Uplifting collections return for UK energy client

The challenge

Our client, one of the UK’s largest energy companies, wanted to increase engagement and collections on its final and live customer portfolios as an alternative or to augment their existing debt collections activities.

The client wanted to explore ways to identify and establish contact with customers who had the means to pay but for some reason were choosing not to engage to clear the outstanding balance. The intent was to accelerate engagement, increase positive outcomes and to reduce the potential bad debt charge.

The solution

Each week the client provides Just with a portfolio of accounts for review and assessment. Just undertakes a detailed portfolio analysis and treatment selection to help the client understand and segment the accounts, and where the customer appears to have left the last known or supply address, provide an updated view on their likely whereabouts.

Just applies its proprietary LitigationScore to identify and rank order accounts suitable for litigation and works closely with the client’s own litigation provider to ensure the customers receive the appropriate treatment.

For accounts unresolved by the litigation activity, Just provides a fully managed High Court enforcement service, using its ready-to-go network of enforcement suppliers and agents.

Just also provides a monthly performance review and twice-yearly comprehensive retro-analysis so adjustments and re-calibration of the client-specific selection rules can be applied, either so additional accounts can be included, or some segments excluded where the outcomes are insufficient to warrant this type of activity.

The results

The results have exceeded client expectations across all key cash collections, operational and customer assurance metrics

• High contact rates: Contact is established with over 50% of the customers with high conversion rate to payment and plans
• High returns: Over £3m of cash and active payment plans achieved in the first 12 months providing a 3-4x increase in collections performance relative to standard debt collection activity, with costs covered in the first month
• Low complaints