The Importance of
Customer Engagement in
Payment Collections
Emerging Trends, Tools and Techniques
Chris Wease, Regional Account Executive
Paymentus
proprietary & confidential
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How People Pay Their Bills Is Changing
Mass Adoption
of Mobile Devices
Digitization
of Payments
Importance of
Millennials
MARKET TRENDS IMPACTING ONLINE BILL PAYING
How payments are made is rapidly changing:
In the U.S., digital wallets like PayPal, Venmo, Amazon Pay and Apple Pay are projected to
overtake credit cards as the most popular online payment method in 2020 - Worldpay
Technological advancements are transforming how consumers and businesses interact:
By 2021, 40% of consumers will use voice assistants like Alexa instead of websites or apps when
service needs arise - Capgemini
By 2020, 85% of all interactions between millennials and businesses will occur without human
interaction, as self-service and chatbots become fully ubiquitous - Gartner
We’re In The Midst Of A Major Shift
Those of whom embrace the shift, will have a significant advantage in the pursuit of maximum
customer satisfaction and operational excellence while maximizing adoption.
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The Millennial Generation…
“America’s largest generation” with 75.4M million people
75% of the workforce and 46% of U.S. income by 2025
1
Digital natives, raised in the era of digital payments
67% are more likely to trust tech-based companies
2
>20% have never written a check
1
63% don’t have a traditional credit card
3
86% are smartphone users
1
38% use apps and mobile tools to pay bills
1
Source: First Data, The Unbanked Generation, 2015
2
Source: Koski Research Study, 2015 (N=2,024)
3
Source: A survey commissioned by Bankrate and compiled by Princeton Survey Research Associates
http://www.bankrate.com/finance/credit-cards/more-millennials-say-no-to-credit-cards-1.aspx
MARKET TRENDS IMPACTING ONLINE BILL PAYING
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… And the Popularity of Digital Wallets Exploding
1
Source: yStats.com, Global Alternative Online Payment Methods: Second Half 2017, retrieved 3/2018
2
Source: Forrester Research, "The Next Phase Of Digital Wallet Adoption,” Sept 2017
3
Source: Digital Trends Impacting Commerce, Kelton Research, June 2018
4
Source: comScore, "State of the U.S. Online Retail Economy in Q1 2018”
MARKET TRENDS IMPACTING ONLINE BILL PAYING
77% of US consumers believe PayPal is more convenient
than other payment methods
3
73% of US consumers claim security is more important
than convenience when shopping online
3
76% of US consumers think Digital Wallets are a
secure form of payment technology
3
By 2021, alternative payment methods are projected to
account for ~75% of ecommerce payments worldwide
1
In Q1 2018, mobile represented 24% of digital
commerce sales
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Digital wallets to surpass credit cards by 2021
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*Study was fielded before the Android Pay/Google Wallet re-brand.
Android Pay use was 5%.
Source: The Future of Money, Koski Research, Fall 2017
Aware of
Currently use
Store
App
Bank digital
wallet
Apple
Pay
Google
Wallet/Pay*
99%
79%
78%
89%
86%
44%
18%
16%
10%
7%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
According to J.D. Power, the ‘Billing and Payment’ experience drives up to 58% of
total customer satisfaction scores
Billers who receive highest ‘Billing and Payment’ customer satisfaction scores offer
more payment methods and simplified checkout experiences vs. their peers
Based on a 2018 ComScore Survey, 70% of consumers cite ‘availability of payment
methods’ as top priority during payment experience
Number of Payment
Methods / Channels
Customer Satisfaction
Positive Correlation Between Choice and Satisfaction:
One key factor that contributes to satisfaction in the ‘Billing and Payment’ category
is payment choice; ‘variety of payment methods’ offered is highly correlated to
customer satisfaction
Consumers – Are Seeking More Options And
Simplified Experiences
Cost
Customer Satisfaction
Traditional v. Emerging Payment Channels
IT Resource Involvement
PCI Compliance / Security
Driving Adoption of your Preferred Channels & Your Customers
Balancing Payment Processing Complexities
Digital Wallets
Mobile Wallet
Mobile wallets are digital versions of traditional
wallets.
Digital wallets hold credit and debit cards for
making payments, store coupons and loyalty
programs, specific information about personal
identity and more.
Wallet eBill is a summary of a paper bill that will
be stored inside of a mobile wallet.
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About PayPal
PAYMENTUS
• Most used digital wallet in world
• Over 277 millions active users worldwide, 100 million+ in U.S.
• 64% of U.S. adults have used PayPal for an online transaction in the last year
• One Touch™ checkout results in 88% fewer keystrokes
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About PayPal Credit
ADVANCED PAYMENT METHODS
• Flexible revolving line of credit
• Interest free if balance is paid within 6 months
• Allows customers to pay over time
• 78% use PayPal Credit for everyday expenses and
bills
• 33% of PayPal Credit users are millennials
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About Venmo
• 27 million active users, growing 80% YOY
• Preferred payment method of Millennials – 66% used Venmo in
last 12 months
• The ‘social’ payment method with a strong network effect that is
accelerating utilization
ADVANCED PAYMENT METHODS
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About Amazon Pay
ADVANCED PAYMENT METHODS
• 300 million Amazon accounts
• Over 100 million Prime members
• 91% of consumers who have used Amazon Pay would use it again if given the opportunity
• 84% rate Amazon Pay a 10 out of 10 on ease of use and speed of transaction
• 83% rate Amazon Pay a 10 out of 10 for ‘security’ and ‘brand trust’
2018 Annual Brand Rankings (Kantar MillwardBrown)
“I trust Amazon. At websites online that are not Amazon, I will choose the merchants that offer Amazon Pay over another. I believe that the fewer
places that have my payment information the better.”
“I was very surprised when the payment required came up with credit cards or Amazon Pay. It was so quick and easy. Everything about Amazon is
quick and easy. I LOVE IT!”
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Consumer has cash and
wishes to pay bill(s).
Locates closest store on
PayPal App
25 Million U.S. Households are ‘Underbanked’ and have limited options for how to pay bills, until now….
Powered By
Consumer’s cash is ‘digitized’
and made available in PayPal
wallet
Over 70,000 Store Options
Digitized Cash – Solutions For The Underbanked
ADVANCED PAYMENT METHODS
Digital Payment
Posts in Real-Time
Biller selected, bill paid from PayPal wallet
How is Paymentus adding these
digital wallets and what are the
new emerging channels?
What’s Next? More channels, more payment methods
Voice-Based Assistants
Facebook
Chat
Mobile Wallet
Pay-by-Text
PayPal Credit Venmo PayPal Apple Pay Google Pay
Modern
Payment
Methods
Modern
Channels
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Voice-Based Assistants
Most basic inquiries that require a call to customer support today,
can be easily addressed by voice-based assistants that are
integrated with the Paymentus platform;
• Balance, due date, recent payment inquiries
• Payment acceptance
• Autopay setup
• eBill enrollment
• “Your current month’s CenturyLink High Speed Internet usage has exceeded your
plan data usage. Please refer to the Download Guidelines, or upgrade your Internet
service plan with more Mbps, chat with us.”
• “We noticed that you have made several long distance calls to Canada this month.
By adding Easy Talk Canada 1000 to your CenturyLink Unlimited Long Distance plan
you can call friends and family in Canada for up to 1000 minutes of calls for a low
fixed rate, chat with us.”
ADVANCED CHANNELS / EXPERIENCES
“Your current power bill is $56.43
due on July 5
th
, would you like me
to pay this using your Visa ending
in 5454?”
Rapidly adopted by consumers as they are trainable, controllable and always learning
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Facebook
Within Facebook Messenger,
customers can view bills, send
message, make payments
and more
Billers are increasingly using Facebook to serve customers
Facebook Messenger
ADVANCED CHANNELS / EXPERIENCES
Facebook Payments
• Paymentus has integrated with Facebook to provide our full suite of billing and payment
options using a chatbot in Facebook Messenger.
• For one-time payments, the customer enters account information for validation. For
registered customers, we link their social media account to their profile in our system. We
send eBills and two-way notifications to Facebook Messenger so payments can be made
directly.
Social Login
• The #1 breakage point in the payment flow is authentication. Users abandon the payment
because they don’t remember their login or password. To ease accessibility and improve
customer satisfaction, you can allows users to link social login details (e.g., Google,
Facebook).
Emerging Payments
• As a market leader, Paymentus continues to invest in innovations that create frictionless
billing and payment experiences. This includes research and investments in blockchain
technology, artificial intelligence and bots for integration with additional social platforms
and natural language processing bots for voice payments via Google Home, Amazon Echo
and Siri.
Social Payments
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Conversational Chatbot
Chatbots are a core pillar in efficient and effective customer support
The Paymentus chatbot;
• Can be configured to account for your brand personality
• More than payments, communication
ADVANCED CHANNELS / EXPERIENCES
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Customer Chat Support
The Paymentus solution offers an option to
give your customers a secure chat service
directly from your website via Paymentus
Integrated Widgets. Your customers can chat
directly with your CSRs through our Agent
Dashboard.
Bill Presentment Directly To Device-Based Wallets
Paymentus enables bill presentment, notifications and payment capabilities that leverage
native wallet functionality available through Apple and Android devices
Customers are able to enroll easily and have future bills sent directly to their mobile wallet
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Mobile Wallet Bill Card
DIGITAL ENGAGEMENT
• Customer uses link add the bill to Apple Wallet or Google Pay
• Customer receives new bill notification in OS outside of app
• Bill summary statement automatically delivered each month within the wallet app on their mobile
device
• Customer Portal experience in WebView used to pay, view their bill and setup autopay
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PayPal App – Bill Pay
ADVANCED CHANNELS / EXPERIENCES
We are the engine that is powering PayPal’s bill pay capabilities
From the PayPal app, your customers will have full
functionality (view bills, receive notifications,
send messages, make single payments, set up
autopay and more) to efficiently manage their
accounts
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Digital wallets (e.g. PayPal, Venmo and Apple Pay) can be utilized to simplify payment acceptance and reduce/remove
PCI scope in call center environments
Paymentus system generates a text
that invokes preferred digital wallet
Payment confirmed by
customer, agent is notified
systematically. No payment
details furnished over the
phone
Digital Wallets In Call Center
ADVANCED CHANNELS / EXPERIENCES
Give customers –
A quick, convenient way to pay bills
The option to pay any time, anywhere
Flexibility to pay with various payment methods
More options to see their eBill
A simple and straightforward user experience
Require fewer steps to complete a payment
Understand the customer’s preference regarding notifications
Improving Customer Experience = Maximizing Adoption
Water utility serving approximately 38,000
accounts billed monthly
2018: 2 staff members at front counter - 13
Customer Care staff members
2019: 1 staff member at front counter – 8
Customer Care staff members
Fasting growing area and utility in the valley
Utility Case Study – ABC Utility
New Client deployed in 2019
High customer call volume for payment
issues and shutoff
Web; CS calls and mail payments were only
options for Utility customers to pay bills
No real-time posting; caused a lot of
problems with shutoffs
– Customers would pay, billing system would
not be updated with the payment posting
until next day
Before Paymentus
More payment options for
customers
– IVR (automated phone)
– Web (registered and non-
registered)
– Responsive site renders to all
devices
– eBilling
– Pay-by-Email (secure PDF)
– Pay-by-Text
Real-time payment posting
With Paymentus
0
100
200
300
400
500
600
Number of Calls
Call Volume
Before Paymentus – average of 597 Calls
After Paymentus – average of 310 Calls
Call volume reduced by 48%
0:00:00
0:07:12
0:14:24
0:21:36
0:28:48
0:36:00
0:43:12
On Hold Time
On Hold Time
Before Paymentus – average of 25.5 minutes
After Paymentus – average of 4.5 minutes
On hold time reduced by 82%
18,289
18,349
19,385
18,024
19,392
20,514
19,779
19,224
19,633
20,268
20,426
20,916
September October November December January February March April May June July August
Transaction Volume
Payment Volume Growth
Transaction volume increase (Sept vs Aug) - averages 7%
Average monthly transaction volume = 19,500
Breakdown of how monthly payments are received:
AutoPay (Debit ACH) 6,000 16%
Check 5,400 14%
Banking BP 2,000 5%
Paymentus 24,500 65%
38,000
Only processing 14% of payments manually
Check payments reduced by 64% (15,000 5,400)
Adoption
86% adoption of automated, self-serve payment channels
The #1 reason customers visit
your website is to make a
payment.
Prominent
Easy to find
Direct to payment site
Add Options & Promote Them
Website Home Page Link
Prominent
As close to the amount due as possible
Promotion on Paper Bill
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Advancing Your Current Solution (Only Possible With Paymentus)
Text Voice Assistant Live Chat / Bot Facebook
Secure PDF
In-Store
PayPal App
Apple/Google
Wallets
Advanced
Payment Methods
Advanced
Payment,
Presentment and
Messaging
Channels
Paymentus: helping you make the move from
Legacy to Advanced
Legacy Solutions
ONE PLATFORM
PAYMENTUS
Paymentus will equip
you with all of the tools
you need to increase
revenue, reduce
operational costs and
improve customer
relationships
proprietary & confidential
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A Complete Platform – One Provider (Biller View)
PAYMENTUS
Paymentus provides visibility into
every payment in all channels
Giving you the complete
picture, all while satisfying
your customers
Legacy Payment Methods
Emerging Payment Methods
www.electricities.com
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@ElectriCitiesNC
@ElectriCitiesNC
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