As more Gen Y households take on bill payment responsibility, the
demand for multiple, timely payment options is growing
Number of mobile bill payment users doubles from 8 million to 16
One in four tablet owners uses the device to pay bills
BROOKFIELD, Wis.--(BUSINESS WIRE)--
The 2013 Billing Household Survey from Fiserv,
Inc. (NASDAQ: FISV), a leading global provider of financial services
technology solutions, has found consumers are paying their bills in more
ways than ever before, with the number of consumers paying bills from
smartphones and tablets growing significantly. Gen Y in particular
prefers a variety of channels and immediate payment options, and uses
the mobile channel to manage billing and payment more than other
generations. As more of these young consumers take on bill payment
responsibility, a growing Gen Y effect will influence how billers are
innovating and offering services based on changing consumer preferences.
A white paper detailing findings from the Billing Household Survey, the
sixth annual survey in this series, can be downloaded at www.fiserv.com/billingsurvey.
Mobile Billing and Payment Proliferates as Smartphone Use Grows
bill payment usage doubled from 8 million U.S. online households in
2012 to 16 million in 2013. This growth was driven primarily by
smartphone owners, among whom mobile bill payment surged 150 percent.
Consumers who pay bills using their mobile device do so primarily for
its convenience (70 percent), anytime access (55 percent) and time
savings (49 percent). It is important for billers to have a
mobile-optimized website for bill payment as mobile-optimized bank and
biller websites are the most popular choice when paying bills with a
smartphone, although apps for billers and banks were also popular and
Consumers are Paying Bills in More Ways
The survey found that 83
percent of consumers are using two or more channels to pay their bills
each month. The average number of bill payment methods consumers use
ticked up 10 percent from 2012 to 2013, rising to an average of 3.2
channels each month. While the number of U.S. online households that pay
a bill by check declined from 61 percent in 2012 to 53 percent in 2013,
the number of households using mobile and tablet for bill payment gained
ground, resulting in the higher number of channels used overall.
Many consumers continue to use established methods of paying bills like
checks, phone or in-person payments, and 2 out of 3 believe it is
important for billers to offer multiple ways to pay bills. The Gen Y
effect is evident here as 74 percent of Gen Y respondents consider
offering multiple payment options important, compared to 67 percent of
"While new bill payment channels such as mobile and tablet are coming on
strong, traditional channels remain in use, creating a need for billers
to support an ever-growing set of billing and payments, channels and
payment types," said Jardon Bouska, division president, Biller
Solutions, Fiserv. "Americans, particularly Gen Y, are hungry for
multiple options for digital bill presentment and payment. Fiserv
provides the most comprehensive suite of billing and payment options to
billers and financial institutions, enabling them to realize and unlock
the new opportunities a shifting consumer bill payment landscape offers."
Additional survey findings showed:
Mobile-Specific Capabilities Can Drive Digital Bill Payments -
The Billing Household Survey found that the number one motivator to
pay bills or pay more bills using a smartphone is the use of an app
and smartphone camera to take a picture of the bill, cited by 36
percent of respondents. Using the camera to capture then auto-populate
bill payment fields streamlines the bill payment process, and this
finding reinforces the fact that consumers desire more engaging,
simple and quick user experiences facilitated by their mobile device.
Alerts and Reminders Can Boost E-Bill Adoption - Actionable
payment due alerts and reminders can help billers improve their
reputation among consumers and increase the adoption of e-bills, which
contain all the same information as paper bills, but are delivered
online or to a mobile device. Nearly 3 out of 4 households that
expressed an interest in receiving alerts and reminders said they
would have a more positive perception of a biller that sends them a
reminder to pay a bill. Sixty-six percent said alerts and reminders
would increase the likelihood they would use paperless e-bills, most
likely because alerts help consumers overcome the concern of not
having a paper bill to serve as a reminder to pay.
Tablets Have a Seat at the Table - More than 1 in 3 tablet
owners had used their tablet to visit a biller site in the previous 30
days. The primary reason for the visit was to pay a bill (63 percent)
followed by accessing invoice information and history (36 percent).
One in four tablet owners use their tablet to pay bills at either a
biller or financial institution website — an increase of 19 percent
over 2012. The survey also found that 60 percent of tablet owners
would like to receive e-bills on their tablet.
Billing and Payment Drives Website Visits - More than 80
percent of consumers who visit a biller's website do so to pay a bill,
reinforcing the importance for billers to make billing and payment a
prominent and strategic part of the site. Seventy-one percent of
consumers who use a biller site to make payments say that online
accessibility has eliminated the need to call customer care. Billers
who do not provide an easy, direct and clear way for consumers to find
billing and payment information and options risk abandonment and the
use of higher cost channels to pay bills.
The Billing Household Survey was conducted in May 2013 by The Marketing
Workshop on behalf of Fiserv. It was completed by 3,004 respondents at
least 21 years of age and responsible for paying bills. The results are
representative of the U.S. population of online households, which is
approximately 100 million out of 121 million total U.S. households.
Fiserv, Inc. (NASDAQ: FISV) is a leading global technology provider
serving the financial services industry, driving innovation in payments,
processing services, risk and compliance, customer and channel
management, and business insights and optimization. For more
information, visit www.fiserv.com.
Director, Public Relations
Director, Public Relations
Source: Fiserv, Inc.
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