Tech Teams Gain Sway Over AP Buying Decisions

The way technology systems interact with existing business platforms is now a critical factor in the decision-making process for purchasing accounts payable (AP) solutions, according to new findings. A PYMNTS Intelligence Tracker released in July revealed that 58% of small- to medium-sized businesses consider integration with existing systems to be very or extremely important when evaluating payment technologies, edging out pricing by just 2 percentage points.

This shift in focus towards integrations reflects the growing complexity of embedded payments, where the seamless connection of payment capabilities to enterprise software demands consideration of API quality, implementation ease, and compatibility within the current technology stack.

Key insights from the Tracker include:

- 62% of businesses identified ease of integration with existing systems (ERP integration) as the most crucial factor in selecting an AP automation solution.

- Implementation costs and ROI were considered equally important as integration ease, highlighting the emphasis on smooth deployment processes.

- Workflow efficiency improvements followed closely behind, accounting for 37% of the decision factors.

- Issues related to system integration, particularly after automation had begun, were cited by 49% of finance leaders as their primary concern, second only to cost.

Despite the progress made in AP automation—89% of organizations reported at least partial automation—a significant number still process over 5,000 invoices monthly through partially automated workflows, indicating that gaps in system integration persist and can hinder efficiency gains. For AP providers, the emphasis on APIs, documentation, testing environments, and implementation resources during product evaluation is now paramount.

For buyers, this focus provides a common ground for finance and technical teams to evaluate platforms before making a selection. The data underscores the importance of addressing integration challenges to fully realize the benefits of automation in AP operations.