MarketBridge Insider, FinServ Edition (November)
Hope you had an enjoyable Thanksgiving break and a chance to relax! Now that the sprint is on toward year-end, we thought we would look ahead to 2019 and the coming B2B Payments wave.
Despite the rapid increase in consumer payment options and adoption over the last several years, the B2B payments market has been relatively slow to adopt new technologies, instead continuing to rely on checks and ACH payments as their primary payment mechanisms.
No more. The creation of the Clearing House and Real Time Payments, and advances in other payment mechanisms from a multitude of traditional FI’s, FinTech startups, Card Network Providers, AP/AR solution providers and digital giants has reached a tipping point. Goldman Sachs estimates this to be a $186B opportunity in NA for payment processors – and a $950B opportunity globally!
But innovation alone will not drive adoption. Educating customers – particularly SMB customers – of both the risks and benefits in this rapidly changing marketplace will be critical. This will require significant Go-to-Market changes for the traditional FI’s that are at highest risk for disintermediation in this environment.
In Winning in the Coming B2B Payments Revolution: How FI’s Avoid Disintermediation we provide recommendations for how traditional FI’s will need to evolve their Go-to-Market capabilities to remain a preferred B2B Payments solution provider in the face of so many FinTech startups.
In The Climate Change of B2B Payments our Market Intelligence team brings back some interesting insights on the high occurrence of check fraud as one of the key drivers in the marketplace today, and how educational messaging to SMB’s should be used to drive adoption of digital B2B payment solutions.
Lastly, enabling your sales teams and relationship managers to become effective B2B Payments solution advisors will require significant work. Our Content team brings forward some best practices for Creating a Consistent Customer Experience with Sales Content, and highlight how important sales content will be in driving adoption in this complicated marketplace.
SVP & Financial Services Practice Lead
Winning in the Coming B2B Payments Revolution: How FI’s Avoid Disintermediation
Traditional FI’s are at risk of disintermediation as the primary B2B Payments solution providers if they don’t make some significant changes to their Go-to-Market. Clearly product innovation is important, but don’t forget to activate sales channels in the face of so much change and so many alternatives.
The “Climate Change” of B2B Payments
Despite the fact that check fraud continues to be the highest type of payment danger affecting 74% of businesses in the US last year, only 10% of businesses admitted that check fraud actually concerns them in any way. Don’t let your SMB customers be check fraud deniers – help educate them on the increasing risk of check fraud and the benefits in migrating to electronic payments.
Creating a Consistent Customer Experience with Sales Content
Driving adoption of new B2B Payments solutions will require a significant investment in sales enablement by most FI’s as they guide their SMB customers though a complex sales process. Learn some of the best practices in effectively using content across each step of the buyer’s journey to ensure a consistent customer experience across channels