By Nicole Haskins, Vice President, Paymentus
The term “modernization” has almost become a catch-all. It’s a word loaded with promise and yet, it likely means different things to different people. For some, it’s about technology. For others, it’s reduced costs. For most, it’s about being better.
At Paymentus, it’s the ability to reach 100% of your customers with the billing and payment options they prefer and depend on. Here’s why this is vital to your success.
The Bill Pay Breakdown
Your numbers will likely vary but the recent How Americans Pay Their Bills report from Datos Insights provides some key numbers that illustrate the challenge of reaching 100% of customers:
From AutoPay to checks, these stats make it clear that while some payment methods and channels are more popular than others, all are essential to ensuring your organization is meeting the needs of its entire customer base.
Modernization Without Tradeoffs
If it feels like there’s generally a tradeoff between certain features and benefits, it’s usually because there are. Think about a car, where more horsepower comes at the expense of great gas mileage. In the world of billing and payments, tradeoffs often include more features at a higher cost, or expanded channels that can leave some bill payers behind.
But modernization should invite trade ups, not tradeoffs. Instead of adding costs, it should reduce them by eliminating paper, streamlining reporting, and enabling more cost-effective ways to pay.
Instead of leaving bill payers behind, it should help move them forward by offering simpler, more convenient ways to pay that don’t disrupt current habits or payment behaviors that are often driven by necessity, not preference.
Instead of creating a host of back-end work and manual processes, it should automate reporting and reconciliation to ensure the highest degree of accuracy while reducing the tasks of internal staff.
How Cashiering Defines Modernization
In chess terms, cash was once king but has since become more of a knight—useful but not dominant. So why is cashiering such an essential element of modernization? According to a recent survey by the Federal Reserve Bank of Atlanta, 83% of U.S. consumers age 18 and older used cash to make a payment in the 30 days prior to the survey.
Cash remains highly relevant to a large subsection of today’s bill payers, which makes in-person payments acceptance an essential element to any modern billing and payment platform. This extends to the back-office, where speed and down-to-the-penny accuracy are crucial in maintaining optimal operations.
The caveat is that cashiering must seamlessly fit within your billing and payment platform, which includes your web/digital channels. This is what we mean when we say walk-in to web—it’s all one layerless platform that serves every need and preference, regardless of how, when, and where consumers wish to make payments.
The Action Plan
When planning your organization’s modernization, it’s important to consider a few key elements that can guide your strategy:
We recommend that organizations audit their current setup to identify areas where channels may be underutilized or drive outsized costs comparable to other payment options. But the main focus should be mindset. Your organization must prioritize serving all customers, without sacrificing options or usability. That’s the only modernization that matters. If it doesn’t enhance the ability for 100% of your customers to pay, it’s a regression that you simply cannot afford.
Want to see how you can modernize your platform from walk-in to web? Let’s talk! Our team is eager to discuss your goals and challenges, and showcase how Paymentus can help you meet the needs of your entire customer base.
