How Much Revenue Is Expired Data Costing Your Business?

Posted on

Every time a payment fails due to outdated customer data, it’s more than just an inconvenience—it’s a missed opportunity.

For businesses that rely on recurring revenue, especially those with subscription models, expired credit card information and incorrect details directly impact revenue. Failed payments lead to frustrated customers, wasted resources and a growing administrative headache. Even worse, those missed payments can snowball into increased churn, lost trust and long-term damage to customer relationships. If your business hasn’t adopted a solution to proactively update this information, you’re likely leaving money on the table.

With CSG Forte’s Account Updater, businesses know their payment data is always current—helping eliminate payment failures and maximize revenue. Let’s take a closer look at how expired customer data might be quietly draining your profits, and how automating updates can stop the leak.

 

The Problem: Expired Customer Data Is Costing You More Than You Think

When a customer’s credit card expires, their payment information is no longer valid, which means failed payment attempts are inevitable. This is a frequent issue in businesses that rely on subscriptions, recurring services, or membership fees. According to a 2021 report by LexisNexis Risk Solutions, failed payments cost the global economy around $118 billion. If your business isn’t actively updating payment information, you could be contributing to this massive revenue gap.

The effects of expired customer data go beyond just revenue loss. Failed payment attempts often lead to customer frustration. The more times a payment fails, the more likely customers are to cancel their subscriptions or switch to a competitor. Additionally, businesses are forced to expend valuable resources trying to chase down updated payment details or contacting customers for manual updates. This increases operational costs and takes time away from more strategic tasks.

 

The Solution: CSG Forte’s Account Updater for Seamless Payment Continuity

CSG Forte’s Account Updater solution is a game-changer for businesses dealing with expired or incorrect customer data. By automatically updating payment methods when credit card information changes, Account Updater ensures that payments go through seamlessly. With our solution, you’re automatically notified whenever a customer’s payment data is updated, whether it’s a new expiration date, a change in account number or any other modification.

Take Hall’s Culligan Water, for example. By integrating Forte’s Account Updater to its existing Forte bill payment solution, the company was able to drastically reduce the number of failed transactions, ensuring that their customers’ services continued uninterrupted. The company also saw immediate profits: In one month of using Account Updater, Hall’s Culligan increased its collection rate by 3%, processing $258,000 more in payments than the month before.

This not only helped the company maintain consistent revenue flow, but it also led to improved customer satisfaction. Account Updater completed 4,000 cardholder updates without any Hall’s Culligan employee intervention, locating $193,000 from cards on file that simply needed their expiration date updated. With fewer payment failures and less staff time spent on collections, Hall’s Culligan was able to focus on delivering high-quality service rather than tracking down payment issues.

By using Account Updater, businesses can avoid the need for manual payment updates, ensuring that payments are processed smoothly and efficiently, meaning fewer interruptions, reduced customer friction and a more predictable revenue stream.

 

The Benefits: Why You Can’t Afford to Ignore Expired Customer Data

  • Reduced revenue loss: Expired or outdated payment data is one of the leading causes of failed payments, directly impacting your bottom line. Using Forte’s Account Updater ensures that payments go through without interruption, preserving revenue and reducing churn.
  • Improved customer retention: Customers hate dealing with payment failures. Each failed transaction increases the likelihood that customers will cancel their service or switch providers. By automating the update process, Forte’s Account Updater removes this point of friction, creating a better experience for customers and encouraging long-term retention.
  • Operational efficiency: Chasing down customers to get updated payment details takes employee time and resources that could be spent on more important tasks. With Account Updater, the process is automated, freeing up your team to focus on improving customer experience and driving growth instead of resolving payment issues.
  • Better customer experience: A seamless, hassle-free payment process is one of the easiest ways to improve customer satisfaction. When customers don’t have to worry about updating their payment details or dealing with payment failures, they’re more likely to stay engaged with your business. This leads to higher satisfaction, loyalty, and lifetime value.

 

Don’t Let Expired Customer Data Impact Your Bottom Line

Expired customer data is a hidden drain on your business revenue. While it may seem like a minor issue, the impact of missed payments, lost customers and wasted time can add up quickly.

With CSG Forte’s Account Updater solution, businesses can eliminate the risks posed by outdated payment data, ensuring that payments go through smoothly, improving retention and ultimately boosting revenue.

Ready to stop letting expired customer data cost you money? Talk to an expert today and discover how CSG Forte’s Account Updater can help streamline your payment processing, reduce churn and unlock your business’s full revenue potential. Get in touch with one of our payments experts.