BY DAVE YOHE
With a new year comes new resolutions, disruptors and trends. This will especially ring true in the payments space, which boasts one of the biggest growth markets in the world – fintech. Research estimates that global fintech solution usage is currently at 33 percent and is expected to increase to 52 percentin 2018. As the business world hangs up their calendars for 2018, Dave Yohe, VP of Marketing at BillingTree looks at five key technology developments shaking up some key markets in 2018
1.B2B Payments finally goingdigital
Perhaps further behind in the fintech curve than they should beareB2B payments. This is often attributed to the complex nature of B2B payments – most transactions involve multiple stakeholders, are usually attributed to POs and budgets, and are managed manually. The check still holds as the most common method of payment acceptance in US B2B payments, but only just.The Association for Financial Professionals has found that in 2004 81 percent of B2B organizations paid by check, but by 2016 this number had shrunk to 51 percent.
The US Government has already mandated that in 2018, all invoicing for business-to-government payments will be electronic-only.This is bound to have a roll-on effect into the B2B market as a whole. In 2018, expect more CFOs to begin to realize the efficiency benefits of digitizing B2B payments.
- Spotlight on healthcare: risein healthcare patient responsibility driving fintech payments
According to eHealth analysis of the Healthcare Marketplace during the 2017 open enrolment period, the average annual deductible was over $8,200 for a family plan, accounting for a 3 percent or $249 increase on the previous year.
Maximizing the chance of capturing patient payments means providing a friction-free payment process. Recent statistics show over 50 percent of patients prefer to be billed electronically.In fact, 79 percent of patients are happy to provide their email address for billing and correspondence,yet 90 percent of practices are still mailing paper-based statements. Healthcare providers will need to accommodate a broad variety of electronic options in 2018 or face missing out on crucial revenue.