Checks can still be a significant source of non-interest income for financial institutions, or at very least a great loyalty reward for your customers, but only if your costs are managed properly. Over the four to five-year life of a check contract, cost of living clauses, escalators, volume penalties and shipping and handling costs can cause substantial increases in your check costs, even as your volumes decline. When you cannot compete effectively for your existing customer or member business, they will shop elsewhere, eroding customer loyalty.
Arriba’s partners include a former senior executive of a major check printing firm, and we understand the current market pricing, vendor capabilities and how to structure your contract to provide maximum protection from future price increases and hidden cost risks. Using an efficient, structured process, we first assess the current operations and future direction of our Client, and based on our Client’s strategy, we will invite and facilitate the evaluation of 3-4 solutions that best fit the needs and budget of our Client.
Employing a “listen, learn, analyze and advise” approach, we interview our Client’s team, review the current contracts, your check income and cost structure, and then develop a “Strategic Assessment” that is shared with our Client and becomes the foundation of a “Request for Proposal”. Several finalists are chosen and we facilitate a detailed and rigorous validation of functionality, integration, service capabilities, financial strength and customer satisfaction of each vendor and their proposed solution. A final scoring, fit assessment and detailed cost analysis are prepared, and Arriba facilitates in depth discussions of options leading to a decision by our Client.
We’re able to leverage our experience in negotiating over 1,500 contracts to work with the selected vendor to commit the agreed upon solution to writing. Every detail of the contract is carefully scrutinized for hidden risks and potential cost escalations, and we will fairly but firmly negotiate the best possible value for our Client.