Echo Logo

Billing trends leading to loss of customer trust

Customer Trust Blog Two

Echo's latest consumer research reveals that poor billing practices and pushing direct debit arrangements, leads to consumers losing trust in businesses...

One in seven customers are paying more than necessary due to being placed on a non preferential tariff or being pushed into direct debit arrangements that lead to a build up of credit.  That's what a representative sample of 1,000 UK adults told us recently.

This new research adds further fuel to the fire of other similar reports, with the Daily Mail reporting last year that around eight million households on fixed direct debits for energy were thought to be owed money, for example.

And, given that two thirds or people are thought to be paying their monthly bills by direct debit, this upward trend could be eroding both relationships and trust between consumers and their service providers.

This is not the only billing issue that is negatively affecting customer trust - poor customer engagement is also compounding the problem. More than two thirds of people receive no communication from their service provider before a bill lands whilst one in five opened a higher than expected bill with no warning.  Just one in ten consumers told us they'd received a communication that enabled them to better plan their finances.

The billing blunders don't end there.  14% of consumers told us they'd recently received an inaccurate bill, and 7% continued to receive bills, or experience billing issues, even after they had terminated a contract.

"While direct debits can be more convenient for customers and help mitigate late payments for businesses, a transparent and open approach is definately needed."

Nigel Baker, managing director, Echo Managed Services

There are many things that can lead to customer concerns around a business' transparency and ethical stance. Overcharging, making credits difficult to recover, not putting customers on the cheapest available tariff, pushing unrealistic payment plans and not warning customers they've spent much more than usual, all have their part to play. It doesn't take much to erode customer trust, and once gone, it can be difficult to get back.

In fact, one in seven customers told us they'd definitely switch supplier if they encountered billing issues, and were not prepared to give a business a second chance.

Billing Customer Trust
I

Share this article

More in the Knowledge Centre

More News

News

Echo employees recognised at UK National Contact Centre Awards

Echo wins silver award in two categories of the prestigious 2018 CCMA UK National Contact Centre Awards...

READ
News

The Debt Stigma: 50% of adults feel they can't ask for help

New research reveals worrying findings when it comes to the UK debt stigma and consumer reluctance to ask service providers...

READ
News

Research uncovers lack of awareness of vulnerable customer support schemes

Echo's new consumer research report has found severely low levels of awareness about the support systems available to utility customers...

READ
News

Echo launches new modular offering for UK energy sector

Outsourced customer service specialist, Echo Managed Services, is pleased to announce the launch of a fully flexible, outsourced customer engagement...

READ

More on Billing & Customer Information Software

News

Echo Managed Services appoints programme director

Outsourced customer contact specialist Echo Managed Services has appointed a programme director to deliver their new, next generation cloud SaaS...

READ
Blog

A Guide to Better Billing

In our latest blog, head of sales and marketing, Chris Cullen, examines customer frustrations when it comes to billing whilst...

READ
Case Study

RapidXtra supports Welsh Water's delivery of customer service excellence

When Welsh Water replaced its legacy billing framework, a system that was proven through use in similar regulated environments, that...

READ

Choose how you want to get in touch with us

Pick up the phone and call us...

0117 344 1500

CALL

...or talk to our live chat representative...

Chat now

Chat now

...or simply email us for a quick response.