In This Edition

Let’s talk webhooks. I know, this sounds “techy”.  But I promise this is one tool that’s worth getting familiar with. 

And I want to prove to you that you don’t need to be a programmer - or even that tech-savvy - to understand and leverage webhooks.

🌐 What Are Webhooks?

In the simplest terms, webhooks are automated messages triggered by an event. When this event occurs, information is sent in real-time from one system to another.

Webhooks have two primary use cases: 

  1. Syncing data between systems. 

  2. Triggering event-based actions. 

Let’s break these down with an example. If a consumer logs into your online payment portal, a webhook could transfer that data to your collection software, marking that the consumer logged in. It could also automatically update the account status and adjust your workflow accordingly.

This is the essential power of webhooks. They allow you to connect multiple separate systems to the point where they no longer feel like separate systems. This helps you compile better data, improve your operations and, naturally, collect more.

🔎 Where Can You Find Webhooks?

The first step in exploring webhook possibilities is to check your current vendor software. Most modern platforms offer a library of available webhooks, and some even let you customize them based on different trigger events.

If you’re not sure where to start, do the easiest thing: Simply ask your vendors what they offer. Don’t be self-conscious about using the perfect phrasing. Just ask. After all, your vendors should want to help you make the best use of the software/services they’re offering. 

Once you discover the available webhooks, the fun begins: leveraging them to drive automation.

🎯 How to Use Webhooks

The beauty in webhooks lies in their simplicity and versatility. Because they are so commonly used, there are tons of no-code tools that you can use to set up automations using them. I recommend checking out Zapier and Make. Both allow you to “catch” webhooks from any external platform, then trigger automations from there. Think of them as middlemen that facilitate requests from one system, then pass them into the other. 

This is an area where it’s easier to show than to tell. To show this concept in action, here’s a 5-minute video that I recorded a few months ago. In it, I walk through using Zapier to set up an automation that triggers a real-time alert in our operations Microsoft Teams feed every time we receive a Google review. 

"The real problem is not whether machines think, but whether men do."

B.F. Skinner

Now, take it a step further. Explore Zapier and Make (not an ad, just helpful!) and see what pre-built automations exist for the software you already use. It’s a great way to open your eyes to the automation possibilities already at your fingertips using tools that are already ingrained in your workflow.

💭 Ideas for Applying Webhooks

Let’s look at some application ideas for webhooks to help spur your creativity: 

  1. Payment Portal Activity
    When a consumer makes a payment, a webhook could instantly notify your collections system rather than wait on a daily data file. Take this a step further and use webhooks to drive actions based on portal logins, failed payments, dispute submissions and other activities. 

  2. Instant Skip-Trace Data Alerts
    Many skip-trace data providers offer a “triggers” product where they monitor for changes in collectability on high-value accounts. Use webhooks to catch their trigger updates in real-time rather than waiting on data reports that take time to process. 

  3. Electronic Communications Results 

    Use webhooks to drive data from your electronic communications back to your collection software in real time. For example, use them to process email bounces, opens and clicks in real time.

  4. Customer Sentiment

    Some speech analytics tools and virtual AI agent tools capture consumer sentiment. Use these tools to monitor for consumer compliments, complaints and frustration to trigger the appropriate action. For example, notifying a supervisor if a consumer is agitated during a phone call or prompting your team to ask for a review if the consumer is pleased.

💡Tip of the Week

One “back to the basics” strategy I haven’t been able to get out of my head is to strategically test sending more print letters on high value, high propensity to pay accounts where consumers haven’t responded to our initial communications via other channels.

My hunch is that while mail is costly, it can also be quite effective. The trick will be measure results closely, which can easily be done via QR codes.

I’ll report our findings back in a few weeks!

⌛ Last Week Lowdown

ICYMI: Highlights from last week’s edition. Click here to view the entire post.

  1. Discussion of the Pareto Principal and how it applies to collections departments

  2. How to find the top 20% of activities that drive 80% of results

  3. How to automate the other 80% of activities

🙌 Sharing is Caring

Are we on the same wavelength? Check out EngageARM.com for free resources, networking, and in-depth tutorials to help you build a highly-effective recovery department.

I’d like to close this with a quick ask. If you enjoyed this, please share with a colleague. Even better, take advantage of the referral program (linked below). If you disliked it, let me know why. All feedback is good feedback, after all.

Cheers,

Nate

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