With some of the most extreme temperatures on record, HVAC systems have to work harder than ever before. Service agreements are a vital part of keeping systems running and experts recommend bi-annual checkups.
Service agreements are an extra expense, but they can provide customers with savings down the line. A well-functioning HVAC system will have higher energy efficiency, which can lower utility bills. Small fixes are more cost-effective than larger emergency repairs and routine maintenance can keep systems working for longer, delaying the need for a new purchase.
Service agreements are not only a financial asset for your customers, they are also great tools to grow your business.
Service agreements bring in revenue. Recurring appointments allow you to strengthen your customer base and talk up your company’s value props. My tip for this is to always frame your successes in ways that benefit the customer. For example, highlight that you’ve saved clients an average of X dollars a month, instead of how much revenue you’ve gained year over year.
Maintenance calls are opportunities to upsell quality improvements and keep machines running at top capacity. Some warranties even require service agreements to be in place. Service appointments are most common in the fall and spring, before major season shifts. These months coincide with slower selling times and can be a great way to keep your company busy.
Continual maintenance allows you to help your customers year-round and is also a guaranteed source of revenue. Think of it this way: who are you more likely to let into your home? Someone you have a relationship with or a stranger off the street? The same goes for HVAC repair.
And if the time ever comes to sell? Buyers are willing to pay more for companies that have achieved either a sizable service contract membership or a large number of guaranteed contract members.
Service agreements keep customers (and contractors) happy. Customer relationships do more than get you in the door, it helps to ensure homeowners are satisfied with their purchase.
Customers are more likely to return to contractors when they’ve had a positive experience. Routine maintenance can help you save customers money and avoid emergency situations. By building this relationship with your customers over time, you can become a trusted source of HVAC knowledge in their contact lists.
Many contractors also include incentives in agreements like discounted repair fees and priority service if a system malfunctions in the future. Others offer attractive leasing and financing options alongside agreements. This will keep the process simple for customers and help you close bigger deals. Contractors who use these tools effectively can have a pool of satisfied return customers, which will boost the morale of your entire team.
Service agreements keep systems functioning and lead to a good reputation. HVAC systems are extended by regular maintenance checkups. With the proper service agreements in place, your customers can benefit from a longer system life span and they’ll thank your company for it— improving your business reputation.
When systems fall into disrepair, they can waste energy and increase utility bills. If left unattended systems can also malfunction entirely, putting households at risk from the elements. In this sense, it is the responsible move for contractors to offer service agreements to their customers and explain the benefits to them. When customers see that you are committed to giving them the best experience, they’ll be more likely to give you a higher rating, which makes you a trustworthy choice for future customers.
Service agreements are a win-win for customers and HVAC contractors. In addition to the consumer benefits, service agreements are essential to grow your business. If they haven’t been top of mind lately, let this be your sign to make them a higher priority.
Guest written for NCI.