How Lucy boosted payment recovery by 46% and reduced payment failure rate by 11%?
46%
Increase in payment recovery
11%
Reduced failure rate
Payment Recovery
Analytics
Billing optimization
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About Lucy
Lucy's mission is to reduce tobacco-related harm to zero.
To eliminate tobacco related harm, Lucy is committed to bringing innovative nicotine products to the market. Their flagship product is an improved and cleaner formulation of nicotine gum designed for optimal taste, texture, and a quick nicotine release.
The Problem
Lucy scaled rapidly and tested different solutions for failed payments and passive churn. The team's goal was to reduce payment failure rates and increase payment recovery rates with a platform that had the expertise and compliance built-in to ensure their payment health score over time.
How They Solved It:
To tackle the challenges, Lucy used FlyCode's platform:
Payment Optimization Engine
Automatically recover failed payments and reduce passive churn
Use payment optimization powered by ML/AI to find the best time to charge customers
Improve customer experience by coordinating payment attempts with customer emails/SMS
Leverage billing optimization models at the top of the funnel to reduce failures
Smart Recovery Emails and SMS
To deliver a complete solution, FlyCode provides smart recovery emails and transactional SMS as part of its tailored recovery platform. Both the payment optimization and recovery emails/sms are powered by ML/AI, ensuring each channel is tightly coordinated with each other.
Payment Analytics
FlyCode's advanced payment analytics helps Lucy monitor payment failure rates, recovery rates, and track performance of communications over time. Within FlyCode's portal, the data is populated in real-time, is fully exportable, and includes risk-classification to identify failures before they occur.
FlyCode delivered a 46% increase in payment recovery and an 11% decrease in billing failures! FlyCode’s onboarding process was super-easy. One standout aspect of FlyCode is the personal support they provide. Their responsiveness and direct communication, have made addressing any issues effortless.
Julio Miles
VP of Marketing
The Impact
By integrating FlyCode’s plug and play solution, Lucy achieved a substantial uplift in recovery rate. Here are the key outcomes of this partnership:
Exponential increase in the Payment recovery rate: a 46% increase in payment recovery from Q3 2023 to Q2 2024, ensuring improved retention and a more predictable revenue stream.
Payment failure rate reduced by 11%! When fewer customers have failures, fewer customers churn.
No-Brainer ROI for Revenue Boost: A 14X ROI of net new revenue, reflecting substantial revenue growth at a price that’s justifiable.
Faster payment recovery time: Lucy was able to maintain a high subscription renewal rate and predict revenue more accurately by reducing the time from 1st failure to recovery.
