Selling customers maintenance agreements is an excellent way to create loyal customers and a recurring revenue stream for your business. They’re essentially paying you money every month to come back and sell them something else. Service agreements offer a multitude of benefits for both customers and contractors. They are a great way to create customer loyalty, offer special incentives and deliver peace of mind. For the contractor, service agreements give you revenue year-round, ensuring a steady cash flow during the slow seasons. Of course, sales of service agreements are the key to your success. Here’s a simple system to turbocharge your crew to become service agreement selling fans.
1. Provide Great Value – Your service agreement must provide your customers with great value or they won’t purchase it. You should take a look at every feature and benefit your agreement offers and give it the “would I buy it” test. If you wouldn’t buy it, why would your customers? Keep in mind that people purchase service plans when value exceeds price, so make sure yours does exactly that. One way to ensure your agreement has everything it needs is to research what your competition and other HVAC companies offer. After you’ve done your research, compile a list of the best offers and compare it to yours to ensure you are giving your customers the best deal.
2. Training Your Techs & Salespeople – Once you feel you’ve got a great offer, it’s time to train the techs and salespeople on the feature and benefits of the plan. To ensure the team understands how the service plan works, have them take on the role of customer and sales rep. As each pair goes through the process, you’ll be able to see where any potential issues are with the plan’s features and correct them. It may take several training sessions to ensure that everyone is ready to present the information. If you want abundant agreement sales, only move on when everyone can give a polished presentation, it’s that important.
3. Offer a VIP Experience – One reason customers buy maintenance agreements is to feel special, like a VIP. In order to deliver on that expectation, you must create a plan that offers a portfolio of services for an excellent value and ensure that your customer service staff and technicians provide customers with VIP service. Therefore, it’s imperative that every employee learns how to thrill their customers by giving them the best quality care. The VIP experience starts at the customer service staff, so implement a process for handling your service agreement customers that makes them feel special.
4. Incentivizing Your Staff – Once you’ve got a great offer and the staff and techs have the presentation down pat, you’ve got to get your team motivated to sell the service agreement. The best way to motivate the team is through offering them a commission or bonus for each sale. You should factor in this cost into the overall budget for the initiative and make sure it is worth it to the staff. Otherwise, they will not be interested in growing this part of the business. Also, you should promote the sales success throughout the company via displays in the office, in emails, the company newsletter and at weekly/monthly meetings. Make sure you are celebrating the sales successes with the entire team through public acknowledgment and additional rewards, such as gift cards and lunches. The friendly team competition will be highly effective at encouraging others to participate so that they look like they are helping to reach company goals.
5. Inspiring Your Technicians – Your technicians are key to the success of selling and maintaining your service agreement operation. One way to ensure that technicians are on board with the program is to attach the sale of the agreement to the technician who sold it. This means when a client calls in for more work, the tech who sold them the agreement takes the call. By attaching the sale to the technician, the sales lead becomes a hot commodity. When incoming calls slow down, the techs with the most agreements will still be busy. That’s because they’re getting their foot back in the door, fulfilling the promises made in the agreement, such as safety inspections, and they’re uncovering more needs and up-selling. Give your employees ownership of their leads, and they’ll maintain and grow your business.
As a leader in the HVAC/R industry, Source 1™ HVAC Supply Centers can provide you with the best products for your customers. To find out more about our multiple locations, contact your local store by visiting www.source1hvacsupply.com.