As customer expectations shift, consider these 7 ways you can add value to your product and/or service offering by making minor adjustments to your process.
Exclusive Co-op Program
A bike is an investment and it should be no surprise that many customers are interested in the extra protection they can get from normal wear & tear. With the Keep it Rolling Protection Plan, members of The Bike Cooperative bolster their bottom line and keep customers happy at the same time.
Improve your bottom line, add worry-free value, and generate happy service customers. With easy claim approval and all the help you need from the co-op, there’s really no downside…
Your customers are already familiar with service contracts. From automobiles to smartphones – extended warranty plans are common, and many of your customers will be extremely curious about the ability to protect their investment when “new bike day” rolls around.
Gross profit margins for KPP average 50% or greater
Buying a bike is about riding it, not keeping it shiny and new. The Keep it Rolling Protection Plan ensures hassle-free, worry-free enjoyment for every customer – which easily justifies purchasing the extended protection plan in the first place.
Even one major repair can justify the cost of the plan
With Keep it Rolling, every single covered repair earns your shop revenue, including $45 per claim ($30/claim for drive-train only repairs), reimbursement for parts (cost +25%), and shipping. Extended coverage also gives your customers a convenient reason to choose you for service, rather than attempting a DIY repair.
Keep your service department busy with enthusiastic customers
Coverage begins from the date the bike is purchased and continues for 5 years – it includes complete parts and labor (beyond manufacturer warranty’s coverage) for major parts and components on the bicycle. Common parts covered include: spokes, hubs, rims, chain wheels, crank arms, bottom brackets, brakes, drive trains, suspension, handlebars, and many other parts. For a full coverage list, contact the co-op today.
Like an extended service plan for an automobile – the KPP protection plan doesn’t cover abuse or natural wear and tear. In addition certain components and services are not covered, including: frames, saddle covers, reflectors, paint, grips, dents, tires, tubes, brake shoes/pads, after-purchase modifications, tune-ups, safety checks, wear and tear, accidents, electric bikes.
The manufacturer’s warranty should always be used over the KPP plan if possible. Keep it Rolling coverage begins where the manufacturer’s plan ends.
If the bike is sold, no problem. The Keep it Rolling extended protection plan can be easily transferred to the new owner to add value to the bicycle. There is no cost to transfer coverage to a new owner, and the process for transferring coverage is very easy (all it takes is a phone call).
You probably don’t want to. Selling and servicing extended service plans is highly regulated, with steep underwriting and sales requirements. The Bike Cooperative underwent a long process vetting a number of administrators and underwriters before introducing our members to Amynta, our chosen vendor. To date, our members have been very happy. Have questions? We’re happy to answer them.
There should never be any surprises when it comes to claim authorization – the vast majority of claims are accepted when retailers follow the coverage guidelines. For tips on how to submit your claims to ensure approval, give us a call today.
With more retail competition than ever before, bike dealers across the country need to cooperate and get creative to prepare for 2020, 2025, and beyond. From data tools and training resources to consumer financing geared to give your sales team an edge – The Bike Cooperative brings together the scale of America’s bike shops to help them do more. Find resources and tips on all of these area in The Bike Cooperative’s blog.
Membership is currently OPEN for passionate IBD’s focused on growing & thriving with the benefits of our shared scale.