Post-sales service

Post-sales service is all the support a business gives a customer after a sale has been made. It starts once the customer has paid and can continue long after, for example while a guarantee is still running.

What it includes

It is much wider than repairs. A business offering strong post-sales service might:

• give a guarantee — a promise, often lasting 12 months or more, that the business will put right a faulty product, usually by repairing or replacing it
• run helplines, web chat or a support desk to answer questions about setting up or using a product
• handle complaints quickly and fairly when a customer is unhappy
• offer related products, add-ons or servicing to customers who have already bought

For example, a bike shop that sells you a helmet, rings you a month later to check the fit, adjusts it free of charge and tells you when a new model of light arrives is providing post-sales service.

Why it is worth doing

Generous post-sales service can give a business a competitive edge: if you know one business will replace a faulty item without argument, you may choose it over a rival, even at a higher price. It also builds a long-term brand image and customer trust — you believe the business will look after you, so you come back, show customer loyalty and are more willing to buy its related products. Because satisfied customers tell friends, post-sales service can also bring in word-of-mouth recommendations without spending on advertising.

The drawbacks

The catch is that post-sales service can be costly, needing paid staff, vehicles and spare parts, and time-consuming, so complaints may wait while staff travel or investigate. Refunds and replacements also reduce the money the business keeps, and if guarantees are too generous the extra sales may not cover these costs, which eats into profit.