Modern Teaching Aids
Educational support services
Modern Teaching Aids sells over 10,000 different kinds of teaching resource products to Early Childhood, Primary and Secondary Schools. It is also the largest privately owned distributor of toys in Australia and New Zealand. In October 2011, the company worked with BPAY marketing to run a promotion designed to increase the percentage of their invoices paid by BPAY.
The campaign was both simple and cost-effective, involving the despatch of some 8,000 fliers to Modern Teaching Aids’ client base of schools and childcare centres. According to Finance Director, Rob Davis, the campaign is already delivering results. “Before we ran the campaign BPAY represented 5.5% of all receipts. In November it was at 6.4% and December at 7.3%. That’s a real increase in BPAY use of over 30%.”
Rob says the impetus for a big BPAY push came from his credit team. The cheque payments they receive need to be opened and allocated to the account during the course of the working day, while EFTs also need to be sorted and matched to accounts.
“The story from our credit team was about how much they love it when customers pay using BPAY. With BPAY, funds are allocated to the customers’ accounts by our ERP system before we walk in the door in the morning. BPAY is a really good payment method for us – faster than cheques and more efficient than EFTs. It means our credit staff spend their day working on their customer list rather than allocating payments”, says Rob.
Rob Davis says that his customers also find the experience of using BPAY far more appealing. “Since the campaign we’ve had some interesting conversations with our customers. They love the reliability of the BPAY payment method and the security of knowing that the funds are being allocated directly to the right account – that’s especially important if they’re paying big bills. It’s just a nice, simple, secure payment option for them.”
We asked Rob Davis what his medium and long-term objectives for BPAY use are. “In the medium term I’d like us to get to 10%. There will always be big institutions that stick to their traditional methods. But in the long run I’d like to see our BPAY numbers up at 30-40% - I don’t see any reason why we can’t get there.”