Case Study:
Range Servant UK
Streamlining Credit Management Process and Aged Debt Recovery Collections
Introduction
At the forefront of innovation in the golf industry, Range Servant has distinguished itself not just through its cutting-edge solutions for managing golf balls—from picking and washing to dispensing—but also through its unwavering dedication to customer satisfaction.
Offering a comprehensive catalogue of high-quality range equipment, Range Servant is committed to addressing the unique needs of each customer. This commitment extends to providing exceptional technical support, spare parts, installation services, and project management, ensuring a seamless experience for all clients.
Despite their unparalleled products and services, Range Servant encountered a few challenges in areas of credit control and aged debt recovery, which meant they were spending unnecessary time chasing payments, of which time could have been spent focusing on other core elements of the business.
Enter Collect Wise, a beacon of tailored credit management and aged debt recovery strategies. With strategic interventions and a customer-centric approach, Collect Wise helped Range Servant achieve remarkable improvements within just three months, showcasing the power of effective credit management and credit control.
Challenges Faced by Range Servant
- Persistent late payments from customers
- Growing aged debt across the customer base
- Inadequate credit monitoring to establish viable payment terms
- The need to maintain their excellent customer-centric focus and high-quality service, whilst also chasing payments.
These challenges, like many businesses who are paid late, were diverting attention from other core business activities.
Driving Excellence: Enhancing Range Servant's Credit Control Processes
In October 2023, Collect Wise embarked on a mission to improve Range Servant’s credit control processes. Through a carefully crafted consultancy and collections program, we set the stage for positive changes which included:
- Introduction of a comprehensive new customer account form
- Implementation of robust and bespoke credit control processes
- Credit monitoring assessments to determine customer creditworthiness
- Recommendations for process enhancements, including the integration of new payment methods and insightful credit monitoring tools.
Enhancing efficiency and predictability in payments
Collect Wise’s approach was multi-dimensional, concentrating on immediate enhancements to improve payment times and ensuring long-term sustainability by utilising effective aged debt recovery strategies.
Credit control and aged debt recovery strategy optimisation:
By automating some reminders and streamlining the credit control process, Collect Wise ensured more efficient collections and timely payments.
Sales order process enhancement:
Collect Wise conducted informative sessions with the sales staff at Range Servant, imparting crucial insights and techniques that encourage prompt payment from customers. This initiative not only improved the sales order process but also played a pivotal role in facilitating smoother, timely transactions.
Proactive chasing model:
Moving away from a reactive approach, Collect Wise implemented our ‘proactive chasing model’. By engaging with customers before an invoice was due—to confirm receipt, address any queries, and ascertain the expected payment date—this strategy pre-emptively tackled common late payment excuses such as “I didn’t receive the invoice” or “the invoice doesn’t have a PO number.”
It also gives a great opportunity to check in with customers and continue rapport building.
Credit monitoring:
The introduction of CreditSafe for credit limits and alerts monitoring empowered Range Servant with real-time insights into customer payment behaviours so to enable better decision making around who will receive payment terms or not.
By streamlining credit control and adopting a proactive approach, Range Servant significantly reduced aged debt, demonstrating the impact of strategic credit management on operational efficiency and customer relationships.
Results Achieved
The outcomes of Collect Wise’s intervention were nothing short of transformative:
47% Reduction in Aged Debt by Month 3
A significant 47% reduction in aged debt from starting in October to December 2023.
Zero aged debt outstanding by January 2024!
A total 100% elimination of aged debt by January 2024, marking a new era of collections stability for Range Servant.
Conclusion
The remarkable turnaround in aged debt recovery, credit control efficiency, and the enhancement of sales order processes underlines the value of expert credit management consultancy and credit control solutions.
Together, our partnership reinvigorated Range Servant’s focus on innovation and customer service, laying a solid foundation for sustained growth and success.
Elevate Your Collections Processes with Collect Wise
Are you looking to enhance your collections performance and streamline credit control processes?
Collect Wise stands ready to deliver bespoke solutions that drive results.
Contact us today to embark on your journey towards financial excellence and operational efficiency.
