Canada $15.87 Billion Embedded Finance Markets to 2029: Fintech Firms are Planning to Take Advantage of the Industry's Strong Growth Potential

News provided by

Mar 14, 2022, 16:45 ET

DUBLIN, March 14, 2022 /PRNewswire/ -- The "Canada Embedded Finance Business and Investment Opportunities Databook - 50+ KPIs on Embedded Lending, Insurance, Payment, and Wealth Segments - Q1 2022 Update" report has been added to ResearchAndMarkets.com's offering.

According to the Q4 2021 Embedded Finance Survey, Canada's Embedded Finance industry is expected to grow by 42.5% on annual basis to reach US$4,700.8 million in 2022.

The embedded finance industry is expected to grow steadily over the forecast period, recording a CAGR of 25.2% during 2022-2029. The embedded finance revenues in the country will increase from US$4,700.8 million in 2022 to reach US$15,878.2 million by 2029.

The Canadian embedded insurance industry has gained rapid momentum over the last four quarters, primarily accelerated by the global pandemic. Consequently, insurtech firms are raising funds to boost their growth and expand their distribution network in Canada.

In January 2021, APOLLO Insurance Solutions raised US$10.6 million. Moreover, with the growing success in the Canadian insurance industry, insurtech startups are now eyeing to expand their services in the United States. The publisher projects that the funding activities in the industry are expected to grow further in Canada over the next four to eight quarters.

Embedded insurance providers are aggressively partnering with businesses across industry verticals to increase their market share in Canada. The Canadian embedded insurance market is also experiencing growing mergers and acquisitions among market players to gain a competitive advantage in the market.

While the commercial insurance space lags behind innovation, the personal insurance sector is experiencing innovation from both insurtech startups and incumbent insurers in the country. The publisher expects the commercial insurance space to see much deeper innovation over the next four to eight quarters in Canada.

The pandemic has boosted the growth of the embedded lending industry globally, and Canada is no exception. Fintech firms are raising funds to accelerate their growth and expand their distribution network to take advantage of the embedded lending industry's strong growth potential in Canada.

These fundings are expected to grow further in Canada over the next four to eight quarters. The market players are also making efforts to introduce innovative offerings and the latest technologies in the sector, which is expected to further drive the market growth.

Furthermore, the considerable dependence of SMEs on informal sources of financing and loans reflects a significant in the Canadian financing system. Market players have an opportunity to fill this gap through innovative embedded lending offerings.

Canada-based e-commerce platform Shopify has already leveraged the opportunity by introducing Shopify Capital for its merchants in Canada. Shopify is making efforts to fill the funding gap in the country and provide enhanced experiences to its merchants. The publisher projects an increased number of e-commerce platforms to offer embedded lending to take advantage of the enormous growth opportunity prevailing in the e-commerce market in Canada.

Fintech firms are raising funds to accelerate their growth and expand their foothold in the embedded payment industry. Furthermore, fintech firms are planning to take advantage of the embedded payment industry's strong growth potential in Canada. Consequently, the publisher expects fund raising activities are expected to grow further in Canada in the forthcoming quarters.

The market players are also making efforts to introduce innovative offerings and the latest technologies in the sector, which is anticipated to fuel the market growth in 2022. International embedded payment providers are also eyeing the growing opportunity in the region. These companies are joining hands with Canadian firms to introduce their offerings to Canadian clients.

In October 2021, European payment provider Worldline partnered with Canada-based live shopping solution provider Livescale. Under this collaboration, the companies will provide an embedded commerce solution with in-video checkout features that will work across social media and websites.

Scope

Canada Embedded Finance Market Size and Forecast

Canada Embedded Lending Market Size and Forecast

Embedded Lending by Consumer Segments, 2020 - 2029

Business Lending
Retail Lending

Embedded Lending by B2B Sectors, 2020 - 2029

Embedded Lending in Retail & Consumer Goods
Embedded Lending in IT & Software Services
Embedded Lending in Media, Entertainment & Leisure
Embedded Lending in Manufacturing & Distribution
Embedded Lending in Real Estate
Embedded Lending in Other

Embedded Lending by B2C Sectors, 2020 - 2029

Embedded Lending in Retail Shopping
Embedded Lending in Home Improvement
Embedded Lending in Leisure & Entertainment
Embedded Lending in Healthcare and Wellness
Embedded Lending in Other

Canada Embedded Insurance Market Size and Forecast

Embedded Insurance by Industry, 2020 - 2029

Embedded Insurance in Consumer Products
Embedded Insurance in Travel & Hospitality
Embedded Insurance in Automotive
Embedded Insurance in Healthcare
Embedded Insurance in Real Estate
Embedded Insurance in Transport & Logistics
Embedded Insurance in Others

Embedded Insurance by Insurance Type, 2020 - 2029

Embedded Insurance in Life Segment
Embedded Insurance in Non-Life Segment

Embedded Insurance by Type of Offering, 2020 - 2029

Embedded Insurance in Product Segment
Embedded Insurance in Service Segment

Canada Embedded Payment Market Size and Forecast

Embedded Payment by Consumer Segments, 2020 - 2029

Embedded Payment by End-Use Sector, 2020 - 2029

Embedded Payment in Retail & Consumer Goods
Embedded Payment in Digital Products & Services
Embedded Payment in Utility Bill Payment
Embedded Payment in Travel & Hospitality
Embedded Payment in Leisure & Entertainment
Embedded Payment in Health & Wellness
Embedded Payment in Office Supplies & Equipment
Embedded Payment in Other

Canada Embedded Wealth Management Market Size and Forecast

For more information about this report visit https://www.researchandmarkets.com/r/aixwkt

Media Contact:

Research and Markets
Laura Wood, Senior Manager
[email protected]

For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900

U.S. Fax: 646-607-1904
Fax (outside U.S.): +353-1-481-1716

SOURCE Research and Markets