To find out how Australian’s needs are changing, we collected information about 2857 payment occasions from a nationally representative sample of 1000 Australian bill payers to find out how they manage their recurring payments and bills.
The good news is that when it comes to bill time, BPAY remains firmly on the radar. Over 60% of Australians aged between 18 and 65 think of us when they need to pay a bill - well ahead of direct debit (43%) and credit cards (25%)*.
The survey also found that Australians are fast adopters of banking innovations such as contactless and mobile wallet technology. Customers have told us that they want automation, security, and mobile functionality*.
Our digital one-stop-shop bill presentment service, BPAY View is our biggest opportunity, with 88% of people still receiving at least one bill in the post or by email*.
“BPAY is squarely engrained in the Australian mindset when it comes to paying bills,” says Renee Amor, General Manager of Marketing at BPAY. “We are seeing more small and medium-sized businesses look to BPAY as a way give their customers a simple bill paying experience.”
“Our latest innovations will make life easier for our billers. BPAY has also been working closely with Macquarie Bank’s DEFT
payments system, Intuit
to integrate our services with business accounting software,” Amor says.
We’ve built long-term loyalty
Bill payers over 35, who make up the bulk of our customer base, love our service. They associate BPAY with security, reliability, and convenience, and like to be able to keep records of their bills and payments*.
92% of this group are satisfied or very satisfied with the service we provide*. In the words of one respondent, “it’s online, simple, effective and allows me to maintain control and responsibility of my finances.”
BPAY View is a compelling service for managing payments, allowing users to access their bills in one place, receive notifications, and schedule future payments
A source of control
No one likes the inconvenience of irregular or variable bills, so people want more than just a “set and forget” payment method*.
Our research shows that we are the go-to source for payment control for highly organised people. Yet for the 27% of Australians juggling their financial commitments, BPAY offers increased functionality over other methods, such as paying by instalment and scheduling timing to help avoid late payment fees*.
BPAY View is a compelling service for managing payments, allowing users to access their bills in one place, receive notifications, and schedule future payments - and this can all be integrated with their online banking. We found that people who are struggling to keep on top of their bills had a great propensity to use BPAY View, enabling them to manage their finances with just one click.
“We have also recently launched a service on our website (www.bpay.com.au
) that helps customers find Billers in their local area that have BPAY View available, such as councils and schools,” Amor says.
A key trend we are seeing is that consumers who are on top of their bills are forgoing using credit to pay for regular bills if they can avoid it.
Payment methods aren’t brands, so the nature of a bill usually determines the manner in which it is paid. Sometimes BPAY customers pay particular bills by other arrangements, often due to inducements such as reward schemes.
“Our research is telling us that BPAY is definitely the best method of bill payment for those regular bills that may have a different amount like electricity and phone bills,” says Amor. “Our customers also say that recurring payments like council rates and school fees are most easily paid by BPAY.”
“A key trend we are seeing is that consumers who are on top of their bills are forgoing using credit to pay for regular bills if they can avoid it.”
Digital natives present unique challenges in today’s market, with young people increasingly seeking mobile platforms and demanding flexibility.
The survey showed that millennials view recurring payments significantly differently to other generations, with four in five saying that they don’t want spend their time worrying about bill, and needing their payment commitments to fit in around their life. They like features such as one click functionality, instant notifications, and high visibility.
Amor advises that people start taking on board the responsibility of bill paying from around the age of 22. “Between the age of 22 and 25, consumers tend to self-educate to find the best way to pay bills. It can be a steep learning curve, and they need support.”
“Parents who show children how to budget and pay bills will help to educate our emerging generations. It will reduce stress and dissatisfaction, and build healthy relationships with bills, if the most efficient forms of bill paying are a focus of financial literacy,” she says.
*Based on Usage & Attitudes survey, 2016
This article represents the views and opinions 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.