How To Build Sales With Extended Benefits
By musicvideocodes, Fri Dec 9th
An area that can become profitable for many businesses inbuilding the offer within sales copy is selling (or "upselling"customers with) extended services, products or packages, alsooften called the "extended warranty."
Extended warranties are subtle forms of insurance policies thatguarantee a product or service's performance, especially afteran initial period of time.
While the guarantee promises benefits, the warranty promisesthat the enjoyment of those benefits will continue. In otherwords, an extended warranty is like a "guarantee's guarantee,"if you will.
A warranty promises that a product will perform the way it issupposed to for a very specific period of time. If your productcomes with a guarantee, then consider selling an extendedwarranty that ensures its continuation.
But if your product is can not be guaranteed for whateverreason, consider a warranty that may take the form of futureupgrades, additional benefits, membership programs, points clubsor support service packages.
For example, if you sell computers, you can also offer abuy-back plan. For an additional fee, customers "buy" theprivilege and ability to choose to trade in their systems for abetter model within a year following their purchase.
The plan, which may appear in the form of an officialcertificate, coupon or letter, promises them a complete refundof the purchase price that's applied towards their upgrade. Ifthey choose to exercise their option, they only pay thedifference when they upgrade to a later model.
The Silent Profit Center As for services, the extended warrantyis a little different since services are intangible, do notbreak down, need repair or depreciate in value.
But they are just as profitable.
Warranties can take the shape of memberships, points clubs,preferred customer programs, priority service packages, extendedservice packages, prepayment plans, premium services, futurediscounts or upgrades plans, etc.
In short, warranties are much like service agreements. Forexample, if you're a consultant you can offer prepaid retainerpackages that include several hours of consulting or on-callpriority privileges, all at a discounted rate.
On the other hand, if you offer repetitive services such as ahairstylist or a chiropractor, you can offer a number of prepaidvisits at a discount. If your cashflow is particular low duringa specific month or season, you can arrange your packages sothat they renew at that point in time.
The summer is a slow time for snowplowing services. But withprepaid packages, which are sold in the summer and renewing inthe summer,
