The year 2023 has brought with it a significant shift in the way businesses handle their payments. Contactless payments have become increasingly popular, and this trend is not limited to just consumer payments. More businesses are now adopting contactless payments for supplier invoicing and payment, and for good reason. In this blog, we’ll discuss why this trend is on the rise, and how it can benefit businesses in terms of accounts payable and spend management.
Firstly, let’s understand what contactless payments are.
Simply put, contactless payments are transactions that do not require physical contact between the buyer and the seller. This can be done through mobile wallets, contactless cards, or other digital payment modes.
While contactless payments have been around for a while, their popularity has skyrocketed in the wake of the COVID-19 pandemic, where physical contact was discouraged for health and safety reasons. As businesses looked for ways to adapt to this new normal, contactless payments emerged as a viable solution.
One area where contactless payments have proved to be particularly useful is supplier invoicing and payment. Traditionally, businesses have relied on manual processes for accounts payable and spend management. This involved the use of paper-based invoices, checks, and other physical documents, which could be time-consuming, error-prone, and costly. However, with the advent of contactless payments, businesses can now streamline their accounts payable and spend management processes, reducing the risk of errors and increasing efficiency.
Fintech companies in India are at the forefront of this shift towards contactless payments for supplier invoicing and payment. India has been a hub for fintech innovation in recent years, and this trend shows no signs of slowing down. Fintech companies are using cutting-edge technologies such as AI, blockchain, and machine learning to develop innovative solutions for businesses, making it easier for them to manage their finances and payments.
One such example is the use of smart contracts for supplier invoicing and payment. Smart contracts are self-executing contracts with the agreement terms between buyer and seller directly written into lines of code. This eliminates the need for intermediaries such as banks, lawyers, or notaries.
Fintech companies in India are now using smart contracts to automate the entire supplier invoicing and payment process, from the creation of the invoice to the release of payment. This can significantly reduce the time and effort required for accounts payable automation and spend management, freeing up resources for other areas of the business.
Another way in which fintech companies are revolutionizing supplier invoicing and payment is through the use of digital payment modes. As mentioned earlier, contactless payments can be done through mobile wallets, contactless cards, or other digital payment modes. Fintech companies are now offering businesses customized digital payment solutions that are tailored to their specific needs. For example, a business may opt for a mobile wallet solution that enables them to make payments directly from their smartphone, without the need for physical contact. This not only makes the payment process faster and more convenient but also reduces the risk of errors and fraud.
How Zoyer supports positive supplier relationships?
At Zoyer, we understand the importance of building and maintaining positive relationships with your business’s suppliers. That’s why our AP automation and embedded cards platform is designed to add strategic value to your supplier relationship program.
Our digital-first processes offer an intuitive web and mobile portal that enables your vendors to self-onboard, acknowledge purchase orders, raise and trace invoice progress, view payment status, and receive notifications throughout the entire invoice cycle. This results in improved transparency and eliminates any friction between buyers and suppliers.
Zoyer’s embedded cards allow buyer organizations to meet payment obligations on time by availing instant working capital credit, ensuring that your suppliers are paid on time and your cash flow is managed efficiently. Additionally, our dashboards track key processes, providing both buyers and sellers with a real-time snapshot of payables.
Our platform promotes cross-functional collaboration by providing role-based access and permissions, with well-defined handoffs across multiple functions for smoother invoice processing. By investing in Zoyer’s AP automation platform, businesses can effectively manage cash flow, strengthen efforts to build resilient supply chains, and set themselves up for long-term success.
In conclusion, the rise of contactless payments for supplier invoicing and payment is a trend that is here to stay. Businesses can benefit greatly from this shift, as it can streamline their accounts payable and spend management processes, reducing costs and increasing efficiency. Fintech companies in India are at the forefront of this innovation, using cutting-edge technologies to develop customized solutions for businesses. As we move towards a more digital and contactless world, it is clear that businesses that embrace this shift will have a significant competitive advantage in the market.
To learn more about how our AP automation platform can enhance supplier relationship management, visit our website at www.zagglezoyer.com