Feeling overwhelmed while managing consumer electronics warranty? OEMs in the consumer goods aftermarket often get swamped with warranty claims. As the consumer goods manufacturing industry is becoming more advanced with the latest features, the warranty process of consumer goods is becoming more complicated.
Endless negotiations, constant back and forth, data being isolated and fraudulent claims are some of the most common challenges that the industry is battling, with their current warranty management solutions.
What if there exists a solution that could manage your warranty, maintain up-to-date real-time data, streamline the existing process, and provide an efficient tracking system? Let us get to know the consumer industry warranty process and dive right into the solutions available in the market for advanced consumer goods warranty management.
What Is The Process of Consumer Goods Warranty Management
The process of warranty management of consumer goods is slightly different and more structured to handle product warranties effectively. The process consists of distinctive steps where each step has its significance and contributes directly to a smooth customer experience. Let us analyze the steps involved in the process in detail to better understand the complexities and how it can be enhanced using efficient warranty management software.
Warranty Registration
The initial step in the consumer electronics warranty process involves the registration of the product for warranty coverage. In this phase, the portal used by OEM collects information that is essential for warranty registration. This includes the product details, date of purchase, customer information, etc., which has to be manually filled in forms, and mailed to the respective retailer or manufacturer.
This process is highly prone to errors as it could contain incomplete or inaccurate information, that could complicate the process of warranty management in the future. With the absence of real-time data access, the traditional form of warranty management also includes the risk of physically managing the records, which increases the risk of misplacing or losing the details. The result of these inefficiencies is directly associated with delays, customer satisfaction, and the cost that OEM has to bear.
Complaint Management
The consumer electronic warranty management process is initiated when the customer comes across an issue with the product. The next step of the process is, that the customer needs to contact the customer service center where the complaint is registered manually, increasing the risk of errors and mismanagement. This process is inconvenient and time-consuming, which could be an unpleasant experience for the customer.
Another disadvantage of traditional complaint management is the difficulty in tracking the status of the complaint. It is tedious and time-consuming as the information is scattered and stored in isolated systems. Once the complaint is registered with the existing warranty management system, it is validated based on the information provided to cross-check if the data is accurate, aligns with the warranty terms, and is issued under warranty cover.
Technician Allocation
Once the complaint is registered and validated, a technician is assigned to the task of fixing the issue. The traditional method of technician allocation for a consumer electronic product involves physically assigning the technician to a task which has the possibility of delays, and miscommunication. The absence of a systematic process, often leads to unnecessary delays as identifying the right technician, checking the availability of different technicians and the location proximity of the technician become a challenge.
The manual management often leaves the technicians overburdened with multiple tasks and impacts their performance. Along with overburdening, tracking, and documentation of the task is a challenge that helps in analyzing the performance of the technicians.
Resolution & Invoicing
Based on the warranty terms, the resolution phase begins, which involves repairing, replacing, or reimbursing the defective product. In the case of a minor issue, technicians typically handle it by conducting repair on-site or taking it to the nearest service centers. The major challenge in this step is the lack of a proper communication system between customers, technicians, and support executives as it directly impacts the time taken to resolve the issue.
After the servicing is complete, the invoicing process is another challenge as it has increased the chances of errors due to manual data entry and calculations. Along with this, a traditional form of invoicing which includes paper, is prone to getting misplaced further impacting the time taken for resolution. Without a digital system in place, it becomes challenging to track or resolve billing disputes in consumer electronic warranties efficiently.
Why Warranty Management Is a Necessity?
Managing warranty has become a necessity for all companies to ensure that customers receive the right support and service they require when they encounter an issue. It includes everything from minor malfunctions to part failure and manufacturing defects. Let us understand why the aftermarket industry faces challenges when it comes to warranty management and what changes could make the process more streamlined and efficient.
Unregistered Warranties
The process of warranty management begins with the registration of the warranty in the centralized portal. Unregistered warranties become a challenge for OEMs as they create a hurdle in understanding or tracking the actual data of the product. Most customers miss out on registering their product due to limited knowledge and information about warranties. This creates a difficult situation for validation claims leading to further complications and delays. Such situations increase the chances of fraudulent claims and unauthorized services which further increase the cost paid by OEMs.
Lost or Mishandled Complaints
Mishandling of complaints is a common scenario when it comes to warranty management due to the absence of a centralized process. In the case of a misplaced or incorrectly logged claim, there is a chance of unnecessary delay or the chances of malpractices. When details are incorrectly entered or mismanaged, the accuracy of the technician assigned, spare parts allocated and time taken for resolution will also be directly affected thus adding to the operational costs paid by OEMs.
Inefficient Technician Allocation
There are multiple instances where when service is delayed or prolonged due to incorrect technician allocation. Among the several factors that lead to this, one strong point is the absence of efficient warranty management software. Based on the task in hand, proximity, and nature of the complaint a technician is allocated for resolution by the customer service department. Having an inefficient system in place for the technician allocation can cost the OEM more while putting unnecessary pressure on the technician.
Invoicing and Spares Management
Managing invoices and spare parts is a crucial step in warranty management as it directly affects the revenue of the company. Inconsistent invoice management often leads to unnecessary disputes, errors, and disagreements on warranty terms. Similarly, managing spare parts has its challenges such as overstocking and understocking. Overstocking leads to increased maintenance and inventory charges whereas understocking leads to heavy last-minute charges and unavoidable delays in downtime. To carry out an efficient warranty management system, it is essential to have a streamlined process of invoicing and spare parts management in place.
Inconsistent Resolution Tracking & Reporting
OEMs struggle with inconsistencies when it comes to tracking the states of resolution, reporting, and other crucial information. This restricts the decision-making process for OEMs and causes unnecessary delays, difficulties in allocating the right technician, and potential damage to the reputation of the OEM when service is delayed or poorly managed. Not having an efficient system in place results in constant misplacement of claims during negotiations, inefficient identification of repeated repairs or past failures, etc.
How Intelli Warranty Helps Consumer Goods OEMs
QR-Based Warranty Registration
With Intelli Warranty’s seamless QR feature, customers can register each product themselves. Each product contains two QR codes one placed inside and one placed outside the packaging. The QR code placed outside allows the customer to view the product’s information anytime for convenience. The QR code placed inside allows the customers to register their product’s warranty themselves by filling inaccurate details on the application or website linked to the QR. This not only reduces the chances of error but also allows customers to have better control over the product’s information.
Centralized Complaint Management
Advanced warranty management software such as Intelli Warranty allows customers to file a complaint and is managed through a centralized complaint management portal. The centralized system gives customers the flexibility of registering their complaints through different routes. This includes registering by filling out a dedicated form which is available on the OEM website and is integrated with the centralized system.
Another form of registering a complaint includes calling the toll-free number directly and registering with the help of an office operator who then enters the details in the warranty system. Customers also have the option of using the OEM mobile app to file complaints which are then recorded automatically within the warranty management system.
Smart Technician Allocation
With Intelli Warranty’s smart feature of technician allocation, customers can easily access all information including the details of the technician through an interactive dashboard. The centralized information dashboard allows the technician to easily refer to the history of repairs, details about the product, and the purchase date, before the visit. During the process of repair and validation, technicians can easily document their work within the app to keep a real-time record of the service provided, and parts replaced.
Streamlined Invoicing & Spares Management
Any efficient warranty management software provides the technicians with the flexibility of real-time updation of service details. But with Intelli Warranty, technicians can document every activity of their repair or services performed and send payment links to customers in case of an out-of-warranty repair. Real-time accessibility to spare parts and inventory information eliminates the chances of delays and increases the efficiency of the process. This feature allows technicians to send the payment link to the customer via convenient channels of their choice such as WhatsApp.
Comprehensive Resolution Tracking & MIS
The real-time tracking feature of warranty management software and management information system enables its users to carry the warranty process smoothly with minimal errors or delays. MIS collects information from multiple sources to identify the pattern of claims, the performance of technicians, and the reliability of products. This makes identifying upcoming issues effortlessly and smoothly through advanced warranty analytics. Besides streamlining the process of warranty management, it empowers OEMs with the upper hand in optimizing resources and reducing the overall cost.
Final Word
In the consumer goods industry, manufacturers need to adopt market trends along with the challenges they bring to stay relevant among other manufacturers. The complexity of the process of warranty management starting from managing the complaints, and allocation of the right technician, to real-time resolution tracking needs to be managed with innovative solutions.
Intelli Warranty provides consumer goods warranty with the right flexibility giving OEMs an efficient means to tackle every challenge efficiently. With the upper hand of streamlined processes, manufacturers can easily navigate through constantly evolving and volatile markets with ease. To know more about warranty management and its advantages, get in touch with us today and receive a free demo!
