BOOSTING TIMELY PAYMENTS
[ BOOSTING TIMELY PAYMENTS ]
HOW STANDARDIZATION AND INNOVATION CATAPULTED A TELECOM PLAYER'S 0-30 DAYS COLLECTION RATE TO 85%, RESULTING IN $50 MN MONTHLY INCREASE AND 80% REDUCTION IN WRITE-OFFS
- PROBLEM
- Key Challenges?
- Our Solution
- The Result
A Telecom Player's Percentage Of Dues Collected Within 30 Days Of
Billing, Also Known As 0-30 Days Collection Was 65%, Indicating A
Low Rate Of Timely Payment Collection.
- Lack of strict disconnection process after certain thresholds
- Variation in the timelines for disconnection for various products
- Lack of IT capacity to disconnect large volume of accounts
- Insufficient notifications to customers to inform about outstanding dues
- Customer mind-set to get line reconnected with partial payments
- Lack of innovative notification channels beyond SMS
- Standardization of disconnection timelines for all products across Segments
Communication to customers about the Disconnection
process across the customer lifecycle
Introduction of 6 innovative communication methods
to customers to clear the outstanding dues with
increased frequency.
Tie-up with Credit Bureau to impact the Credit Ratings
basis outstanding dues
- A gradual increase of 0-30 Day collection% from 65% to 85%
- An additional increase of $50 Mn collections per month
- Reduction in Write-off amount by 80% due to improvement in early-stage collections
