Why the hell do salesmen keep asking you for extended warranties?

[Imdmn04]

So today i went to BB to get a set of Logitech z-560s, pricematched it to 170, which isnt that bad of a price considering im buying it from a retail store.

Then the salesperson started asking me if i wanted to hear about the extended warranty.
Me: no thank you, dont think im intersted
Her: are you sure? blah blah blah (benifits of a extended warranty)
Me: i dont think i really need it
Her: are you really sure? are there any reasons?
Me: (ticked off, but trying to be as polite as i can) look, i know your manager is pressing you guys to sell this, and i really appreciate your effort but i just dont think i want it.
Her: Sigh, finally gives up and gives me the receipt
Me thinking inside my head: about goddamn time, should of taken the hint when i first said no

Any similar experiences want to share/rant?

 

[RaynorWolfcastle]

Extended warranties are pure profit in most cases, now you know why they push them.

-Ice

 

[vi edit]

Why? Because they are huge money makers, that's why. They also get some sort of commision off of it as well. Free money. Not a bad deal for both employer and employee.

 

[N8Magic]

<< So today i went to BB to get a set of Logitech z-560s, pricematched it to 170, which isnt that bad of a price considering im buying it from a retail store.

Then the salesperson started asking me if i wanted to hear about the extended warranty.
Me: no thank you, dont think im intersted
Her: are you sure? blah blah blah (benifits of a extended warranty)
Me: i dont think i really need it
Her: are you really sure? are there any reasons?
Me: (ticked off, but trying to be as polite as i can) look, i know your manager is pressing you guys to sell this, and i really appreciate your effort but i just dont think i want it.
Her: Sigh, finally gives up and gives me the receipt
Me thinking inside my head: about goddamn time, should of taken the hint when i first said no

Any similar experiences want to share/rant? >>



Because it is pure profit for the store, and the employee will get a per warranty bonus for every one he sells. I used to be an electronics salesman, so I know what i'm talking about.

Think about it, if you sell everyone a warranty, what are the chances of it breaking? So you sell a $30.00 warranty on a $200.00 item. Even if they have to replace ONE for every 7 they sell, they are still ahead, and the numbers are usually much lower than that.

*edit* my grammar is atrocious today!

 

[vi edit]

Not to mention that a HUGE majority of the time if something is going to fail, it's probably going to do it in the first year or less of ownership, which falls under the manufacturers warranty anyway. The retailer doesn't cough up the dough for those incidents.

 

[cressida]

simply commision and profit

 

[Pr0Hawk]

They have extended warranties on everything! i remember when I went to buy a $5 keyboard.

Him: You can get an extended warranty for $5, if this ever breaks we will replace it with a new one.
me: The keyboard Itself is $5.....
Him: Well, incase it breaks or anything, you can get it replaced for free. Only $5!
Me: *blinks and walks away*

 

[killface]

I largely do tech support and installations. If I happen to sell an extended warranty, our company gets 25% of the sale (I only get about 25% of that) and the company that makes the machinery has to do very little work on these machines because they're pretty solid.

 

[Imdmn04]

i know about the profit and the commision.
but what pisses me off is that they keep on insisting it after multiple firm responses of "no"
just what part of "no" do they not understand?
the more you push me, the more unlikely im gonna buy it

 

[Jzero]

<< i know about the profit and the commision.
but what pisses me off is that they keep on insisting it after multiple firm responses of "no"
just what part of "no" do they not understand?
the more you push me, the more unlikely im gonna buy it >>


Well, suffice it to say that not everyone is like you and some people will break down after being asked a few times.

 

[Nocturnal]

commision.

sometimes it is good to get the extended warranty.

i know people who have gotten new items before their warranty was up.

 

[chechi]

Because its their jobs, and they get into trouble if they dont. I used to work for CompUSA and we had to sell so many replacement plans per week. If you dont then you got into trouble. Plus they do make alittle extra money off of it. But the company makes huge money off of it. Not all replacement plans are bad. I got a $29.99 two year video card replacement plan on my geforce 3. Six months later when the Ti 500 came out, I took in my card and said it was broke and used my replacement plan to get the geforce 3 Ti 500, didnt cost me anything. But I then bought another $29.99 replacement plan on that one, and I just used it to do the same thing and got a geforce 4 Ti4600! And I bought a $29.99 replacement plan on that too so I can do the same thing when the next cards come out. So I only pay $29.99 for the newest $400 cards.

 

[yakko]

<< Because its their jobs, and they get into trouble if they dont. I used to work for CompUSA and we had to sell so many replacement plans per week. If you dont then you got into trouble. Plus they do make alittle extra money off of it. But the company makes huge money off of it. Not all replacement plans are bad. I got a $29.99 two year video card replacement plan on my geforce 3. Six months later when the Ti 500 came out, I took in my card and said it was broke and used my replacement plan to get the geforce 3 Ti 500, didnt cost me anything. But I then bought another $29.99 replacement plan on that one, and I just used it to do the same thing and got a geforce 4 Ti4600! And I bought a $29.99 replacement plan on that too so I can do the same thing when the next cards come out. So I only pay $29.99 for the newest $400 cards. >>

Nice to know you are a lying theif.

 

[Ornery]

As wrong as it is, chechi's plan seems like some kind of evil consumer justice to me!

I heard that when you cash in the warranty at BestBuy, there is no more extended warranty, it's over. Kinda sucks, eh?

 

[Thanatopsis]

<< Because its their jobs, and they get into trouble if they dont. I used to work for CompUSA and we had to sell so many replacement plans per week. If you dont then you got into trouble. Plus they do make alittle extra money off of it. But the company makes huge money off of it. Not all replacement plans are bad. I got a $29.99 two year video card replacement plan on my geforce 3. Six months later when the Ti 500 came out, I took in my card and said it was broke and used my replacement plan to get the geforce 3 Ti 500, didnt cost me anything. But I then bought another $29.99 replacement plan on that one, and I just used it to do the same thing and got a geforce 4 Ti4600! And I bought a $29.99 replacement plan on that too so I can do the same thing when the next cards come out. So I only pay $29.99 for the newest $400 cards. >>



Thank you for cheating the companies out of profit. Good to know Ferengi are alive and kicking.

 

[rutchtkim]

they also have quotas and are evaluated by their retail mangers on their performance on extended warrantees. etc...

 

[im2smrt4u]

Commissions, bonuses, etc. Besides, the worst someone can do is turn them down.

 

[Aceman]

Because he's a salesman. It's part of his job. Not ONCE have I ever seen a manager chew me out or threaten me or any other salesman for not selling a PSP or PRP. I've been chewed out for not OFFERING to sell a PSP. Best Buy employees don't make a dime off those plans. And, I've got enough experience working there to tell you that your raise isn't going to be much bigger if you sell more PSPs than the other guy.

 

[Jzero]

<< Because he's a salesman. It's part of his job. Not ONCE have I ever seen a manager chew me out or threaten me or any other salesman for not selling a PSP or PRP. I've been chewed out for not OFFERING to sell a PSP. Best Buy employees don't make a dime off those plans. And, I've got enough experience working there to tell you that your raise isn't going to be much bigger if you sell more PSPs than the other guy. >>


Well, I can tell you that if you work for Border's/Brentano's/WaldenBooks you can have job action taken against you for not SELLING enough club subscriptions. Just asking isn't enough. If you they don't buy, you can get screwed.
I imagine some electronic retailers have similar policies.

 

[Jhill]

When my sister bought a computer from best buy the salesman added in a 3 year warantee without even asking her if she wanted it. I told him she didnt want it and he argued with me for a good 10 minutes about why she needs it, and also why she needs the 79.00 surge protector and why she needs the 35.00 printer cable.

Then he said we are having a special. For 20 dollars our service center will optimize your computer so it will run to its fullest potential. I laughed and said "no thank you".

To bad it didn't know as much as I did now or I would of built her a computer.

I will never buy anything from best buy unless it's a really good deal.

 

[Burnt]

They offer it because it's their job. I remember when I cashiered at BB and my supervisor would stand there and watch me to make sure I offered the PRP on a $5 mouse. That, I thought was dumb, I didn't mind offering it on reasonable priced items, but a $5 mouse? But it was my job. On the employee side, don't you think we hate it when we're trying to do our job and some a$$hole just wants to be a dick and cut you off?

 

[telstar1]

Dude, your answers leave the door open:

"dont think im intersted"
"i dont think i really need it"
"i just dont think i want it"

You say they should've taken the hint when you "first said no" but that's just it... You didn't say no.
You said you didn't think so, you didn't think you needed it, and you didn't think you wanted it.
All three responses left the door open for them to convince you.

When they ask, say no. It leaves no doubt as to your thoughts on the issue, and closes the door for negotiation.

Telstar


[edit: spelling]

 

[Imdmn04]

<< Dude, your answers leave the door open:

"dont think im intersted"
"i dont think i really need it"
"i just dont think i want it"

You say they should've taken the hint when you "first said no" but that's just it... You didn't say no.
You said you didn't think so, you didn't think you needed it, and you didn't think you wanted it.
All three responses left the door open for them to convince you.

When they ask, say no. It leaves no doubt as to your thoughts on the issue, and closes the door for negotiation.

Telstar


[edit: spelling] >>



Well whenever i decline an offer i always start out with "i dont think" because i feel its more polite and apporiate than just flat out say "no", no isnt even a complete sentence.

 

[telstar1]

Yeah, but look what it gets you.

You're dealing with salespeople. It's their job to sell people something, even if they don't need it.
Answer how you like. Say, "No, I do not want an extended agreement." if you're concerned about complete sentences. But I'd change how you phrase your answers if you want to cut down the back and forth that you complained about when starting this thread.

Telstar

 

[amdskip]

chechi, I also don't agree with what you are doing:disgust: