Warranty: Through Good Times and Bad
Lewis also said he’s noticed that sales associates who receive higher incentives tend to sell more ESPs, adding that Service Net increased training in the Q3 to better prepare retailers for the tough holiday season.
“Training is a must,” agreed Mallory Parker, whose buying group, MEGA Group USA, offers members the opportunity to sign onto an ESP program. “Dealers that don’t [train] don’t do very well at warranties.”
Contrary to what some would believe, tough times and lower product sales don’t always hurt ESP sales, said Matt Frankel, president of AIG Warranty. “With less units going out the doors, the attach rates tend to go up in troubled times because that situation gives salespeople more time to talk to customers and focus on items like service contracts,” he said.