Long warranties: Weapon or problem on retail floors?
One of the great things about being out in the field is the reality check that it provides. Sometimes I hear things I don’t necessarily want to hear, but I benefit, nonetheless, from the varied voices at retail.
For example, a hard-charging retailer recently challenged me on my support for shorter warranties. “You want to take away one of our weapons on the sales floor,” this retailer told me the other day as I visited with him in one of his stores. “Warranties can be helpful in closing the sale.”
Truth be told, a number of retailers have suggested to me that warranties do play a valuable role on the sales floor. Those lengthy warranties provide a nice security blanket to consumers who are uncertain if they want to part with $1,000 for a new bed, I have been told.
But, to bring up the other side of the coin, I’ve also been told that warranties are a crutch for weak sales associates. Let’s face it: A warranty doesn’t improve your sleep. Sure, citing 10-year or 20-year warranties may give the sales associate a sense of confidence. But isn’t it much better to talk about the actual benefits that a good night of sleep provides? We really are selling better sleep, and we must never forget that.
So how do I plead on the charge of wanting to deprive sales associates of a valuable tool? I plead not guilty. My defense: I want to give sales associates a better weapon than long warranties. Focusing on the life-changing benefits of a great night of sleep is a much better weapon for the sales associate’s arsenal, it seems to me.
I also chatted with my retail friend the other day about the possibility of using the new fire-resistant properties of our beds to boost sales. Not so fast, the retailer said. I don’t want my sales associates bringing up something so negative and scary as a fire.
OK, I said. How about this: When you make the master bedroom sale, you bring up the possibility of replacing some of the other beds in the house. The pitch: The federal government has established a new mattress safety standard. Beds now incorporate new FR safety technologies that provide valuable time to escape a fire. The new FR beds can give parents peace of mind.
“If we can get on the positive side, there is some good stuff there,” my retail friend responded. I like the way he thinks.
Dave Perry commented:
Thanks for those additional great posts. I hear nothing but support for shorter warranties. Hope my producer friends are reading along.
-Dave
Paul commented:
Most manufacturers sell a commodity not a true benefit. Their reps come in a store touting all the great features in their product without a shred of evidence to show any real long term sleep benefits.So in selling a commodity that is really about steel, wood and foam, not sleep. They warranty what they really sell and even then build in barriers to having any real satisfaction with that sleep system feature.
Warren Littrell commented:
Dave,
These are all good points but with the 10 year non-prorated warranty we are telling the client not to come back for 10 years or even more. The comfort life of a premium set of bedding is about 8 years so if the warranty was 5 years we may have a chance of getting them back in 8 years for a new set of bedding. Just a thought from "fly-over country".
Barbara Stewart commented:
I truly believe that the only reason manufacturers give out long warranties is because they have no intention of honoring them. Anyone who has ever spent time on a retail floor selling mattresses has heard literally hundreds of stories per year of frustrated consumers trying to receive justice on what they perceive as a warranty issue. However, the way the mattress manufacturing warranties are written, it is virtually impossible to collect. Even if the consumer does manage to squeak loud enough to get some action, they are still going to be shelling out large sums of money for delivery costs, which are never assumed by the factory and rarely assumed by the retailer.
Dave Perry commented:
Thanks for those posts. Hey, I can use arguments like these when my manufacturing friends defend long warranties. Your views give me hope.-Dave
jeffgtherep commented:
I agree with Barbara on all points, especially in regards to the expectation that because a bed is warranted for x amount of years it will be comfortable. The body undertakes major change every 7 years ie. bone density, muscle mass, weight, etc. this is medical fact. So by that notion every 7 years a bed should be replaced (wouldn't that be a nice change for bedding retailers and manufacturers) Personally I go for 4-7 years. I will never understand why people are so willing to spend in excess of $50000 on a car, $3000 on a tv, $500 on a cell phone, but the one thing that helps them sleep and enjoy all of those items more is the mattress. We need to be honest about the warranties, offer them in months and not years of duration (3 mos. promotional, 6 mos. mid tier, and 1 year on premium) let the retailer sell extended warranties, it works for the electronics stores why not us?? I would just once like to see an ad that touts the value of sleep and its benefits and leave out all of the other stuff that is so self defeating to actually selling a better nights sleep.
Barbara Stewart commented:
I am the main sales driver for our store, and also co-owner. As a retail store owner, I HATE long warranties. To me, they are a hidden liability waiting to ruin the reputation of my business. Who ever heard of guaranteeing a durable good for 45,000 hours of use? I spend a fair amount of time during the selling process discussing EXACTLY what a factory warranty covers (not much, really), and highlighting the fact that many of the complaints a customer might have about a bed will NOT be covered by the factory warranty. I also hear horror stories about customers trying to make warranty claims. They are not aware of the parameters of their warranties, and we create so much ill will in the public by creating the expectation that a bed will stay comfortable for fifteen or twenty years.
