The market research we have done in a last couple of years reveal that a large 58% of service type executives find themselves struggling with rising warranty expenditures and after-the-sale satisfaction issues with customers. 57% are struggling with efforts to streamline warranty chain advancement initiatives in their particular service organization.
Because of this, a good number have taken steps to put in place an analytic-driven closed-loop warranty chain, revise current business processes and to embrace new tech. solutions to best handle warranty work-flow, lower costs, create additional revenues, heighten claims administration, and make improvements to customer satisfaction.
It was made very clear by this report that top companies could reduce the total time of warranty claim processing to 2.7 days, down from the previous 5.2 days, and were able to both improve the level of customer satisfaction and reduce their costs.
Servisure research also stated that a full 74% of top companies already have an integrated service and warranty management organization firmly in place, 77% have a VP or above executive managing the warranty and service functions both, 48% are using some form of automated system for processing warranty claims and achieving the desired performance of warranty management.
The research also indicates 79% of all executives that were polled think warranty chain performance is very important for their businesses’ current success and over 59% saying it is more important right now than it was two years ago, mostly because of the need for increased speed and maintaining a low over-head.
The study concludes that top service organizations have begun to recognize the major impact of efficient warranty management on their bottom lines’ performance by leveraging technology and applying effective business workflows and processes.
Many of these industry leaders were then able to take additional steps toward streamlining existing warranty management practices, they were able to lower processing costs and overhead, and lessen the amount of incidents of product failure by introducing the analytics needed, creating a closed loop system to link product design and warranty.
This current 2012 study looks at how these best practices give power to today’s top companies making it possible to attain the highest levels of performance in warranty management while lowering costs, attaining more satisfied customers, and building new revenue streams from service.