As the landscape of commerce continues to evolve, the latest report from Global Payments highlights key trends that are set to redefine the industry in 2025. The report emphasizes the rise of artificial intelligence (AI), embedded finance, and payment orchestration as pivotal elements that will shape how businesses engage with payments and consumers.
Global Payments, an American fintech company specializing in payment technology and services, conducted a survey involving 600 global professionals who make decisions related to technology investments and payments. This comprehensive study combines qualitative insights from industry experts and quantitative data to provide a nuanced view of the payment experience and the technologies that underpin it.
Among the six trends identified, the rise of AI stands out. AI is transforming commerce by enhancing efficiency, security, and customer engagement. It accelerates the flow of critical data, allowing businesses to make informed decisions quickly. For small and medium-sized enterprises (SMEs), AI reduces operational costs by automating tasks such as payroll and human resources functions, generating marketing reports, and serving as virtual assistants. The technology can also identify purchase trends and provide credit scores, offering businesses a deeper understanding of customer transactions.
Fraud detection is another area where AI integration shows promise. The Global Payments survey revealed that while enterprise companies remain cautious about adopting AI due to data privacy concerns, SMEs are rapidly embracing the technology. A staggering 94% of SMEs reported they were testing, deploying, or actively using AI to enhance their use of biometrics, with 67% applying it to tap-to-pay or tap-to-phone transactions.
Another significant trend is the expansion of embedded finance into business-to-business (B2B) transactions. Embedded payments have already reshaped consumer experiences, and now they are being integrated into business processes and supply chains. The survey found that 76% of enterprise-sized businesses have over five years of experience using embedded payments. In contrast, 82% of SMEs and 63% of mid-market companies are likely to increase their investments in embedded payments in the coming year.
Retailers lead the way in embedded payment adoption, with 74% already utilizing these capabilities to enhance operational efficiency and reduce transaction fees. The automotive, restaurant, and hospitality industries are also keenly interested in exploring embedded payments.
Payment orchestration, a technology that allows businesses to process payments across multiple providers, has been widely adopted, with 76% of all businesses using it for over five years. The study revealed that 35% of companies plan to increase their investment in payment orchestration platforms in the coming year. The benefits are substantial, with respondents citing improved security and fraud prevention (89%), operational efficiency (84%), customer experience (83%), and accessibility (83%) as the top advantages of payment orchestration.
In response to a customer base that increasingly demands seamless digital shopping experiences, businesses are investing in unified commerce platforms. The Global Payments study found that 43% of retailers currently use these platforms, with 73% of them having utilized the technology for more than five years. SMEs (67%) and mid-market companies (71%) are more likely to increase their investments in unified commerce platforms than larger enterprises.
A notable trend is the rise of “search-to-purchase” functionalities, which allow consumers to find and buy items directly through social media platforms like Instagram and TikTok, without leaving the site. Another fast-growing trend is live commerce, where products are showcased and sold in real-time via live-streaming on digital platforms. The survey found that 29% of respondents are already incorporating live commerce into their business strategies.
Despite the increasing focus on digital channels, physical stores are still considered a priority. Among the enterprises surveyed, 55% said physical stores would remain a very high or high priority, nearly matching the importance of e-commerce (60%), mobile (68%), and social media (61%).
As digital payments become the norm, businesses are also investing in advanced technologies to combat fraud and data theft. Biometrics, including fingerprint identification and facial recognition, are increasingly being used to enhance security. The survey revealed that 31% of companies are investing in biometrics, with SMEs being more than twice as likely to increase their investments compared to larger counterparts. Of those who adopted biometrics, 96% reported a significant positive impact on their operations.
Tokenization, which converts sensitive data into unique digital tokens for secure transmission, is another emerging security tool. As global e-commerce fraud is projected to surge from $44.3 billion in 2024 to $107 billion in 2029, businesses are prioritizing technologies that enhance security.
The findings from Global Payments underscore a significant transformation in how businesses approach payments and technology investments. As companies navigate this changing landscape, the emphasis on AI, embedded finance, and payment orchestration will likely define the future of commerce and payments.
In summary, the trends highlighted in this report are not just passing fads; they represent a fundamental shift in the commerce landscape that businesses must adapt to in order to thrive in an increasingly digital world.
