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New research from the 2026 State of Online Payments report is providing a wake-up call for utility providers: Digital payments aren’t just the future — they’re already the expectation.
With 68% of Americans now paying at least one bill via mobile, up from 65% just a year prior, the data shows a strong, sustained migration toward digital-first behaviors. For utilities — which already lead in online billing engagement among Americans, according to the report — this isn’t the time to relax. It’s time to evolve.
Mobile-First is Now Table Stakes
Nearly half of all consumers (45%) now prefer mobile as their primary bill payment method, up from just 29% last year. That’s not just momentum; it’s a market shift.
With utility bills ranking among the top three most frequently paid online — behind only phone and internet — utilities have an opportunity to cement themselves as digital experience leaders.
But not all is smooth sailing.
Poor User Experience is Still a Drag on Adoption
While consumers are embracing mobile convenience, barriers like login friction, lack of reminders, and perceived fees are slowing full digital adoption. In fact, 22% of users cite lack of payment reminders as a major pain point — a missed opportunity for utilities to nudge on-time payments and reduce delinquencies.
Further, 1-in-4 respondents say they only pay bills when they’re reminded. That means utilities without well-timed, channel-optimized notifications (email, text, calendar invites) may be leaving cash flow and customer satisfaction on the table.
AutoPay: High Potential, Untapped Growth
While 64% of respondents are enrolled in AutoPay for at least half of their bills, adoption is still constrained by control concerns. Thirty-seven percent prefer manual payments, and 24% are uncomfortable with automatic withdrawals.
However, 60% of those not using AutoPay say they’d consider enrolling if safeguards were in place, like failed payment protection. For utilities looking to drive recurring revenue and reduce back-office load, this presents a clear design opportunity.
Final Takeaway
As the energy sector evolves to meet decarbonization and grid modernization goals, payment modernization must be part of the conversation. The online billing experience is often the most frequent touchpoint between a utility and its customer. A clunky one can erode trust — but a seamless one can boost satisfaction, reduce costs, and reinforce brand value.
Now is the moment to act. Because if customers have already gone digital, utilities need to, too.
For more insights on how Americans are paying their utility bills, get the most critical insights in the 2026 State of Online Payments infographic.