If you’re taking tuition payments over the counter, you’re losing PROFIT and STUDENTS.
First, you might not realize it, but if you’re payments are due
on the 1st of the month, and a member hasn’t made their payment
on the due date, they hesitate about coming to class if they’re not yet prepared to make their payment.
However, if their payments are automatic and there’s no decision to be made, the student continues to show up for class.
Wait, why is that a big deal?
Well, one of the biggest challenges for beginners is building the habit of showing up for class. Beginners aren’t just students, but parents, and other supporters of your students. So, if a student doesn’t come to class, even one time, because they were supposed to pay and haven’t, the slippery slope of breaking the routine of attending class has begun.
Second, automatic payments are simply convenient.
The people that CAN afford to pay your tuition don’t want the hassle of keeping up with due dates, writing checks, the possibility of late fees, etc.
These are all points of friction in the life of a consumer and if there is one thing that people will avoid at all costs, it’s FRICTION.
Third, regardless of commitment, if a decision has to be made each and every month to pay their tuition, there’s a chance the decision will be NO.
How can this be?
Well, perhaps, little Joey didn’t want to come to class. Maybe mom is having a bad day and just doesn’t need the hassle any more. All of the sudden your program is simply a complication,
once removed, makes someones day easier.
As you think deeper about the benefits of automating your payments vs taking payment over the counter, you will clearly see more and more benefits to STOP taking payments over-the-counter.
Are you using RainMaker’s AutoCollect?
AutoCollect automatically processes payments on the proper schedule assigned to your memberships which is great and convenient, right…
However, the real leverage comes from RainMaker’s automations when payments decline. Every 5 days, RainMaker’s automations checks for any past-due tuition payments and automatically retries those payments for up to 30 days. You can even set up automatic late fees if you wish.
Want to know more about RainMaker’s AutoCollect system?