'Service Plus' is a new offering from The Warranty Group that combines the benefits of a service plan with the protection of a warranty.
The service is ideal for motorists who want to guard themselves against unexpected car costs. Opposite the consumer-facing offerings, the new service is set to increase loyalty and retention. This plan is particularly appealing to Millennials, especially those who are reluctant to commit to making full up-front payments. Instead, customers are able to take advantage of a fixed monthly cost that can be paid in monthly installments.
The Service Plus is designed to provide dealers with something that adds on to existing service plans, versus replacing them entirely. The plan is also ideal for vehicle owners with warranties that have expired.
What's Driving This Trend
- Combined Warranty and Service Plans
- The trend of combining warranty and service plans offers a more comprehensive solution to consumers and increases loyalty and retention.
- Monthly Subscription-based Services
- The trend of offering fixed monthly payments as an alternative to up-front costs provides a more flexible payment option appealing to Millennials.
- Additional Add-on Services
- The trend of providing add-on services to existing plans instead of replacing them entirely offers businesses the opportunity to diversify their offerings and increase revenue.
Who This Affects Most
- Automotive
- The automotive industry can incorporate combined warranty and service plans to provide customers with a more comprehensive and beneficial service.
- Insurance
- The insurance industry can adopt the trend of additional add-on service offerings to increase revenue and diversify their product offerings.
- Finance
- The finance industry can benefit from the trend of monthly subscription-based services to offer customers a more flexible payment option for various financial products and services.
