Daily we sit with business owners and financial managers, and no matter what business they are in, the questions are almost always the same. The most common of those being: “How do I get my clients to accept my choice to implement a debit order collection service?”
Some of our clients are new to business or just starting out, and for them, the decision to implement debit order collection is an easier one. We find that those business owners who implement the process from the outset have more success with a higher ratio of clients on debit order.
This is not to say that established businesses are unable to implement our debit order collection service, it just means that the motivation has to be a stronger one.
So how does one motivate the implementation of debit order collections?
We know that this can vary from business to business, with strategies working for some and not at all for others.
- For non-profit organisations or churches, we find hosting a fund raising event to be a good platform to gain commitment for regular donations, provided that debit order forms are available to be completed at the event. Contacting attendees after the event has little or no success.
- For products or services on a month to month basis, debit orders can be introduced as a “preferred payment method” and motivated with a letter or email. We offer value by assisting clients with these templates for their use.
- Some businesses find value in invoicing monthly in advance with the backup of the debit order to ensure payment for products or services and some businesses incentivise their customers by allowing discounts if on debit order.
We also find that the success of implementation is dependent on the conviction of the business owner, if the business owner is serious about taking control of their cash flow and is confident in the benefit to the business; then the motivation is a stronger, more successful one.