B2B Payments

Research Finds Paper Billing Still Cost-Effective

The push for businesses to switch to e-invoicing seems to be stronger than ever these days. However, a recent E-Invoicing Platform article discussed a study that proves the worth of paper billing.

According to the news source, a Danish study wanted to find out whether switching to paper invoices with a new population of customers would improve the speed of payment. The results found that 59 percent of customers receiving an invoice via e-mail had to be sent a reminder, while only 29 percent of customers receiving an invoice via mail required a follow-up message. Additionally, the survey showed that new customers pay their required amount significantly later if they receive their invoices by e-mail instead of through the physical mail.

“It cost the company $3.25 per customer to get paid by paper invoice and $5.75 per customer billed by e-mail,” explained the news source. “With every new reminder that had to be sent out, costs increased significantly for those customers needing an extra push to make their payment.”

Would this same scenario hold true in the U.S.? Potentially, but the news source was quick to point out that postage in Denmark is almost twice as much than in the U.S.

“It seems to makes sense to us then that the case becomes even stronger for mailing invoices in the U.S. market where the postage cost is so much lower,” said E-Invoicing Platform.

“What’s Hot” is aggregated content. PYMNTS.com claims no responsibility for the accuracy of the content published by the original source.

——————————–

Exclusive PYMNTS Study: 

The Future Of Unattended Retail Report: Vending As The New Contextual Commerce, a PYMNTS and USA Technologies collaboration, details the findings from a survey of 2,325 U.S. consumers about their experiences with shopping via unattended retail channels and their interest in using them going forward.

Click to comment

TRENDING RIGHT NOW