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Millennials in Asia more responsive to digital bill payment services

Nayela Deeba | Dec. 22, 2016
Such services enable them to pay their bills on time and provide a better customer experience, according to FICO’s survey.

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Mobile communications and automated collection strategies were found to be very effective at helping customers in Asia make timely payments.

According to FICO's survey, three in five senior collections managers from banks, telcos, and utilities across Asia Pacific revealed that consumers have taken longer time to pay their bills in the past year. The 60-days past-due segment has seen the highest growth, according to 41 percent of respondents.

The survey also found that customers - especially millennials aged between 25 and 34 years old - paid their bills on time when they were sent reminders on their mobile devices or when payments were automated.

With such services, more than half (59 percent) of respondents said consumers paid their bills one to two days faster. A quarter of them (25 percent) also said they managed to collect payments within three to fourteen days. 

Automated customer communications have also enabled higher customer satisfaction rates (78 percent) -  60 percent of consumers will rate such experience between seven and 10.

"It is encouraging to see that milennials in Asia Pacific are more responsive and willing to take speedy action on bills when approached using their preferred communication channels. Given that 60 percent of the world's millennials will be living in Asia by 2020, it's important that business adapt to their expectation of digital service channels that are easy to use," explained Dan McConaghy, President, FICO Asia Pacific.

 

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