Mythbuster: Online payment vs. on-account - The numbers don't lie

Think online payments are pricey? Think again.

We get it – integrating online payments can seem like a big investment. You might be thinking, “Why fix what’s not broken?” After all, traditional on-account payments have worked for years, right?

But let’s talk about the hidden costs of those “tried and true” methods. Late payments, chasing down invoices, and the risk of bad debt can quietly eat away at your profits. What if there was a way to streamline your payments, boost your cash flow, and actually save money in the long run?

So, are you ready to uncover the truth about B2B payments? Let’s dive in!

The sneaky costs of on-account payments: It’s not just about the invoice

Sure, on-account payments might seem simple. Send an invoice, wait for confirmation of a bank transfer…easy, right? Not quite. The truth is, there are a lot of hidden costs lurking beneath the surface that can seriously impact your bottom line.

Let’s talk about the not-so-obvious expenses:

• Administrative overhead: Think about all the time your team spends creating invoices, chasing down payments, and dealing with collections. That’s time they could be spending on more strategic tasks that actually grow your business.
• Late payments: We’ve all been there – waiting weeks (or even months!) for customers to pay up. Late payments disrupt your cash flow and can even force you to take on debt to cover expenses.
• The dreaded bad debt: Sometimes, invoices simply go unpaid. That’s a direct hit to your profits, and it can be a major headache to try and recover those losses.

The real impact on your business

These hidden costs might seem small individually, but they add up fast. Studies show that the average cost of processing a single invoice can be anywhere from $4 to $20. And when you factor in late payments and bad debt, the impact on your bottom line can be significant.

Imagine this: You’ve got a team of two people spending half their time on invoicing and collections. That’s the equivalent of a full-time employee, just managing payments!

There are other hidden risks as well: picture your customers missing a payment deadline accidentally, and this impacting their credit score. Not only are your customers negatively impacted, but the relationship also becomes strained as a result. Now, add in the lost revenue from late payments and bad debt, and it’s clear that on-account payments aren’t as cost-effective as they might seem.

Streamlining payments, boosting your bottom line

In the digital age, embracing credit card payments and other digital payment methods isn’t just a convenience—it’s a strategic advantage. These modern payment options offer a range of benefits that can significantly enhance your B2B e-commerce operations:

• Faster transactions: Digital payments enable near-instantaneous transactions, accelerating your cash flow and reducing the waiting time for payment.
• Enhanced security: Advanced fraud detection and encryption technologies safeguard sensitive customer data, minimizing the risk of chargebacks and financial losses.
• Improved customer experience: Offer your customers the flexibility and convenience of paying with their preferred method, fostering a positive buying experience and encouraging repeat business.

Sana Pay: Seamless integration, unmatched efficiency

Sana Pay takes these advantages to the next level. It’s not just another payment gateway; it’s a purpose-built solution that seamlessly integrates with Sana Commerce Cloud. This eliminates clunky workarounds and manual processes, streamlining your payment operations and saving valuable time.

Optimize the payment failure flow: Minimize drop-offs and boost conversions

A seamless payment experience is crucial for B2B e-commerce success. An optimized payment failure flow, providing clear feedback and retry options, is essential for minimizing cart abandonment and maximizing conversions.

• No feedback = lost sales: Payment failures without clear explanations lead to frustration and lost sales, especially for new or one-off shoppers.
• Accurate feedback and retry options drive success: Empower customers to resolve issues and complete their purchase, fostering trust and confidence.
• Reduce customer service costs: Minimize inquiries and free up your team by providing self-service options for resolving payment issues.

Choice is king

We know your B2B customers have different payment preferences. That’s why Sana Pay supports a wide range of popular methods, including credit cards, digital wallets, and even SEPA/ACH Direct Debit. Giving your customers more options means fewer abandoned carts and more completed sales.

Get paid faster, worry less

Cash flow is the lifeblood of any business. With Sana Pay, you can accelerate your payment cycles and reinvest that money back into your business. Beyond faster transactions, we also offer hybrid options that bridge the gap between traditional and online payments:

• Payment Links: Instead of relying solely on on-account payments, generate secure payment links with a set validity period. These links can be easily shared with your customers, streamlining the payment process and reducing delays.
• Online Invoice Payments: Empower your customers to utilize saved cards or ACH details to settle multiple invoices at once, simplifying their payment experience and improving your cash flow.

These flexible payment options provide a balance between convenience and control, catering to diverse customer preferences and optimizing your financial operations.

Minimize risk, maximize confidence

Worried about unpaid invoices and potential bad debt? Sana Pay’s got your back. Our secure payment options and fraud prevention tools help minimize risk, so you can focus on growing your business, not chasing down payments.

Sana Pay isn’t just about convenience – it’s about giving you the tools to take control of your payments, improve your cash flow, and reduce financial risk.

More than just payments: Sana Pay adds value beyond the checkout

Sure, Sana Pay streamlines your payment processes and helps you get paid faster, but it doesn’t stop there. Let’s explore some additional benefits that make Sana Pay a true game-changer for your B2B e-commerce.

Delight your customers

In today’s fast-paced digital world, customers expect a smooth and convenient buying experience. Sana Pay delivers just that.

• Offer a variety of payment options: Give your customers the flexibility to pay the way they want, whether it’s with a direct bank transfer, credit card, digital wallet, or other preferred methods.
• Tailor payment methods to your audience: Cater to both local and global customers by offering relevant payment options, reducing friction and increasing conversion rates.
• Embrace innovative payment solutions: Stay ahead of the curve by providing cutting-edge payment options, such as VISA & Mastercard’s click to pay, which allows for secure and convenient transactions with just an email address and two-factor authentication.
• Create a seamless checkout process: Minimize friction and reduce abandoned carts with a streamlined, user-friendly checkout experience

Happy customers are loyal customers. By providing a seamless payment experience, you’ll boost satisfaction and encourage repeat business.

Make data-driven decisions

Knowledge is power. Sana Pay provides valuable insights into your payment trends and customer behavior, helping you make smarter business decisions.

• Track payment trends: Identify popular payment methods, average order values, and other key metrics.
• Analyze customer behavior: Gain a deeper understanding of your customers’ buying habits and preferences.
• Make informed decisions: Use data to optimize your pricing, promotions, and overall e-commerce strategy.

With Sana Pay, you’re not just processing payments – you’re gathering valuable data that can fuel your business growth.

Sana Pay is your path to profitability

Let’s recap. We’ve busted the myth that Sana Commerce Cloud payments are more expensive than traditional on-account methods. When you factor in the hidden costs of manual processing, late payments, and bad debt, it’s clear that Sana Pay can actually save you money.

But it’s not just about cost savings. Sana Pay also delivers:

• Streamlined efficiency: Say goodbye to manual processes and hello to a faster, more accurate payment experience.
• Improved cash flow: Get paid faster and reduce the risk of late payments, giving your business a financial boost.
• Reduced risk: Minimize the risk of bad debt and fraud with secure payment options.
• Happier customers: Offer a variety of payment methods and a seamless checkout experience to boost satisfaction and loyalty.
• Data-driven insights: Gain valuable information to optimize your e-commerce strategy and make informed business decisions.