I just returned from the 2018 Receivables Management Conference in Toronto. Overall, it was a great conference — small and intimate, which drives good interactions and dialogue about client pain points and business needs now and in the future. We met a lot of new prospective customers and also got to talk to existing clients to make sure they continue to be delighted.
A few RMA Conference takeaways…
- A McKinsey article from back in January 2015 came up, even though some of the data was dated. But one statistic in Strategic Choices for Banks in the Digital Age jumped out at me, given our recent introduction of a machine-learning powered product that enhances digital communications: Digital laggards can expect 35% profit erosion.
- Accounts Receivable Management industry debt has doubled in North America but the number of ARM firms have dropped 37.5% to 5,000 (from 8,000). Barriers to entry for debt-collection agencies in the USA are very high (regulation, cost). So those that have survived should thrive, particularly those who are integrating digital collections processes.
- Healthcare, student loans, and government collections are driving growth. Interesting comment that the growth of prepaid, non-contracted services such as Hulu TV, Metro PCS from T-Mobile, etc. no longer require collection efforts. If you don’t pay, the service is turned off and there’s nothing owed, thus reducing the need for collection efforts.
- Good speech from Jennifer Botterill, gold medalist from the Canadian women’s ice hockey team. Of course they beat the Americans for the gold, so there was a good deal of casual ribbing!
The Receivables Management Association of Canada did a great job hosting the conference and we look forward to returning next year!