A recent PYMNTS report shows that 85% of CFOs at US middle-market firms view automation as a key factor in minimizing payment processing friction, linking smoother transactions to improved revenue retention and customer loyalty.
- Only 43% of surveyed CFOs believe their payments are both fast and secure.
- Recurring payment delays cost firms about 1.92% of annual revenue on average.
- 70% of CFOs identify end-to-end straight-through processing as essential.
Market signal
The latest data from PYMNTS Intelligence reflects a growing consensus among CFOs that automation plays a pivotal role in reducing payment processing friction and balancing speed with fraud controls. While security remains a priority, firms report that overly complex controls can slow commerce and erode revenue.
This challenge is most acute in middle-market companies with revenues between $100 million and $1 billion, where delays and friction are linked directly to measurable revenue losses and diminished customer retention rates. The findings highlight a market-wide demand for seamless payment experiences supported by smart fraud prevention.
Operator impact
Operators managing payments infrastructure face pressure to implement solutions that deliver both security and speed without compromising either. Current practices involving complex authentications are frequently cited by CFOs as sources of payment friction, directly impacting transaction success rates and customer satisfaction.
Investment in automation technologies, especially end-to-end straight-through processing and AI-powered real-time fraud scoring, is thus emerging as a critical operational priority. Firms that adopt these tools are positioned to decrease payment delays, lower operational costs related to dispute resolution, and improve revenue cycle efficiency.
What to watch next
The adoption of AI and machine learning in fraud detection is expected to accelerate as CFOs report confidence in these technologies to enhance security without slowing payment speed. Monitoring real-world deployment outcomes will be essential to understanding which approaches yield the highest improvements in payments flow.
Additionally, operators should track how companies integrate notifications and formal service-level expectations alongside technological upgrades to improve customer communication and satisfaction. The ongoing innovation in payments automation infrastructure represents a critical area of evolution for middle-market and broader fintech ecosystems.