Brandon Spear is CEO of TreviPay, a B2B payments and invoicing network that powers more than $7 billion in global trade. He was previously senior vice president of global cloud customer organization at SAP, among other technology leadership roles.

A new year brings revived optimism and business resiliency. Thinking about ways to scale a business can come to a quick halt as financial and strategic considerations begin to snowball. For B2B transactions, we’re at a unique inflection point. The global B2B payments market is projected to reach $137 trillion by 2027, making the opportunity for expansion extremely promising. Yet, as many business leaders discover, scaling internationally isn't only about entering new markets. It's about understanding the intricate web of local preferences, regulations and operational challenges that accompany global growth. The future belongs to those who can successfully adapt and scale their payment strategies, while delivering experiences that foster loyalty and growth. 

Before navigating the global B2B arena, it’s important to understand some common challenges faced by merchants preparing to scale internationally.

Understanding the B2B buyer's payment journey 

Merchants that focus on enhancing the payments journey see a significant increase in buyer retention, with revenue per customer growing incrementally over time. We’ve identified that retaining a business buyer for seven years can lead to a 150% increase in revenue per customer, jumping to 240% after 10 years. What can this be attributed to? While 61% of global B2B buyers say trade credit or net terms are their leading ways to pay, businesses still expect to have choice and flexibility at checkout. In fact, almost 85% said having a variety of payment options available was important. Direct integrations into a buyer’s ERP platform and detailed line-item invoicing also help foster a seamless payments journey.

When selling internationally, countries also have cultural and regulatory differences to keep in mind. For example, cross-border taxation presents a significant hurdle, with businesses facing complex regulatory environments across different jurisdictions. In the U.S. alone, companies must navigate over 13,000 taxing jurisdictions, while international markets require careful attention to VAT requirements and product classification codes. Merchants that make it easy to make and reconcile a purchase will see repeat buyers.

Building a cross-border infrastructure

A recent industry study showed the average cross-border payment failure rate is 11%, costing U.S. merchants at least $3.8 billion in lost sales in 2023. This emphasizes the need for a strong technical foundation before international expansion. First, eInvoicing mandates are becoming increasingly common worldwide, with each country implementing its own standards and requirements. For example, the EU has released its eInvoicing Directive requiring all public sector entities to receive and process electronic invoices. To help ensure compliance, automating the invoicing process minimizes errors, prevents fraud and improves cash flow. 

Second, currency management and foreign exchange fluctuations can significantly impact profit margins and pricing strategies. Successful international businesses typically opt to bill customers in local currencies, which helps satisfy regional preferences, while potentially reducing exchange rate exposure. However, this approach requires sophisticated payment systems that can efficiently handle multi-currency transactions.

Payment localization has also become a priority issue for businesses. For instance, while U.K. buyers predominantly use card payments, Germans prefer e-wallets. Meanwhile, Asian markets have their own distinct payment options, including Alipay and WeChat Pay. It’s a good time to look into a robust payment orchestration platform that can integrate multiple payment methods and currencies, while ensuring regulatory compliance across borders.

Managing risk

By conducting business across different countries and regions, businesses can reduce the impact of localized economic challenges. On the other hand, the expansion of global commerce brings new challenges in risk management. With over one-third of online merchants experiencing identity theft in 2024, international expansion requires robust security measures, while maintaining operational efficiency.

Successful risk management in global markets demands sophisticated identity verification systems that work across borders, coupled with real-time fraud detection capabilities. With larger purchase volumes, verifying the authenticity of a B2B buyer should not rely on manual verification, which may come at the price of growth. A recent study found that 54% of percent of retailers turned away legitimate buyers due to false positives.

Balancing security and efficiency is one of the most challenging aspects of international expansion. Partnering with a knowledgeable expert can help improve this process.

Efficient operating models

As B2B payments grow more complex, collaboration with fintechs and financial institutions is becoming essential. A successful partnership strategy allows businesses to leverage local expertise while maintaining operational consistency. This includes integration with regional payment networks supported by cloud-based, composable infrastructure for scalability.

When evaluating fintech partners, businesses should ensure strategic goals are aligned, along with the right tech capabilities that enhance payment solutions. These include real-time payment capabilities and in-depth analytics. Financial institutions offer access to global financial networks with the regulatory background needed to efficiently manage cross-border transactions.

Looking ahead

Businesses that successfully expand can balance technological innovation with operational excellence. It’s important to act strategically and be adaptable to local market conditions. This includes a thorough understanding of target buyers, flexible technology and strong local partnerships. The B2B opportunity is substantial, with success requiring careful planning and execution. Businesses that can navigate these waters, while delivering seamless modern payment experiences, will be best positioned to capture significant market share.