Most HVAC, electrical, and plumbing businesses tend to offer maintenance agreements or service club memberships to their customers. If you are just starting your business or asking yourself, “What are some maintenance agreement benefits?” then you have come to the right place.
Let’s first define what a maintenance agreement is. A maintenance agreement is a list of specific services a company will perform for a customer within a given period.
Maintenance agreements offer countless benefits to not only your customers but your business as well. Let’s dive into some of the annual maintenance contract benefits you and your customers can expect to see.
What Your Customers Get from Maintenance Agreements
When trying to sell maintenance agreements to your customers, you should make sure you are going over the benefits to them. Why should your customer buy a maintenance agreement from you? Find out more below:
- Cost-Effective: You may experience some reluctance from your customers when you try to sell them a maintenance agreement. They may not see the point or think it is too expensive and not worth it. Try to assure your customers that while it is a bit of an upfront cost, maintenance agreements generally end up paying for themselves.
- Early Issue Detection: Routine maintenance helps to identify any potential issues before they arise or while they are still minor. This maintenance will help ensure your customer’s equipment is running smoothly and efficiently. Technicians can identify any issues during these visits that might have gone undetected. Identifying a problem early can save your customers money and the headache that goes along with huge, unexpected repairs.
- Maintain Equipment Warranty: Sometimes, equipment requires an annual service package to maintain its warranty. In which case, it would be very beneficial to purchase to extend the life of your equipment and know you are covered if something happens to it.
- Peace of Mind: Your customers will have peace of mind knowing their equipment is being taken care of and maintained. They can rest assured that this preventative maintenance will keep their equipment running smoothly and efficiently.
How Your Business Benefits from Maintenance Agreements
While maintenance agreements offer many benefits to your customers, you may wonder what’s in it for your business. Here are some benefits to your business when you offer maintenance agreements:
- Steady Revenue Stream: Maintenance agreements are a guaranteed source of income for your business for the length of the agreement. You can count on that guaranteed revenue each month.
- Build Brand Loyalty: Since you will be in your customer's homes more, your customers will start associating you and your business with quality work. They will become familiar with your techs and how you do business and know they can trust you to get job done correctly and efficiently.
- Potential for Opportunities: While your technicians are in your customer's homes performing service, they can scope out potential job opportunities. This is an excellent way for your business to generate some additional revenue.
- Build Positive Business Reputation: If you offer maintenance agreements to your customers, they will start to associate your business with quality and reliability. Your customers will appreciate the fact that you are willing to offer these agreements and stand behind your products and services.
Organizing Agreements within Successware
One of the benefits Successware offers is the ability to manage agreements directly in our software. We let you defer agreement revenue to the period in which the service occurred, a service not available with most accounting software.
Our software also makes it easy to create marketing lists for unscheduled agreements or renewals, generate invoices for billings with the touch of a button, and quickly identify and renew fixed-term agreements.
Check out our Did You Know | Agreement Manager blog for more information on how you can manage and grow your agreements with Successware.