Globe Telecom Cuts Delinquencies by 40 Percent Using FICO Solution for Analytically Driven Collections

Globe Telecom (Globe), one of the major telecommunications services providers in the Philippines, has reduced account delinquencies by 40 percent year-on-year, since its deployment of FICO^® Customer Communication Services (CCS) in 2016. By automating a portion of its collections efforts, the company has also managed to reduce the cost to collect by 15 percent and the time it takes to collect by three days.

For its achievements, Globe won the 2017 FICO Decisions Award for Debt Management. The introduction of the CCS solution was seen as essential to cope with Globe Telecom’s rapidly growing business. With more than 59 million mobile customers, and more than 1.2 million broadband customers, Globe had to scale its collections efforts quickly while considering cost and improving customer care.

Customer experience was central to the improvements of Globe Telecom’s operations. Prior to the use of the FICO solution, Globe relied on outbound phone calls. The collections team struggled with customers who were unhappy with the contact process. Among the most prevalent complaints were cases where customers felt harrased or spoken to in a rude manner by agents. While the company needed to improve collections performance, it also had to ensure customer satisfaction.

With the FICO solution, the company now utilizes a multi-channel customer engagement system for collections. This change has helped keep the collection rates high through a clever and systematic system that allows the collections team to follow up with customers at the right time, using the right channel and with the right message.

By leveraging FICO’s decades of experience in customer collections and its automated system incorporating machine learning, sophisticated analytics and existing models, Globe was able to expand and future-proof its business.

The flexible and scalable FICO solution expanded the contact strategy to include additional customer engagement channels like SMS, email and interactive voice response (IVR), which when mixed with sophisticated analytics meant it could perform collections to the same standard as an actual agent.

“This use of 'machine calling' instead of traditional ways of agents calling customers was an innovation in itself. Though it was a new kind of technology, the roll-out turned out to be a success that revolutionized the way we do business,” said Mon Pernia, head of consumer collections at Globe. “Today, we are better equipped to manage our collections, improve collections performance, increase customer satisfaction, and finally decrease churn and costs dramatically.”

Post-implementation, Globe Telecom’s Net Promoter Scores (NPS) improved. Its NPS continues to improve month-on-month and the business has seen the lowest levels of customer complaints and customer churn to date. The use of the CCS solution has shown that most customers at early-stage collections prefer communication via SMS and the ability to address the matter without an awkward conversation with an actual agent.

Joy Macknight, deputy editor of The Banker, one of this year’s judges for the FICO Decisions Awards, said, “Globe Telecom’s winning entry exhibited an innovative application of new technology, including machine learning and sophisticated analytics, to drive impressive results in collections performance, customer satisfaction and cost reduction.”

“It is remarkable to see how much business impact analytics-driven, multi-channel collections has brought Globe,” said Dattu Kompella, managing director in Asia for FICO. “Not only have they reduced the cost of collections, they have also future-proofed their business to accommodate future capacity. They have proven that collections need not be a cumbersome or unpleasant experience for customers.”

FICO^® Customer Communication Services helps organizations collect debt, reduce fraud, and help improve customer service by delivering intelligent two-way communications with customers through relevant channels – from automated voice, text, e-mail and mobile app notifications.

For more product information, visit http://www.fico.com/en/products/fico-customer-communication-services.

About Globe Telecom
Globe Telecom is a leading full-service telecommunications company in the Philippines, serving the needs of consumers and businesses across an entire suite of products and services including mobile, fixed, broadband, data connections, internet and managed services.  Its principals are Ayala Corporation and Singtel who are acknowledged industry leaders in the country and in the region. For more information, visit www.globe.com.ph. Follow Globe Telecom on Facebook at  as well as @enjoyglobe on Twitter and Instagram.

About the FICO Decisions Awards
The FICO Decisions Awards recognize organizations that are achieving remarkable success using FICO solutions. A panel of independent judges with deep industry expertise evaluates nominations based upon measureable improvement in key metrics; demonstrated use of best practices; project scale, depth and breadth; and innovative uses of technology. The 2017 judges are:

• Giorgi Alibegashvili, Strategic Project Manager, TBC Bank (2016 award winner
• Julie Conroy, Research Director, Aite Group
• Douglas Gray, Director, Enterprise Data & Analytics, Southwest Airlines (2016 winner)
• Joy Macknight, Transaction Banking and Technology Editor, The Banker
• Daniel Mayo, Chief Analyst, Financial Services Technology, Ovum

The winners of the FICO Decisions Awards will be spotlighted at FICO World 2018, the Decisions Conference, April 16-19 in Miami Beach, Florida.

About FICO
FICO (NYSE: FICO) powers decisions that help people and businesses around the world prosper. Founded in 1956 and based in Silicon Valley, the company is a pioneer in the use of predictive analytics and data science to improve operational decisions. FICO holds more than 180 US and foreign patents on technologies that increase profitability, customer satisfaction and growth for businesses in financial services, manufacturing, telecommunications, health care, retail and many other industries. Using FICO solutions, businesses in more than 100 countries do everything from protecting 2.6 billion payment cards from fraud, to helping people get credit, to ensuring that millions of airplanes and rental cars are in the right place at the right time.

Learn more at www.fico.com.

Join the conversation at https://twitter.com/fico & http://www.fico.com/en/blogs/

FICO is a registered trademark of Fair Isaac Corporation in the US and other countries.