Managing fuel expenses and payments is crucial for organizations that rely on vehicles for their business operations. While there are several payment options available, each has their own set of challenges and drawbacks. More specifically, existing fleet payment solutions often fail to address the needs of small and medium-sized businesses (SMBs). That’s where Fillip comes in.
To address the challenges associated with fleet payment management, we worked with Visa on a white paper that explores the innovations and benefits of digital payment solutions in the fleet industry.
In this blog, we summarize the white paper, shedding light on the limitations of current payment solutions and the specific needs of SMB fleets. We also showcase the impact of Fillip’s mobile payment solution, which leverages Visa digital fleet cards to create a secure and simple payment experience. Looking ahead, we outline the ways in which digital payments will play a pivotal role in the future of fleets and how Fillip’s platform is redefining the payment experience to enable the energy transition.
Addressing the Underserved SMB Fleets
While large fleets benefit from fuel cards provided by oil companies, SMBs lack similar options. Despite SMBs representing 25% of the fleet market and spending billions on fuel, traditional fuel card providers often overlook them. The application and management processes for fuel cards are time-consuming and complex for SMBs, coupled with high card fees. This creates a need for a more secure and simplified fuel payment solution tailored to SMB fleets.
Limitations of Plastic Fleet Cards
Plastic fleet cards present challenges in terms of flexibility, security, and acceptance. The inflexible nature of plastic cards makes them unsuitable for addressing the unique business challenges faced by fleets today. Security risks, such as fraud, continue to impact fleet operators, especially with the lack of security chips in many plastic cards. Moreover, fleet cards have limited acceptance, usually tied to specific merchant networks, making it challenging to adapt to new types of merchants that become relevant to fleets in the future.
Challenges Faced by Fuel Payment Apps
Fuel payment apps emerged as an alternative to plastic fleet cards, but their performance has mixed reviews. User satisfaction ratings for most apps have been low, with complaints about limited acceptance, unreliable performance, and lack of customer support. These apps often failed to meet rising user expectations and were considered extensions of existing plastic cards. When issues arise, drivers would revert to using plastic cards, undermining the effectiveness of these apps and highlighting the need for a more reliable solution.
Fillip Fleet's Digital Fleet Card Solution
Fillip’s digital first approach, means we offer a digital payment platform specifically designed for SMB fleets in Canada.
By leveraging Visa digital cards and contactless payment technology, Fillip Fleet’s solution provides drivers with a seamless and secure fuel payment experience.
Fillip offers a digital payment platform specifically designed for SMB fleets in Canada. By leveraging Visa digital fleet cards and contactless payment technology, Fillip provides drivers with a seamless and secure fuel payment experience. The digital-first approach ensures quick onboarding and eliminates the need for plastic cards, unless specifically requested. Fillip's digital cards are stored in drivers' secure digital wallets, offering a frictionless payment process with instant transaction notifications.
Universal Fuel Acceptance and Convenience Marketing
Fillip Fleet’s digital fleet cards enable universal acceptance, allowing drivers to use their cards at any retail gas station accepting Visa, eliminating the need for searching for specific fuel card brands. Also our app provides a map feature that includes a comprehensive directory of service stations across Canada, assisting drivers in finding the most suitable stations. Moreover, we offer an opportunity for fuel marketers to customize their digital cards and promote additional services, such as car washes and convenience store products, to drivers, increasing profitability.
Enhanced Security and Control for SMB Fleets
Fillip's digital payment platform provides higher levels of security and control for SMB fleets. With targeted card acceptance at gas stations only, Fillip reduces fraud and card misuse. Fleet operators can set spending limits, receive real-time notifications, and access purchase history for effective fraud control. Additionally, Fillip streamlines administrative processes, eliminating the need for prepayment from drivers and simplifying expense claims, reconciling, and tax reporting.
Fillip Fleet's digital payment solution is revolutionizing fleet payments for SMBs in Canada. By offering a digital-first approach, universal acceptance, enhanced security, and convenience marketing opportunities, Fillip addresses the limitations of traditional fleet payment solutions. With its user-friendly interface, quick onboarding, and streamlined processes, Fillip provides SMB fleets with a powerful tool to effectively manage fuel expenses, simplify administrative tasks, and focus on their core business. As the fleet industry continues to evolve, Fillip's innovative solution sets the stage for a more efficient and secure future for fleet payments.
Alice Reimer, CEO of Fillip Fleet:
I’m delighted to share Fillip’s impact and technology advancements for the fleet industry in partnership with Visa. Our work together in this white paper highlights how Fillip is modernizing B2B payments to improve the purchasing experience and prepare the fleet industry for the energy transition.
While financial technology capabilities have grown immensely in the past decade, fleet and fuel cards have remained largely unchanged. This has contributed to the long-standing challenges faced by SMBs in acquiring fleet card services. In partnership with Visa, Fillip is leveling the playing field for SMBs, creating opportunities to increase productivity through universal brand card acceptance, real-time visibility, and easy spending controls - all from their smartphone.
As an industry, we must move to a digital first payment platform to enable the energy transition. Fillip is extremely excited to be the platform where this transition will be more manageable and achievable for fleets because of our digital experience and universal processing power.
See Fillip featured on Visa’s Business Solutions Page.
Visa Inc. (NYSE: V) is a global leader in digital payments, driving the growth of digital commerce worldwide. With a strong focus on innovation, Visa transforms how people make payments across various devices and locations. As the world transitions from analog to digital, Visa utilizes its brand, products, network, and scale to shape the future of commerce. For more information, visit Visa's official website, the Visa blog, or follow @VisaNews for the latest updates.
About KNI Research:
Knowledge Network International (www.kn-intl.com) is a multidisciplinary professional services organization known for its global research expertise in fleet and mobility payments. With a focus on providing valuable insights and analysis, KNI Research offers comprehensive research solutions in fleet and mobility payments, catering to the evolving needs of businesses and organizations.