Fast, cost saving decisions
Each new customer poses a potential credit risk for mobile phone operator Vodafone Hungary, but on a fiercely competitive market it is necessary to accept new customers quickly. Upon deciding to change information service providers in 2010, Vodafone put D&B to the test. The evaluation showed the possibility of a 20% bad debt savings.
2010 Vodafone Hungary was looking for a new information service provider. They were looking for a special risk management service package that would allow them to make fast and accurate credit decisions. Ideally it only takes a few seconds to make a sound decision to accept or decline a new customer.
Before making the decision on the new provider, Vodafone conducted a pilot study in order to evaluate the benefit of the D&B credit information services.
“We provided D&B with a sample customer base from the past and asked them to provide us with historical failure score information from the time when our potential customer applications were submitted to us. The outcome indicated an annual 20% bad debt savings opportunity compared to past decisions made by the previous service provider”, says István Szűcs, Credit Manager Vodafone.
Business Boosting Decisions
In addition to the high quality credit information and cost savings, Vodafone use a unique web service to quickly access the information. It allows them to quickly make sound business decisions that minimize risk and maximize revenue.
“When we use the new system it only takes us 3 seconds to make a decision from the time the order comes in from the sales department. And our key account sales people also use it to do a brief check before making contact with future top customers,” says István Szűcs.
Other factors that swayed the decision in favour of D&Bs were the convincing references within the Vodafone group and a good business relationship with the D&B team.
“We have been working on this project with Global Account manager Gergely Ágoston and the D&B Hungary team for more than two years. The success of the relationship is based on customer focus and dedication to sharing the best of their knowledge”, sums István Szűcs up.