If getting new customers is an obvious win for your business, keeping the customers you already have is a no-brainer. Losing customers – customer churn or customer attrition – is a huge problem for many businesses. It can slash revenues in the blink of an eye and, even worse, damage a business’ reputation making it more difficult to acquire new customers in the long run.
Topics: Incentive and Reward Cards
Bigger isn’t better when it comes to a supplier base.
That’s the conclusion businesses are coming to.
More businesses are rationalizing and consolidating their supplier base to gain a competitive advantage through reduced costs, more collaborative supplier relationships and less risk of supply chain disruption. These are some of the reasons that top-performing procurement organizations have 18 percent lower operating costs and 28 percent fewer full-time equivalent than their peers, per The Hackett Group. In some cases, businesses are settling on a single supplier for certain commodities.
According to PRNewswire.com, virtual card payments make up 50% of all B2B payments. Suppliers are accepting virtual card payments now more than ever before, but many still rely on outdated payment methods because they believe the fees don’t outweigh the benefits. Despite the most common objections for refusing to accept card payments, virtual cards offer clear benefits suppliers simply can’t ignore.
We have come to an advanced leg in our AP automation journey. The European Union has drafted legislation to encourage its member countries to implement electronic payments between the public sector and its suppliers by November of this year. The resulting economic savings are reported to reach up to 2.3 billion euros.
Did you miss our recent webinar with the Institute of Finance and Management (IOFM)? Don’t worry. You can still watch the recording of “Payment Myth Busters: The Biggest Misperceptions, Mistakes and Confusions about Paying Suppliers Electronically”.