Tag Archives: customer loyalty

The Redefinition of Warranty

warrdrivessalesOriginally defined as a moral obligation, warranty has evolved into a powerful tool for enhancing the customer experience, which in turn drives sales.   Continue reading

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Warranty in Practice – Can a company use warranty to help drive sales?

Warrantycar

Can a company use warranty to help drive sales? It sure can. Just ask Hyundai Motors. It saw its market share jump from 1.1% to 4% after it extended its powertrain warranty in 1999. You might also want to put the question to Volkswagen, which saw its sales drop 30% in the three years after it shortened its powertrain warranty in 2002. Continue reading

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Tesla: Investing in warranty is “doing the right thing.”

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“Doing the right thing” might reduce electric car maker Tesla Motors’ earnings short-term, “but will work out well in the long term,” writes CEO Elon Musk on the company’s blog. In today’s marketplace, I think he’s on the money. What do you think? Continue reading

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Filed under Best Practices, Customer Experience, PR & Branding, Service Contract, Statutes & Regulations, Warranty

GUEST POST: It’s Time to Stop Running from Recalls

GMHQ
GUEST BLOGGER: Jim Martinez, RightStoryGroup

On July 1, the New York Times carried a news analysis claiming that GM’s recent recalls threaten the company’s reputation. The same day, GM announced its best June sales figures since 2007.

Rising sales show that the biggest threat to GM’s corporate reputation isn’t recalls, but rather critics willing to irresponsibly forecast the company’s demise. Continue reading

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Filed under Best Practices, Customer Experience, PR & Branding, Risk Management