Mid-Size Utility Company - Service Transaction Fee Paid By Biller (Non-Absorbed)

Mid-Size Utility Company

Overview

This client serves just under 500,000 electric and gas consumers over a regional area that includes a several medium-sized cities and their surroundings.  Focused on providing value and customer service, this utility is located in a regulated state. BillMatrix has permission to share this information, but not to use the company name.

After completing the implementation of a new customer information management system (CIS), the customer care team was focused on maximizing the value in that investment.  There had been substantial success with both a recurring and a web-based ACH draft program; the new CIS provided momentum to extend the payment options available to both their consumers and commercial accounts.

This utility’s customers access the BillMatrix service over the IVR and the Internet using credit cards, ATM/Debit and ACH payment methods.

First Year & Beyond Transaction Volume

This client launched the BillMatrix service with its customers approximately two years ago.  As shown in the graph below, there has been steady growth month by month, with approximately 5 times the initial months transactions in the 12th month and over 8 times in the current month.  This continuing growth is due to consistent promotional efforts.

Call Center Impact

Customer service representatives had spent considerable time on calls working through payment issues with limited visibility. The implementation of the new CIS created tremendous opportunity to improve customer service levels.  With a steep learning curve on this new system, outsourcing electronic payments and all calls concerning those payments to BillMatrix eased the transition for the client’s CSR team.  The BillMatrix service automatically updates the CIS every 30 minutes with authorized, completed payment information, ensuring that the client’s CSR team has access via a single system to the most up-to-date information available.

The number of customer service agents has been reduced or reassigned to other revenue enhancing duties.

Financial Impact

This utility has reaped the benefits of the real-time validation of electronic payments and faster settlement offered by ACH, ATM/debit and credit card transactions by receiving better funds more rapidly in its bank account.

Specific information on the financial impact of this program is considered confidential.

Technology Impacts, including Field Force Automation

After completing a complex new CIS implementation, this client’s team was looking for a very simple, straightforward implementation of the BillMatrix service.  The technical requirements were focused on offering new options with limited interaction including a special emphasis on getting accounts correctly updated in a timely manner.  The utility provides a machine-readable file daily of all valid account numbers to ensure that no payments are made to improper accounts.  This is particularly important with the continuous 30-mintue update of the system of record for this organization.

With more recent client implementations, BillMatrix has leveraged the latest in XML/Web services to allow a variety of methods for communication with field devices that can use the Internet to communicate data to/from a customer information system.

Marketing Support & Results

This utility is the first example of the efforts to increase transactions with an existing BillMatrix client as part of the consumer adoption marketing program.  The utility has been actively promoting the availability of the service using all of the traditional means – on their website, a message on the bill, bill inserts, on the envelope, in the newsletter and issuing a press release on inauguration.  The usage graph in the Transaction Volume section above clearly shows the positive results of this broad program.  The BillMatrix marketing team has provided a guidebook that is standard issue to all new clients to support these efforts.  The book contains proven and complete copy for all communication channels. 

In addition, the team has been charged with finding other ways to increase usage outside of these traditional methods and is supporting the client’s marketing staff with resources (including funding) to test the impact of billboards, radio ads and newspaper ads in their locale.  The program is on going and measurement of the actual results, including the ability to sustain increased transactions, is part of the success metrics agreed to with the utility.