Warranty and goods replacement service to attract customer but the cost is high.
The commitment to repair and replace the package can make the consumers who don’t understand the industry buy the products. But when quality issue happens, no one will take the responsibly.
After site visit and interview, the reporter learns that currently many suppliers try to attract customers by upgrading their package and committing warranty, but they are in the extreme. On one hand, to maintain the existing customers, attract new customers and build good brands reputation. On the other hand, they compete for more orders by exaggerating their products of poor quality to be 2, 3 or 5 years of lifecycle, which are of low cost and short lifecycle.
For most enterprises, warranty is the common choice, because the cost for LED light replacement is high with material cost, transportation cost, labor cost and so on. In the survey, reporters find that 11% of the new LED lighting brands are actually the old one by only changing the package. 56% of the LED lighting brands advertize their warranty service. 33% of the LED lighting brands advertize their warranty and replacements services. The data above coincides with the actual products quality and most enterprises choose to provide warranty service. Mr. Li Rui, the marketing director of Meite Lighting comments that in most cases, customers can claim for quality issues and the solutions can be different like goods replacements or return if serious quality issues.
In the survey data, reporters also find that most brands providing replacement service are mainly in medium market. This replacement has much too do with their selling prices. Indoor LED lamps at low price and profits are more likely to be replaced due to quality issues. To the opposite, there are few quality issues and replacements for LED lamps at higher prices. These suppliers committing for warranty, and replacement services provide high end, medium, and low end products. But the warranty time is different. The products with 2 to 3 years of warranty are more reliable and can meet the customer demand better.