Bills, Statements and Payments – Paper and Electronic Delivery
The adoption of electronic bills, statements and payments has grown significantly in recent years, as has the explosive growth in Internet penetration, the evolving consumer preferences for new media, and a determined push by financial institutions to convert users from paper to electronic. Most forecasters, observers, and the general press typically characterize these electronic options as severely and negatively affecting the volume of bills, statements and payments that are mailed. Is there reliable industry data that can be used to check these assertions? Are the quantifiable trends universal or do they vary by region? Exactly how have electronic alternatives impacted user preferences so far and how will they continue to impact mail volumes in the foreseeable future?
Much has been written in recent years about the rapidly rising adoption of electronic bills, statements and payments. However, few attempts have been made to systematically review all available research and make sound predictions, especially pertaining to mail volumes and the expected growth of electronic alternatives. This paper first defines several terms and delineates the scope of this study. Second, the paper analyzes the U.S. and European landscape vis-à-vis: the adoption rates of electronic bills, statements and payments, and the evolution of the corresponding mail volumes. Third, the paper examines how consumers prefer to receive and pay bills so as to provide an outlook on the future of paper vs. electronic methods. Finally, the paper looks at the progress billers have made to effectively institute and establish new bill, statement and payment mechanisms.
