As commercial card adoption continues to grow around the world, suppliers that do business overseas have more incentive than ever to automate their payment processing.
European businesses, for example, have not traditionally embraced commercial cards with any sort of regularity. However, according to a new report from Research and Markets, EU companies are using these cards for more and more procurement-related transactions.
Driven in large part by recent changes to the EU's interchange regulations, researchers predict this growth to continue through at least 2020.
Similarly, a growing number of businesses in the Asia-Pacific market are turning to commercial cards to manage their spending, according to a separate Research and Markets study.
"The diverse region is not necessarily an easy place to do business for financial institutions, but expectations for growth of purchasing cards and virtual cards are positive," the research group said in a press release.
What does this mean for U.S. suppliers?
As more companies overseas choose to pay with commercial cards, merchants whose e-commerce sites are equipped to process card transactions will likely see a spike in business. Having an easy-to-use digital payment gateway simplifies the checkout process, helping boost conversions on the site. Plus, offering a simpler checkout process could also encourage one-time buyers to become repeat customers.
If they're placing orders overseas, there's a good chance buyers don't care where their supplier is located. That means there may be more competition than ever for international deals. The ability to accept commercial card payments is an easy way to differentiate your business from the rest of the pack.
At Vantage, we are experts in helping suppliers streamline their digital payments process. To learn more about our B2B ecommerce solutions, contact us today.