Direct Debit is widely acknowledged as the most efficient method for collecting regular bill payments from consumers. However, encouraging people to pay this way is not always as simple as it sounds. Payment preferences can vary greatly according to age, lifestyle and personal circumstance and the reasons someone pays a certain way are often highly complex. Some organisations collecting money by Direct Debit may also feel they are at saturation point when it comes to the number of customers using this payment method.
Bacs’ new online marketing centre aims to dispel this common myth, prove there is no glass ceiling when it comes to Direct Debit usage and make it easier for organisations to understand what motivates individuals to pay a certain way.
Giving access to experience accumulated by the Bacs team over the last 20 years, this unique library of marketing information includes practical advice plus hints and tips for promoting Direct Debit to a diverse range of consumer groups.
It also features a brand new customer messaging tool which can help mobile phone companies find the best way of converting customers to Direct Debit. A drop down menu enables marketeers to select who they are trying to target in terms of age, gender, annual income, region, or employment status. In return, they get a breakdown of how people in their chosen group like to pay. This includes a generalised portrait of: preferrers (individuals that favour Direct Debit as a payment option); selectives (who happily use automated payment methods for certain bill types); and reluctants (people who are less keen to use Direct Debit).
Michael Chambers, managing director of Bacs, said: “Bacs has always been committed to supporting organisations that run Direct Debit schemes. Over the years we have worked with numerous companies giving them strategic advice on maintaining and growing the popularity of this simple yet highly effective payment method.
“While this work is a key part of what we do day to day, we have also launched our online marketing resource to give a wider range of companies practical Direct Debit marketing advice that is readily accessible, as and when they want it,” continued Chambers. “The advice we can offer and the data we have available on payment trends in different market sectors is a compelling proposition. And I hope that marketeers looking to promote Direct Debit and increase the number of customers using this tried and tested bill payment method, take full advantage of this facility.”