B2C embedded payments are a crowd favorite, but what does the B2B landscape look like in 2025?

Embedded payments are becoming a staple in the B2C world, and more businesses are also jumping on board, aiming to streamline and automate processes from payroll (automated invoicing) to procurement (trade credit).

However, B2B transactions in embedded payments are more challenging and don’t flow as easily as B2C ones. “B2B is anything but seamless,” Daniel Artin, Head of Fintech Partnerships at Boost Payment Solutions told PYMNTS. He highlighted the importance of setting clear client expectations and guiding them through the challenges involved in digitizing larger transactions.

In my deep dive into the embedded finance landscape, I sought insights from payment experts about the opportunities for banks and fintechs in the B2B embedded payments space and the hurdles businesses face when integrating embedded payment systems. I also examined the impact of B2B embedded transactions on traditional banks and financial intermediaries, particularly regarding their role in 2025.

The opportunities in B2B embedded payments

B2B embedded payments are increasingly capturing interest as the marketplace and platform business models expand globally. This growth is driven by e-commerce heavyweights leading in sectors like marketplaces, payment intermediation, and gig economy services (ride-hailing, for instance), all experiencing double-digit growth, according to Scott Southall, Head of Banking as a Service, Citi Services.

A case in point is Walmart, whose Marketplace sales grew by more than 40% for the fifth quarter in a row, as reported in December 2024. Microsoft’s Mason McCoy, Director of Marketplace Strategy also shared that the Microsoft Commercial Marketplace has seen billions in sales and a 100% revenue growth, according to the firm’s internal data as of October 2024.

“Embedding payments and financial services into how these companies operate provides a significant opportunity to monetize the flow further and increase the value-added,” says Southall.

For instance, clients can offer wallet services to their customers holding deposits for extended periods, generating interest, or enabling cross-selling opportunities, like advertising sales. At settlement, foreign exchange (FX) services can be integrated into the payment process, enabling businesses to capture additional commercial opportunities.

“Banking partners can then insert themselves into the currency conversion flow, potentially providing better rates to beneficiaries — creating a win-win situation,” notes Southall.

This surge in embedded payments is driving revenue growth for both banks and fintechs. “For banks, the opportunity is twofold — serving marketplaces and platforms directly or indirectly through their fintech clients,” he says.

The problems and potential solutions?

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