The US merchant acquiring market is undergoing significant transformation due to technological advancements and changing consumer behaviors.
Businesses are increasingly relying on digital solutions, leading to a surge in the importance of software platforms in the acquiring process. The fastest-growing segment in this market is the Owned Software channel, followed closely by payments partners that collaborate with software companies. On the other hand, the traditional Server Message Block (SMB) direct channel is projected to decline.
Small and medium-sized businesses (SMBs) play a significant role in the industry, with approximately 70% of industry revenues coming from them. It is expected that many SMBs will operate through software platforms in the long term.
The future of the merchant acquiring market lies in the integration of technology and payments, with software-led distribution channels playing a pivotal role. Companies that can embed financial services within their software offerings are likely to emerge as leaders in this space.