The Distillery #10: New B2B Payment Trends & Did WhatsApp Just Kill A2P SMS?

August 2025

Fintech & Payments

Juniper Research

Analyst House

Welcome to the 10th issue of The Distillery! In addition to our usual analysis and industry insights, we've got two announcements:

• Our Fintech & Payments awards close tomorrow! If you’re transforming banking, redefining payments, or setting new standards in fraud and security, now’s the time to get that application in.
• We're giving away a whitepaper. But the twist? You get to decide the topic. Read on to find out more...

Also in this edition:

• The UK is cracking down on late invoices - here's the fintech players that'll benefit most
• WhatsApp’s new pricing shake-up takes aim at SMS
• How stablecoins, embedded finance, and virtual cards are rewriting B2B payments

FINTECH & PAYMENTS

UK Treasury Warns Big Business to Stop Ghosting Their Suppliers

From 2026, large UK companies could face hefty fines if they routinely pay suppliers late — part of a government push to tackle what Business Secretary Jonathan Reynolds calls the “number one” issue for small businesses.

Over 70% of UK SMEs experienced delayed payments in Q1 2025, according to the Federation of Small Businesses. That’s a serious issue for firms operating on tight margins, with limited cash reserves to buffer late income. Under the new rules, companies with more than 250 employees will be fined if over 25% of their invoices are paid late in any six-month period. The fine? Double the amount owed in late payment interest.

Distilled...

🟣 Accounts Payable automation is no longer optional. Manual processing and legacy systems are the root of many late payments. With financial penalties now on the table, large firms will be under pressure to modernise. That means automated invoice approvals, digital reconciliation, and payment flows that don’t bottleneck at human checkpoints.

🟣 Virtual card providers are well positioned to benefit. By removing manual approvals and enabling faster, more secure payments, virtual cards solve several pain points in one move — from late payments to fraud risk. Many cards are also merchant-locked and single-use, reducing the risk of fraud and unauthorised spending.

🟣 End-to-end payables platforms could become essential infrastructure. Fintechs such as Airwallex, Tipalti, and Pleo offer full-service solutions that tackle every stage of the payables process. That includes AI-powered invoice scanning, automatic matching, and direct integration with ERP systems to streamline reconciliation. They also support multi-currency accounts and automated tax compliance — all essential for firms managing complex, cross-border payments.

 GET THE WHITEPAPER

CELEBRATE GOOD TIMES

Happy 10th Birthday to Us!

To celebrate, we’re giving away a brand new whitepaper - and we want you to choose the topic.

We’ve shortlisted some of the most exciting emerging markets in fintech, telecoms, and technology. Cast your vote below, and we’ll turn the winner into a free research paper, packed with insight and delivered straight to your inbox.

Choose from:

FINTECH & PAYMENTS

• Agentic Commerce: Explores the rise of agentic commerce, where AI-powered agents make autonomous purchasing decisions on behalf of consumers, and examine its implications for retailers, brands, and the future of digital commerce.
• Asset Tokenisation: Analyses the growing adoption of asset tokenisation; highlighting how blockchain is transforming the way physical and financial assets are created, traded, and managed.

TELECOMS & CONNECTIVITY

• AI Agents: Investigates the evolution of AI agents; assessing their potential to automate complex tasks, personalise digital experiences, and reshape business operations.
• MVNOs: Explores the shifting role of MVNOs (Mobile Virtual Network Operators) in an increasingly competitive telecoms landscape; identifying new strategies for differentiation and growth.

EMERGING TECHNOLOGY

• Quantum Monetisation: Evaluates the future commercial potential of quantum technologies; outlining monetisation pathways, use cases, and early investment opportunities.
• Robotaxis: Analyses the progress of autonomous ride-hailing services; focusing on regulatory challenges, operational models, and the long-term outlook for robotaxis.

TELECOMS & CONNECTIVITY

WhatsApp Takes Aim at SMS with Major Pricing Overhaul

Last month, WhatsApp rolled out a major change to its pricing model; shifting to per-message charges and dramatically cutting the cost of authentication traffic — a clear move to challenge A2P SMS dominance.

The new model also allows businesses to respond to users within a 24-hour window using free-form or utility templates, without incurring additional charges; removing a key barrier to conversational messaging.

Distilled...

🟣 Authentication traffic is heading for WhatsApp. WhatsApp is now allowing enterprises send OTPs at just 15–30% of the cost of an equivalent SMS in key markets such as Brazil, India, and Indonesia. That’s a game-changer for large enterprises looking to cut messaging costs. Expect to see more businesses routing OTPs through WhatsApp first, with SMS as a fallback only when needed.

🟣 Conversational messaging is set to accelerate. By removing charges for replies during the 24-hour service window, WhatsApp is nudging businesses toward two-way conversations — not just one-way notifications. As we note in our latest research, this opens the door to new use cases in customer service, post-purchase engagement, and conversational commerce.

🟣 AI will be key to scaling this shift. As message volumes grow, businesses will increasingly rely on AI agents to automate customer interactions across WhatsApp. From handling FAQs to managing entire sales flows, AI-powered chatbots are quickly becoming a core part of the channel’s value proposition.

GET THE WHITEPAPER

FINTECH & PAYMENTS

Here's Three B2B Payment Trends to Watch in 2025 & Beyond

The global value of B2B payment transactions is set to soar past $224 trillion by 2030 — but the real story isn’t just the volume, it’s the transformation in how those payments are being made.

To mark the release of our latest B2B payments research, we’re spotlighting three disruptive shifts in how money moves between businesses — from stablecoins shaking up cross-border flows to embedded finance redefining how B2Bs access credit.

🟣 Stablecoins are entering the mainstream. Once seen as niche, stablecoins are now gaining real traction in B2B payments; particularly for cross-border trade. In regions burdened by tariffs, FX volatility, or payment delays, stablecoins offer a faster, cheaper, and more transparent alternative. By sidestepping traditional intermediaries, they’re reducing friction and opening up new international B2B opportunities.

🟣 Embedded finance is becoming critical. While often discussed in the consumer context, embedded finance is now making its biggest impact in B2B. Platforms are integrating payments, lending, and credit solutions directly into workflows; enabling smaller businesses to access financial tools where and when they need them. This shift is reducing dependency on traditional banks and reshaping how businesses access capital and move money.

🟣 Our old friend, virtual cards, makes another appearance. Cards remain a familiar tool, but their role in B2B is accelerating fast. We're forecasting a 17.5% CAGR for B2B card payments between 2025 and 2030; largely driven by virtual cards. These offer enhanced control, real-time approvals, and better fraud protection — and they’re increasingly displacing slower, more manual methods such as cheques and cash.

GET THE WHITEPAPER

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