A few years ago, everyone was writing about big data and the impact that it will have on businesses. Companies that could harness the massive amounts of data they had in their systems could capitalize on efficiencies and find new business opportunities.
But big data is yesterday’s news. Today’s news is artificial intelligence.
Artificial intelligence and robots are the next business frontier, if you believe everything you read these days. And debt collection is no exception.
Forbes.com is out with an article this morning about how debt collection can be improved through the use of artificial intelligence and automation. The article focuses on four areas:
- multi-channel communication
- personalized messaging
- intelligent rules engine
- adaptive learning
The article uses Christoph Bene, a “former executive” in the collection industry who now works at Brock Capital, an investment bank, as the source for the areas where automation can make improvements for agencies.
Technology should be deployed to tailor the communication channel used to contact an individual, to determine the tone of a conversation that a collector will have with that individual, ensure compliance with state and federal laws, and to learn from each interaction.
Changes such as these will likely result in higher profit margins for the collection agencies, greater cash flow for clients and more appreciative debtors, who will receive customized solutions. Bene believes that these changes will have a profound and positive impact for debtors and agencies alike, but acceptance may take some time. “Consider the ATM,” he explains, “… for years the banking industry and consumers resisted the automation of the ATM. It was impersonal. It was confusing. Now, with online banking, deposits via smart phones, etc., most people don’t remember the last time they interacted with a live teller.”
A new era of debt collection services, powered by A.I. and automation, is coming. These services are going to offer new, progressive new cash flow solutions to small and large businesses alike. The only question is which companies will resist it and which ones will go along for the ride.
Great Article..!!! AI in Collections helps businesses to fulfill their missions better by providing actionable data-driven insights. AI can lead to a more cohesive, customer- centric collections process for building loyal customers and increasing productivity.