Understanding Embedded Payments

Uber and Lyft. Hertz and Avis. Nike and Puma. Kendrick and Drake. They all use embedded payments on their websites.

So, what are embedded payments?

Embedded payments allow Independent Software Vendors (ISVs) and platforms to add payment processing functionality natively without redirecting the experience to another website. In other words, embedded payments let customers make purchases without leaving your application or website.

Because payment transactions are incorporated directly into your software application through the embedded process, your users get to complete their payment transactions without disrupting their primary activity or being redirected to a third-party site/gateway.

The final result is a more seamless, almost effortless digital customer experience. This ease of usage is one of the best ways to ensure that your customers keep returning.

As we move further into the digital age, embedded payments are poised to become an increasingly integral part of the financial ecosystem, transforming how we think about and interact with payment systems in our everyday lives.

Indeed, according to the research firm Future Markets Insight, embedded finance is set to take off in the next ten years, from $63.2 billion in transactions in 2023 to $291.3 billion by 2032.

Embedded payments should not be confused with integrated payments.

Embedded payments and integrated payments both enable seamless transactions by allowing payment software to communicate with a business's system, reducing the need for manual entry of customer payment details. However, embedded payments are built natively into a platform for a fully integrated user experience, while integrated payments connect external payment processors to existing business software, such as POS systems.

Integrated payments were the foundation of e-commerce transactions, where consumers are redirected to a third-party hosted checkout page that connects to a processor before routing the transaction to the card networks for approval. In this model, businesses must manage multiple vendor relationships, including the Independent Software Vendor (ISV), payment gateways, and processors, leading to added complexity in system integration and reconciliation.

Embedded payments represent the next stage in digital payment evolution, enabling ISVs to monetize payments by directly integrating payment flows into their software. Instead of relying on external checkout pages, embedded payments allow businesses to seamlessly process transactions within the platform itself, enhancing user experience while creating new revenue opportunities for the ISV.

Therefore, a business only needs to manage one element in the payment process. There's no more juggling of having your customer deal with multiple vendors. Embedded payments simplify everything and make the payment process much more streamlined.

Qualpay's got your embedded payments.

At Qualpay, we offer flexible embedded payment, along with integrated solutions that allow you to create a unique experience that is all yours.

Whether you are looking for a consumer software solution, an enterprise software bundle, a simple e-commerce checkout, or building a marketplace for other vendors to sell products and services, we make integrating with us easy.

Partnering with Qualpay for embedded payments means you don't have to start from scratch. We have already done the heavy lifting, developing robust, secure, and flexible payment solutions that can be easily integrated into your existing systems.

Partner with us, succeed with us.

Qualpay's embedded payments provide a seamless, unified experience across all aspects of your platform, including customer payments. Thanks to our technology-first, flexible payment platforms, we deliver an integrated payment experience for your customers that, as we said, also reduces vendor complexity.

The cohesive experience we offer can result in some critical benefits, including opportunities for revenue growth, increased website conversions, more control of your customer experience, and much easier and simpler troubleshooting.

Three ways to partner with us and put embedded payments to work for you.

Qualpay offers three partnership options for businesses offering their clients embedded payments.