Kelly’s Korner – Meeting of the Minds
Q Recently I had a husband and wife in my office. They were purchasing a new vehicle, and although the wife was more than receptive regarding the service agreement, the husband was firmly opposed to purchasing the added protection. What course of action should I have taken?
A It is tough when there seems to be disagreement between two buyers regarding protection plans. Clearly, you do not want to “fan the flames” of family discord. So think back to the interview. Who was the new purchase for? Was someone going to be driving the vehicle alone, long distance?
Before you make a product presentation, be sure to identify if a need does in fact exist. Find out about the customer’s usage of the vehicle. For example, if the vehicle is to be used in town only, who will be the primary driver?
Remember also to inquire about the past experiences your customers have had with their trade-in vehicle. If they have experienced lots of repairs, then they know things break and that it costs money and time to fix them.
What if the trade-in vehicle had no repair history, just maintenance? What if the customer’s vehicle trading cycle is typically every two to three years? If the answer to both of these questions is “yes,” a prepaid maintenance agreement would fit the customer’s needs, and a service contract might be an item for a follow-up attempt. Should they decide to keep the vehicle beyond the factory warranty period, the service agreement could come in handy in the event of a vehicle breakdown.
It is important to put your customers in a face-saving environment, leaving them “wiggle room.” Most customers have preconceived notions about what they want and how to protect what they have. Many of them take great pride in doing their own repairs. However, I am not sure if the average customer realizes the complexity of today’s technology. Most customers simply do not have the required diagnostic computers or a book of error codes that show on the displays. What usually happens is that the presenter will unwittingly say something that offends the customer, and the customer will decline coverage for no other reason than a bruised ego.
Your mission is to discover the customer’s needs in a non-confrontational manner. Present the policies as solutions. Educate your customers about the advances in technology without making them feel as if they just came out of the covered wagon. Above all else, remember that it is not so much what you say, but how you say it that counts.
“Kelly’s Korner”, Oregon IADA Squeaky Wheel Newsletter, December 2006