EMBEDDED FINANCE
Ryan O ’ Holleran : Although the sector remains in its relative infancy , embedded finance has already proven its ability to be a transformational component of financial services .
It has changed how financial products are accessed , offering the opportunity for businesses to build a diversified revenue stream and deepen relationships with their customers .
Integrating multiple financial services that suit their unique needs into everyday platforms facilitates a more seamless consumer journey , boosting retention and loyalty .
However , despite embedded finance gaining traction , we can see that the opportunity remains untapped by a range of businesses , including software platforms .
A survey from Airwallex found that although 83 % of SMBs are interested in acquiring financial services through their Software-as-a-Service ( SaaS ) platforms , only 9 % currently have access to these services .
Overlooked by traditional banks , SMBs are now looking to access financial services such as payment acceptance from their existing software providers .
In many cases , non-finance brands are well-placed to offer these kinds of services because they have deeper relationships with customers and richer customer data .
As a result , they can recommend the right financial products to users at the right time . If software providers meet this demand , we will truly see embedded finance transform the marketplace as we know it . fintechmagazine . com 135