You’ve captured the essence of Corpay’s market opportunity beautifully. One risk worth adding is the deceleration in card spend growth within mid-market corporate expenditures, largely driven by merchant resistance to high acceptance costs. While digitization of B2B payments continues to accelerate, ACH is gaining ground and card monetization potential is still constrained by several factors:
- Legacy ERP systems that limit seamless integration for both buyers and suppliers
- Supplier onboarding friction and the complexities of receiving electronic payments, including fees, reconciliation challenges, and varying levels of digital readiness
These are not insurmountable for Corpay—but they’re real barriers that must be addressed through better new payment products, infrastructure and value alignment across buyers and suppliers.
A good point and certainly something that has tripped up Bill as suppliers and vendors on their network push back on the higher price of accepting virtual card payments as opposed to ACH. Seems like technical details are still being worked out and price discovery for supplier and vendor adoption is ongoing.
You’ve captured the essence of Corpay’s market opportunity beautifully. One risk worth adding is the deceleration in card spend growth within mid-market corporate expenditures, largely driven by merchant resistance to high acceptance costs. While digitization of B2B payments continues to accelerate, ACH is gaining ground and card monetization potential is still constrained by several factors:
- Legacy ERP systems that limit seamless integration for both buyers and suppliers
- Supplier onboarding friction and the complexities of receiving electronic payments, including fees, reconciliation challenges, and varying levels of digital readiness
These are not insurmountable for Corpay—but they’re real barriers that must be addressed through better new payment products, infrastructure and value alignment across buyers and suppliers.
A good point and certainly something that has tripped up Bill as suppliers and vendors on their network push back on the higher price of accepting virtual card payments as opposed to ACH. Seems like technical details are still being worked out and price discovery for supplier and vendor adoption is ongoing.