Gusto: Rise of Embedded Fintech to Drive Differentiation

Posted under: SMB
Date: 2024-03-14
Gusto: Rise of Embedded Fintech to Drive Differentiation

Embedded fintech is becoming increasingly popular among businesses, offering 'all-in-one' solutions to simplify workflows and back-office overhead. These solutions allow partners to grow average revenue and retain customers without building compliance teams or payment infrastructure. Banks and fintechs are capitalising on business demand for embedded technology through newly created partnerships, focusing on ROI and reducing risk. The unique aspect of building with embedded fintech applications is that it allows partners to offload costs, burdens, and risks, allowing them to focus on customising the frontend user experience for customers. Fintech businesses are also leveraging partnerships to create differentiation by leveraging additional data to offer tailored solutions and AI-powered features. The competitive landscape for fintech businesses is expected to evolve, with embedded fintech providers likely cutting into the customer bases of more established financial services players.

Read more at: fintechmagazine.com