Suppliers Put the Pedal to the Metal to Convert B2B Buyers to Digital Payers

In “The Way Payments Are Now Done,” 33 payment executives discuss what payments’ “new normal” looks like. Steve Pinado, president of Billtrust, discusses how in the post-pandemic age, companies must find ways to convert buyers to digital payers and accelerate cash flow, and how his firm is helping them achieve this.

In the B2B space where Billtrust’s customers exist, if 2020 was the year of digital acceleration, accounts receivable (AR) teams are going beyond merely speeding up in 2021. They are firmly putting the pedal to the metal to convert their buyers to digital payers.

In early 2020, companies not already embracing a digital payments strategy found themselves exposed, scrambling to maintain cash flow once their AR teams were sent home and mail delivery became more of a marathon than a sprint. If there was any silver lining in the events of the last 18 months, it’s that a normal routine for B2B AR teams now involves conducting targeted campaigns to convince their buyers to pay electronically. In fact, this is the top area that AR teams want to address in the next 12-36 months, according to a recent Billtrust-sponsored study.

In a post-COVID world, many companies have learned the hard way that steering buyers away from legacy payment methods like checks is necessary for survival. Although we are well over a year past the original employee exodus, remote work is still occurring, with the delta variant slowing what many thought would be a faster return to the office. Postal delivery speed has also not improved. Converting buyers to digital payers and accelerating cash flow has significant implications on a company’s financial well-being, and Billtrust is proud to lead the way in helping companies leverage our technology and tackle the tremendous challenge of delivering a “complete payment” – capturing full remittance in addition to the payment itself.

While changing buyer behavior is difficult, there are proven methods to achieve success, beginning with suppliers offering the digital channels their buyers prefer, then identifying which customers are most likely to convert and have the largest impact.

We are happy to report that we’re seeing progress. While a 2019 AFP study found that paper checks made up 42% of B2B payments, there are good signs that B2B check use is slowing, with our recent study reporting 19% and recent PYMNTS data showing 25%.

It can take a variety of methods to convert buyers to digital payers. Whether through strategically targeted outreach or participation in a payments network like our Business Payments Network, accelerated digital efforts ultimately protect companies’ bottom lines while helping to drive a post-pandemic economic rebound. Businesses can never again take cash flow for granted – and I am proud to help lead a company like Billtrust, which has been a catalyst for long-overdue change.