[Partial excerpt, written by Eric Arnum, publisher of Warranty Week. Reprinted from the February 22, 2019 issue.]
Warranty professionals heading to Orlando for the 15th annual Warranty Chain Management Conference could arrive a day early to attend any of six different workshops on topics such as fraud detection, claims handling, customer satisfaction, and how to launch or expand a commercial or consumer service contract program.
The Warranty Chain Management Conference, less than three weeks away, officially begins with a welcome reception the night of Tuesday, March 12. But for those who can get to town a bit earlier, there are six different pre-conference workshops on the schedule, covering an array of product warranty- and service contract-related topics.
There are three workshops in the morning and three in the afternoon. For attendees looking to strengthen their knowledge of how things work in the service contract industry, there are excellent choices in both timeslots.
Increasing Customer Satisfaction and revenue generation
In the afternoon, from 2 to 5 PM, Bill Pollock, the president of Strategies for Growth, will deliver a workshop entitled, “Transforming Warranty Management Into Improved Customer Satisfaction and Revenue Generation,” which will also be aimed at commercial products.
Pollock said that a central theme of his workshop will be the need for warranty managers, especially those in the business-to-business sector, to not only do a good job, but to also get the word out to customers that the company is doing a good job with warranty.
“A lot of organizations and a lot of managers within those organizations look at improving the processes they use to deliver services as the end-all, be-all,” he said. “But if you’re doing something really good, and you’re not letting the world know about it, then you’re missing an opportunity.”
Pollock said he sees much the same story with many companies that do a good job with fleet management or reverse logistics: they don’t tell their story well, so customers don’t know what makes them better than other companies. On the other hand, those that promote what they do, creating some market awareness about it, find that it draws some customers in who might not otherwise be engaged. And for existing customers, it results in improved customer satisfaction, which leads to better customer retention levels.
“My goal is to be a value-add for warranty managers who are immersed in their activities,” Pollock said, “to let them know there’s the marketing and the promotions that you have to get out there. And if you do that, then you’re going to improve customer satisfaction, and you’re going to generate more revenue.”
Pollock said he’s not suggesting that companies become tedious and off-putting through their constant self-promotions. “But if you’ve done something good, if you’ve upgraded your processes, if you’ve moved from a premise-based system to a cloud-based system, or some sort of hybrid, let the market know about it.”
During the decades he’s been studying companies, Pollock said he’s seen three big themes recur in the surveys and in the research studies he’s helped to produce: 1) companies improving the processes they use to deliver services, 2) companies focusing on the needs of the customer, and 3) the financial costs. When times are tough, cost-cutting takes the lead. But when times are good, and the funds are available, process improvements tend to become priorities. What he’s saying is “don’t forget the customer”.
“Right now, we’re at an interesting time,” he said. “Our 2019 Warranty Management Survey Update has shown for the first time in the last five years, that the number one focus is back squarely on the customer. The number two focus is on improving processes. And the number three focus is on financials. So it looks like, as an industry, we’ve got our act together.”
The first half of the workshop, Pollock said, will focus on ways to promote your process improvements to the market, and how to turn that into improved customer satisfaction and revenue increases. The second half will show the correlation between these suggestions and the actual results of the company surveys Pollock has performed in recent years. And he will ask attendees where they see their organizations fitting into the results.
“Toward the end of that series of charts and interactions,” Pollock said, “I’m going to show the mean averages that warranty managers have been attaining for customer satisfaction, average claims cycle time, and profitability. What I want to do is show attendees that once you start falling behind the curve, the way everything’s moving so quickly, and the way your competitors and peers are embracing new technologies, you’re going to fall even further behind the curve – unless you take the appropriate actions.”