CFOs from Top Asian firms want data, analytics in corporate payment infrastructure

More than half of large corporates across Asia say they want payment infrastructure that provides detailed transaction and invoice information, new research from East & Partners Asia has found.

This demonstrates that corporates in the region recognize clear commercial benefits from additional payments data, such as simplifying the tracking of internal spending, streamlining reporting and accounting processes, and more importantly, generating valuable intelligence and analytics, said the research firm.

The research is based on direct interviews with 947 CFOs and corporate treasurers from the Top 1,000 institutions across ten key markets in Asia including China, Hong Kong, India, Indonesia, Malaysia, the Philippines, Singapore, South Korea, Taiwan and Thailand.

Key highlights of the research

  • 45.2% of respondents highlight that end-to-end visibility is a critical requirement of new payment solution.
  • More than three-quarters (76.8 percent) of corporates in Asia reportedly experience limited visibility on payment status.
  • Four in ten (42.2 percent) corporates want payment infrastructures that integrate neatly with their accounting and ERP platforms, enabling straight-through processing.
  • In contrast to CFOs’ demand for increased access to data, a need for faster transaction speed was of less importance, with just 3.5 percent looking for immediate payment capabilities.

“There is a real appetite for these features and the corporates are willing to pay extra for them. In the case of the most requested feature – having detailed transaction and invoice information, corporates are willing to pay the highest additional premium,” said East & Partners Asia Analyst, Sangiita Yoong.

Features for which corporates are willing to pay a premium

Although fewer corporates seek omnichannel (21.4 percent) and e-invoicing (14.4 percent) capabilities as part of their payment platforms, those who do are prepared to pay a premium for these features.

Yoong advised banks and financial institutions to respond to those corporate needs and preferences.

“Banks cannot afford to be complacent as fintech players are vying to plug exactly these same gaps in B2B payments and meet the needs of corporate customers. Those financial institutions that are unable or unwilling to innovate risk losing relevance to their customers,” Yoong noted.