A product warranty is an inherent reflection of both the quality of a product, as well as the customer’s experience with the manufacturer. In addition, warranty management can be an expensive process for manufacturers reliant on manual administrative processes. Refining and advancing warranty management should be a top priority for manufacturers who aim to improve the customer experience, product quality, and decrease costs.
However, managing product warranties is a historically manual and complex process that can range from the supply chain all the way to customer service. With manual data entry, multiple databases, lack of visibility into tracking data, and fraudulent cases, there is a lot within the warranty management process that can go wrong.
By investing in warranty management software, manufacturers can ensure that the warranty management process not only goes smoothly but also brings added benefits to manufacturers. Likewise, this blog post will cover the top 5 advantages of warranty management software.
Advantages of Warranty Management Software1. Increase Efficiency
Lack of visibility into customer tracking data and specific product warranties wastes customers’ time, inhibits efficiency, and can ultimately ruin the customer experience. Warranty management software solves this problem by allowing manufacturers to track the progress of each and every customer claim within a centralized, accurate, and easy to access platform. Increasing visibility into the warranty claims process enables efficient processes, which is an important advantage for manufacturers focused on the customer experience and cutting costs.2. Decrease Costs
Repetitive administrative tasks are susceptible to human error that can result in costly mistakes. In addition, the time-consuming nature of repetitive administrative tasks can waste valuable time and personnel talent. By automating these repetitive claims and settlement processes with warranty management software, manufacturers can decrease costs wasted on needless errors and let employees focus their time on the strategic tasks that drive the business forward.3. Reduce Fraudulent Risk
Fraud is a serious and potentially costly risk for manufacturers. With manual warranty management processes in place, there is a higher risk for fraudulent claims and settlements to go unnoticed, and for data security breaches to happen in the first place. By leveraging warranty management software with intelligent features, fraudulent activity is easier to detect and stop before it happens. Likewise, customers can rest assured that their personal information will not be exposed. In 2021 data privacy should be a top concern, and warranty management software can do the heavy lifting to help ensure that data security and fraudulent claims never fall through the cracks.4. Improve Customer Experience
Customer experience is a main competitive differentiating factor. According to Salesforce research, 80% of customers say that the experience a company provides is as important as its products and services, with 57% reporting having stopped service with a company because a competitor provided a better experience. Seeing as product warranties are an influential factor in the customer experience, a manufacturer’s warranty management process can either make or break their customer experience. Warranty management software removes friction from the warranty process, expedites timelines, improves communication with customers, and creates an overall positive customer experience.5. Leverage Data-Driven Decision Making
Data-driven decision-making is terribly difficult to execute without visibility and access to reliable, real-time data. Manufacturers employing manual warranty management processes most likely do not have this real-time visibility and data access. And in 2021, the opportunity cost of not using data-driven decision-making is high. By investing in warranty management software, manufacturers can join the digital transformation and start reaping the numerous benefits of data-driven decision-making. With access to real-time data and advanced analytics, manufacturers can monitor product quality, take note of customer behavior, and gain valuable insights into cost-saving opportunities.
The way a manufacturing company handles product warranties sends a clear message to customers about the quality of their products and their attention to customer satisfaction. Manual warranty processes leave customers wanting, and can even lead to serious data security breaches or fraudulent claims. By investing in warranty management software, manufacturers can:
- Increase Efficiency
- Decrease Costs
- Reduce Fraudulent Risk
- Improve Customer Experience
- Leverage Data-Driven Decision Making
See how ServicePower’s integrated warranty claims management software can increase consumer confidence in your products and build customer loyalty.