Q4 planning season is here. Right now, across hundreds of vertical SaaS platforms and franchise networks, leadership teams are setting 2026 budgets, evaluating their tech stack, and making decisions that will define their year ahead.

And yet, when it comes to embedded payments—often one of the largest revenue drivers—many are asking the wrong questions.

After working with hundreds of platforms and franchise systems over the years, I've seen clear patterns emerge. There are those that treat payment pricing as a strategic lever, and there are those leaving significant money on the table. The difference isn't luck or market position–it's approach.

There are those that treat payment pricing as a strategic lever, and there are those leaving significant money on the table. The difference isn't luck or market position–it's approach.

This isn't just about negotiating a better rate with your processor. It's about understanding how payment pricing can become a competitive advantage, how to align your economics with the value you deliver, and why the decisions you make in the next 8 weeks will impact your entire 2026.

The Core Insight: This Isn't a Zero-Sum Game

Here's the foundational insight that separates winners from those leaving money on the table: payment pricing isn't a zero-sum game between you and your customers.

Too often, platforms and franchise systems look at their market, see what standalone payment processors charge (Square, Stripe, etc.), and feel pressure to match those rates exactly.

But here's what that approach actually communicates: "The features and solutions we've built within our platform—the ones connected to that sale, payment collection, settlement of funds, and everything else—have zero value."

That's obviously problematic.

The reality is you're not just providing payment processing. You're offering a comprehensive software solution that helps SMBs and franchisees run their entire business.

The key is aligning the pricing you charge with the actual value you're generating. Maybe your platform increases sales conversion. Maybe it automates collections and improves cash flow. Maybe it provides scheduled payments, recurring billing, or automated communication that helps collect outstanding amounts.

The winners have identified 2-4 clear bullet points about their embedded payment solution that speak directly to their customers:

• "Our payment solution drives higher revenues for your locations"

• "Our automation decreases collection time and improves cash flows by 30%"

• "Our integrated approach saves 10 hours per week in manual reconciliation"

When you can identify and communicate those value drivers, you can charge a premium. Your customers—whether franchisees or SMBs—acknowledge that this solution was built for them. It's not just generic payment processing, but something that solves problems other payment processors would never address.

The Most Expensive Mistakes We See

Let me walk you through the two pricing mistakes that cost platforms and franchise networks the most money.

Mistake #1: Not Understanding Your True Cost Basis

Platforms often look at their market and race to a price point that matches standalone processors—without truly understanding what their effective cost actually is.

When I say "effective cost," I mean the total price to move all payments through your platform to their destination. Not just "How much does it cost to process a card payment?" but the effective cost rate to do that AND support the entire system:

• Processing costs

• Transfer fees

• Payout costs

• Dispute management

• System support and maintenance

All of those costs need to be considered so you have a crystal-clear understanding of your cost basis for the program, not just for processing a single payment.

What happens when platforms miss this? They price at what seems competitive, they start processing expected volume, but they're only receiving 65-75% of the net revenue they projected.

When they dig in, it's usually a miss in understanding their actual effective cost rate for the program itself.

You need to have this nailed. Before you set any prices, understand: If I price at X, Y, or Z, here's the net revenue I can expect. Without that clarity, you're flying blind.

You need to have this nailed. Before you set any prices, understand: If I price at X, Y, or Z, here's the net revenue I can expect. Without that clarity, you're flying blind.

Mistake #2: Racing to Point Solution Prices

If you're pricing your embedded payments at the same rate as Square or Stripe charges their general customers, you're signaling that everything you've built adds up to zero value.

That creates an impossible sales conversation: "Hey, you should use us, but if you don't, it's the same as anybody else."

The better approach: Every platform should have 2-4 bullet points about their embedded payment solution that speak directly to their market. To the extent that you can identify and communicate those differentiators, you can charge a premium.

Your customers will say, "This solution understands us. This is helping me solve problems that other payment processors would never help me solve."

That's when pricing becomes aligned with value, and that's when you stop leaving money on the table.

Why Q4 Timing Matters More Than You Think

Let's talk about why this isn't a conversation you can have in March.

Here's the critical piece: With usage-based products like payments, if you get behind the curve for a given year, it is exceedingly difficult to make up those results in future months and quarters.

For the vast majority of platforms and franchise systems, customers and franchisees are growing significantly month over month. Payment volumes are growing materially month over month.

The math is stark:

• Launch pricing improvements in Q1 = capture 10-11 months of enhanced results

• Launch in Q3 = only 4-6 months of impact on your P&L

That's a wildly different outcome.

Having the conversations now—in Q4, during planning season—is critically important. Most platforms we talk to are consistently 1-2 quarters behind the timeline that would allow them to work through this thoughtfully but with appropriate pace.

Don't be one of them.

Real Examples: Pricing as Competitive Advantage

Let me share two platforms that turned payment pricing into a strategic advantage:

Platform 1: Fee Flexibility as a Growth Lever

One platform recognized that merchants wanted control over how payment costs are distributed. They added the option to split fees between the merchant and the person making the payment.

The results:

• Gross revenue actually increased (higher rates than before)

• Merchants gained control over what to charge their customers

• Merchants could incentivize lower-cost payment methods

• Platform and merchant interests became aligned

Everyone won.

Platform 2: Moving Upmarket Successfully

A franchise platform was moving upmarket, targeting franchisees processing seven figures monthly. Their current pricing was built for smaller operators.

They implemented transaction-level pricing control—offering different rates for certain card types—while maintaining net revenue targets on large franchisees.

The outcome: They unlocked an entire market segment that had previously been off-limits. Not just additional volume, but additional volume at appropriate margins.

The Big Idea: Aim for 100% Adoption

Here's the one thing I want you to walk away with: Having an embedded payment solution is no longer novel. Aiming for 30-50% adoption is the wrong mindset.

Having an embedded payment solution is no longer novel. Aiming for 30-50% adoption is the wrong mindset.

Most platforms and franchise systems don't mandate payment solution usage. Most target 30-60% adoption rates and say, "We think we can drive adoption from 30% to maybe 50-60% of our customer base."

At its core, I think that perspective is fundamentally wrong.

The right approach is: "We will build and price a solution that's great for 100% of our portfolio. Every customer is accessible. Every franchisee should use our solution because it's genuinely the best option for them."

This means:

• Your solution must deliver real business outcomes (not just convenience)

• You need competitive pricing for your entire portfolio

• You need pricing flexibility for different customer segments

• You need clear value communication that justifies your pricing

When you deliver measurable value—helping customers sell more, collect payments faster, improve cash flows—you can aim for 100% adoption. That's when embedded payments become a true competitive moat, not just a feature.

What to Do Right Now

Q4 planning conversations are happening right now. The decisions you make in the next 6-8 weeks will define your entire 2026.

Here are the questions you should be asking yourself:

1. Do we truly understand our effective cost basis—not just processing costs, but total program costs?

2. Are we pricing our actual value, or racing to match point solution rates?

3. Do we have the pricing flexibility to serve our entire customer portfolio?

4. What are the 2-4 clear bullet points about our payment solution that differentiate us?

5. Is our payment solution genuinely good enough to aim for 100% adoption?

If you're uncertain about any of these questions, now is the time to get clarity.

We're having these exact conversations with platform and franchise network leaders right now—helping them assess their current state, identify what's possible, and build a roadmap for 2026. If you want to pressure-test your thinking or discuss what we're seeing across the market, let's talk.

If you want to pressure-test your thinking or discuss what we're seeing across the market, let's talk.

The platforms and franchise networks that win are the ones that plan ahead, make thoughtful strategic decisions, and give themselves time to execute well.

The question isn't whether you should be thinking about payment pricing strategy. The question is whether you'll act on it in time to make a difference in 2026.

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Casey Kipfer is Chief Payments Officer at JustiFi, where he works with vertical SaaS platforms and franchise networks to optimize their embedded payment strategies. He previously led payments and fintech strategy at SportsEngine and NBC Sports Group, overseeing hundreds of billions in funds flow.