Consumers just aren’t picking up their phones to talk anymore. It’s hard enough to reach them for non-collection reasons, but once the account goes into collections, for some reason consumers just don’t want to talk to you! And who can blame them? It’s likely an embarrassing situation for them.
And in the two follow-up articles we will discuss:
Omni-Channel communications refer to a singular/unified experience for consumers across multiple channels.
Additionally, a true omni-channel system should not only have the ability to communicate via different channels seamlessly but also be able to update your host system and determine the next best communication method per customer preference.
One thing that many companies mistake for Omni-Channel communication is actually just MULTIPLE-Channel communications. If you communicate with customers using multiple channels, that’s a great start, but until they all seamlessly work together allowing consumers to move between channels easily, can be tracked, update your host system with information gathered in the interaction AND determine the next steps for the customer to take, it is not a true Omni-Channel system.
What are these ‘channels’ we keep talking about?
Omni-channel in collections is a great opportunity to build relationships with consumers, not just produce payments. By communicating with the consumer in a way in which they want to be communicated with, you allow for a better customer experience.
There can be many benefits to implementing an Omni-Channel Communications strategy in your collection’s strategy. Such as:
Let’s face it – people generally have their cell phones with them all the time, and more and more are getting used to doing everything on their phones, not just communicating but banking, investing, socializing, entertainment, and more. Communicating with consumers the way they want to be communicated with and in a manner that they are comfortable with is key.
EZ Text, a mass texting company, did a survey on mobile usage:
Radicati Group did a more pointed survey related just to emails, here are some of the more striking results of their report:
Pew Research Center has conducted annual research on cell phone ownership annually since 2012. In posting the results of their 2019 research, they state: “A substantial majority of Americans are cellphone owners across a wide range of demographic groups. By contrast, smartphone ownership exhibits greater variation based on age, household income and educational attainment.” The most recent report results are as follows:
Percentage of U.S. adults who own the following devices:
| Any cellphone | Smartphone | Cellphone, but not a smartphone | |
| Total | 96% | 81% | 15% |
| Men | 98% | 84% | 14% |
| Women | 95% | 79% | 16% |
| Ages 18-29 | 99% | 96% | 4% |
| 30-49 | 99% | 92% | 6% |
| 50-64 | 95% | 79% | 17% |
| 65+ | 91% | 53% | 39% |
| White | 96% | 82% | 14% |
| Black | 98% | 80% | 17% |
| Hispanic | 96% | 79% | 17% |
| Less than high school graduate | 92% | 66% | 25% |
| High school graduate | 96% | 72% | 24% |
| Some college | 96% | 85% | 11% |
| College graduate | 98% | 91% | 7% |
| Less than $30,000 | 95% | 71% | 23% |
| $30,000-$49,999 | 96% | 78% | 18% |
| $50,000-$74,999 | 98% | 90% | 8% |
| $75,000+ | 100% | 95% | 5% |
| Urban | 97% | 83% | 13% |
| Suburban | 96% | 83% | 13% |
| Rural | 95% | 71% | 24% |
Source: Survey conducted Jan. 8 to Feb. 7, 2019.
PEW RESEARCH CENTER
The digital world is upon us. It is no longer an option to not engage with consumers digitally. As the younger generations begin to dominate the customer base, it is essential that you have a plan in place for communicating with them not only in front-end lending but also in your collection strategy.