Maintenance contracts can be an important tool in your toolkit that will help you retain existing customers, create excellent customer satisfaction, and attract new customers. Many HVAC businesses rely on maintenance service contracts as an excellent way to build a successful HVAC business for four reasons. Maintenance contracts create reliable income with customers paying a monthly retainer. Having many customers who are on maintenance contracts also helps keep your techs busy during slower seasons and provides more contact with your customers as most contracts provide a twice yearly check in. You’ll also face fewer emergency calls because equipment is serviced preventatively.
What is an HVAC Maintenance Contract?
An HVAC maintenance contract or service agreement is when a customer pays a fee for your company to perform all preventive maintenance for a particular piece of HVAC equipment. Ideally, a maintenance contract would require your company to service all HVAC equipment for a set period of time, usually annually.
Benefits of HVAC Maintenance Contracts for HVAC Customers
Customers benefit from maintenance service agreements as well. Contracts provide budget predictability with a monthly fee and the cost of parts and labor can be discounted for customers on contract.
HVAC equipment will last longer and perform better when it’s serviced preventatively. With scheduled service visits twice a year, your techs are more likely to catch a problem such as loose electrical connections, low refrigerant levels, or a clogged condensate drain, before it turns into a costly emergency repair.
Customers on contract also benefit from priority service and a prompt response so they won’t have to wait if their heat or air conditioning requires repair. Some HVAC companies offer an emergency service discount for customers who have purchased maintenance contracts.
How HVAC Maintenance Contracts Improve Customer Satisfaction
Customers with service maintenance contracts are more likely to be highly satisfied customers because their HVAC equipment performs better for longer, which means their capital costs are less expensive. Well maintained equipment is also more energy efficient.
Equipment warranties and proactive maintenance mean that customers receive more service visits from your techs, which builds trust and positive rapport. Regular service visits from trusted professionals will help assure your customers that their equipment is functioning as intended. Your trained HVAC techs will also be able to check for any dangerous issues like a cracked heat exchanger and review the equipment for potential failures.
Regular service visits also mean customers can be assured their equipment warranties are valid in case of any potential failure.
How HVAC Maintenance Contracts Boost Customer Loyalty
Maintenance contracts can help you boost your customer retention rate because customers who commit to a maintenance service agreement are also more likely to stay with the HVAC company handling the service. Once you have a customer who is committed to a regular contract, they are much more likely to make future equipment purchases from your company.
Customers with preventive maintenance contracts have greater peace of mind as their specialized maintenance needs are handled in a professional manner. They may be more likely to recommend your HVAC business because they feel confident in your service.
Beyond Maintenance: Extra Perks of HVAC Contracts
Ensure your contracts have clear, easy to understand terms of service that outline how they will benefit customers. Your customer should understand what to expect about wait times for emergency calls, discounts on regular service visits, and guaranteed wait times. Make sure your customers understand the benefits before they sign on the dotted line.
And it should go without saying that your company’s business processes, like expected wait times, should reflect terms you guarantee in your service agreements.
You may be able to offer flexible contract options and coverage levels depending on the type of customer. For example, customers that manage multiple buildings may have preferred and discounted emergency service, or a specific discount on specific equipment purchases.
Tips for Implementing Effective HVAC Maintenance Contracts
Software that’s made for HVAC field service companies can help you track and automate your service agreement histories, manage warranties, ensure checkups are scheduled, and more. If your software also has integrated reporting, you can track which technicians have sold the most equipment, as well as which customers have purchased the most.
Software can also help you establish clear expectations and deliverables for service contract customers, like how your company treats emergency service for its customers who have maintenance agreements.
While software helps you automate certain tasks, there’s no substitute for top notch service. Treat your customers on contract like stars, and ensure they are first in line for upgrades, provide them with discounts to replace equipment that’s no longer viable, and build good rapport by dispatching the same professional tech to service their equipment every time.
Read our blog to learn more about how to train and mentor excellent techs.
Maintenance contracts can help you boost your customer retention rate by as much as 85%.
Customers who have preventive maintenance contracts with your HVAC service company are more likely to stay with the company because they save money, see longer equipment viability, and earn five star treatment from your service techs. They’re also more likely to stay loyal to your company and purchase more equipment from you.
Implementing a broad HVAC service maintenance contract program can enhance customer satisfaction and help foster customer loyalty. If you have already have a service maintenance program in place, you may want to look at how to automate some of your service promises and renewal reminders using field service software. Software can help you increase the number of customers on contract and manage their service delivery more efficiently.