Optimize Your B2B Credit Card Processing Spend with ERP Integration
Many businesses rely on the convenience of credit card acceptance as a normal cost of doing business. Although the trend is steadily growing, businesses that accept credit cards often find themselves grappling with rising processing costs that eat into their already thin margins.
This article examines the increasingly prevalent practice of assessing a surcharge on B2B credit card transactions. We’ll explore how our industry-leading Compliant Surcharge Automation Solution simplifies the process for businesses, while simultaneously encouraging their customers to opt for more budget-friendly payment types. Additionally, we will examine a real-world success story of a wholesaler-distributor that experienced substantial cost reductions and operational efficiency improvements with Unified A/R. The leading wholesaler-distributor implemented our A/R Automation technology, including Compliant Surcharge Automation, with a complete and seamless integration to their existing ERP.
Compliant Surcharge Automation Made Easy with ERP Integration
A Surcharge Strategy for credit card acceptance offers an innovative solution to offset transaction fees and associated processing costs. This strategy involves the application of a small fee when customers opt for the convenience of paying with a credit card.
Unified A/R is a leading provider of accounts receivable technology that has transformed the way businesses get paid and how they manage credit card acceptance costs. Our modular solutions integrate with your ERP and provide the features and benefits to meet your needs:
- Automatic Surcharge Calculation: Unified A/R manages the entire surcharge process, eliminating the need for your team to calculate credit card processing fees. We automate this process for you and display the surcharge amount to your customer for complete transparency.
- Offering No-Cost and Low-Cost Alternatives: At the point of sale, your customers receive full disclosure about the surcharge cost. They are simultaneously presented with the option to switch to no-fee or low-cost payment methods, such as ACH/eCheck or debit cards. This flexibility ensures customer satisfaction while optimizing your cost structure.
- Data Security and PCI Compliance: We prioritize the security of your data and your customers’ information. Our cloud-based technology employs state-of-the-art measures, including tokenization, to safeguard sensitive data. Real-time fraud management tools and algorithms detect and deter fraudulent activity, ensuring a safe and secure payment environment.
- Enhanced Customer Service: By providing 24/7 online self-serve payment options, Unified A/R improves your customer service capabilities. Clients can make payments at their convenience, increasing overall satisfaction.
- Turnkey Compliance: Because surcharge rules can change, our technology evolves and updates in real-time to keep you compliant with the latest regulations.
- Expert Consultation and Support: We provide dedicated support, consultation and recommendations – on a first-name basis – from the initial conversation through the duration of your relationship with Unified A/R. Our clients can access 24/7 customer service from U.S.-based experts, even on weekends, to ensure a smooth and successful experience.
The Duncan-Parnell Success Story: Achieving Remarkable Cost Savings and Efficiency Gains through Compliant Surcharge and A/R Automation
Duncan-Parnell’s journey toward cost reduction and improved profitability began with the implementation of Unified A/R’s accounts receivable solutions. Their primary objectives were to reduce A/R expenses related to customer payments made via email or phone, and address the drain on personnel resources due to manual workflows for invoices, checks and payment reconciliation.
John Ledford, Director of IT at Duncan-Parnell, highlighted Unified A/R’s crucial role in ensuring a smooth and secure transition during the implementation process: “Unified A/R seamlessly integrated with Duncan-Parnell’s existing ERP, guaranteeing a smooth transition with no disruption.”
The Surcharge Strategy
Windy Sharp Roy, Director of Accounting at Duncan-Parnell, explained the historic challenges they faced due to rising credit card acceptance costs. “To combat this issue, we adopted a Surcharge Strategy with the guidance of Unified A/R.” This strategy automatically applies compliant surcharges when their customers opt to make credit card payments, offsetting the associated transaction and processing costs. The technology also ensures Duncan-Parnell’s compliance with state regulations and card brand rules, providing intelligent fraud management for added security.
The impact of Unified A/R’s Surcharge Strategy was nothing short of remarkable:
94% Reduction in Credit Card Fees: Duncan-Parnell significantly lowered the costs associated with credit card payments with Compliant Surcharge Automation.
87% Reduction in A/R Processing Expense: Manual A/R processes were automated, enhancing efficiency and reducing costs.
84% Migration to ACH/eCheck: When presented with the option, their customers willingly chose lower-cost payment methods, reducing expenditures for both themselves and Duncan-Parnell.
Simplified Client Experience
Duncan-Parnell’s digital transformation absolutely reduced costs, but also streamlined the entire order-to-cash experience for their customers and internal team:
- Digital, Smart e-Invoices and e-Statements streamlined communication with their customers and eliminated paper-based processes.
- Online PayNOW Tool gave their customers the option to make self-serve payments with low-cost ACH/eCheck, credit cards rather than paper checks, or debit cards, increasing satisfaction and efficiency.
Duncan-Parnell also reported a 30% increase in back-office productivity following the implementation of Unified A/R. With Smart e-Invoice technology and automated email reminders, the need for manual collection efforts decreased significantly.
Online Payment Acceptance 24/7
Unified A/R’s PayNOW solution empowered Duncan-Parnell’s customers to access invoices and make secure digital payments online, anywhere, 24/7—enhancing the client experience.
Duncan-Parnell’s journey toward digital transformation and cost reduction through credit card surcharges demonstrates the significant impact that A/R Automation can have on a business’s bottom line. Unified A/R not only helped them reduce costs, but also improved customer satisfaction and operational efficiency.
Transform Your Business with Unified A/R
Our solutions for invoicing, payment acceptance, compliant surcharge automation, and automated payment posting integrate seamlessly with multiple ERPs, providing an instant boost in productivity and cost reduction.
If you’re to reduce credit card fees, free up your team’s time, and enhance your order-to-cash process without significant capital outlay, Unified A/R offers a compelling solution. We provide complimentary expert consultation, streamlined implementation, and trusted expertise to help your business thrive.
Schedule your demo to learn more about Unified A/R’s innovative solutions and how they can benefit your business.
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