4 Tips to Selling More Home Service Agreements
Annual service agreements can be critical to a home service company’s growth and day-to-day operations. Who doesn’t want recurring monthly fees to offset the peaks and valleys of seasonality and episodic events?
Annual service agreements keep the competition away. They allow your company to establish a relationship and build trust with customers. And if you do a really good job, customers will recommend your services to their friends and family.
So… how can you grow the number of customers who have annual service agreements? The infographic below will help. We asked homeowners what they think of annual service agreements. What they want out of annual service agreements. How much they would be willing to pay for annual service agreements. And much more.
Annual service agreements are a great source of recurring revenue for any size home service business.
Here are 4 tips to selling more service/maintenance agreements:
- Make sure your annual service agreement has value – a strong price-to-benefits proposition
- Be different than your competition – annual service agreements are often “me too” offerings
- Research your competition’s annual service agreement and identify how you will be different (e.g. additional discounts, etc.)
- Survey prospective annual service agreement customers to identify what they want most.
- Drive awareness with a consistent presence in the market to inform and educate homeowners on the benefits of your annual service agreements
- Target prospects and messaging
- Age of home, household income, geography, etc.
- Age of homeowner – communicate the benefits of an annual service agreement they will find most important
*By annual service agreement, we mean an annual contract where a homeowner pays a monthly fee that covers the cost for service or for unexpected repairs and maintenance on a home’s heating/air conditioner, water heater, appliances, etc.
Survey results are from a random sample of adults from across the country who own a home and are the primary decision maker for home service issues.