Printer Friendly

$1B Opportunity In The Electronic Bill Presentment & Payment Market In 2004.

Momentum is starting to build in the Internet-based electronic bill presentment and payment (EBPP) market. In 1999, worldwide revenues jumped 540 percent, landing at $32 million, but this is only a small stepping stone in comparison to how high this market will climb. IDC forecasts the market will escalate at a 100 percent compound annual growth rate through 2004, bringing revenues over the $1 billion mark.

Internet-based electronic bill presentment and payment is the process that enables bills to be created, delivered, and paid over the Internet.

"Buying products over the Internet with a credit card has become a common occurrence, but viewing the credit card bill itself and submitting a payment to settle it electronically is still considered a novelty," says Albert Pang, research manager for IDC's eCommerce Software program. "However, this will change as electronic bill presentment and payment products become more sophisticated with the inclusion of features such as secure email delivery and as the technology becomes increasingly implemented in business-to-business ecommerce."

According to IDC, the real opportunity in this market rests with transaction-based revenues, which will skyrocket from $700,000 in 1999 to $825 million in 2004. "Much of this growth is based on the potential use of electronic bill presentment and payment to replace the sheer number of paper bills circulated every year," Pang said. IDC estimates that in the United States alone, 1.5 billion bills are sent to consumers each moth, reaching 18 billion transactions and generating nearly $6 billion in processing fees a year. However, only a portion of these transactions will be handled by electronic bill presentment and payment systems. "Consumers initially will be resistant to this technology," Pang said. "People tend to be overly cautious when it comes to embracing new ways to handle their personal finances.

"This is a market that is still in its infancy, but it has the potential to blossom into a staggering opportunity," he added.
COPYRIGHT 2000 Millin Publishing, Inc.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2000, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

Article Details
Printer friendly Cite/link Email Feedback
Title Annotation:Industry Trend or Event
Comment:$1B Opportunity In The Electronic Bill Presentment & Payment Market In 2004.(Industry Trend or Event)
Publication:EDP Weekly's IT Monitor
Geographic Code:1USA
Date:Apr 3, 2000
Words:320
Previous Article:Worldwide IT Certification Revenues Will Exceed $4 Billion In 2003.
Next Article:US IT Service Firms Will Face More Offshore Competition.
Topics:


Related Articles
CheckFree Licenses edocs Internet Billing Application Server and Development Tools to Provide Internet Billers with Unmatched Flexibility.
CyberBills Joins MasterCard's Remote Payment and Presentment Service.
Paytrust and Princeton eCom Announce Alliance to Expand E-Billing and Payment Capabilities; Partnership Expands Princeton eCom's Distribution Network.
Electronic Bill Payment and Presentment Adoption Finally Takes Hold: 40 Million Households in 2005.
Corporate Profile for CyberBills, Inc., dated Nov. 10, 2000.
GET READY for ON LINE Billing & Payment.
Avolent And Portal Partner For EBPP And EIPP Platform Delivery.
XENOS TEAMS WITH IBM TO DELIVER INTEGRATED ENTERPRISE CONTENT MANAGEMENT SOLUTION.
Fitting the bill: technological advances have made the elusive target of electronic bill presentment and payment for group bills an attainable goal.

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters