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An area that can become profitable for many businesses in building the offer within sales copy is selling (or "upselling" customers with) extended services, products or packages, also often called the "extended warranty."

Extended warranties are subtle forms of insurance policies that guarantee a product or service's performance, especially after an initial period of time.

While the guarantee promises benefits, the warranty promises that the enjoyment of those benefits will continue. If they choose to exerc

An area that can take rise profitable for many businesses in hall the offer within sales copy is selling (or "upselling" customers with) extended services, products or packages, also often titled the "extended warranty."

Extended warranties are subtle forms of insurance policies that guarantee a product or service's performance, especially thereon an initial period of time.

While the guarantee promises benefits, the warranty promises that the enjoyment of those benefits will continue. In other words, an extended warranty is like a "guarantee's guarantee," if you will.

A warranty promises that a product will perform the way it is supposed to for a very specific period of time. If your product comes with a guarantee, then consider selling an extended warranty that ensures its continuation.

But if your product is can not be guaranteed for whatever reason, consider a warranty that may take the form of future upgrades, another benefits, membership programs, points bower or support service packages.

For example, if you sell computers, you can also offer a buy-back plan. For an auxiliary fee, customers "buy" the privilege and workmanship to judge to trade in their systems for a preferred model within a year following their purchase.

The plan, which may come on in the form of an official certificate, coupon or letter, promises them a complete refund of the purchase price that's towards their upgrade. If they please to exercise their option, they only pay the difference when they upgrade to a later model.

The Silent Profit Center As for services, the extended warranty is a little different since services are intangible, do not disperse down, need repair or depreciate in value.

But they are just as profitable.

Warranties can take the shape of memberships, points clubs, preferred customer programs, priority service packages, extended service packages, prepayment plans, premium services, future discounts or upgrades plans, etc.

In short, warranties are much like service agreements. For example, if you're a consultant you can offer prepaid retainer packages that include several hours of consulting or on-call priority privileges, all at a discounted rate.

On the other hand, if you offer repetitive services such as a hairstylist or a chiropractor, you can offer a number of prepaid visits at a discount. If your cashflow is particular low during a specific month or season, you can intend your packages so that they renew at that point in time.

The summer is a slow time for snowplowing services. But with prepaid packages, which are sold in the summer and renewing in the summer, it creates an income stream when things slow down.

These programs are often more timely to the liege for a variety of reasons. And many marketers and businesses shy away from them. But they really don't see it from their client's perspective.

Beyond the obvious price incentive, the benefits of extended warranties include less billing, more convenience, preferred service, faster delivery, extra privileges and many others. of a sort is the sheer feeling of "belonging" to a special, elite group of people to which higher limelight or priority is given.

Join the Club That's why premium programs, or "preferred subject clubs," are very popular. They have a mystique and a sense of extra value carelessly them, which is for part of that elite group. As Amex says, "membership has its privileges."

For example, club members might enjoy a members-only 1-800 service number, extra premiums, discounts on joint-ventured partners, express checkout services, special members-only contests and so on.

Online, clients can shift into members of a private site, gangway premiums, receive auxiliary web-based services (such as reminder services, self-winding shipping, real-time support, even special software, like eBay's Toolbar, etc).

But keep in mind that the savings factor in such programs is the greatest motivator. Consumable products translate into repeat sales. Therefore, an extended warranty in this case would be a repeat customer program.

(Also styled "rewards programs.")

This could involve a flat discount rate on all purchases made at a particular store during a destined timeframe. What this program also does is to preemptively reduce the possible loss of a pensioner to a competitor.

Bookstores sell avid reader membership programs. For an magazine fee, they offer members a fixed discount rate on all subsequent sales journal purchased during the time that the program is in force.

These programs can range from one month to a full year. Costco Price Club is more great example where an transactions membership fee is galvanic but members enjoy wholesale or bulk prices.

Nevertheless, while extended benefits are in and of themselves profit centers, they're also powerful positioning tools since they help to increase your core duties and responsibilities at the same time.

People love options and the feeling that they are bones taken care of. They also want to reduce the element of risk in the marketing process. People want to let alone pain, and that includes the pain that comes with the potential or future loss of a benefit. So, help them feel more secure with the knowledge that they will continue to enjoy your product or service.

Sell them an extended warranty!

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