When you launch a warranty program, there are many components that play into improving attachment rates and ultimately driving more revenue for your wireless retail store. Many store owners do not stretch beyond publishing marketing brochures and hoping that sales associates will mention extended service contracts during the final sale of the device. However, when your store is busy, or if a customer is in a hurry, the mention of the protection plan might be missed.
In order to improve your attachment rates, consider these four tips:
1. Educate Your Customers Before They Come to the Store
More than ever, customers are vetting products and services online before they even set foot into your store. In fact, Forrester Research reported that near 66% of your customers are doing research online before going into a store to purchase a product. What this means is that you have an opportunity to provide up front information on your website about the benefits and security when choosing an extended warranty, or protection plan. Whenever you market a new product, phone launch, or anything else, include information about your warranty programs. You should also consider reaching out to your warranty plan provider to see if they can provide you with content that can be emailed to your customers before a major phone launch.
2. Train Your Sales Associates to Use Proper Selling Techniques
Taking the time to train sales associates is crucial to the success of a warranty program. Not only do multiple training session help to sure-up and make your team feel confident discussing the product, it also improves the customer experience. Many customers have an misunderstanding of warranty products and whether or not they are a “good deal”. By having sales associates that are comfortable explaining the details of a particular protection plan, the customer notices and feels more confident adding the additional purchase. Additionally, teaching fundamental sales techniques should also help your average sale per associate increase as well, ultimately improving your bottom line and bringing you more revenue.
3. Empower Your Customers
If you have been educating your customers, training your sales people, and providing useful information about warranty programs, you can start to trust your customers to make decisions about their protection plans. However, you should note that not all customers understand that warranty plans can be purchased for gifts or that they are an extension of your customer service experience. Have your salesperson ask, “Have you purchased an extended warranty in the past? What did you think?” Listen to the customer and you will learn where more education is needed and how best to go about underscoring your store’s customer service and trustworthiness. Finally, empower your customer to make the right decision for themselves armed with all of the information needed to make an educated decision.
4. Track and Understand Your Data
Do some devices have better attachment rates than others? How often do you sell warranty plans in any given month? Are you experiencing loyalty from customers with protection plans? All of these questions can be answered when you have the right tools in place, such as a warranty management software (WMS) tool. A WMS allows you to track data down to the device and individual customer making it easy to arm your sales team with information that will ultimately help them close the deal. W3 Solutions offers every client access to its patented WMS tool.
How are you improving your extended warranty sales? Let us know in the comments!