By Madison Edwards, Adoption Specialist, CAST
If there’s one stat that should make all organizations consider prioritizing their AutoPay adoption, it’s this: more than half of Americans (56%) have missed a bill payment simply because they forgot. That’s more than half of your revenue being delivered late simply because the customer overlooked the bill (28%) or mistakenly mixed up the due date (28%).
But let’s take a look at this situation with a wider lens. While your organization is missing a payment, your customer is likely to be frustrated and stressed at having missed the payment and potentially forced to pay a late fee. There’s a chance they may call into your call center to rectify the situation. They may even visit a local office to make an in-person payment to clear things up.
On-time payments may be the main benefit of AutoPay, but the advantages extend far beyond. By implementing scheduled payments, organizations can reduce customer churn, save time and money, and foster stronger customer loyalty. Let’s explore the benefits of AutoPay beyond just on-time payments to see why organizations should prioritize increasing the adoption of this powerful channel.
AutoPay Drives Cost and Time Savings
Paper checks, mailed payments, and manual processing are three ways that getting paid could actually cost your organization money. AutoPay eliminates the costs tied to one-time, paper-based, and manual payments, which can range from $2-$4 per check. Additionally, AutoPay eliminates excess manual labor costs and staff time spent on agent-assisted payments such as call-in or in-person payments.
When combined with eBilling, AutoPay delivers significant savings, especially as postage rates continue to rise. U.S. postage is now $0.73 per stamp (as of March 2025), up $0.05 from January 2024. History shows that these costs will only increase. What can this mean for your organization? For one Paymentus client, the drive to increase the adoption of both AutoPay and paperless eBilling led to an estimated $33,000 in annual savings.
AutoPay Boosts Customer Loyalty and Satisfaction
Unlike one-time payments, enrolling in AutoPay signifies a deeper commitment to an organization from its customer. But there are times when organizations need to work to secure this commitment. Thankfully, AutoPay satisfies the 40% of consumers expressing a strong interest in a more streamlined billing experience. Among those interested, more than half are likely to switch billing providers to one that offers the experience they expect. This stat underscores the importance of AutoPay for organizations within competitive markets, such as telecoms or insurers.
Offering the set-it-and-forget-it convenience of AutoPay is a simple way to increase customer satisfaction. By removing the stress of having to remember bill pay due dates or whether they had already made a payment, organizations simplify the bill pay burdens of customers. This is likely why research shows that customers using AutoPay have retention rates about 4% higher than those who pay manually.
Once enrolled, customers are unlikely to return to manual payment methods, ensuring reliable, on-time payments throughout the relationship.
AutoPay Offers Predictable Cash Flow
While there are many customer benefits to AutoPay, one of the most important benefits for your organization is that of steady, predictable monthly cash flows. Having the ability to reliably anticipate monthly revenue gives your organization the power to maximize its capital and create operational efficiencies that are not possible with one-time payments.
What’s more, your organization can save both time and money by eliminating the need to manually send out payments, collect payments, or track down late payments. In total, the automation offered by AutoPay simplifies the bill pay process for all parties involved.
Driving AutoPay Adoption
It may seem that AutoPay is a no-brainer, but much like any offering, there is a need to market the benefits of AutoPay to ensure adoption. The upside is that your target audience is easily identifiable and offers a host of opportunities. If they pay in-person, lobby signage can communicate that their bill can be paid without a trip to the office.
If they call in, your customer service representatives can promote AutoPay as a way to pay that doesn’t require time spent on the phone. Email and text communications can also include AutoPay messaging in connection with relevant touchpoints. For instance, if a bill is late, including a link to enroll in AutoPay can help customers avoid the situation in the future. Upcoming due date notifications are also a great way to let customers know they can enroll in AutoPay and never worry about having to remember a due date.
Want to boost AutoPay adoption? The Paymentus Client Adoption Success Team (CAST) offers full-service marketing support to drive awareness and increase adoption of AutoPay, eBilling, and other payment solutions—at no cost to your organization! Contact us at CAST@paymentus.com to schedule a time to discuss how CAST can help drive your adoption goals.
Don’t miss out on unlocking the full potential of AutoPay! Join us for our upcoming webinar, “AutoPay: The Underutilized Bill Pay Superstar.” Discover how AutoPay can transform your billing process and boost efficiency—register now and secure your spot! Register Here.
