Could the Customer Experience Be The Key to Increased Collections?

When it comes to the collections industry, research has shown that the customer experience has a more integral role to play than previously believed. Evidence has shown that the breakdown of human interaction in modern business is the cause of many of today’s revenue problems. Fewer people have been using face-to-face communication in recent years, that trend exponentially increased with the dawn of COVID-19. While this is excellent news for streamlining businesses and improving productivity, it can quickly erode the customer experience if done incorrectly.

However, organizations that have embraced powerful and proven digital tools have seen spectacular returns. When it comes to payment processing, we believe that the experience is everything; that’s why we work hard to achieve a simple and easy to navigate payment system.

Contactless

At one time, not so long ago, customer contact was the goal of organizations. Offering a more personal level of service was the key to success. Today, personalization is still essential in business. However, AI and other developments manage to achieve this on a much larger scale. The real hands-on experience is no longer in evidence. In grocery stores, self-scanning checkout machines have replaced many human assistants. In the bank, screens have often replaced the human teller. In collections departments, however, this lack of contactless solutions has lead to revenue problems.

By implementing automation, you free up your staff to focus on the harder, more difficult questions from your members for a better overall customer experience.

Poor Customer Services Leads to Collections Issues

Many organizations fail to see the connection between customer service and collections. Poor communication can lead to up to 50 percent of accounts ending up in collections. Companies that excel in their customer support find that their delinquent account numbers drop by a significant margin.

The more a company talks to its customers to resolve problems, the easier the process becomes. While automation has many uses and can be instrumental in many areas, humans still have a large role to play. It’s all about how you organize your structure and how well you use your resources. It seems that a combination of both human interaction and automation are the perfect solution.

Improving the Customer Experience

So, what does it mean to improve the customer experience? It means communicating with customers at all stages of their experience to build a relationship. It means staying on top of any financial issues affecting customers. It means raising concerns as soon as they occur to resolve them.

Is that all you need to do to improve? The answer is no. Again, human contact has a role to play in collections, but there also needs to be convenience. Once an account becomes delinquent, the key lies in making it convenient for a customer to pay. Without a speedy and accessible solution on hand, receiving money, on-time becomes increasingly tricky.

BillingTree offers cutting-edge solutions to the collections industry. By integrating all aspects of accounts management into a single, convenient platform, BillingTree simplifies receiving payments. Online portals represent one simple ARM solution. This makes it easy for consumers to make payments in the method and at the time of their choosing. When consumers have this flexibility in their options, they are more likely to pay on time and in full. BillingTree’s solutions are all fully secure and compliant for peace of mind. They are also simple to use to facilitate speedy payment.

Takeaways

Although personal contact is vital in the early stages of collections, online solutions have become the dominant presence, especially after COVID-19. Today’s consumers value automation and online convenience. Offering them an Internet solution for making payments has its advantages.

Through the right combination of human interaction (phone and chat) and online collections (online portal, SMS payments, IVR, etc.), a company can increase its customers’ satisfaction. Together, today’s modern solutions can increase revenue while improving the customer experience all around.