How are payments processed in the logistics industry?
The logistics industry involves payments at varied levels to multiple people either on or off premises. Logistics owners, fleet managers, truck drivers, suppliers and customers exchange payments for administrative, operational or delivery purposes. Managing payments in logistics can be a time-consuming task. While certain improvements may be implemented to streamline the process, an integrated bill payment system provides greater speed, security and visibility when it comes to making payments.
What is an integrated bill payment system and how does it work?
An integrated bill payment system allows for multiple payments on a single platform through multiple payment methods using credit/debit cards, UPI, bank transfer, payment links, QR codes and more. The payment information is well documented in the form of instant notifications and payment history that can be accessed through the dashboard on the web or mobile app. There are a number of benefits of payment gateway integration services including a one-stop destination for all the payments involved in the business.
Why is it important to have an integrated payment system for logistics?
Traditional payment methods are often prone to error and manipulation besides being time consuming and involving heavy labor costs. Moreover, there is a lack of visibility and provision to streamline payments in real-time. Therefore, it is crucial to optimize payments in logistics with technology. One of the major ways to streamline payments is through online payment integration where logistics owners, fleet managers and truck drivers can have full control and visibility over expenses and prevent unauthorized transactions.
Recently, in the National Logistics Policy 2022, the Indian government planned to implement the Unified Logistics Interface Platform (ULIP) where all services related to logistics can be accessed through a single portal. In such a case, an integrated bill payment system is also a major necessity to unify all transactions on a single platform.
3 benefits of using integrated payment systems
- Unified Management: An integrated bill payment system helps to unify all payments related to logistics including FASTags, fuel & fleet expenses, loan repayment, insurance premium, shipping invoices, and other operational expenses. There is no need to visit a separate web page or application for every category of payments as it is unified in a single window.
- Enhanced Security: Payment gateway integration services provide an additional layer of security as digital records cannot be manipulated and are free from manual errors.
- Consolidated Reports: Real-time visibility and access to payment history is of prime importance in logistics. Integrated payment solutions generate instant notifications and consolidated reports.
Let’s Wrap Up!
Payment processing in the logistics industry using traditional methods is a time-consuming process and lacks real-time visibility. The National Logistics Policy 2022 proposed the need for a Unified Logistics Interface Platform (ULIP) which will invariably require an integrated bill payment system. Integrated payment solutions will provide unified management, enhanced security and consolidated reports.
Axlerate provides a unified digital logistics management platform with transportation management solutions to simplify tolls, fuel purchases, fleet expenses, loans, insurance, escrow, payments, truck booking, fleet management and the buying and selling of logistics products and services.