Tax Season Prep Pt. 5: Long-Term Coverage. Long-Term Business.
The benefits from a busy tax refund season don’t have to stop when the checks from Uncle Sam quit landing in mailboxes. If you’re taking this opportunity to put customers in more robust service contract coverage, you could reap the benefits for months and years to come.
Customer Satisfaction. Yes, higher levels of coverage and longer terms come with an expense, but the reward is going to be more satisfied customers. Within 90 days after a purchase, a customer will expect to have any complications covered. But what if your customer experience still covered these issues two, three, four or even five years down the road? Longer terms of service contract coverage serve as a great way to provide an amplified customer experience that is sure to get them talking.
Repeat and Referral Business. Speaking of customers singing your praises, happy customers are the best advocates for your business. When a customer’s repair is covered years after a purchase, that is a story they will tell friends and family. This endorsement around town is more powerful than any ad or online review. Your reputation in your community is your lifeblood, and longer terms of coverage strengthen your presence locally.
It’s All About The Presentation. You know longer terms of coverage can benefit your customers, but the challenge lies in getting them to agree to more expensive coverage options. When presenting your VSC options, the 300% rule is sacred. Presenting 100% of your products to 100% of your customers 100% of the time sounds simple. But as time goes by and things get busy, you may only present the product that’s easy to sell or one that you recommend for the customer. Showing all the options and putting the decision in your customer’s hands only increases the likelihood of you landing a sale for a stronger vehicle service contract.