Designing seamless experiences: An introduction to embedded payments UX

In today’s fast-paced digital world, users expect frictionless experiences–especially when it comes to payments. The old model of redirecting users to clunky, external payment portals is becoming obsolete. Instead, embedded payments represent a major leap forward, integrating financial transactions directly into the very fabric of the software products we use every day.

But what exactly does this concept entail, and how can designers ensure these vital transactions are not just convenient, but truly intuitive?

We recently dove into these questions with Bianca Sanchez, Director of UX at Stax, for an insightful session on the future of financial transactions within product design. Stax VP of Marketing, Ray Lou, hosted the conversation, which kicked off their Payments-Led Growth series.

Watch the webinar on demand:

What are embedded payments?

Ray started by laying the groundwork, asking the fundamental question: What are embedded payments?

In short, embedded payments are all about removing friction for the customer.

“Embedded payments means your customers can take and manage payments without leaving your product, right? So one login, one UI, one support path, and really it’s about making payments, not just another tab in your system, but a really integral part of the job.”

Embedded payments mean one seamless flow. Instead of being redirected to an external payment processor, the entire transaction—from managing the payment method to the final click—happens directly within the software or platform customers are already using.

Common use cases

But what are some practical applications of embedded payments? Ray gave a relatable example of field tech service companies. When a technician is at a customer’s house, the ability to quickly and securely process a payment right there, within the tech’s work platform, is invaluable. This is a perfect example of embedded payments in action, making the operational and financial parts of the service a single, cohesive experience.

This foundational understanding sets the stage for diving into the next crucial step: designing the best UX practices for these embedded payments. It’s clear that the goal is not just convenience, but making the payment process feel like a natural, logical part of the overall user journey. As Bianca said:

“You want to keep it as simple as possible, the less friction you have in a payment flow. The more likely that the customer is going to actually go through with the payment flow.” 

Hallmarks of good embedded payments

A core principle in designing good embedded payments is maximizing convenience and trust while ruthlessly eliminating friction from the user journey.

Based on Bianca Sanchez’s discussion on UX best practices, here are key hallmarks to aim for:

1. Establish trust and consistency

Good payment design starts with familiarity and security to put the user at ease.

• Brand matching: The user interface must align with your main product’s look and feel to prevent the flow from seeming suspicious.

“So when you are designing for payment flows, you want to make sure that it is matching your branding, right? It’s always off-putting. If your customers are going from one experience that they’re expecting your logos, your colors, and they land on a totally different screen. Maybe it doesn’t have the same colors and whatnot.”

• Security assurance: Displaying trust elements, like an SSL badge, helps assure the user it is safe to enter sensitive data.
• Explain data requests: When collecting sensitive data like a Social Security number (often for fraud checks), clearly state the reason for the request.

2. Prioritize frictionless payment completion

Minimizing steps and maximizing ease of use increases the likelihood of a customer completing their payment.

• Remove fluff: Eliminate any steps or information requests that aren’t strictly necessary during the payment process itself.
• Mobile digital wallets: For mobile users, offering digital wallets removes the barrier of locating a physical card, which is essential for capturing payments, especially those driven by impulse.

“So in my opinion, the most important thing is to have digital wallets set up in your payment flow for mobile devices. They’re on their device already. They probably already have their wallet set up. You are just taking away any sort of barrier that they have…”

• Don’t hide the button: The final “Pay” button should be easy to access, as making customers complete a very long, unnecessary form only adds friction.

3. Provide clear, actionable feedback

Users need continuous, clear communication about the status of their transaction, especially when things are delayed or fail.

• Actionable failure messages: If a payment fails, the message should explain why and give the customer direction.
• Loading states for speed perception: When a payment is processing, use visual feedback like a progress bar or spinner to indicate that work is being done, managing the user’s perception of waiting time.
• Final confirmation: A successful transaction must always be followed by a clear confirmation.

Practical takeaways for embedded payments UX

Based on the initial discussion, here are the core principles to keep in mind when planning or designing your embedded payments solution:

• Prioritize in-product completion: The #1 rule is ensuring users never have to leave your product to complete or manage a payment. Avoid redirects, external windows, or third-party branding.
• Embrace the “one” rule: Strive for a unified experience by offering a consistent one login, a cohesive one UI, and a single one support path that covers both your core product and its payment functionality.
• Integrate, don’t isolate: Payment processing should be viewed as an integral part of the user’s workflow (the “job” they are hiring your product to do), not a separate, supplementary feature.
• Solve for the real-world scenario: Design your solution to simplify a complex, real-world task. For example, building a payment option directly into a service ticket or field reporting app creates immediate and high value for the user.

Ready to turn embedded payments into scalable solutions?

At Stax, we help businesses, software companies, and ISVs leverage payments to unlock new revenue streams and scale their business with seamless, omni-channel payment solutions.

Tune in next time to learn more about payments-led growth and how to expand the value of your business. 

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