TargetSphere: Leveraging Customer Transaction Data
Many banks for looking for new ways to meet the untapped need to improve and automate business payments for their middle-market business customers. But most banks acknowledge that they have captured only a small portion of this significant market opportunity and its potential revenue.
This opportunity gap is clear across many bank product lines, but very obviously stands out with payments products. As recent Federal Reserve Bank payment studies have shown, the volume of paper check based business-to-business payments have increased 53% from 2000 to 2009.* US businesses today issue 11 billion business checks per year, at an estimated annual cost of between $15 billion and $20 billion. And, while precise figures are hard to come by, most estimates suggest that fully half of those payments – 5-6 billion business checks, costing $7.5 billion to $10 billion annually – is attributable to growing middle-market businesses.
There are many reasons why paper checks persist (and grow), but a principal reason is that growing businesses don’t have an effective alternative – they are generally underserved when it comes to payments solutions, and rely on paper checks as the only viable option that meets their business needs.
Fill out the form to read more.
Please complete the form to download.
Progressive CFOs are looking to implement tools and processes to elevate the AP function. This eBook explores key issues that CFOs need to consider when revamping the invoice-to-pay process.View Whitepaper