Banks and billers face a muddled environment of electronic and paper-based processes.
The latest technology merges mixed payments and streamlines conventional transactions.
Most estimates show low penetration
of electronic billing in both the business-to-business (B2B) and business-to-consumer
(B2C) sectors. Zona Research, Redwood City, CA, offers the following positive
Source: "Buy Now, Pay Now:
Internet-Enabled Billing comes of Age", Zona Research, March 2001.
- High-volume billers (more than
200,000 monthly bills) comprise 70 percent to 80 percent of the U.S. market.
- Perhaps one-quarter of all high-volume
billers now offer some sort of electronic billing, and many of those that don't
plan to do so in the next 24 months.
- On average, billers now receive
about 12 percent to 18 percent of their payments electronically.
- Of approximately 30 billion
recurring electronic billing transactions each year, slightly less than half
are for business-to-business transactions, despite B2B's much greater market
size and complexity.
- By a sizeable margin, current
electronic billers prefer to keep in-house control of their bill processes rather
than outsourcing to a third-party vendor.