|
Disclaimer: The
content of these articles is to be used as a general guide only.
Professional advice should be sought before taking any action relating to
the points discussed in these articles.
USE THE TELEPHONE
WITH CARE
By Jack Renton -
author of Enjoy Your Debt Collecting and make friends of your
customers
I have a friend who had a very good supplier. He was
reliable, prompt, and his service could not be faulted. But there
was a problem in dealing with him. His staff telephoned five days
after the account for the service was overdue. My friend changed his
supplier to one who sent a reminder in the mail ten days after it
was overdue.
Why? This is not a mythical case. The staff who telephoned
were always very polite, even sometimes helpful. But my friend felt
threatened. If the account had been long overdue he may have thought
that a telephone call was quite reasonable.
Some creditors claim that it is possible to issue a gentle
reminder on the telephone. I disagree, as my friend did. The person
to whom you owe money is actually fronting up to you. You have to
talk to them.
Now the telephone calls after five days did result in
payment. And the calls solved another problem for the supplier. They
never had to ask him again for money, because he never owed
anything. He bought from someone else.
My friend had a typical tight budget, but he never took more
than a matter of days to pay his accounts. Wasn't his business worth
keeping? The supplier's staff were doing as they were told. But the
boss apparently thought it was worth losing the business.
What should you be doing? Clearly even a strongly worded
sticker causes less angst than the mildest of telephone calls. The
correct response is, of course, a very friendly sticker, or the
equivalent written communication.
If you do have to have the money quickly and the account is
of sufficient size, why don't you telephone the customer about
something else? Better still, get the sales representative to do it.
There is always an excuse for sales staff to ring about something
else, and ask for the money as an afterthought. This rarely causes
offence.
I have always believed that accounts should be paid quickly.
I don't deny your right to want it quickly.
But don't listen to the alleged experts who say the end
always justifies the means. What these people forget is that the
whole system of credit is designed to increase sales. If a system is
put in place to reduce them, does this make sense?
Remember always that the credit function is there to make
doing business more profitable. If it does not do this, there is
something wrong. Just take care next time you pick up that
telephone.
This article is reprinted from
Rentons' Business Tips No. 2
© Copyright May 1998 ACS
|