Walk-In Bill Payments in the U.S.
Boston, MA, January 17, 2005 – In a new report, Walk-in Bill Payment in the U.S., Aite Group reviews the market structure and competitive trends in the walk-in bill payment space. In the U.S. in 2004, of the 18 billion bill payments made by consumers, Aite Group estimates that about 500 million were made in-person, or less than 3%. Telecom and utility bills accounted for about 70% of walk-in bill payments. Sixty-four per cent of walk-in bill payments were made by cash, 31% by checks, and 5% by money orders. Less than 1% of walk-in bill payments were made at pay stations (self-service bill payment machines).
Although growing by about 1% a year, the walk-in bill payment industry continues to represent a significant revenue opportunity for established players and upstarts, generating about US$1 billion in annual revenues. Walk-in bill payments account for about 3% of total consumer payments versus 14% for online bill payments. Yet, “walk-in bill payment processors drive about US$1 billion in annual revenues, an amount equivalent to the revenues captured by the Electronic Bill Payment and Presentment (EBPP) industry” points out Gwenn Bézard, a Research Director with Aite Group and the author of the report.
This is a 17-page Impact Note. Clients of Aite Group's Retail and Wholesale Banking services can download the report by clicking on the icon to the