Business-to-Business Payments Landscape Dominated by Visa’s New Platform

Business-to-business (B2B) payments reign over the global payments scene, and Visa is stepping up with a platform aimed at connecting major players in this domain.

According to the card company, its Commercial Integrated Partners program fosters an ecosystem that banks can utilize to offer enterprise clients a suite of services including expense management, a mobile app, and tokenization of virtual cards.

In this setup, Visa’s APIs act as the backbone through which banks can access products from fintechs and integrate them into their business clients’ enterprise resource planning (ERP) software. The goal is to provide a seamless solution that lets all involved focus on innovation and enhancing customer experience.

Insight: Focusing on Commercial Payments

“This is an interesting development,” stated Hugh Thomas, Lead Commercial and Enterprise analyst at Javelin Strategy & Research. “I can draw parallels with Mastercard’s Accelerate program, which incorporates initiatives like Start Path and Fintech Express. However, the differences are notable, especially in focus.”

“Where Mastercard’s programs span a wide range of offerings from emerging technologies such as blockchain to consumer-focused services like P2P payments, this Visa initiative is solely dedicated to commercial applications,” he elaborated. “Given that the ecosystem for B2B payments has fewer and more manageable partners, and given the distinct dynamics at play compared to the consumer market, this seems a smart move.”

Speeding Up Fleet Management

As an illustration of how this model could work in practice, Visa highlighted its partnership with Car IQ, known for software that turns vehicles into payment credentials. Physical cards often pose challenges due to the risk of loss or misuse.

Through Commercial Integrated Partners, a financial institution could offer Car IQ software to business clients, allowing virtual card payments via a mobile app at fuel stations.

Visa emphasized that this integration reduces the need for extensive supplier onboarding and development work, potentially saving companies “18-24 months of due diligence, integration efforts, and project management.”

Security Considerations

Despite its benefits, financial institutions might have security concerns about data sharing with multiple parties. These worries were heightened following the collapse of fintech Synapse, which left millions in bank client funds at risk.

To mitigate these risks, Visa stated that all fintech partners on the Commercial Integrated Partners platform are pre-evaluated and already integrated with the card company.

“The other aspect that caught my attention was the certification process,” Thomas observed. “Certifying solutions implies having in-house expertise to not only understand your own products but also ensuring their safe use in others’ systems.”

“It’s a commendable approach—streamlining the launch of services that drive spend volume. However, in practice, it also means being accountable for whether those solutions function as expected,” he concluded.