22 05, 2019

The Amazon Effect Pushes Wholesale Distributors into New Territory

2019-05-22T14:35:23-04:00May 22nd, 2019|Blog|

Wholesale distribution e-commerce sites that offer buyers a seamless user experience are rapidly gaining market share. You need a plan to compete – or risk lower margins. Or even worse. You’re facing increased competition from e-commerce sites that make it easy for business customers to buy anything that they need online. In particular, Amazon Business is rapidly gaining market share. The marketplace now has hundreds of thousands of sellers and is set to hit $10 billion in sales – up from $1 billion just three years ago. Some analysts believe that Amazon’s business sales will soon surpass its consumer sales. As Amazon expands into more markets, you may feel the crunch. In 2016, revenue in the wholesale industry segment fell by 3.7 percent. Meanwhile, a leading distributor saw its Q2 2017 earnings per share drop more than 40 percent from a year earlier, which it attributed to price reductions and Read More

15 05, 2019

Changing Buyer Expectations Make the Customer Experience Your #1 Differentiator

2019-05-15T14:16:40-04:00May 15th, 2019|Blog|

In wholesale distribution, offering customers a seamless digital experience – both pre- and post-sale – can give you a competitive edge. For years, consumers have enjoyed the convenience of online shopping. They now expect the same experience when they make business purchases. Providing your customers with a seamless digital experience is more important than ever – especially as millennials take the lead on purchasing wholesale goods. According to Pew Research Center, this generation now makes up the largest percentage of the workforce. Meanwhile, 73% of millennials are involved with corporate buying decisions. But it’s not just millennials. All buyer expectations are changing. Today’s B2B customers are used to doing everything online – from banking to managing a business. Their reliance on technology impacts how they purchase wholesale goods. "By 2020, B2B buyers will make more than half of their purchases online." Digital Commerce 360 For example, more buyers are using Read More

2 05, 2019

Waiting For Your Money is Costing You Money. Can You Afford It?

2019-05-02T11:51:01-04:00May 2nd, 2019|Blog|

We used to spend our lives waiting. Needed to go somewhere? You waited for a taxi or bus. Needed cash? Waited in line at the bank. Needed to buy something? Waited in line at a shop. Went out for dinner? Waited for a table. Wanted to watch a movie? Waited in line at the ticket booth, then at the concession stand, then waited for the movie to start. Now, with the likes of Uber, Venmo, Amazon, Grubhub, and Netflix, we never have to wait for anything. Yet, if you work in the receivables department of a wholesale distributor, waiting isn’t only the norm, it’s the name of the game. With your working capital tied up in receivables and inventory, your customers’ expectations changing, and the cost of capital going up, how long can you really afford to wait? Understanding Your DSO What is your Days Sales Outstanding (DSO)? Is it Read More

24 04, 2019

The Digital Age of Accounts Receivable is Dawning. Are You Ready?

2019-04-24T16:29:49-04:00April 24th, 2019|Blog|

We’ve all heard the story of Netflix and Blockbuster. The David and Goliath tale of how one small, agile, forward-thinking business took down a behemoth. How in only a few short years, Blockbuster went from being a multi-billion dollar business to filing for bankruptcy. Since then, countless business books, blogs and even university courses have been dedicated to dissecting the story. How could Netflix, a flailing business itself back in 2000, crush Blockbuster so completely and so swiftly? Nowadays, we laugh when reading about how Blockbuster turned down an offer to buy Netflix for a mere $50 million in 2000 - “How could they have been so stupid?” And we roll our eyes when looking back on Blockbuster’s online DVD rentals launch – “The future was streaming, not DVDs!” But hindsight is 20/20. If Blockbuster knew then what they know now, what would they have done differently? AR’s Digital Transformation Read More

17 04, 2019

Customers Choose the Path of Least Resistance. Is That You?

2019-04-17T13:24:55-04:00April 17th, 2019|Blog|

Today’s customers covet convenience. From having groceries delivered to their door, dry cleaning picked up and delivered to their homes, and even the handling of their finances, the majority of everyday needs are solved without lifting a finger. Online bill pay has become so common that most people don’t have a current checkbook. Credit cards are being replaced by cell phones. And online retailers are outpacing brick and mortar retail establishments due to the ease and convenience of customers not having to leave their home. When given the option, customers will choose the path of least resistance to meet their needs. So why - in this world of digital convergence, technological advancements, and streamline automation - has the business-to-business space remained so reluctant to change? The Disconnect I’ve worked in B2B for years, and what has become overwhelmingly clear is that there is a massive disconnect between what the customer Read More

11 04, 2019

Turn your AR Process into a Competitive Advantage

2019-04-11T13:59:53-04:00April 11th, 2019|Blog|

Let’s face it, few company leaders wake up in the morning and say “Today, we are going to be known for our best-in-class back-end AR process”. It’s not that accounts receivable isn’t important. We all know that capital on hand is working capital, and the sooner you get your hands-on working capital, the sooner it can, well, work for you. The problem is that many companies don’t know there is a best-in-class AR process. Their AR process works, after all. Their teams are busy. They’re dialing, emailing, dialing, emailing, and so on. They are doing the job the best they can, the only way they know how. Isn’t everybody? No, not anymore. Companies like yours are realizing that, not only is there a better way to manage accounts receivable, but it can actually give you a competitive edge. The Cost of Doing Business? Today’s standard AR process is riddled with Read More

27 03, 2019

Why your Growing Business Should Consider Automating its Accounts Receivable

2019-03-29T09:48:47-04:00March 27th, 2019|Blog|

Businesses need to grow to stay alive. But with limited resources and only so many hours in the day, how can you attract, earn, and serve the customers needed to successfully scale your business? More customers mean more collections, more invoices, more disputes, more delinquent accounts, more cash application, more time, more resources, more, more, more. As your business grows, so do your accounts receivables. So how do you keep up? There are 2 options: A. Add more resources B. Make your current resources more effective Option A, although somewhat effective in the short-term, will limit your ability to grow in the long-term. Option B on the other-hand - doing more with what you have - will allow you to scale exponentially. In terms of accounts receivable, if Option A is hiring more people, what does Option B look like? The answer: Automation. By automating the time-consuming, manual AR tasks, Read More

20 03, 2019

IDC Names VersaPay a Leader in Inaugural AR MarketScape

2019-03-20T13:19:26-04:00March 20th, 2019|Blog|

Accounts Receivable is changing. What was standard practice 20 years ago, is obsolete today. New technologies are transforming every aspect of the invoice-to-cash cycle, from how we send invoices and accept payments, to how our customers expect to engage with us. Finance organizations across all industries need to evolve to stay competitive. IDC recognizes this change and in March 2019 released the inaugural MarketScape for Worldwide SaaS and Cloud-Enabled Accounts Receivable Applications. The MarketScape is an in-depth analysis of the AR software companies that have taken great strides to address the challenges faced by today’s AR professionals. IDC has profiled and assessed the capabilities of these software companies and has named VersaPay as a leader - the highest possible designation.     The MarketScape report evaluated 8 accounts receivable software vendors across a number of different criteria, including how they addressed these top AR challenges: Data management Process management Time Read More