Our annual Usage and Attitudes research of the Australian payments universe once again underscores BPAY’s dominance in the electronic payments market, with a huge shift to mobile bill payments in the last 12 months.
Each year, BPAY conducts a study of the way consumers pay for goods and services, and their attitudes to the different methods they can use to make a bill payment.
It makes for fascinating reading in a world in which the payments space is rapidly changing. This year, we modified the way we collect the information for the research, asking respondents to diarise their payments and reflect on their attitudes towards paying bills. This new technique has expanded the scope of our research and given us extremely rich data we can use to ensure future BPAY innovations exceed consumer expectations.
Top line results show we make an average of 9.1 payments a day. It’s a remarkable figure, but it makes sense thinking about the incidental payments we make each day for things like coffee, newspapers and groceries, on top of regular electronic payments like power and phone bills. The research also showed 44 per cent of payments are made before midday, and a quarter of all payments at home.
It’s intriguing to explore the various payment amounts the research uncovered. The value of the average payment across all channels was $121, while the average payment value for BPAY from this consumer survey is three times the average at $364 (this figure rises to an average of $850 from our hard data, when taking into consideration business-to-business payments). Of all payment methods, only those made with cheques and the ‘pay anyone’ online banking options have higher average payment values, perhaps indicating we use these methods for large, one-off payments, for instance those made to builders.
The research shows we’re most likely to use BPAY during ‘personal admin’ time – which backs up the result that it’s a popular and convenient way to pay bills at home – with 86 per cent of BPAY payments being made from home.
But what’s really revealing is what else we’re doing when we pay our bills. The results showed that 27 per cent of the 1000 people who took part in the research who paid bills with BPAY were relaxing at the same time and 22 per cent were watching TV. So we’re simultaneously using multiple screens to enable multitasking, something that could not have occurred without the widespread proliferation of smart devices.
* Numbers represent percentages
So it’s perhaps unsurprising the research showed we’re now more inclined to use BPAY to pay bills on our mobile, with 40 per cent of respondents using a smart device to pay their bills. Although we can’t directly compare the results of the 2014 and 2013 surveys because of the change in research methodology, a much smaller number of people (23 per cent) involved in the 2013 research paid bills with BPAY on a mobile device, which shows the incredible uptake mobile has had across the two surveys.
It’s also worth noting 69 per cent of BPAY payments were made with participants’ own funds – versus 43 per cent for the whole payments universe. We believe this indicates one of the reasons why BPAY is so popular: it makes it so easy to use your own funds to pay bills.
The research also clearly showed the prominence of the BPAY brand. Almost all Australians – 90 per cent – know the BPAY brand and two thirds of us have used BPAY to pay a bill over the last 12 months. In addition, 85 per cent say BPAY is trustworthy, 84 per cent say it’s reliable and 83 per cent say it’s a safe way of making a payment.
This is reflected in the research in results that show BPAY is the payment method that most meets consumers’ needs when they really need to trust their payment will be received – for instance when paying important bills like insurance. We also prefer BPAY when we need to make a payment at a time that’s convenient for us and when we want to choose the account from which the payment is made.
The study showed 2014 was the year our bill presentation system BPAY View came into its own. Awareness of BPAY View jumped to 47 per cent from 36 per cent in 2013. Twenty-one per cent used BPAY View in 2014, up from 14 in 2013, although again we can’t directly compare the results of the two surveys. It’s pleasing 33 per cent would consider using BPAY View in the future, which shows there’s potential for further growth.
We have supported BPAY View with an extensive marketing program including TV commercials and bus advertising. This is reflected in the jump in the number of people trying it, with 34 per cent having used it for the first time over the past year. Most people (79 per cent) rate it as easy or very easy to use, and this figure increases the more familiar people become with BPAY View.
Overall, the research shows how entrenched BPAY is in the payments market and the underlying trust consumers have in it as a way of paying bills. Importantly, 73 per cent of respondents said they would consider using BPAY in the future, which shows there’s scope for significant future growth in BPAY’s share of the payments market.
Research conducted by Jigsaw Research 2015
This article represents the views and opions of the author and do not necessarily reflect the opinions of BPAY.
Published by BPAY Pty Ltd. BPAY is offered by over 150 Financial Institutions. Contact your Financial Institution to see if it offers BPAY and to get the terms and conditions. This is general advice – before using BPAY please review the terms and conditions and consider whether BPAY is appropriate for your personal circumstances.