If you’re a B2B Ecommerce business, you probably already know that selling to other businesses requires a different payment philosophy – one focused on B2B payment options – than selling to end consumers. But part of offering those payment terms is being able to do so easily and efficiently.
A recent survey indicated that 97% of buyers say a poor checkout experience would negatively impact their likelihood to return. Furthermore, 73% would be turned off by payment friction.
Combatting B2B Payment Friction
What is payment friction? It’s something around payments or billing of an order that interferes with the successful completion or initiation of an order.
In B2B, it’s often when a customer wants to pay on terms, or via invoice, but encounters a delay or issue that holds up an order. For instance, a new buyer may need to be approved for terms before they can make a purchase, and how quickly they’re approved, set up and able to buy may determine whether they move forward with a particular seller. Indeed, it’s one of the first customer service touchpoints most businesses will have onboarding to a new provider or seller.
In that same survey, more than half of buyers said a slow process to getting approved for terms could cause them to move on to another provider. A second potential issue would be digital invoicing options.
As such, if you’re selling in a B2B or wholesale format, you need to be conscious of these issues and ensure your business is properly set up to address these potential risks, or avoid them altogether.
Managing Net Terms
Zoey, for instance, allows you to set Net Terms and Credit Limits settings for each individual buyer, or buy each account. When you are setting up access for your customers, you can at that time set their terms and credit limits, so they know right away what they’re eligible for buying through your business.
For those who don’t want to take the risk on themselves, there are third party providers that can extend terms on behalf of your business for a percentage of the transaction value. They take on the risk, and can approve many businesses in real time, reducing risk for you and giving buyers what they need right away. But that can be cost prohibitive for low margin businesses.
Zoey also offers digital invoicing in the form of our Billing system built right into the Ecommerce platform, which includes the ability to accept payments via low-cost ACH instead of credit cards. You can even automate billing reminders to buyers to remind them a payment is due. And if you use other accounting solutions like QuickBooks Online, Zoey has ways to connect to those systems to pass along information in real time.
Reduce B2B Payment Headaches With Zoey
Zoey is build specifically with B2B Ecommerce in mind, and that includes having the right payment support for you and your buyers. If you’re ready to adopt a solution that’s truly built with your future in mind, let’s talk! Request a conversation with our team today:
