Nowadays most companies offer some sort of warranty on their products. However, it comes with the responsibility of handling complaints, claims, chargeback and reverse logistics. Despite the hassles it causes, service/warranty management is an opportunity to build a loyal customer base, if handled well.
Usually, the first time customers contact you after purchasing your product is when they face a problem. A part-timer or a call center employee attending calls or transferring calls to a technician may convey their lack of knowledge or interest to the customers.
If a full-time employee with the necessary knowledge and experience interacts with them, customers feel that they are being taken seriously. Such an employee would be able to track the issue to resolve it better. Generally, an in-house employee can be trained to deal with queries, complaints and claims validation, whereas a part-timer might need to re-route and escalate them, thus spending more time on them.
Similarly, it is always better to have a senior employee deal with calls from high-value, frequent customers. Confidential information like service level agreements (SLAs) can also be shared without hesitation with full-time employees. This also means a quicker turnaround time on service/warranty.
Full-time employees are more likely to perceive customer calls as opportunities to provide better service, as they feel they are a part of a larger cohesive whole. You will also be able to communicate regularly with them as their team leader, understand their abilities, gather valuable feedback and set goals or metrics accordingly. Furthermore, you will be able to delegate responsibilities and get faster, better results.
If service/warranty management is integrated as an in-house function with a dedicated team of employees in charge, revenues will definitely improve because you'll be able to track problem points and address them during quality control to optimize product pricing and reduce warranty costs.
In general, full-time employees are better equipped in terms of brand knowledge. They’re also more experienced in company practices and more interested in the product/service. They also feel more secure in their jobs, have more job satisfaction and are loyal. They have greater commitment, which is sure to translate into suitable, timely resolution of all customer issues.
Many local suppliers offer warranties that guarantee their products will last for a certain amount of time. Claiming on one of these warranties is easy when the supplier is locally based, as you can easily go to the supplier to return faulty goods and pick up replacements. Remote suppliers sometimes also offer warranties, but you may have to pay to ship the faulty goods back to them and spend a long time waiting for replacements to arrive.
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