86% of Manufacturers Say Real-Time Vendor Payments a 2024 Priority

Real-time payments are increasingly becoming the preferred method for B2B payments in the manufacturing sector, an innovation crucial to its growth.

Manufacturers increasingly prefer real-time payments for their business-to-business (B2B) payments. More than 99% of firms have opted for this instant and secure payment method for at least one B2B transaction in the last year.

PYMNTS’ latest study shows that 59% of manufacturing firms plan to increase their use of real-time payments for making B2B payments, signaling a fundamental change in the manufacturing industry’s payments landscape.

These are just some of the findings detailed in “Corporate Changes in Payment Practices: A Deep Dive Into the Manufacturing Sector,” a PYMNTS and The Clearing House collaboration. This edition examines the B2B payments landscape in the manufacturing sector and how real-time payments’ role is evolving. The report draws on insights from a survey of 125 manufacturing firms conducted from May 3 to June 1.

Other key findings from the report include:

Manufacturing firms plan to expand their use of real-time payments.

We found that 87% of manufacturers intend to innovate or enhance their real-time payment capabilities within the next year. More than 3 in 4 firms anticipate partnering with digital giants such as PayPal or Stripe to reboot their payment offerings, highlighting the key role of partnerships in advancing their real-time payments strategies.

Stronger supplier relationships and faster transactions are key drivers behind the adoption of real-time payments.

Most manufacturing firms now view real-time payments as critical for building better supplier relationships. The second-most important factor is the ability to pay quickly and on time, underscoring the appeal of real-time payments for B2B transactions.

Real-time payments are on pace to dominate the manufacturing sector.

Our data shows that 59% of manufacturers plan to increase their use of real-time payments for making B2B payments and 44% for receiving them. No firm in our study intends to scale back. We also note that those firms currently using real-time payments the least are the ones most eager to increase their use.

The B2B payments landscape in the manufacturing sector is changing rapidly, and firms cannot afford to be left behind. Firms without a robust strategy should evaluate their innovation priorities and consider partnering with real-time payment providers. Download the report to learn more about how real-time payments are revolutionizing B2B relationships in the manufacturing industry.