Digital Collections( 4 R Approach)

4 R"s in digital collections

The "Reach, React, Response & Resolve" method in digital collections is like a roadmap for dealing with people who owe money.

Reach:

• Goal: Get in touch with them using digital stuff like emails, texts, or calls.
• How: Send messages and figure out the best way to contact each person.
• What to Keep an Eye on: See how many people you actually reach and how well it works.

React:

• Goal: Get them to notice and respond to your message.
• How: Make your messages interesting so they feel like doing something about it.
• What to Keep an Eye on: Check how many people react to your message and how much they seem to care.

Response:

• Goal: Have a chat with them to sort out any problems.
• How: Give them info about their debt, let them help themselves online, and make sure your team knows how to talk to them nicely.
• What to Keep an Eye on: How quickly they respond and if they're ready to sort things out.

Resolve:

• Goal: Help them pay off what they owe in a way that works for everyone.
• How: Offer different ways to pay, give them reasons to pay sooner, and remind them when payments are due.
• What to Keep an Eye on: How many people actually pay off their debt and how well the whole process is working.

This way, we can make it easier for people to sort out their debts using digital tools, making everything smoother and more convenient.