Today in B2B: B2B Payments Getting More Real By 2025; SMBs Make More Money with Immediate Payments

Today in B2B payments, banks must offer their business customers lower costs, more speed, convenience and transparency, with B2B payments made increasingly in real time. Plus, 56% of small and medium-sized businesses (SMBs) say immediate payment platforms lead to more revenue, and while real-time payments are gaining popularity, there’s still a place for ACH payments.

New Research: 56% of SMBs See Revenue Boost From Immediate Payment Platforms  

More than half (56%) of SMBs believe that using immediate payment platforms would boost revenues, according to PYMNTS’ Innovating B2B Retail Payments Playbook.

Retailers that want to expand their services to business customers must adjust to legacy B2B payment flows’ inherent delays, our research shows. B2B cash flows are slower and less predictable than what those retailers experience during transactions with consumers.

Banks Must Have 'Relentless' Focus on Cost, Speed, Convenience and Transparency of Business Payments

Manish Kohli, head of global liquidity and cash management at HSBC, told PYMNTS CEO Karen Webster in a recent interview that he expected traditional financial institutions (FIs) to hasten their move into digital transformations.

Banks, including HSBC, are having daily conversations with clients about the best ways to make and receive payments — and to leverage the footprints those payments leave as ways to gain more insight into their operations.

FIS Predicts 30-50% of B2B Payments Will Ride Real-Time Rails by 2025

By 2025, 30% to 50% of B2B payments will not only be done digitally, but they will also be done in real time, FIS Senior Vice President of Digital Payments Ginny Chappell told PYMNTS CEO Karen Webster in a recent interview.

Chappell also noted that while B2B payments are “catching up” to other types of transactions, peer-to-peer (P2P) payments have been growing dramatically, spurring more B2C real-time payments and also providing a tailwind for B2B.

JPMorgan: Real Time Payments Will Speed B2B Payments, But ACH Has Staying Power

J.P. Jolly, head of payments at J.P. Morgan, told PYMNTS CEO Karen Webster in a recent interview that the current landscape is illuminating the importance of banks in helping client firms manage payments — and, especially, in modernizing B2B payments.

There’s room for a broad range of payment options, said Jolly, reflecting the increasing leverage suppliers have with buyers.