The Evolution of Consumer Payments to Government

Traditional paper-based payments have been declining in virtually every industry and sector. Government agency payment trends are increasingly favoring digital payment methods, especially among Generation Z.

More than half of Gen Zers prefer digital payment channels like mobile devices and digital wallets — and with this cohort expected to make up 30% of the workforce by 2030, agencies need to adapt their payment technologies to keep up.

Understanding these technologies is key to streamlining citizen payments now and in the future.

How Digital Technologies Are Shaping the Transformation of Government Payments

Advancement in digital payment technology is one of the biggest drivers behind many of the following trends for government payments, and harnessing this technology can benefit your agency by improving your ability to adapt to future changes. Here's how.

1. Facilitating Personalized Experiences

As technology has evolved over the past decade, businesses have seen the demand for personalized experiences skyrocket. Today's customers expect businesses to anticipate their needs and tailor their offerings accordingly. That desire for personalization extends to government services.

Cloud-based digital payment systems with predictive analytics capabilities collect and analyze massive quantities of user data to better understand consumer behavior and make the best recommendations for each user's needs.

It can also use this data to identify which customer segments and personas are more likely to pay late so you can implement targeted campaigns to improve payment performance. 

2. Improving the Customer Experience

Often, citizens struggle to complete government payments due to complex regulations and outdated online systems. Sometimes, the only way they can get help is to spend hours on the phone with customer service or visit your office in person, which wastes valuable time for your citizens and office employees.

Digital customer experience management solutions make the payment process easier for citizens by:

• Housing all your citizen data in one centralized hub.
• Providing a user-friendly self-service portal for easier payments.
• Supporting on-demand payments for both enrolled and non-enrolled users.
• Increasing payment flexibility for citizens who prefer newer payment channels.
• Automatically notifying citizens of upcoming payments via their preferred channels.

Essentially, citizens need a streamlined digital experience that clearly guides them through their tasks. A payment platform that equips users with the tools they need to better understand your payment process can help you gain their trust and improve your on-time payment rate.

3. Streamlining Tax Compliance

Overly complex tax payment systems are a major challenge for most citizens and can impact their ability to submit accurate payments on time.

Integrated digital payment solutions can help improve tax compliance management for both agencies and citizens by reducing administrative errors, processing payments faster and eliminating the confusion of having to navigate an unfamiliar payment system.

Supporting citizens' preferred digital payment platforms simplifies their payment process, which can:

• Increase total revenue collection.
• Reduce the risk of inaccurate payments.
• Enhance your agency's processing efficiency.
• Improve on-time payment rates.

4. Mitigating Fraud Risks and Building Trust

KUBRA is PCI Level 1 compliant and a Participating Organization of the PCI Security Standards Council. Additionally, we’ve implemented secure stateless tokenization and encryption at every point of the payment process to give citizens peace of mind.

Digital payment platforms can help you build a more trusting relationship with your citizens. People need assurance of accurate payments and that their money and personal information are secure from cyberthreats to trust doing business with you.

5. Enabling Continuous Improvement Through Advanced Reporting

Although continuous improvement originated in the private sector, it can help government agencies optimize their processes and become more resilient to future demands.

Digital payment systems with advanced analytics and reporting capabilities can facilitate continuous improvement by quickly analyzing enormous volumes of data. From this analysis, the program can generate powerful insights your agency can use to make more informed decisions about:

• Budgeting strategies.
• Targeted campaigns to reduce late payments.
• Revenue collection practices.

By unlocking the power of data-driven decision-making for your agency, modern digital payment solutions can help your agency enhance its overall strategies to be more robust moving forward.

How KUBRA Can Help Government Agencies Adapt to the Future of Payment

At KUBRA, we develop highly versatile solutions suitable for use in many different verticals, including government agencies. Here are just a few examples of how our industry-leading customer experience management software can help your agency achieve its efficiency goals.

KUBRA EZ-PAY for Government

KUBRA EZ-PAY® is an omni-channel payment solution designed for maximum flexibility and convenience. 

On-demand payment capabilities allow citizens to make payments whenever they need to, whether that's months in advance or at the last minute. Your agency can benefit from more on-time payments, and your citizens will gain more flexibility over their payments.

Plus, the integrated self-service platform makes it easier to provide personalized experiences by allowing citizens to manage their:

• Preferred communication channels
• Notification preferences
• Preferred payment methods
• Transaction histories
• Payment schedules 
• Digital wallets
• Contact and payment information

Switching to a payment solution like KUBRA EZ-PAY® can also help your agency lower costs by reducing the number of paper checks you need to process each payment cycle. 

KUBRA IQ for Government

KUBRA IQ™ is an advanced self-service solution that uses natural language processing (NLP) to help customers accomplish important payment tasks with everyday language. The program uses the data it collects to learn from each customer interaction, leading to more accurate responses over time.

To provide customers with the greatest level of flexibility, KUBRA IQ is compatible with various channels:

• White-label web chat
• SMS text messaging
• Virtual assistants

And because the system is hosted on Amazon Web Services, it's highly scalable. You can add new channels anytime to stay ahead of shifts in citizen preferences and integrate various back-office systems as needed to continuously improve interactions.

Notifi for Government

Help more citizens meet payment deadlines with automated, personalized alerts from Notifi®. This powerful platform fuses your agency's data with the preferences your citizens set to automatically deliver the messages they want to the channels where you're most likely to reach them.

Thanks to KUBRA IQ's NLP capabilities, Notifi supports various communication channels:

• Email
• Mobile push notifications
• Virtual assistants
• Voice memos
• Voice calls
• SMS text message

Plus, the Notifi platform complies with all essential communication regulations to ensure information security at all times. Stay in touch with your constituency with KUBRA.

Learn More About KUBRA for Government

Switching to an advanced digital payment system can help you achieve higher operational efficiency and boost revenue collection now and in the future. 

If your organization is ready for a change, we're here to help. Contact us online today to learn more about our digital payment and customer service solutions.