HSBC Commercial Banking SG case study, Market Expansion Services Provider, DKSH
  • Managing Cash Flow
    • Make & Receive Payments

Case study: Market Expansion Services Provider

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Asia is the world’s largest and fastest-growing e-commerce marketplace. Over the last decade, leading companies across the region have expanded their e-commerce capabilities to ensure they can meet customers’ expectations of a seamless digital payment experience.

More recently, the COVID-19 pandemic has spurred an exponential rise in digital adoption across Asia Pacific, with many more consumers making their first digital purchases and existing consumers spending more time online. Given this enormous leap in online buying, more companies than ever are now seeking to stay relevant by harnessing digital payment solutions that can offer consumers the fast, convenient services they demand.

Transforming the customer payment experience

One organisation that has achieved just this is DKSH, a leading Market Expansion Services provider for companies seeking to grow their business in Asia and beyond.

With customers demanding a more digital experience and COVID-19 re-inventing the way we interact digitally, DKSH recognised that it needed a new payment and collection strategy to improve its existing processes. Accordingly, the organisation approached its banking partner HSBC Singapore to implement a digital collections solution that could offer customers flexibility, speed and convenience with minimal manual intervention.

In four weeks, HSBC worked with DKSH to implement PayNow QR via API, as part of the HSBC Omni Collect solution, that allows customers to make invoice payments simply by scanning a QR code, and which triggers instant payment notifications to DKSH.

Delivering a fast, friction-free solution

Since launching its new payment solution in November 2020, DKSH has seen a host of benefits. First, it has transformed the customer experience, delivering a smarter, faster, friction-free service. Second, the new solution automates certain key steps in the payment process, allowing DKSH’s finance teams to operate more efficiently. Those steps include an in-built real time API enabled credit notification feature, and the automatic posting of payment entries onto DKSH’s SAP-based Enterprise Resource Planning platform. At the same time, the payment solution can generate hourly consolidation reports, removing the need for teams to conduct tracking and reconciliation manually.

Now, building on this success, DKSH is working with HSBC to enhance its receivables capabilities by adopting the rest of HSBC Omni Collect features and expanding the payment solution to other markets in Asia Pacific. This one-stop collection solution is designed to help brick-and-mortar stores, kiosks, e-commerce and m-commerce sites to streamline digital collections across different channels, including QR code payments, card payments and e-wallet transactions. Besides offering companies a consolidated view of their payment collections, Omni Collect simplifies the reconciliation process and enhances the customer experience.

Priya Kini, Head of Global Banking, Singapore, HSBC said: “Digitising the collections process remains one of the major concerns for treasurers. That is why we continue to invest in developing innovative solutions like Omni Collect to support our customers’ transformation journey. We are pleased to be able to support DKSH in their optimisation and transformation agenda.” In Singapore, HSBC has observed an increase of over 300 per cent in real time payment volumes during the course of 2020, compared to the same period in 2019, signally a shift in consumer behavior that is increasingly more receptive to paying digitally.

Embracing innovative approaches to stay relevant

Patrick Stillhart, Vice President FMCG, Malaysia and Singapore, DKSH added: “With growing business needs and changing customer behaviour, DKSH is currently at the forefront of embracing and advocating a digital agenda to stay relevant in this competitive and fast-evolving space. Working with HSBC, DKSH is driving excellence in operational efficiency, client and customer experience, laying good ground to spearhead our digital transformation.”

Ai Chen Lim, Co-Head of Sales, Global Banking Corporates, Global Liquidity and Cash Management, HSBC, put it this way: “This is just one of many examples of how we have made a difference in supporting our clients to achieve greater efficiency and ensuring their business remains agile in an evolving environment.”

Echoing these sentiments, Zohair Ahmed, Director - Consumer Brands, Retail and Healthcare, Global Liquidity and Cash Management, HSBC added: “We are deeply committed to helping DKSH at every stage of their digitalisation journey to future-proof their systems in an evolving business landscape”