Involuntary Churn Kills Revenue

Dealing with failed or missed payments can be a significant paint point, from high accounts receivable to involuntary churn. Manual efforts to deal with failed payments can overwhelm your team. Solve these issues with a well-configured, automated collections process.

Automated Collections

Save Customers Who Didn’t Plan to Cancel

You’ve worked hard to get your customers or donors. Don’t lose them to payment processing issues!

Customer payments fail due to:

  • Expired cards
  • Canceled cards
  • Insufficient funds / credit limits
  • Fraud alerts
  • Address changes
  • Account number changes

Involuntary churn can kill your subscription business or organization, because these are customers or donors who would have otherwise stayed with you. Some churn is unavoidable, but by providing clear and regular AR communications, and making it easy to update payment methods, you can reduce involuntary churn significantly.

Chargent’s Automated Collections notifies your customers of a failed payment and provides them a way to update their account information easily and online. Your team won’t need to lift a finger!

Bad Debt Risk From Poor Dunning Management

The longer you carry a receivable, the greater the risk of bad debt. This gets unsustainable very quickly if it isn’t managed through a careful dunning management process.

Payments are Outstanding

Your customers aren’t paying you on time, and you’re not addressing it quickly enough.

Your Cash Flow is Impacted

Money that you’re supposed to have access to isn’t in your bank account.

Supply Chain is Impacted

Now you can’t buy supplies, pay staff, fund expansions or improvements.

Automated Collections can deal with failed payments quickly and automatically, allowing your team to focus on more difficult AR issues requiring a human touch, and reducing the chance that receivables will be around long enough to become bad debt.

Hiring Alone Cannot Scale AR Effectively

Relying on manual processes to manage failed payments can be time consuming and lead to errors in your data. Bringing in more team members only adds to the problem.

48.8% of organizations saw collections improvement when they implemented automated technology.

PYMNTS

Chargent offers a solution that drastically reduces the need to hire more people, while helping your existing team scale more efficiently. Automatically notify and make it easy for most of your customers to fix failed payments themselves. Your team will be able to focus on the most difficult revenue recovery cases, such as customers who need a negotiated payment plan, or where your contacts have left the business.

Reduce DSO and Bring in Payments Faster

Are you measuring DSO (Days Sales Outstanding) at your company?

That is the average number of days account receivables remain outstanding before collection. In other words, how long does it take customers to pay for your products/services?

DSO is important because the speed at which a company collects money is key to its efficiency and profitability. DSO average statistics are often much larger than they should be for many companies.

Chargent helps our customers get paid faster with greater process efficiency. Automated Collections offers settings to schedule retries, dunning email notifications with payment links to send to delinquent customers, and more.

How does Automated Collections work?

Chargent’s Automated Collections add-on automatically:

  • Emails your customers with a Payment Request link
  • Retries payment collection on a schedule you choose
  • Returns customers to their regular schedule once missed payments are captured

Typical Payment Recovery Process

1st: Chargent Order Payment Fails

  • Automated Collections is triggered
  • Automated Collections record is created
  • Automated Collections Stages records are created
  • Payment Request link is generated

2nd: Automated Collections Stages are Scheduled / Executed

  • Emails are scheduled to be sent to customers
  • Automatic retries are scheduled

3rd: Automated Collections Completes

  • Payment succeeds on Chargent Order
  • Automated Collections Process is halted
  • Unused Automated Collections Stage records are auto-deleted
  • Automated Collections and Used Automated Collections Stage records are auto-deleted

Keep Configuration in Your Hands

We made Automated Collections fully configurable by any business user in Salesforce, with an interface where you can add and remove steps, reorder, and more. No code required.

After all, no one understands what works in collections for your customers or donors better than your collections people. Model your existing process, email messaging, and scripts in this automated Salesforce app.

And if you need to tweak your collections process, you can easily experiment with changes to timing, email subject lines or text, and more, all inside of Salesforce.

  • Fully customizable in Salesforce by any business user
  • Add as many stages and steps as you want
  • Configure payment collection retries and emails to customers in any manner
  • All clicks, no code!