With immediate effect, Entega will be processing payment transactions through Aareal Bank. This is the first energy company to be linked up to the banking group's integrated payment services system, BK01. Entega a subsidiary of HEAG Südhessische Energie und municipal utilities of the city Mainz supplies electricity, gas, water and heating to around one million people in the Rhine-Main-Neckar region.
"Utility companies can now realise the added value which BK01 has offered to the property sector for decades," comments Christof M. Schörnig, member of the Management Board responsible for the integrated payment services business at Aareal Bank. With this first client, Aareal Bank Group has secured a 2% share of the payment services market in the German utilities sector.
Aareal Bank Group and SAP signed a cooperation agreement to expand payment services to the utilities sector at the end of last year. It took less than six months for the companies to develop a system integrating the BK01 payment system with the SAP solution for the utilities sector (SAP for Utilities). This enables SAP clients to take advantage of automatic payment for all utilities invoices. With a market share of around 80%, SAP is the leading German software provider to utilities companies.
Karl-Heinz Koch, Managing Director of Entega, explains: "The fact that SAP and Aareal Bank, two leading companies in their respective fields, have pooled their capabilities, convinced us right from the start. Practical implementation of the project was achieved quickly and smoothly. Our payment processes are being comprehensively optimised through BK01 together with SAP, and individual steps are being automated. Overall clarity is increasing. We have faster access to information and are gaining flexibility."
Until now, Aareal Bank's payment services system was provided mainly to the property sector, using the real estate module. "In general, BK01 can benefit all companies with mass payment transactions. We are offering substantial savings in terms of time and money," continues Schörnig. Around 2,200 companies already use the BK01 integrated payment process of Aareal Bank. In the institutional German housing property management sector, BK01 enjoys a market share of around 60%. Aareal Bank's Integrated Payment Services is part of the Consulting / Services segment.
Source: Aareal Bank