Matt Vaadi breaks down three things embeddable payroll companies need to survive: getting customers to actually use the product, keeping them locked in, and selling add-ons. If any pillar cracks, the whole business fails.
So I think that we're seeing it in the market right now. We're sitting here in October of '22. Things are shifting a good bit. So I think we're going to continue to see more shift in this market. And the embedded payroll one is going to be one that is going to be interesting to follow because these companies are getting these high, high, high valuations, raising a ton of money. They definitely have a well-defined sort of interesting possible user base that they can go after. But the question is, will they get the adoption that they hope for on the front end. If they can get the stickiness with the companies that can embed it and they can then sell it, and then they can start attaching these bolt-on things, it's going to be awesome for them. If any one of those three things doesn't happen, then it's going to be a real struggle.
