How Digital Outreach Is Rewriting Arrears Management
As a result of financial challenges intensified by the Covid‑19 pandemic and broader economic pressures, by June 2024, arrears balances at ConEdison had reached historic highs, surpassing $1.4 billion in overdue debt aged more than 60 days. This growing burden not only increased financing costs but also elevated write‑offs—impacts ultimately felt by all customers through rates. To address this, a cross‑functional team introduced a forward‑thinking Email Outreach Program designed to enhance customer engagement and slow the rise of arrears.
🗂️ Learn how to drive proactive payments: Con Edison Leverages Emails to Keep Customer Balances Manageable and Collect Payments
The program uses targeted email reminders to help customers understand their payment options and take immediate action. These communications include direct links to self‑service tools, making it much easier for customers to pay or arrange payments without contacting the call center. Early results have been remarkable: more than 350,000 payments have been made by customers who received emails, reducing arrears by over $356 million and achieving open and click‑through rates well above industry benchmarks.
To make the program effective and responsible, the team applied careful customer segmentation based on risk level, arrears type, and arrears age. This ensured the outreach was both strategic and manageable given operational constraints.
▶️ Con Edison explains how to cut collections risk in this FREE online event! Beyond the Balance: Optimizing Collections Through Strategic Communication
What truly sets this effort apart is the team’s commitment to continuous improvement. Beyond launching the initial program, they are exploring expanded outreach, earlier contact points, and reminders for payment arrangements—all aimed at helping customers avoid service interruptions and supporting the company’s long‑range goal of cost management.
Read about the Billing and Payment Leadership Council.
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- Balancing Write-Off Strategies: Helping Customers While Protecting the Bottom Line
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