AR Management – The Issue is Getting Worse for Undeliverable Mail
The 2013 facts have been published, and the percentage of Undeliverable as Addressed (UAA) Mail has increased yet again, showing year after year gains. Overall rates have increased from prior year to 4.23% for both First Class and Standard Class Mail.
UAA mail totals include those mail pieces that could not be delivered as addressed, including those Forwarded, Returned to Sender and Treated as Waste. 2013 Total UAA Volume of 2.4 Billion.
Totals for First Class Mail as a percent of outbound Mail.
Is it a problem?
For Companies that Bill for Services, Billing UAA is directly tied to Accounts Receivable. Customers do not pay for Bills they do not receive, which is a big financial drain on these organizations. Waiting for a Customer to call with their new address is not a reality. Hope is not a destiny for resolving your Customer accounts. For every 1,000 Monthly Bills that are not delivered at an average of $250 per Bill, represents $250,000 in outstanding AR, or $3 Million annually. It really doesn’t matter whether you have an issue of 1% or 6%, the issue is still financial and affects Collections. Operationally, the issue is tied to manual processes, labor, downstream departmental research, resolution delays, regulatory (in many instances) and numerous customer service issues.
We help our Customers by providing comprehensive and flexible technology solutions for better managing this issue from point of capture to resolution. As the most comprehensive solution in the United States for managing this issue, Horizontech can help with increasing and accelerating AR Payment, and with reducing the volume of Accounts that move to Collections and Bad Debt; as well automating many downstream departmental, labor-intensive processes for managing resolution.
About Bob Hedstrom
Bob Hedstrom is Director – Sales, Marketing and Product Development for Horizontech, Inc. Bob is responsible for developing and implementing many leading integrated technologies for document workflow and return mail process automation. He is considered an industry innovator with key technology advancements for resolving undeliverable customer communications, workflow, data and customer contact strategies.
He has more than 20 years experience as a Sales and Marketing Executive for some of the nation’s largest critical document outsourcing, direct marketing and data services organizations, including First Data, Regulus, Vestcom, Moore Business Communications Services, WebMD, World Marketing and Visant Marketing Services.