Why Faster Payments Should Matter to Billers

In today's fast-paced, instant-gratification world, everyone wants things done quickly and efficiently. You see, customers have grown used to ordering food, summoning a taxi, or purchasing items online with the click of a button. If you’re a biller, you understand that staying on top of payment technology trends can make all the difference in running a successful business. 

With the ongoing evolution and expansion of the digital world, digital payments are also advancing. Faster digital payment solutions offer customers unprecedented convenience, while for your business, these new payment options result in improved efficiency and timely processing times. When you think that 25% of customers pay 3-4 bills/month, and 67% pay more than 5+ bills, it’s no wonder they want and expect their bills to be paid easily and quickly!¹

What Are Faster Payments?

Faster payments are revolutionizing the way customers make transactions by enabling speedy, secure, and cost-effective payments. These are a popular and convenient alternative to traditional payment methods that rely on paper checks and snail mail, which can be slow and costly. With the emergence of mobile payments, digital wallets, chatbots, and voice-enabled technology, the payment landscape is being transformed by cutting-edge technology.

Understanding Unique Customer Preferences, Highlighting Digital Preference

Not all customers like to pay their bills through the same channels, but most agree the channels should be digital. KUBRA research found that 53% prefer to pay their bills through the mobile app, 46% prefer to pay through their biller website, and 37% through their bank website. 45% prefer to make auto bill payments.² Newer to the scene but gaining popularity are digital wallets. 37% of customers have used digital wallets to pay their bills, and 57% would consider using them to pay their bills if available.³ You shouldn’t dismiss traditional payment channels outright. 13% of customers still like to mail their payments, 7% prefer to pay at a walk-in center, and 4% like to pay at a retail location.⁴ 

Customers Expect Faster Digital Payments

Delivering fast payments requires you to prioritize payment solutions that eliminate friction and simplify the billing process. The most common reasons customers pay online are because it’s easy (78%), convenient (37%), saves them time (61%), they can access their phone/computer any time (52%), and it’s environmentally friendly 33%.⁵

When it comes to payment processing, 36% of customers expect same-day, 29% instant payments in real time, and 20% expect next-day processing. Customers today expect to be able to complete tasks quickly and easily, and faster payments allow them to pay bills and get on with their day. This can help build customer loyalty and increase customer satisfaction.⁶

Faster Payments Offer Numerous Benefits for Billers

Faster digital payments are a game-changer for bill payers and a major plus for you. When customers have access to faster payments, they can pay bills quickly, which means fewer missed payments, allowing you to access funds faster. You’ll also receive immediate payment notifications so you know as soon as a payment is made. This improves your cash flow because the time between receiving payment and having access to the funds is significantly reduced.

You’ll also enjoy reduced payment processing costs. Traditional payment systems require a lot of manual processing, which is time-consuming and expensive. With faster payments, the payment process is automated, reducing the need for manual processing and significantly reducing costs. 

To top it off, when you can provide access to faster payments, your customers are happier, leading to better customer satisfaction ratings.  

Accelerated Payments Benefit You and Your Customers

Faster payments are a must-have to meet customer expectations. But it’s not just going to make your customers happy; there are numerous benefits for you too. From reducing payment processing costs to improving cash flow, faster payments should be a key consideration if you’re looking to streamline your payment processes and improve your bottom line. As faster payment systems become more widespread, billers who fail to embrace them risk being left behind.

KUBRA EZ-PAY^Ⓡ offers a wide range of benefits for billers seeking efficient and streamlined payment solutions. Contact us today to learn how KUBRA EZ-PAY empowers you with the tools you need to accelerate payment processing and enhance customer satisfaction and financial performance.

Request Demo

Other resources you may find interesting:

Digital Payment Trends to Watch in 2023

New Podcast Episode: Latest Payment Innovations Are Changing How We Pay

New KUBRA Research Confirms Digital Wallet Use Is Growing

Sources:

1.   KUBRA Utility Consumer Billing and Payments Report 2023.
2.  Ibid.
3.  KUBRA’s 2022 Digital Wallets Guidebook.
4.  Ibid.
5.   KUBRA Utility Consumer Billing and Payments Report 2023.
6.  Ibid.