Why CEOs Must Go Embedded in 2026

By Philipp Buschmann, co-founder and CEO of AAZZUR

Like every new buzzword, embedded finance has faced its share of hesitation and scepticism, with some questioning whether it’s here to stay or simply another passing trend. In reality, this technology is not fading, it’s gaining momentum. A recent Visa report found that 66% of consumers now expect companies to understand their unique needs, and that expectation sits at the very heart of what embedded finance was built to deliver.

As the year comes to an end, now is the time for companies to look beyond the headlines and focus on how to sustain the momentum of embedded finance into 2026, instead of slowing down when regulatory changes start to emerge.

From one-off transactions to ongoing relationships

Traditionally, business growth was built on selling individual products, with the occasional subscription added to encourage repeat purchases, yet the overall customer journey remained transactional — a linear path that led customers to buy, exit, and often never return.

Embedded services flip this dynamic. When finance is integrated directly into the purchase journey, whether through instant credit at checkout, in-platform insurance, or automated recurring payments, the customer remains within your ecosystem.

This approach is already delivering considerable growth. European retailers offering embedded credit solutions have seen cart sizes lift by up to 30%, according to McKinsey. B2B marketplaces providing embedded lending are reducing churn by making their platforms essential for business cash flow. Even non-financial sectors are benefiting. For instance, mobility platforms that integrate car insurance see higher adoption and customer retention, because the user isn’t forced to leave to complete the journey elsewhere.

In short, embedded models turn what were transactional relationships into ecosystems that customers rely on daily.

Why this matters in 2026

Several forces are converging to make 2026 a pivotal year for embedded finance in Europe:

Open banking becomes a mature infrastructure rather than a regulatory experiment. Adoption will be widespread, enabling frictionless payments and real-time financial data sharing. What’s more, European capital markets are opening up to alternative lenders, boosting access to embedded credit solutions at competitive rates. Digital identity and trust frameworks are being standardised across the EU and UK, making it easier to embed secure, compliant services across borders. In addition, consumer expectations are rising rapidly. People now expect instant approval, instant payments, and invisible processes. Any moment of friction is a reason to abandon a brand.

For CEOs, this means that embedded services will no longer be a differentiator; they will be the baseline for participation in the market.

The strategic advantage of embedded thinking

Thinking embedded is not about turning your business into a bank. Rather, it is about using finance to unlock primary growth.

Consider three key advantages:

New revenue without new products

A software platform that embeds payments or invoicing moves from selling licences to earning transaction-based revenue. A manufacturer adding insurance at the point of sale can earn recurring commission on every unit sold. These are not marginal gains; they are strategic revenue streams that grow as platform usage expands.

Deeper customer loyalty

When customers rely on you to handle essential operational or financial tasks, leaving becomes costly or inconvenient. Embedded services are the digital equivalent of becoming part of a customer’s nervous system.

Data-driven insight

Embedding services gives you real-time visibility into how and where customers spend, not just what they buy. This enables better forecasting, tailored pricing, and proactive customer support, turning data into a competitive asset rather than a compliance chore.

CEOs must lead the shift – not just approve it

Success in embedded finance requires CEO-level commitment. It is not a technology implementation. It is a decision about positioning your company in the value chain of the future.

Here are strategic priorities for 2025–2026:

Adopt a platform mindset

Whether you sell physical products, software, or services, you are now competing in a platform economy. Platforms win because they own multiple touchpoints. Embedding finance is a direct route to platform status, allowing you to serve customers before, during and after the transaction.

Choose strategic partners over one-off vendors

Embedded finance is an ecosystem play. You need partners, banks, Fintechs, and infrastructure providers that can grow with your business, not just plug a gap. The right partner reduces regulatory complexity, lowers cost, and accelerates time to market.

Think cross-border from day one

With EU regulation converging and UK frameworks aligning post-Brexit, 2026 will see a more connected financial services market. Embedded finance allows companies to offer consistent customer experiences across borders without the need for separate licences in each country.

Make embedded services core to your value proposition

The biggest mistake leaders make is treating embedded finance as ancillary. Instead, it should be integral to your growth story: a way to unlock lifetime customer value, improve working capital, and increase retention.

What happens if you don’t embed?

For businesses that continue to operate in isolation, the risks are clear:

• Customers will migrate to competitors who simplify every step of their journey.
• Revenue will remain tied to sales volume rather than usage and engagement.
• Capital will flow towards businesses with embedded models because they offer scalable, high-margin, repeatable income.

In every sector, from manufacturing to mobility, energy to software, the winners will be those who make themselves indispensable. Embedded services are how you do that.

The embedded imperative

2026 will not reward the biggest companies, but the most connected. Growth will come from ecosystems, not isolated offerings. CEOs who embed finance into their strategy are not just adding convenience for customers; they are building the foundations of long-term resilience and market leadership.

The choice is simple: be the platform customers rely on or be the product they leave behind.