Consumers have happily adapted to digital payment systems over the past decade, but business-to-business payments are still largely stuck in their old ways. You would think businesses would be on board with anything that can save them time and money, and make them more competitive. So what’s the hold-up?
The answer is twofold. First of all, paper checks are one form of payment every business accepts. Secondly, many businesses don’t understand everything there is to know about e-payments and don’t want to take the time to figure it all out. Since writing checks works, it’s a habit that’s hard to break.
Change is in the wind, though. More and more businesses are interested in adopting advanced payment methods, and many of the options available to them are beyond the scope of the bill pay capabilities their banks offer. This is a golden opportunity for banks to rise to the e-payment challenge, become fluent regarding automated payment resources, educate their business customers, help them upgrade, strengthen the value their customers receive, and deepen the relationship.
Bringing in a specialist: why a bank needs a technology partner
Only a small fraction of business clients use their bank’s online bill paying services. Some try it, find it inadequate and return to the paper check system, or take their bill paying outside the bank. To keep your banking clients happy and healthy in this quickly transforming environment, you can offer your own branded solution. This involves choosing the right technology partner, and to do that, it’s important to look for one with these key strengths.
Relevant capabilities. It’s vital to find a partner with the capabilities your clients truly need, such as image capture (OCR), workflow management, hosted solutions, workflow/approvals automation, and payment automation that includes all types of electronic payments.
Ongoing innovation. You want a partner that keeps pace with the changes in technology and makes sure their solutions do the same.
Size and scope. You will need a partner that can accommodate the needs of all your clients.
Financial expertise. Not every technology company is an expert in financial services. Find one that has deep knowledge of the entire industry.