominance of cards within eCommerce. This will be driven by rising consumer enthusiasm for alternative payment methods; creating a sizeable revenue opportunity for embedded finance vendors.

The research identified the simplicity that one-click payments allow as critical to providing a strong user experience. Yet, this simplicity is under threat by the integration of too many payment options; creating a cluttered checkout process. “In order to rein in the expansion of different payment options at checkout, merchants looking to enhance their checkout process must focus on the most popular and lowest-cost-to-merchant options to drive their success. Focusing on instant payments‑linked channels will lower costs significantly compared to card payments, and must be considered a top priority for merchants,” explained research co-author Nick Maynard.

The research also forecasts that by 2027, 35% of embedded payments’ revenue will be from the B2B segment. B2B payments have seen less implementation of new payment types to date, with complex accounts payable and receivable processes creating a difficult ecosystem to manage. However, this lack of development means that the B2B market is comparatively underserved, and must be a clear priority for embedded finance players as the market grows. Embedded finance vendors must focus on bolstering payment integration with key B2B access channels, such as B2B eCommerce marketplaces and accounting software, to maximize their appeal in this high-potential market.

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