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Why SMS messaging works to reduce overdue account fees Part 1 [Derrimut 247 Case Study]

The problem: Members of health clubs not reading costly letters or email notification sent by staff notifying them their account is overdue.

The solution: Implementing a mobile strategy.

At MOBIPOST, we often talk about how you can use mobile for marketing and advertising but it can also be used for so much more.

Here we look at Derrimut 247 Caroline Springs using mobile to combat credit control issues in a friendly, effective way.

Samantha the Club manager at Derrimut 247 Caroline Springs started using SMS messages to let her members know of overdue fees. In one month, it decreased debt owed by 2%.

Samantha had this to say when a couple of questions were asked about their credit control strategy.

Have your members mentioned the texts they have received? Any feedback?

Yes, members have mentioned that they have been receiving the texts, although there has been no feedback regarding whether it was a good or bad service from members. It has been very helpful for staff as clients are actually calling back and querying why their account is overdue and actioning that, rather than letting it go and accumulate debt.



Has using mobile to communicate with your members provided you with any other benefits you can think of?

Mobile SMS services has been great. It has assisted by:

  • Saving lots of time by not having to chase up overdue fees
  • Heavily reducing debt owed by clients by approximately 2% in one month
  • Raising the awareness of overdue accounts to members and prompting them to take action and clear debts without having to wait for “snail mail” to be delivered.
  • SMS services is very quick and efficient, prompting immediate action.

Was it easy to implement mobile into your retention/marketing strategy?

It was very easy to implement mobile into our retention and marketing strategies.

What did you use to do prior to mobile?

Prior to using SMS we used the “snail mail method”, constantly sending letters, and spending lots of money on stamps, paper, envelopes, ink etc. SMS servicing has helped our business save lots of money.

Click through to Part 2 to find out exactly why using mobile messaging will work for your club.



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