When building warranty plans, such as service contract programs, you must first consider the basics. What are you going to offer, who might buy them and how are you going to sell them?
Product development is a critical element in warranty product development. Carefully consider the types of service contracts you need to offer to improve your customer’s experience with physical product sales.
For instance, if the product sale consists of appliances, extended warranty contracts can provide very specific benefits to a consumer, like food spoilage. While mobile devices can also benefit from traditional break/fix repair contracts, there are other types of warranty plans which are more beneficial to the product and its use. When developing an extended warranty or service contract program, define what the buyer can benefit most from, in terms of coverages which extend the product lifecycle, but also those which provide value added services to your customers. Don't forget the manufacturer’s warranty coverage. Are there features you can embed which improve the overall product experience during and after the OEM warranty expires?
In our latest e-book, you can learn about everything it takes to build a successful service contract program. Download it to learn more!