B2B Payments

Most Treasurers Already Using Same-Day Payments: Survey

Faster payments may have an uncertain future in the B2B world, but a new survey released from Bottomline Technologies suggests most treasury executives have already implemented same-day payment capabilities.

In its report published Thursday (Oct. 4), Bottomline Technologies, along with Strategic Treasurer and Bank of America, found nearly two-thirds of treasury professionals surveyed (64 percent) are already using either same-day payments and/or another kind of immediate payment solution.

Researchers surveyed about 275 corporate treasury and other executives across the globe, across industries and across company sizes to understand their views and practices in B2B payments. The results painted a picture of planned investments in card programs, efforts to automate both accounts receivable and accounts payable and keep security top-of-mind when investing in payments technology.

But conclusions drawn regarding significant adoption of faster payment capabilities may surprise some. Researchers highlighted that the findings do not necessarily reflect use of same day ACH in the U.S., however, with same-day payments capabilities provided through an array of services across the globe.

Even so, ACH payments remain a popular rail for treasurers: One-third of businesses said they either already, or plan to, use same day ACH.

“While this level of use is much higher than other services and networks, that may be due to the fact that many corporates’ tech infrastructures are perfectly aligned to quickly implement same day ACH services with little interruption,” the report stated, “while other methods (i.e. blockchain) would require a more large-scale technology overhaul.”

One-fifth of survey respondents use or plan to use Real-Time Payments, while 13 percent use SWIFT gpi and 10 percent use EBA Clearing, researchers found.

Five percent of executives said they are using or plan to use blockchain to accelerate B2B payments — a significant portion, considering the novelty of the technology.

Payroll is often considered a top target of faster B2B payment technologies, and while more than one-third of respondents plan to target payroll with faster payment implementation, the most common target is accounts payable (cited by 57 percent of respondents), followed by emergency payments (54 percent). It’s worth noting, however, that payroll use cases may be included in emergency payments.

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Our data and analytics team has developed a number of creative methodologies and frameworks that measure and benchmark the innovation that’s reshaping the payments and commerce ecosystem. The July 2019 Pay Advances: The Gig Economy’s New Normal, a PYMNTS and Mastercard collaboration, examines pay advances – full or partial payments received before an ad hoc job is completed – including how gig workers currently use them and their potential for future adoption.

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