Embedded finance: Trends, brands, and the post-pandemic customer behaviour

What is embedded finance and how does it benefit customers?

Embedded finance enables non-financial brands, ranging from retailers to sports clubs, to integrate financial products and services into their own offerings. This means that they can offer products such as current accounts, credit cards or loans, and tailor them to become a more natural part of their customers’ experiences. Historically, these products required extensive and costly infrastructure, which is why they were only available through established banks. However, Railsbank’s platform now enables non-financial brands to affordably enter this market.

Customers will benefit from financial products that are more closely related to what they purchase. A supermarket debit card that offers exclusive discounts and rewards to everyday customers is more beneficial than a small cashback incentive from a bank. For more one-off purchases, a customer wakes up dreaming of buying a car, not a car loan, so why should they have to separately seek third-party car finance providers? The embedded finance market is predicted to be worth USD 7.2 trillion by 2030, and this is because it enables more relevant brands to deliver financial…