Do you spend time on the phone following up on accounts that are behind and writing emails on past due accounts? Wouldn't it be nice to have an automated process that would take care of this for you? Well, you’re in luck because that is what automated dunning can do.
The benefits of an automated process:
Increased cash flow - automated dunning increases cash-flow by making sure payments aren't missed and forever left unpaid.
Time Savings – now you have more time to focus on other tasks
Lower costs – you no longer need administrative time/help to follow up on past due accounts
Let's look at an example: Joe's Security Alarm company bills 200 customers on a monthly basis. Joe's average invoice to his customers is $29.95 per month.
Approximately 5% of recurring payments per month will not be collected. This is due to a variety of reasons:
- credit cards expiring
- credit cards temporarily over their limit
- credit cards being replaced
What is the key to collecting those missed payments? Consistency! If you let customers miss a payment here and miss a payment there they will miss payments more and more often. With automated dunning your customers will receive regular communications on those unpaid amounts, without taking up your valuable time.
ChargeOver is experienced in automated dunning and ready to help you automate the collection of missed subscription billing payments.