Despite a focus on your average consumers, businesses need quick payment methods that immediately solve their needs. This puts pressure on financial institutions to customize what they offer as they grow their clientele, according to a recent survey of 311 financial institutions from PYMNTS.
In an age where immediate payments are expected, banks that don’t adapt could risk loss of business or other financial trouble. Instant payments and embedded refunds are at the top of the list of critical features to include for B2B payments. Here’s a checklist on how banks can simplify their B2B payments:
Real-time Tracking
In a recent survey reported by PR News, 55% of respondents stated one of their highest priorities is to track payments as they pass through various systems. To be able to provide this service, banks must update discrete systems and monitor payment flows across systems. Although this requires more work upfront to create a central hub of information, it saves banks money because of fewer errors and more accurate reporting.
Enterprise Resource Planning (ERP) Integration
Enterprise resource planning is the use of software to assist in the real-time management of businesses’ processes. Investing in a good ERP tool is essential for any business, including banks. In the survey reported in the PYMNTS article, 24% of institutions stated payment integration with ERP software is important and often a problem area they’ve noticed.
You can’t go wrong with ERP software because they help synchronize important financial processes across all industries, assist in HR management and add value to customer support services.
Data Visibility
Data visibility is a big pain point in the B2B world. Those who take control of their data and use that knowledge to increase cash flow will own the industry and pass those who choose not to get ahead. Twenty-three percent of financial institutions reported their inability to share data across all platforms causes friction between them and their clientele.
Improve Quality of Outgoing Messages
In the PR News survey, it’s stated that 45% of banks are focused on increasing the quality of communication by monitoring outgoing messages and monitoring service levels and changes. This is easier to do when the bank has invested in a payment hub or a central place where customers gather all banking information.
If you need some extra help understanding payment processing and how it impacts your business, don’t hesitate to reach out to me at Richmond Financial Services. I’m an expert in the industry and can help you take control of your finances by slashing payment processing costs. Learn more by calling 617-843-5700.
