With more than 20 million consumer accounts serviced through intelligent, digital-first collections products, results show better repayment and happier customers than “call to collect” agencies
LENEXA, Kan., July 12, 2022 — TrueAccord Corp, a debt collection company using machine learning-powered digital recovery solutions, today announced that it has served more than 20 million customers in debt with a digital-first experience. TrueAccord’s customer-centric approach and commitment to creating a positive consumer experience is reflected in its 4.7 Google customer satisfaction rating, customer feedback, and an A+ rating with the Better Business Bureau.
TrueAccord’s collection solutions harness machine learning and digital-first communications to deliver a personalized, consumer-friendly experience for those in debt. As is the nature of machine learning, the system dynamically analyzes and refines the approach used for each customer based on their interactions combined with years of previous engagement data in order to deliver the most effective communication treatment. The patented system, HeartBeat, which is now 20 million customer engagement interactions strong since its 2013 inception, continues to optimize with each new customer interaction.
“Machine learning is only as good as its data sources, and with more than 20 million accounts’ worth of engagement data that informs the HeartBeat system, we’re confident that the experiences being delivered are as streamlined and as aligned to consumer preferences as possible,” said Mark Ravanesi, CEO of TrueAccord Corp. “As a mission-driven company, we prioritize creating better experiences for consumers in debt, and based on our high customer satisfaction and repayment rates, it looks like we’re making significant progress.”
Powered by TrueAccord’s industry-leading tech stack, the product suite includes Retain, a client-branded early-stage consumer engagement platform for managing pre-charge off debt, and Recover, a full-service debt collection solution. Key benefits of both products include a simple, intuitive and effortless-to-use digital platform leading to great user experience, constant A/B testing and optimization to reduce friction and boost conversion rate, infinite scalability, and second-to-none channel deliverability.
While holding customer experience as a priority, TrueAccord products continue to prove more effective than competitors, as evidenced by client case studies showing 25-35% better performance on accounts using Recover when compared to those placed with traditional agencies, and recovering $17 million in delinquent bills with a 44% paid in full rate using Retain.
TrueAccord is the intelligent, digital-first collection and recovery company that leaders across industries trust to drive breakthrough results while delivering a superior consumer experience. TrueAccord pioneered the industry’s only adaptive intelligence: a patented machine learning engine, powered by engagement data from over 20 million consumer journeys, that dynamically personalizes every facet of the consumer experience – from channel to message to plan type and more – in real-time. Combined with code-based compliance and a self-serve digital experience, TrueAccord delivers liquidation and recovery rates 50-80% higher than industry benchmarks. The TrueAccord product suite includes Retain, an early-stage recovery solution, and Recover, a full-service debt collection platform.
When COVID hit in 2020, one Fortune 500 company needed to find an effective way to communicate and collect from the rising overdue accounts, with many of their customers falling into financial hardships. While the company had previously relied on old-school communication tactics like direct mail and an in-house call center to reach customers who had delinquent accounts, they knew a better solution was needed.
The company had already observed firsthand a rise in customers’ preference for digital communications between mobile apps and online bill pay options, making it clear that this was the best route to go. Rather than build from scratch in-house—which would’ve been costly and time-consuming—the company evaluated third-party options before choosing TrueAccord and implementing Retain, the client-labeled early-stage collections solution.
Retain’s digital outreach strategy made a significant impact on customer engagement and resolution beyond just payments with improvements across their paid in full rate, overall collections rate, average amount collected daily, and more. And with the help of HeartBeat, TrueAccord’s powerful machine learning decision engine, they were able to observe behavior data and optimize digital touch points and engagement in real-time. In just a few weeks, this digital collections approach caused a major transformation that only continued to improve.
Historically, debt collectors have been depicted as hostile, intimidating or downright rude – and over the years they’ve confirmed those stereotypes through aggressive phone calling and deceptive tactics. But to what success and at what cost? We know there’s a better way. The idea of compassionate, considerate consumer communication is behind TrueAccord’s approach to debt recovery and drives our innovation, and based on what we’ve seen, we believe there’s a lesson to be learned for others in the debt collection space.
In collaboration with OnePoll, TrueAccord recently surveyed consumers about their financial regrets and found that 63% of respondents had some amount of money in collections. While 88% of respondents didn’t have any past experience with accounts in debt collection to report, the 12% that did weren’t so lucky, and their experiences were pretty awful. We don’t like to hear about consumers being treated badly and reading these consumer comments brings to light the problem we’re trying to solve.
So what are consumers’ complaints about their experiences with debt collectors? Here are just a few:
“A million phone calls a day.”
“I was disgraced in a public place.”
“Relentless and rude, judgemental and uncaring.”
“Terrible experience, they were perfectly nasty.”
“They are mean and evil and clever and make you feel terrible about yourself.”
“They get angry when I don’t have the money to pay back in time.”
We’re here to flip the script. At TrueAccord, we don’t call consumers to collect past due debts, and we certainly don’t threaten or harass. By using a digital-first communication approach and friendly, humane messages, we actually connect with consumers and they feel empowered and motivated to pay.
Don’t believe us? Here’s some real-life customer feedback from people TrueAccord has helped out of debt:
“Thank you for your patience and understanding!”
“Love the email communication and the ability to pay online.”
“I actually looked forward to making payments because I felt there was a sense of mutual respect between myself and TrueAccord. It felt good to take care of a lingering debt.”
“Thank you for your kindness, patience and professionalism in the wake of hardship.”
“It is amazing to be able to feel good about paying your bills. You helped me all the way. No pressure.”
“My experience with TrueAccord was seamless. Truth be told, it’s the first time I’ve ever enjoyed time spent with a debt collection company!”
So far the kindness approach has worked for TrueAccord – with more than 16 million customers served, we pride ourselves on our 4.7 on Google reviews, A+ rating with the BBB, and overwhelmingly positive customer feedback, not to mention our industry-leading recovery results. We’re proving that when you treat consumers with respect and kindness you can actually achieve better results for your business and customers.
Interested in finding out more about how outbound calling for debt collection is a thing of the past, our approach to digital-first debt collection and how it can work for your business? Check out “Outbound Calling Doesn’t Work, Here’s What Does” for more.
Collections-as-a-Service offering is seamlessly integrated to service customer debt accounts while delivering consumer-friendly, digital-first experiences
LENEXA, Kan., Jan. 5, 2022 — TrueAccord Corporation, a debt collection company offering ML-powered digital recovery solutions, today announced a partnership with Synapse as an expansion of its Collections-as-a-Service offering. The partnership will bring the best-in-class collection and recovery capabilities of TrueAccord to Synapse’s fintech partners and customer base, integrating collections into the customer-centric fintech ecosystem.
Given the rapid growth in fintech lending and banking-as-a-service (BaaS) and the steady rise in delinquencies, consumers are expected to fall behind on their payments and require assistance to repay their debts. Synapse, a BaaS platform that provides the infrastructure and leverages APIs to enable companies to quickly build and launch best-in-class financial services, selected TrueAccord to join their growing tech stack of fintech partners with similar approaches to financial services and customer experience to address the need for debt collection when it arises.
“We chose to partner with TrueAccord to add debt repayment services to Synapse’s BaaS ecosystem, because it aligns with consumer preference for a frictionless, digital-first financial services experience, especially when they fall behind,” said Sankaet Pathak, Founder & CEO of Synapse. “We want to ensure our customers have a good experience across all aspects of their financial journey, and providing that in collections is just as important for customer retention as it is in origination and servicing.”
Through an API integration, TrueAccord’s Recover debt collection solution will service charged-off debt accrued through Synapse’s lending platform. This will expand the Synapse fintech suite to follow a customer from loan origination to application and all the way through to collections, if needed. Additionally, TrueAccord’s Retain solution for early-stage delinquencies will be available on a referral-basis to the fintech partners in the Synapse ecosystem as an option to help get customers back on track with payments before being sent to collections.
“As a fintech company itself, TrueAccord knows the fintech business and customer better than most, especially in debt collection,” said Mark Ravanesi, CEO of TrueAccord Corp. “We speak the fintech language of consumer communication preferences, data and machine learning-driven technology, and no credit bureau reporting, offering customers a streamlined and hassle-free way to settle their debts and get back on track with their finances.”
With open banking on the rise, more companies will look for ways to incorporate collections into their service offerings. TrueAccord’s industry-leading Collections-as-a-Service product will enable fintech innovators to scale their businesses and offer best-in-class recovery with a customer-centric approach.
To learn more about TrueAccord, its API and built-in collections solutions, click here and follow @TrueAccord on Twitter and LinkedIn.
TrueAccord is the intelligent, digital-first collection and recovery company that leaders across industries trust to drive breakthrough results while delivering a superior consumer experience. TrueAccord pioneered the industry’s only adaptive intelligence: a patented machine learning engine, powered by engagement data from over 16 million consumer journeys, that dynamically personalizes every facet of the consumer experience – from channel to message to plan type and more – in real-time. Combined with code-based compliance and a self-serve digital experience, TrueAccord delivers liquidation and recovery rates 50-80% higher than industry benchmarks. The TrueAccord product suite includes Retain, an early-stage recovery solution, and Recover, a full-service debt collection platform.
TrueAccord’s Chief Growth Officer, Sheila Monroe, was recently featured in the New Standard in Debt Collection panel as part of the Beyond Digital: The Next Era in Collections summit. Having held numerous executive-level positions at TrueAccord on top of a multi-decade career in collections, Monroe is uniquely qualified to recount the historical practices of the collections industry from her point of view. In this blog post, Sheila shares her perspective on where the collections industry is heading in 2021 and beyond.
Much has changed since I started in the collections industry in 1986 and not just in the types of communication channels used, but also in the collection strategies employed. For example, the first real meaningful change was a move from a one size fits all strategy to a much more sophisticated segmentation of consumers.
That means “customer A” gets a very different experience than “customer B” based on their individual repayment behaviors while in collections. This type of segmentation helped companies decide calling intensity and their letter strategy: Is it a reminder letter? How frequently do we call? When do we call?
Once organizations mastered segmentation, operational efficiency (deploying and optimizing tools aimed at reducing the amount of calling) helped the industry start down a path of reduced staffing requirements and operational effort. Collection dialers have been around for years but with the new effort towards efficiency, agencies realized that customers were willing to make commitments and payments in the interactive voice response (IVR) system. Agencies started using interactive voice messaging (IVM) to automate outbound calling journeys as much as possible. Sophisticated skiptrace waterfalls became automated as companies got smarter about data management to increase contact rates.
The industry is still largely phone based but most collection businesses are now starting to adopt digital channels, like email and SMS. Though digital channels still only make up a small percentage of total outbound activity across the industry, we’ve seen regulators respond to these modern communication platforms with the introduction of Regulation F. As a company that is leaps and bounds ahead of the industry average when it comes to digital communications, we’re excited at TrueAccord about the new legislation. What Reg F says is, “all that disruptive phone calling that is happening, it’s not what consumers want. It’s not a great experience for consumers.” It’s clarified and given a strong nod toward using digital channels. When I think about that shift toward digital, a lot of players in the industry are just doing it for efficiency and some, frankly, out of survival because of Reg F.
The CFPB is doing a good job recognizing that consumers want a change, so they are forcing collection companies to innovate or get out. They understand that consumers want to communicate in more convenient, less disruptive channels and they want to feel safe communicating on their terms. The reality is that most consumers want to pay their debts. If there is respectful personalized communication and a simple way to sign up for a repayment plan, they likely will.
That brings me to where we are today and this continuing shift of behavior. When it comes to innovation and segmentation, changes have been about making things more streamlined for contact centers. All of that innovation has been focused inward to figure out how the company can optimize to get more for less. There’s been little attention paid to the consumer and their preferences. How can engagement with a consumer about a really sensitive topic be done in a way that meets their needs? How can we simplify the process for the consumer? How can we start to remove that stigma from the conversation? In most industries, you design with the consumer in mind and the money will follow.
Now, we’re in the age of the consumer. Today’s consumers crave simplicity, convenience and personalization. We live in a world in which we can listen to whatever music we want to hear, stream the content we want to see, connect with friends from around the world, get a ride, and have food delivered to our doorstep all with a couple of clicks. All those apps which we know and love, pay attention to our preferences to make it even easier the next time we open them to stream or watch or buy.
Effort is a thing of the past. Effort is reserved for things we want to do now: play a sport, take a hike, or go to our kid’s recital. So now, financial services, and yes, the collection process, which touches millions of consumers each year, needs to become simple, convenient, intuitive, personalized and ultimately, low effort.
This content originally appeared as part of the Beyond Digital: The Next Era in Collections summit. Watch the entire summit here.
In 2013, TrueAccord was founded with the hypothesis that AI driven digital collection was the way to transform the industry. Eight years later, we are still confident in the transformational nature of our hypothesis but are still surprised how few other companies in our industry have fully embraced digital-first debt collection.
The digital revolution has been ongoing for some time now. The word “digital” itself has evolved from a high-tech term that few understood to one that is now regularly accepted as part of our everyday lives – both personally and professionally. As the digital world continues to accelerate the way in which we do everything – from paying for things to driving cars to debt collection – it’s not enough anymore to just invest in digital. Focused strategies and understandings of more complex technologies are mandatory to getting the most out of what the digital economy has to offer.
At TrueAccord, to create powerful moments that actually help consumers, not only pay off debt, but become more financially stable and confident, we need to think bigger by putting them first. In honor of the launch of our newest product, Retain, TrueAccord hosted the Beyond Digital: The Next Era in Collections summit, which is now available in its entirety on-demand. Stay tuned for more on each of the individual sessions.
Here’s the lineup from the Beyond Digital summit:
Ohad Samet, Co-founder & CEO, One True Holding Company
Understanding Consumers in Debt in 2021 (and Beyond)
Mark Ravanesi, CEO, TrueAccord
Jacob Kong, Chief Product Officer, Experian
Jan Hansson, VP, Debt Collection, Klarna
What Debt Collection Leaders Can learn From the Masters of E-Commerce
Naama Bloom, CMO, TrueAccord
Sunil Kaki, EVP, Beachbody & OpenFit
The New Standard of Excellence in Debt Collection: Creating World-Class Consumer Experiences Via Machine Learning
In a recent report by the Aite Group, TrueAccord was featured in the inaugural edition of the “Retail Banking & Payments Fintech Spotlight”, which highlighted disruptive fintechs with a strong focus on technologies that improve the customer experience. Analysts from Aite Group selected the six featured fintech vendors exclusively based on their level of innovation and their interesting approaches to wider business challenges facing the retail banking and payments market from both bank and customer perspectives.
The key differentiator making TrueAccord an innovative fintech disruptor? Not just taking an old system and making it digital, but using a customer-centric approach and machine learning engine that caters to each individual’s needs and seeks to fundamentally change the way consumers manage their debt.
TrueAccord directs consumer focused messages to their preferred communication channel at the right time, all in line with federal and state requirements. With automated communications and the consumer’s ability to self-serve, TrueAccord collection agents can service 80,000 accounts at a time, compared to the typical 1,000 to 2,500 accounts that a traditional agent manages on behalf of the financial institution client. In addition, TrueAccord has found that allowing the consumer to propose their own payment arrangements within the institution’s approved parameters makes it 50% less likely that they will break that payment agreement.
“Taking an existing process, especially one that is historically not consumer-friendly, and overhauling it from the ground up to actually benefit consumers is disruptive in the best way,” said Leslie Parrish, Senior Analyst, Aite Group. “While many companies focus on the consumer experience during the loan application process, very few bring that same attention to providing a consumer-friendly digital-first experience to the collection of that debt. TrueAccord’s unique approach to debt collection serves as a catalyst for transforming the collections industry.”
Excerpt from “Retail Banking & Payments Fintech Spotlight”:
The process of collecting on consumer debt is in need of a serious update, and TrueAccord distinguishes itself as a true stand-out in this industry. Together, the company’s three offerings provide a comprehensive solution set for both financial institutions and consumers. Consumers have significant pain points in dealing with unwanted collector calls and would much prefer to deal with these unpaid debts without having to speak with an agent. TrueAccord’s Recover and Retain platforms collectively provide financial institutions with a way to effectively communicate and collect on accounts at varying stages of delinquency in a way that is hospitable to consumers.
To read the full TrueAccord spotlight, download a copy of the report here.
Traditional call and collect debt collection agencies may see up to 5,000 accounts managed by each agent on their team. Increasing that number to 80,000 accounts per agent not only requires the support of powerful machine learning technology but an extensive training program. Cassie Cox, TrueAccord’s Director of Operations, discusses how her prior experience in collections and a unique training program has enabled our team to manage multiple communication channels and support a customer-focused experience.
How has your experience in debt collection shaped your approach to managing operations today?
I’ve been in collections for 25 years. I started my career on the phones as a debt collector myself, and I worked my way up to a supervisor position and eventually a department manager. I just kept going from there. I’ve had the opportunity to work across the country—North Dakota, Oregon, Virginia, and now Kansas—and in several roles where I was responsible for the agent experience.
Consumers’ expectations have changed significantly. I remember when having an IVR (interactive voice response system) manage call flows was an annoyance to people. Customer experience scores would plummet because of them. Someone would call in and want to speak with an agent, not a computer.
Today, no one wants to talk to an agent anymore. If someone has to pick up their phone, hearing an IVR is their best-case scenario. You have to meet your customers’ needs from tomorrow, today, and improving the overall customer experience with your company starts with having the right infrastructure in place. You need to ask the right questions:
How are consumers trying to engage with you?
What tools do your agents need?
How do you develop those tools?
What processes do you build?
What controls are in place to maintain consistency?
All of this helps to make sure that the customer experience comes to life in the way that you design it and doesn’t go off the rails. You can use these guidelines to train new hires and manage new process deployment in the future, and you can manage this by building a quality knowledge management system.
Speaking of processes: as I understand it, our agent training process is pretty extensive. Can you walk me through what training looks like and why that’s the case?
The key differentiator for our training process is really that our agents are working closely with TrueAccord’s technology. Agents in a traditional call center are regularly managing payments and routine account questions. When 96% of our consumers are managing their accounts through self-service, the consumers that do email or call us truly need help.
Machine learning technology drives TrueAccord’s consumer experience. If you want to learn more about the role of machine learning in debt collection, you can read more here.
This means that our call types are typically more challenging, and we need to rely on more complex problem-solving skills. So our goal with our training is to create a team of elite problem solvers.
Agents also have their own technology to learn and manage. We have our own CRM that helps automate scripts and disclosures that prompt agents so they don’t have to memorize a unique playbook for every client. If, for example, a creditor has a unique out-of-statute disclosure, that information can be built into our system, so we make sure that our team sees it when they need it.
These processes are fairly standard in the collections space, but they still require training. The biggest reason that our program is a full six weeks is that our agents are managing multi-channel communications. I’ve worked with larger companies where you have one team dedicated to email, one for inbound calls, and another for outbound calls. Our agents are managing all of our channels at once.
“I’ve worked with larger companies where you have one team dedicated to email, one for inbound calls, and another for outbound calls. Our agents are managing all of our channels at once.”
A new hiring class will spend two weeks in a classroom setting designed to teach Collections 101. This ten-day period is meant to go over subjects like the differences between first party and third party collections, defining pre-charge off versus post charge off debt, and who our clients are. Reviewing collections laws and regulations is also a foundational part of the education process, and then we finish off by walking through our communication channels and TrueAccord’s systems.
The next week, these agents begin to manage inbound email communications. Once they feel comfortable with email, we have another week of phone training before they spend the fifth week managing calls. Then, in the last week of their on-the-job training, they are working both email and phone communications.
I’ve seen other companies with training programs that last anywhere from two to four weeks, and it’s great to have people ramped up quickly, but you also have to balance that with high attrition rates and error rates.
Our training team is also incorporating a comprehensive suicide-prevention training into our agent onboarding process as well as for our current staff. A surge in unemployment and growing anxieties about financial stability and personal health due to the pandemic have contributed to an increase in consumers that are in need of more than simple financial assistance. Our agents experienced this surge first hand, and we want to equip them to successfully navigate these difficult conversations. This includes being able to deescalate potential life-threatening situations and referring to resources like the National Suicide Prevention Hotline (1-800-273-8255).
Even here at TrueAccord, the process has improved over time, and we continue to improve our training methods because we want to set people up for success.
Some improvements and changes have been expedited recently. You recently hosted a webinar with Tim Collins [TrueAccord’s Chief Compliance Officer and General Counsel] about shifting agents to a work-from-home environment that has generally gone very well. The COVID-19 pandemic has made a huge impact on work standards and practices, but are there other challenges we’re working to address at the moment?
If we’re talking about larger-scale challenges, it’s important for us to continue improving our training and helping our agents navigate conversations and negotiations with consumers, but that need has also been amplified by COVID-19. The pandemic sent the nation and the world into crisis mode, and for us, that meant that when a consumer reached out and said they had been impacted and they couldn’t pay, we would tell them “It’s okay, we understand.”
TrueAccord has also worked directly with many of our clients to implement a hardship program to offer further assistance to consumers directly impacted by COVID-19.
Unfortunately, whether they’ve been impacted or not, their debt still exists. Now we’re working on guiding them through the process and focusing on “It’s okay. We understand. Let’s work with you to get through this.” It’s easy to hear someone’s concerns and say “you don’t have to pay right now,” but we can do more than that for them by discussing their options.
Thank you Cassie for sharing some insight into our training process and for your continued dedication to creating a positive consumer experience with our team. Building a system that supports and educates consumers leads to long-term financial success, and our agents are a core part of that.
Are you looking for a new type of collections solution? Talk to our team today to see how our machine learning engine and our expert agents can improve your recovery rates.
Expanding a small business requires a consistent and a steady, growing cash flow. Especially in the early stages of growth, a single, large payment or several smaller payments being delayed could mean the difference between keeping your doors open and closing up shop.
Your consumers may delay or cancel their payment for any number of reasons: a more urgent financial need arose, they had a disagreement with you about your product or service, they simply forgot to pay, or they adamantly refused to pay for no reason at all. Navigating these situations with your customers can be a challenge and can take time and valuable resources. You have to consider:
How much effort you’re willing or able to put into pursuing payment
How much time you will spend on individual accounts
Whether or not you’re willing to damage a customer relationship (or even lose them as a customer) to secure payment
Unfortunately, there is no right answer to these questions, and your business’ response will vary from case to case.
Not everyone will pay what they owe
As delayed payments begin to pile up, many small businesses will begin to try to collect on these payments themselves, and the outside options are often limited due to traditional agencies having account volume or account value minimums. Traditional agencies are also seen as greedy, uncompromising, and even sometimes threatening according to a study published in the Journal of Business Ethics. You may only see 50% of whatever they are able to collect, and then also lose out on your customer relationships.
Some customers won’t pay. Period. Newer digital debt collection strategies can help to collect on these accounts and even build up your business’ reputation with consumers, but before you commit to using a 3rd-party collection service, there are some steps you can take to get closer to 100% payment rates!
1. Have a clear plan for offering credit
Negotiate payment terms in advance, write them down, and limit how much risk you take on each transaction. It can also help to adopt pre-paid models whenever possible and require a payment instrument before you let customers use your product.
Your risk team should also be wary of newer customers without an established credit history. If you see a customer start using your product or service and they run up a significant balance in their first few days or weeks, monitor their account carefully. If you run an eCommerce business or a marketplace, frequent and aggressive purchasing sprees from new customers are a major red flag and should be examined before they become larger issues.
2. Charge and invoice promptly
By issuing your invoice or charging a payment instrument immediately following the completion of a job, you can secure payment without leaving room for evading payment.
Beyond that, you can build a (preferably automated) process for following up on chargebacks, outstanding balances, or invoices early and often. There is a careful balance between “often” and “too much” though, so be careful as you set up your contact cadence. Even if you don’t get paid on time, keeping yourself at the top of customers’ minds increases awareness and prepares them to negotiate payment terms when they’re able.
3. Make payment frictionless
Keep a payment instrument on file for your customers and verify it with a $0 authorization. You can also expand your available options and make it easy to set up multiple forms of payment; the more backup payment options you have on hand, the better your chances of completing payment.
4. Talk to your customers like people
A few stray consumers may actively or angrily refuse to make a payment, but most of your customers want to stay out of debt. If you approach every delayed payment in this way, you can approach payment (and collections) with human in mind, and you can end up retaining a valuable, long term customer.
Customers that you work with may be able to provide invaluable feedback to your team’s processes. Make sure to follow up and talk to them!
Your small business’ goal with receivable management isn’t only to prevent late paying customers, it’s also to retain positive relationships with the most valuable ones. Don’t let a temporary situation ruin a beneficial long term relationship.
5. Prepare an escalation structure
Investing in preventing late paying customers can pay dividends to your bottom line, but retaining some expert help in the event you can’t collect on a delinquent account can be an effective strategy as well. Your risk team may be experts themselves, but accounts recovery is a complex industry to navigate, and if you don’t plan on building a full, first-party collections team in-house, you can form connections with other agencies.
Having a small business collections partner as a last resort also increases your chances of recovery by informing customers that a delayed payment will likely move to collections. Consumers often recognize that having an account in collections can damage their credit scores and will do their best to pay if they are able.
It’s not easy to prevent customers from missing the occasional payment, but by following a thorough process you can resolve delayed payments before they can damage your business.
Everyone knows that customers are the backbone of a business; if people don’t use your service or buy your product then you won’t have a business for very long. In order to solve this problem, companies often work to bring in as many new customers as possible, but you can’t forget to nurture relationships with consumers that you’ve worked with in the past.
According to Adobe, 40% of eCommerce revenue comes from returning customers which make up only 8% of total visitors! That number alone should inspire you to get out and talk to your old customers and figure out what they think, but there are quite a few more reasons you should cherish customer feedback and use it to strengthen your company!
Building brand promoters
The omnipresence of social media means that consumers that are excited about your company will shout from the digital rooftops to endorse you. Unfortunately, the power of social sharing also means that the opposite is true: if a person has a particularly negative experience with your brand, they will spread the word around fairly quickly.
Properly managing customer feedback can dramatically improve your brand’s reliability. A Net Promoter Score measures customer’s satisfaction with a business by asking: “how likely are you to recommend this (product/service) to a friend?” Customers that rate your business at a 9 or a 10 are considered promoters and are your best friend when it comes to spreading the word about your brand.
Maintaining a high NPS score is challenging, but by focusing some efforts on gathering and listening to customer feedback, you can gradually build effective, organic branding that sets you apart from your competition!
If maintaining customer relationships is so important, you may be hesitant to try and collect on debts for fear of negative feedback. But digital debt collection solutions can support your brand and your bottom line!
Incorporating feedback and iterating
Not every review will revolutionize your business. If you take every negative review to heart, you might start to feel a bit down on yourself, but by analyzing customer feedback in aggregate, you’ll start to see patterns emerge!
These patterns won’t appear overnight, and even some patterns may not give you the direction you’re looking for (it is still your business after all). That said, if you have dozens of customers asking for a new feature or piece of content, imagine how many more customers want the same thing that aren’t asking!
By listening to customer feedback and building new tools that your customers are looking for, you can demonstrate that you listen to them and further improve retention. Plus, incorporating these changes into your customer lifecycle can pay big dividends!
Promoters will continue to support your brand, bring in new customers, and in the long run, they will continue to spend more as your brand relationship improves. A survey by Bain & Company shows that customers actually spend more in months 31-36 of their relationship with a brand than they do in the first six months.
Creating a self-sustaining system
Feedback helps your business to grow and meet the ever-expanding needs of your market. If you don’t listen to your customers and build in a vacuum, you may soon realize that you were not solving the root of a problem. This isn’t to say that every customer suggestion or idea is the right one for your business, but if you take the time to listen to your customers you’ll build their trust and might just find the next right step.
TrueAccord is a machine-learning and Al-driven 3rd-party debt collection company that is reinventing debt collection. We make debt collection empathetic and customer-focused and deliver a great user experience.
Our digital-first approach to debt collection creates a cycle of collections growth:
1. Improve the perception of the industry
2. Provide a personalized experience
3. Build brand equity and collect