Tag Archives: warranty
Service contracts can be powerful tools for increasing revenue and customer loyalty. If you sell a product, you have almost certainly considered what type of warranty to offer. But, have you also thought about whether to also give customers the option of purchasing an additional service contract? Here are five things to consider:
For centuries, warranty law has been a back and forth between policies benefiting sellers and those protecting buyers. Current warranty law is a reflection of this. To better navigate today’s policies, an understanding of how history has dealt with warranty regulation is crucial. Continue reading
We all participate in the marketplace. And warranty law impacts virtually every sale and purchase made, in-store or on-line. So whether you are a seller of goods and services or a consumer, there is value to be had in understanding warranty law concepts and the policies they serve.
This being the case, the DrivingValue team shall present a series of “Warranty 101” posts that explore, examine, and and explain warranty concepts we encounter in our day-to-day transactions and the terms used to express them. Our goal is to present the material in posts that while short and easy-to-read, still provide accurate and useful information.
We hope you enjoy and find value in our efforts and we invite you to let us know how we’re doing.
Originally defined as a moral obligation, warranty has evolved into a powerful tool for enhancing the customer experience, which in turn drives sales. Continue reading
A recent outbreak in the South Bronx claimed 12 lives, left another 120 victims infected and put Legionnaires’ Disease back in the headlines. Besides being potentially fatal, LD poses a serious product liability and warranty liability risk to the manufacturer of any product that holds or stores water. This group includes manufactures of HVAC equipment, water heaters, water tanks, plumbing fixtures and supplies and companies that include these items in their products, such as mobile home, motorhome and travel trailer makers. But once appreciated the liability risk can be effectively managed. Here are a few things you should know about the disease and some suggestions for managing the liability risk it poses. Continue reading
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