Sharp increases with new offerings

Charles Boicey, Blue Book’s chief technology officer and a history buff, recently found a letter from 1938 signed by “Thos. P. Mulhall, Manager Collection Services,” to a law firm about a collection of $407.50 placed with Blue Book, formally known as Produce Reporter Company.

The letter offers a glimpse into the past before World War II, commercial television, and reefer trailers. And yet, past-due receivables are still very much a part of everyday business in the produce industry. 

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We have, in fact, seen a sharp increase in usage of Blue Book’s claims, collection, and dispute resolution services in recent years. The graph below shows a dramatic increase in money recovered through Blue Book’s claim process in the last three years.

Part of this increase is surely driven by industry conditions, suggesting an increase in firms struggling with cash flow issues. 

Another factor is the significant reduction in pricing for these services that went into effect in April of 2024. Previously, the standard fee for collections was 12 percent of the amount recovered.

Today, the percentage varies according to membership level, with firms that contribute to Blue Book’s Accounts Receivable Aging program enjoying an additional discount. 

Member Engagement

This increase is particularly noteworthy in view of an entirely new free service introduced for members in the fourth quarter of 2023, called Courtesy Contacts. Money recovered by members using Courtesy Contacts (estimated to be over $4 million since the service’s introduction), however, is not included in the numbers above. 

Courtesy Contacts may be thought of as automated “nudges” encouraging the party that owes you to pay a past-due receivable. These nudges are courteous because they don’t appear in the alleged debtor’s Claims Activity Table (which Blue Book maintains for listed firms) and provides the alleged debtor with a final opportunity to address the issue before a more significant action is taken.

Adding the number of Courtesy Contacts sent to the number of Blue Books claims opened as a measure of member engagement with these services, we again see an upward trajectory.

Conclusion

Whether you’re looking to collect on a past-due receivable or work through a bona fide dispute with an industry-knowledgeable neutral party, Blue Book Services is here for you—past, present, and future.  

Contact our claims team anytime at claims@bluebookservices.com or call 630-668-3500, then choose option 7.