Not getting the debt collection results you want?

If you or your collection agency are using outdated communication methods, that could be the problem.

Research shows that more and more consumers prefer digital channels, like email, SMS, and chat, over traditional calls and letters.

While most businesses have implemented digital communication in some form or another for a better customer experience, some are lagging behind.

As calls and letters become less effective, thanks to changing consumer preference and call blocking, it’s more important than ever to adapt to the changing times.

Here’s why:

Consumers Simply Prefer Digital Communication

Research has shown that consumers increasingly prefer digital channels over traditional ones.

• Email is the most commonly used customer service channel, with 54% of consumers using email to contact a company in 2018. Forrester
• 43%of Millennials contact customer service from a mobile device. Microsoft
• 90%of consumers expect companies to have an online portal for customer service. Microsoft

In addition, they want this experience to be seamless across channels, without the need to repeat themselves if they switch from voice to email to text and back.

• 66%of consumers have used three or more communications channels to contact a brand’s customer service. Microsoft
• 71%of consumers want a consistent experience across all channels, but only 29% say they actually get it. Gladly
• 72%of customers expect companies to know their purchase history regardless of what method of communication they used, such as chat, phone or email. NICE

Companies that don’t provide this seamless, omnichannel experience will have trouble competing. The same applies to debt collection agencies and services.

Yet, collection agencies still have a long way to go to meet this demand.

“Younger consumers especially prefer to deal with their debt through a payment portal, rather than call back and provide payment info over the phone,” says the  2020 TransUnion Collection Industry Report. “If we don’t come up with new ways to communicate with consumers, the entire industry will die off.”