As many of you may know, Paymode-X is a growing B2B settlement network from Bottomline Technologies (read our last article covering them here). Paymode-X currently has more than 230,000 active members and processes approximately $130 billion in payments annually. On December 5th, 2014, Bottomline announced the general availability of the latest version of its settlement network, Paymode-X 2.0 – Vendor View. The company has invested a significant amount into Paymode-X over the last couple of years and this latest release brings to market some compelling new functionality and UI as well as improved security and a unique pricing model.
Last week, I had a chance to speak with Jessica Moran (VP of Client Services) and Suzanne Hurt (Product Marketing) regarding Paymode-X 2.0. Below are some of the new capabilities of Paymode-X 2.0, many of which are focused on the vendors that are receiving payments through the network:
- Improved User Experience – Much simpler and intuitive navigation which helps users access the information that is most critical to them in as few clicks as possible. The new design includes the ability to view aggregated information graphically, including drill down capabilities directly from charts.
- Payment Tracker – Provides a snapshot of upcoming payments and provides one-click access to remittance information. For example, how many payments are expected to be received? What payments have been funded?
- Request Payment Status – This feature allows vendors to request information on a payment that has not already been processed through Paymode-X.
- My Payers – Provides vendors with a view of their largest payers, either by number of payments or dollar amount, enabling them to monitor and track strategic accounts.
- Remittance information – Paymode-X offers flexible alternatives for the receiver in terms of how they receive the remittance data. Remittance details can be emailed to vendors or accessed through Paymode-X via the remittance page. Also information can be accessed directly through the banking system as a CTX. There is no character or source file limit on remittance data sent with a Paymode-X payment.
- Vendor Enrollment and Management – As they have always done, Bottomline takes on the onboarding, activation and ongoing management of vendors. The Bottomline team works closely with the Payers to develop a customized strategy/campaign to onboard vendors. Over time, as new vendors are brought in, Bottomline will onboard them on behalf of the Payer and this will continue on an ongoing basis. Bottomline also takes on the validation and maintenance of bank/account information throughout the lifetime of the relationship.
- New Pricing Model – This new approach is a vendor-funded model with no cost to the paying organization. Vendors are charged a nominal fee per transaction for the use of the network. Payers on the other hand earn a rebate (or a Dividend as Bottomline calls it) which is based on payments that are made to their vendors on the Paymode-X network. The rebate essentially comes from the fees charged to the vendor, not unlike card rebates.
Overall, some great enhancements and value-add to vendors on the Paymode-X network and a new vendor-funded pricing model which is certainly different from others in the market. It will encourage buying organizations to pay through Paymode-X due to the rebates they earn and while vendors will be charged a nominal transaction fee, they will also benefit from faster access to cash, improved remittance information and visibility into receivables.
