Communications platform Credit Clear (ASX: CCR) is on course to expand its receivables footprint in both Australia and overseas after posting record-breaking performance figures last month.
A combination of powerful synergetic software and the uncoiling of pent-up COVID demand have strengthened Credit Clear’s bottom line, underpinned by its digital technology platform for optimising account receivables and customer relationships.
Credit Clear’s digital payment platform uses artificial intelligence (AI), machine learning, dynamic data and predictive analytics to boost engagement and return on investment (ROI) – a key consideration in a post-COVID Australia with millions gradually returning to their typical spending habits.
According to Credit Clear’s chief product technology officer (CPTO) Jason Serafino, the company’s proprietary platform assists businesses to drive smarter, faster and more innovative financial outcomes for its clients. Its Australasian client base hails from industries ranging from insurance and utilities to buy now pay later (BNPL), motor finance and retail banking.
Speaking with Small Caps, Mr Serafino explained the five-year-old company will also go on to participate in arguably more lucrative foreign markets, with resources already on the ground in the UK and plans to tackle the US market in 2022.
“In 2021, it’s crazy to be harassing late-paying customers with embarrassing phone calls and letters of demand. We are about empowering people to manage what they owe and how they pay it from the convenience of their phones, taking the stress and anxiety out of the process,” said Mr Serafino.
“Businesses are increasingly asking themselves not ‘How can we collect more?’ but rather ‘How can we help our customers pay their accounts?’,” he says. “It’s about telling them ‘Assistance is available, do you need a payment plan?’ rather than ‘Settle now to avoid disconnection’”.
“The whole world is experiencing this next wave of technology, innovation through the use of data, and our technology is highly transportable. It’s about increasing engagement between businesses and their customers to improve the financial wellbeing of both,” he said.
Plan to action
According to Mr Serafino, Credit Clear’s modus operandi is to deliver targeted messages to the customers of thousands of businesses via email, SMS and social media.
The levels and scope of customisation enable a range of solutions tailored for each client, which can include options for settlement discounts, the ability to ‘make an offer’ and flexible payment dates, terms and methods including modern staples such as Apple Pay and PayPal.
To further boost engagement rates, Credit Clear utilises multiple languages combined with AI algorithms to improve contact and automate responses. The ultimate goal is to generate higher levels of engagement than traditional methods and to create far greater customer satisfaction.
According to the tech team behind Credit Clear, the sequence of communications with each customer is informed by “AI-driven smart predictive analytics”, machine learning and insights into consumer behaviour gleaned from a database of over 100 million records from past user interactions across a wide range of markets.
As a testament to the company’s modernised approach to dealing with customers, its financial performance figures have also experienced an upgrade.
Just last month, Credit Clear reported record performance figures, after generating $3.4 million in total revenue for Q3 2021, with $1.3 million sourced from its digital services unit. The company also claims it has a 99% client retention rate with a 117% increase in traditional to digital conversion. Client growth was 152% higher on the previous quarter with Victoria’s largest toll road operator set to integrate Credit Clear’s platform in the coming months.
With COVID and the accompanying social restrictions – affecting Australians possibly more so than most – Credit Clear has weathered a hold on collection activity throughout Australia and is now benefitting from a significant growth spurt. Both short-term lending and consumer spending have enjoyed strong rebounds and helped to generate “pent-up demand” for Credit Clear’s products.
According to the company, with COVID-19-related restrictions easing in both New South Wales and Victoria, it expects further latent demand to flow into collection activity.