Telephone Collection is a Selling Exercise

Telephone collection is actually a selling exercise, and many of the basic principles of salesmanship apply to debt collection also. One of the most important of those principles is: People buy people first, and goods or services afterwards.

Effectively, you need to sell the idea that paying your account would be beneficial all round to your late-paying or defaulting customers - but first of all you need to sell yourself.

So far as telephone collection calls are concerned that means using your voice, because in those circumstances your voice is the only means of expression available to you.

'Vocal style' is the way you use your voice to portray what you mean, think, and feel - and because voices can reveal a lot about your attitude, your customer's attitude, and how you feel about each other, you at least need to develop a good 'vocal style'.

Good vocal style can be summed up by the (actually very appropriate!) pneumonic 'PITCHES':

Pitch - Low is best. Remember: your contact can't see you, and knows (as we all do!) that people's voices tend to rise when they feel angry or aggressive. Avoid shrill, rapid, or loud delivery.

Inflection - Is the opposite of monotone! To sell yourself and your idea you need to engage and retain your customer's interest. You won't be able to do that if you sound depressed, off-hand or bored.

Tone - It's not what you say, it's the way that you say it. People respond well to pleasant, softly spoken, polite people; they are not too keen on brusque, abrupt, or sharp tones - and they tend to reply in kind when they hear them, which can the beginning of a bad experience for everyone, and the birth of a very negative impression of you.

Clarity - Speak clearly and slowly and don't use unusual words. Part of your collection call will necessarily be devoted to giving facts and figures and chapter and verse about your outstanding account. You must give your customer the time and opportunity to understand and absorb what you say and take notes.

Heartiness - People respond favourably to warmth and friendliness and agreement and expressions of interest in them, their concerns and their point of view. We've already gone through the potentially disastrous effects of being off-hand, brusque, abrupt or sharp. Add 'don't argue' to the list of no-no's. Selling your idea isn't about winning an argument; it's about coming to an agreement about the validity and beneficial effects of your idea.

Enunciation - Some letters can sound the same - 't' and 'd', or 'p' and 'b' for example. Poor enunciation can lead to misunderstandings. Try to enunciate clearly yourself, and if you are unsure as to anything your customer has said, ask that he or she repeat it.

Sensitivity - You have two ears and only one mouth. Good listeners make twice as many sales as good talkers. Obviously you need to talk - and talk persuasively - in order sell your idea and its benefits, but you'll find it easier to do that if you allow your customer to express his or her thoughts rather than trying to dominate the conversation all the time.

People may not 'buy' your idea for a number of reasons. It might be, for example, that your contact isn't sufficiently senior to buy it, or that your customer is literally unable to buy it. Those are reasons for failure to sell your idea that - obviously - can't be laid at your door. Other reasons can be your fault:

  • Failure to establish common ground. Barriers to 'friendship' and customer resistance are lifted once common ground is established. 
  • Failure to prepare for the call sufficiently well to present enough facts to enable the customer to come to an intelligent decision.
  • Insensitivity. Too much talking and too little listening equals high pressure sales tactics. People resent and resist high pressure sales tactics.
Basic Do's and Dont's
  • Be warm and friendly
  • Use a pleasant tone of voice
  • Agree
  • Ask questions
  • Offer information and help
  • Stay calm
  • Don't argue
  • Don't raise your voice
  • Don't be sarcastic
  • Don't get angry or upset
  • LISTEN! Don't interrupt when your customer is talking
  • Don't mirror your customer's bad behaviour e.g. repay rudeness or aggression in kind

Copyright Geoffrey Metliss 2011