Embedded & Vertical Payments

Sector-Focused Monetization Models and Architecture

The next big revolution in payments isn’t about new cards or walletsWallets wallets See Digital Wallets. — it’s about embedding payments deep into the user experience.
Across retail, mobility, restaurants, gaming, and more, payments are becoming invisible and sector-specific.
Businesses are building monetization models and payment architecture tightly around their vertical needs.

In this blog, we break down how embedded finance is reshaping industries — with real-world examples.

---

Embedded Payments Across Verticals: Examples and Monetization Models

Sector	Embedded Payments Examples	Monetization Model	Real-World Examples
Retail	Wallets, BNPL at checkout, loyalty-linked payments	Increased sales, financing margin share, loyalty data captureCapture capture The act of finalizing an authorized payment. Funds are transferred from the cardholder’s account to the merchant.	– Afterpay – Starbucks Wallet – Square POS
Mobility	Pay-as-you-go EV charging, open-loop transit cards, tolling payments	Convenience fees, partnerships with card schemes, micropayment aggregation	– ChargePoint EV Charging – Sydney Opal Contactless
Restaurants	Tableside ordering and payment via QR, dynamic tipping prompts	Faster table turnover, higher tip rates, reduced staffing needs	– Square for Restaurants – Toast Tableside Payments
Gaming	Loot boxes, skins, in-game wallets, microtransactions	Microtransaction revenue, virtual currency float income	– Fortnite V-Bucks – Roblox Robux
Healthcare	Embedded financing for elective procedures, health payment apps	BNPL interest income, transaction fees	– CareCredit Healthcare Payments – Hint Health Direct Primary Care
Education	Tuition installment plans, embedded course purchases	Service fees, financing margins, enrollment increase	– Flywire Education Payments – Klarna for Edtech
Travel & Hospitality	Pay-later bookings, in-app hotel payments, loyalty redemptions	Higher booking conversion, upselling, loyalty stickiness	– Booking.com Pay Later – Airbnb Split Payments

---

Key Architecture Components for Embedded Payments

Building vertical-specific payments requires rethinking your stack:

• Tokenization: Safely store card data and enable 1-click checkouts.
• API-first Platforms: Easily plug payments into mobility apps, POS systems, gaming platforms, and websites.
• Ledger Systems: Crucial for managing wallets and microtransactions (especially in gaming and mobility).
• FraudFraud fraud Criminal deception involving unauthorized payments or use of financial credentials. Management: Tailor fraud models to your sector — gaming fraud is different from restaurant fraud.
• Compliance Frameworks: PCI-DSS, GDPR, AML, and even age verification (for gaming and healthcare).

---

Why Embedded Payments Are a Game-Changer

• 🛒 Retail: BNPL and loyalty wallets drive more purchases.
• 🚗 Mobility: No manual swiping — just drive, tap, and pay.
• 🍽️ Restaurants: Faster paymentsFaster Payments faster-payments Real-time or near-instant bank transfers enabled by national payment infrastructures, such as Australia's NPP or UK's FPS. mean faster table turnover and more tips.
• 🎮 Gaming: Microtransactions and virtual wallets generate billions.

Embedded payments allow businesses to move beyond just “accepting payments” — they own the customer journey, capture more revenue, and gather richer data.

This is payments as a profit center, not just a cost of doing business.

---

Conclusion: Payments Built for Your Vertical

Payments are no longer “one-size-fits-all.”
Every vertical now demands custom payment experiences to match customer expectations, regulatory realities, and revenue goals.
Winning companies are those who embed payments seamlessly and strategically — driving loyalty, margin, and innovation.