|Matthew Ivan and Steven Cox of Allwest Auto Parts. The company has recently announced the availability of a new no hassle lifetime replacement warranty on parts.|
Edmonton, Alberta -- December 17, 2014 -- Allwest Auto Parts in Edmonton, Alberta, has gone beyond standard or even extended warranties with its new “No Questions Asked Hassle Free Replacement Warranty for as Long as You Own Your Vehicle” policy. It’s a bold claim, but one that the facility stands behind.
The concept was developed by Manager Steve Cox and yard owners Ed and June Wiersma. Cox has been the President of the Alberta Automotive Recyclers and Dismantlers Association (AARDA) for over five years and Ed Wiersma represented AARDA for several years on the Alberta Motor Vehicle Industry Council.
Cox and the Allwest team were looking for a new way to add “product” to their yard without having to invest in additional inventory and capital. Selling more warranties was an answer they came up with. Cox realized that to stimulate sales of part warranties they would have to make it more attractive to the customers. Then, putting himself in their shoes and based on his experience, he realized that current disincentives to warranties would have to be overcome. Customers hold back from buying warranties that are limited by time or uncontrollable circumstances. Also, they may have experienced difficulties in the past with getting warranties honoured.
Cox and the Wiersmas gave the topic a lot of thought and concluded that providing a lifetime warranty was a big part of the answer to selling more warranties.
“After all, how long is the original part buyer going to own the vehicle that the part is going into anyway? Since used parts do tend to last a long, long time anywayy, this further minimizes the risk of making this bold offer,” says Cox.
The other key thinking behind the warranty concept being introduced was that customers don’t want to be hassled when they bring a part back for replacement under the warranty, so they decided to eliminate almost every possible reason that the warranty might be denied.
“Customers won’t be asked about whether the part was properly maintained, how and where the vehicle was driven or whether the part may have been damaged in an accident or in some other way by the customer,” says Cox. This might seem almost cocky, but as Cox points out, “Customers don’t deliberately abuse or break a part just to make a warranty claim.”
Cox says their experience has been that their customers are reasonable and honest, and it was this that allowed them to conceive this novel approach to stimulating the sale of additional warranties. They expect that their faith in the concept and in the integrity of their customers will be well-justified.
For each part sold that is sold with the optional warranty, sales are equal to the value of the part plus the percentage added for the warranty, so the value of sales increases almost effortlessly.
Labour and incidentals are not covered, and the warranties do not cover simple wear and tear. Driveline components, of course, will be warranted to a pre-defined total mileage and no warranty will be offered on diesel motors. In each case a warranty card will be provided to the purchaser so that the few conditions that apply are clearly understood.
There is no way to predict if Allwest’s bold new move will catch on with other auto recyclers, but it seems likely that it will catch on with customers.
For more information on Allwest Auto Parts, please visit allwestparts.com.