Case Study: British Gas
Business Challenge
In
a commoditised industry where customers can switch supplier even if
they have £100 of debt, traditional weapons of revenue collection,
such as the installation of pre-payment meters or even disconnection,
are not always an effective or appropriate option. In today’s environment,
the regulators are placing the emphasis on early detection of payment
problems and rapid progress towards rehabilitation – with the onus
firmly on the supplier, rather than the customer.
The Decision Analytics answer
British Gas selected the Tallyman Debt Management solution to bring a CRM approach to debt management. Tallyman allows British Gas to segment ex-customers into three groups (switched supplier, gone away or moved home) to enable British Gas to take different, customised approaches to each group.
The Benefits
- In almost 20 years use, Tallyman has enabled British Gas to recoup around £300 million; a vast sum much of which would simply have been written off
- Substantial increases in efficiency and reduced manpower further increase the cost savings
"In today’s business climate, we cannot afford to give away our product
for free. We need to ensure that we take every reasonable measure to
recoup monies due. Tallyman enables us to take a customised approach
to each ex-customer which means that we are far more likely to receive
the money owed - and preserve a positive relationship."