InvoiceCloud Enhances Online Bank Direct Solution to Support the Growing Needs of Billing Organizations
BOSTON—May 2, 2023—InvoiceCloud, an EngageSmart (NYSE: ESMT) solution for online bill payment services, today announced enhancements to its Online Bank Direct solution, including the ability to deposit by invoice type, receive single, consolidated deposits, and receive funding for matched payments only, so customers will no longer receive funds that are not matched to an invoice.
“Being a cloud native solution means that organizations using InvoiceCloud get the latest software updates and features in real time, giving their teams and customers access to the most efficient, intuitive version of our solution available,” said Steve Schult, InvoiceCloud’s Senior Vice President, Product. “These recent Online Bank Direct enhancements are another set of tools that can help billing departments increase efficiency while driving customer engagement and, ultimately, can help their bottom line.”
New enhancements to InvoiceCloud’s Online Bank Direct are designed to simplify payment reconciliation and limit money movement for billers. With these new enhancements in place:
- Billers will now only receive matched payments with InvoiceCloud’s proprietary smart-match intelligence technology, speeding up payment processing so that staff can spend more time on high-impact projects that improve essential services for customers.
- For payments that do not automatically match, a biller’s customer service representatives can now take advantage of InvoiceCloud’s easy-to-use interface to manually match payments to invoices with just one click. Online Bank Direct then uses machine learning to “remember” the match so that it automatically matches in the future.
- Billers now have the ability to receive single, consolidated deposits and deposit by invoice type.
- Payments will now be deposited into billers’ accounts within 72 hours. By comparison, traditional payment methods can be subject to delays, which can result in late fees or even service shutoffs.
With factors like the Great Resignation leaving organizations nationwide to take on more work with reduced resources, Online Bank Direct can help organizations conserve valuable time and increase operational efficiency. Since first launching Online Bank Direct in 2012, InvoiceCloud’s biller customers have used it to process tens of millions of payments. Between January 2020 and January 2023, InvoiceCloud estimates that Online Bank Direct’s Auto-Match functionality saved billers nearly 200,000 hours that would have otherwise been spent manually processing paper checks (based on a 40-hour work week, that’s nearly 100 years’ worth of work saved in a three year period).
“It’s gratifying to work with a partner like InvoiceCloud that is constantly checking in with clients to see how things are going and if they can make any improvements to their platform,” said Sophia Cardinal, Financial Controller of Truckee Meadows Water Authority. “Online Bank Direct has been a huge time saver for us. Payments that come through the solution are easily matched and the system remembers all account associations, dramatically reducing manual work. The recently unveiled enhancements that include only funding matched OBD payments make the reconciliation process easier. InvoiceCloud truly listens to their clients and provides the best product out there!”
InvoiceCloud, an EngageSmart solution, is a leading provider of online bill payment services. Founded in 2009, the company has grown to be one of the leading disruptors in the cloud-based electronic bill presentment and payment (EBPP) space, helping institutions put customer experience first. By switching to InvoiceCloud, clients can improve customer engagement, loyalty, and efficiency while reducing churn and missed payments in the process. To learn more, visit www.InvoiceCloud.com.
EngageSmart is a leading provider of vertically tailored customer engagement software and integrated payments solutions. At EngageSmart, our mission is to simplify customer and client engagement to allow our customers to focus resources on initiatives that improve their businesses and better serve their communities. EngageSmart offers single instance, multi-tenant, true Software-as-a-Service (“SaaS”) vertical solutions, including SimplePractice, InvoiceCloud, HealthPay24 and DonorDrive, that are designed to simplify our customers’ engagement with their clients by driving digital adoption and self-service. As of December 31, 2022, EngageSmart serves 99,300 customers in the SMB Solutions segment and 3,300 customers in the Enterprise Solutions segment across several core verticals: Health & Wellness, Government, Utilities, Financial Services, Healthcare and Giving. For more information, visit www.engagesmart.com and follow us on LinkedIn.
Certain statements in this release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and are based on current expectations and assumptions that are subject to risks and uncertainties. All statements contained in this news release that do not relate to matters of historical fact should be considered forward-looking statements, and are generally identified by words such as “expect,” “intend,” “anticipate,” “estimate,” “believe,” “future,” “could,” “should,” “plan,” “aim,” and other similar expressions. These forward-looking statements include, but are not limited to, statements regarding anticipated financial performance and financial position, including our financial outlook for the first quarter and full year 2023 and thereafter, and other statements that are not historical facts. These forward-looking statements are neither promises nor guarantees, but involve risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements. Our actual results could differ materially from those anticipated in these forward-looking statements for many reasons, including, but not limited to, the following: our inability to sustain our rapid growth; failure to manage our infrastructure to support our future growth; our risk management efforts not being effective to prevent fraudulent activities; inability to attract new customers or convert trial customers into paying customers; inability to introduce new features or services successfully or to enhance our solutions; declines in customer renewals or failure to convince customers to broaden their use of solutions; inability to achieve or sustain profitability; failure to adapt and respond effectively to rapidly changing technology, evolving industry standards and regulations and changing business needs, requirements or preferences; real or perceived errors, failures or bugs in our solutions; intense competition; lack of success in establishing, growing or maintaining strategic partnerships; fluctuations in quarterly operating results; future acquisitions and investments diverting management’s attention and difficulties associated with integrating such acquired businesses; general economic conditions (including inflation and rising interest rates), both domestically and internationally, as well as economic conditions affecting industries in which our customers operate; the war in Ukraine; concentration of revenue in our InvoiceCloud and SimplePractice solutions; COVID-19 pandemic and its impact on our employees, customers, partners, clients and other key stakeholders; legal and regulatory risks; and technology and intellectual property-related risks, among others.
Other important risk factors that could affect the outcome of the events set forth in these statements and that could affect the Company’s operating results and financial condition are discussed in Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2021, and our subsequent Quarterly Reports on Form 10-Q, as updated by our future filings with the Securities and Exchange Commission (“SEC”). Such statements are based on the Company’s beliefs and assumptions and on information currently available to the Company. The Company disclaims any obligation to publicly update or revise any such forward-looking statements as a result of developments occurring after the date of this document except as required by law.
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1Based on data collected by InvoiceCloud from 1/1/20 through 1/1/23. Between 1/1/20 and 1/1/23, InvoiceCloud processed $1,190,320,493.21 in Online Bank Direct (OBD) volume from 7,855,995 OBD payments. For those customers that did not use OBD’s Auto-Match functionality, InvoiceCloud determined that the average time for such customers to manually match a payment to the correct invoice is approximately 90 seconds, which InvoiceCloud ascertained by calculating the average time such users spent on the page where manual matching is performed and dividing that figure by the average number of payments that were manually matched daily. By comparison, OBD’s Auto-Match functionality matches invoices instantaneously. 7,855,995 payments x 90 seconds = 707039550 seconds total = 11783992.5 minutes = 196399.875 hours. 196399.875 hours / 2000 working hours per year (full time job) = 98.19994 years.