Optimizing Business Resiliency Through Payment Efficiency, Part 1: Growing Your Market Share with Payment Choice

While economic uncertainty can be worrying, times of change bring the chance to innovate, optimize your business processes, and discover new sources of revenue. If your business routinely makes disbursements to customers and workers, upgrading your payment strategy is an opportunity you might not have considered.

The Power of Payment Choice

Digital adoption and diversifying payment preferences have fueled one another in recent years, transforming the payments landscape. Today, most consumers prefer digital and electronic payment methods, and this category includes an ever-growing number of options—from virtual cards and payment apps to instant bank transfers. Whether you want to delight digital natives with a Venmo payment, pay a recipient outside the U.S., provide ATM access, or accommodate underbanked consumers, having the flexibility to pay in various popular modalities is key to a crowd-pleasing experience.

The challenge is managing all those payment choices in-house. Many companies end up juggling multiple vendors and integrations, which can lead to higher costs and an inconsistent recipient experience. Working with a payments fintech can help modernize and simplify the process for both your team and recipients while reinforcing a positive impression of your brand. Businesses can more consistently and cost-effectively deliver the personalized payment experiences their recipients want, leading to happier customers and a healthier bottom line.  

Unlocking New Revenue Streams

Key to staying resilient during times of uncertainty, businesses can transform payments from a cost center to a profit center by switching from ACH or checks—which can run from $3 to $12 each when materials, postage, and labor are factored in—to payment options that generate a profit. Adding new revenue streams can be as simple as monetizing in-demand payment methods to offer a premium experience alongside free options. For instance, nearly half of consumers want the choice of instant disbursements, according to research from PYMNTS.

Another potential opportunity is driving spend-back to your business. After encouraging consumers to make an initial purchase, a rebate offer can entice customers to spend their incentive on additional products and services. In fact, according to Onbe’s 2023 Future of Payments Report, 59% of consumers say that when they receive an incentive or rebate, they always or sometimes spend it back with the brand that issued it. With a customizable, digital-first payment experience, driving spend-back is as simple as promoting additional products and special offers at touchpoints throughout the payment journey.  

Staying Flexible with a Single Point of Integration

Besides delivering engaging payment experiences today, businesses need to set their sights on tomorrow’s preferences. By 2025, half of U.S. smartphone users will use mobile payments, as confidence in mobile wallets’ security and ease of use continues to grow. Instant payment methods are also on the rise—for instance, the global virtual card market is projected to grow by a CAGR of 12.2% to reach U.S. $1.3 trillion by 2032, spurred by consumer demand for secure and convenient experiences.  

For organizations that handle large-scale corporate payouts in-house, staying on top of emerging payment methods is far from simple. Everything from regulatory and compliance concerns to legacy IT infrastructure can get in the way of acting quickly to upgrade the payment experience. Fortunately, the right fintech partner makes it easier for businesses to future-proof their payment offerings—not just to keep up with changing trends but to continually optimize program ROI, risk reduction, and other factors. A corporate payouts gateway such as Onbe offers a single point of integration with popular payment methods, data to inform your payment selection, and the flexibility to adjust quickly as your needs change. With industry-leading tools and expert guidance, you’ll be ready to blaze a trail through the ever-evolving payments landscape.

Learn more about Onbe’s solutions for driving payment efficiency to optimize your business.