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3 Benefits of Adopting an Omnichannel Collections Strategy
Today’s collections landscape requires firms to weigh the balance of consumer protection laws and innovative technologies that enable business agility and efficiency. Where does omnichannel collections fall in the mix?
Research shows traditional retail businesses that harness strong omnichannel consumer engagement strategies retain upwards of 89% of their customers. Can collection agencies take a similar approach to connect with consumers in a more flexible way that empowers them to manage their debt more proactively?
Agencies that adopt an omnichannel engagement model can seamlessly track consumer touch points across phone, email, and snail mail comminications more efficiently and at a reduced cost.
By modernizing your tech stack, you too can harness these key benefits of omnichannel collection management strategies:
1. Faster, More Informed Communication
An omnichannel approach to consumer communication can enable you to send consumers personalized messages on their phones (after securing consent), engaging your agent teams only for more complex queries.
This way, the costs of hiring a big fleet of agents can be drastically reduced by just engaging consumers through self-service platforms. With an omnichannel engagement model, it’s much easier to track consumers’ actions. As a result, you can execute resolutions for consumer queries faster, as time spent on tracking consumer information, putting them on hold during a live call, etc. can now be used to help them navigate their challenge.
2. Increased Revenues And Lower Costs
Studies suggest that you can reduce charge-off by implementing the agent and self-service approach together. An established omnichannel approach can help you grow year-over-year revenue by 9.5% compared to companies with weak omnichannel engagement. Strong omnichannel companies also notice a 7.5% decrease year-over-year in cost-per-contact.
The opportunity cost for companies without an omnichannel plan is an up to 10% loss of potential revenue – equivalent to the annual growth target of many companies.
3. Streamline And Future-Proof Compliance
Frequently following up with consumers over calls or emails can lead your agency to operate outside the latest CFPB rules and attract consumer attorney’s attention for violation(s) of Reg F.
Leveraging a self-service platform designed to adhere to the latest rules and regulations coming from ARM industry regulatory bodies can help you ensure communication with consumers is taking place after their consent and according to their preferences so you’re not breaching consumer privacy and harassment guidelines.
Ready To Take Advantage Of Omnichannel Technologies?
The primary goal of establishing omnichannel capabilities is to make follow-through easy and let the consumer choose their preferred communication method. Knowing and capturing consumer preferences can make sending personalized communication to consumers a cakewalk.
At Belvista, we have the technology expertise and know-how to take your systems from basic to revenue-driving. If you are ready to engage with consumers via web or mobile methods and want to reap all the benefits of self-service models, click here to schedule a discovery call with our team today!