The Challenge
Anda is a distributor of pharmaceutical products, ranging from generic, brand, specialty and over-the-counter. Shipments of their products from nearly 400 different manufacturers are sent to a range of independent and chain pharmacies, nursing homes, mail-order pharmacies, hospitals, clinics and physician offices.
Many of Anda’s customers utilize one-time credit cards to pay their invoices. While convenient for customers, the manual process of sorting through hundreds of emails and manually keying that data was costing their accounts receivable (AR) team excessive amounts of time. Electronic card payments represented less than three percent of their overall credit card transactions, but their cash application team was spending 20% of their day managing these payments. The process took so long that they had to turn away customers.
The Solution
After reading a white paper on the topic, Anda looked to Billtrust, their invoicing vendor, to help automate their card acceptance and cash application processes as well. Within a week of sharing that white paper, Billtrust had someone explaining the merits of Billtrust Digital Lockbox to their finance team and their cash application representative. Afterward, Anda experienced a quick implementation process and started seeing results immediately.
“I was stunned at how quickly and efficiently Billtrust was able to roll out Billtrust Digital Lockbox for our team.”
Ryan Millan
Associate Director of Financial Operations, Anda
The Results
In the first month, Anda applied $1.3 million in payments via 360 individual transactions. The team was able to increase the number of electronic card transactions by 67%, automating 3,000 electronic card transactions in the first six months alone compared to a total of 3,600 electronic card payments processed the year prior. This ultimately led to an annual savings of $110,000 and a decrease in the card processing rates from 2.9% to 2.1%.
