The pandemic has brought in a huge shift in our preferences. Today customers and suppliers are increasingly preferring the `digital’ mode.
Digital Invoicing and Digital Payments are not only convenient but also accelerate the delivery of invoices and receipt of payment, thereby shortening the Order-to-Cash (O2C) cycle. Digital invoicing and payments enable Small and Medium Businesses (SMBs) to review an invoice the moment they receive it rather than putting it aside till the due date. This results in acceleration of payments, enabling a supplier to collect payment immediately, thereby avoiding the need to extend credit.
Download this eBook to understand:
- How digital invoicing accelerates the O2C cycle
- How digital payments accelerate payments from customers
- The impact of digital invoicing & payments on customer experience
A glimpse into this eBook
- Digital Invoicing (aka E-invoicing and E-billing) is electronic delivery of an invoice to a customer (vs paper invoice sent via Postal Service). EDI Billing is Digital Invoicing
- Most Digital Invoicing applications include added functionality:
(a) pull data required for invoice from ERP for automated production of invoice,
(b) include Credit/Debit adjustments,
(c) tracking & Dunning
- Enables faster compilation of invoice from ERP data in customer’s required format
- Delivers invoice in customers’ required or preferred mode (e.g., post to Vendor Portal)
- Delivers invoice to customer the same or the next day after compilation
Digital Invoicing facilitates COD transactions which encourages greater use
The first step in collecting cash is to deliver your invoice
- Enhance Customer Experience by accommodating their payment preference for self-serve digital payments.
- Lower lockbox and credit card fees
- Reduce Cash Application costs
- Digital Invoicing is a requirement and/or preference of most customers. Meeting customer requirements leads to faster payments & a better customer experience
- Digital Payments are faster, cheaper, more secure and preferred by many suppliers to paper checks
- AI Powered Digitization and Automation are the key enablers for these capabilities
- Implementation is a lower cost, faster undertaking than most IT projects
- Digital Payments, aka Real Time Payments (RTP), and “Frictionless Digital Payments” are electronic payments that transfer funds and Remit Advice
- Digital Payments are made directly between buyer and seller through a direct, secure, internet connection on an Account to Account (A2A) basis (~ EDI)
- Digital Payments are received from customers the same or the next day. Funds are also available is same or next day
- Digital Payments also facilitate COD transactions by providing almost instantaneous confirmation of funds receipt which allows the delivery of product to proceed with minimal delay
Overview: The customer was a global water treatment solutions provider with $5.6B in revenues It has Global Shared Service Teams in India, Poland, and the USA.
Digital Billing & Payments Solution: Emagia deployed its AI-powered Customer Billing, Payment Portal, Digital Payments, & Cash Application across 80 business units, 16,000 customers with multiple currencies from multiple countries.
Functionality includes straight-through processing of Digital Payments (E-checks and Credit Cards), and customer logging of disputes.
- Accommodation of Customer Preferences/Requirements for self-serve Digital Billing & Payments resulting in increased Customer Satisfaction
- 92% auto-cash hit rate
- 60% reduction in operations cost to process payments