We’ve talked about how to fix your broken sales flow with scripts that sell.
But if you really want to perk your prospects’ attention, you need to dig into their psyche.
Here’s why: the products your extended auto and home warranties cover all have (more or less) the same parts:
- Motors
- Electrical components
- Circuits
- Screens
Your leads, though? They’re separate entities. That means they each have different:
- Pain points
- Needs
- Messaging requirements
Using a CRM built specifically for extended warranties helps you identify your prospects’ persona, speak to their concerns — and turn them into customers.
Let’s dive into whom you’re likely talking to and how to adjust your campaigns accordingly.
Selling To The Risk-Averse Persona
It seems many companies paint their entire audience with this brush. For good reason.
Can you think of anyone who wants a sticker-shocking bill when their budget is already tight? We can’t either.
After all, more than half of us wish we’d purchased a warranty when something breaks — and that regret applies to everything: cars, RVs, electronics. You name it. What’s interesting, though, is the relatively low price-point where people think an extended warranty is worth their money. 29% of Gen-Zers, for example, think purchases of just $100 should be protected.
What Convinces Risk-Averse Personas?
Risk-averse personas have an actual bio-psychological barrier you need break: an over-active amygdala. That means emotions like fear and stress drive decisions for this persona, making anxiety-curing benefits like “Avoid unexpected bills when something fails.” especially compelling.
How Inline CRM Helps:
Since the regret of not purchasing an extended warranty is real, you can automate follow-ups for customers who previously declined coverage. Sending three follow-up emails can make your success rate soar by up to 80%.
The Ownership Optimizer
Have you heard of r/buyitforlife? It’s a subreddit devoted to people who only buy things that last a lifetime. A pragmatic, but unrealistic, mindset.
This persona will religiously repair and maintain what they buy to extend its usage, especially when it comes to home appliances and electronics. For them, a warranty isn’t just about avoiding loss. They want to get their money’s worth on everything they buy.
What Convinces Ownership Optimizers?
A number of things: preserving their investment (which leads to a lower cost of ownership). Using what they like for longer. And, since replacing an item is the same to them as throwing it away, you can consider talking about eco-consciousness and the environment.
Remember, we’re tapping into your prospects’ psyche!
How Inline CRM Helps:
Odds are you know when manufacturer warranties expire — especially for vehicles. You can create a marketing campaign just for this audience segment with appropriate messaging surrounding durability.
The First-Time, Big-Ticket Buyer
Remember when you bought your first house or car? You probably saved and saved for years, swelling with pride when it was finally yours… and probably felt a little anxious at the same time.
That purchase is a real step towards becoming an independent adult. It represents your growth. What you bought wasn’t a “thing” so much as it was an inanimate child you’d do anything to protect.
That’s what you need to tap into when talking to this type of persona.
What Convinces First-Time, Big-Ticket Buyers?
They want to be guided and reassured that things will be alright, especially through social proof and testimonials from first-time buyers like them. And, since we’re talking about “grown up” purchases, you should reinforce that buying an extended warranty demonstrates maturity.
How Inline CRM Helps:
If your sales team can track first-time purchase types by home or car, you could send a “Welcome” campaign message focusing on education as a way to soft sell.
The Extended Warranty Skeptic Persona
This type needs little introduction. You probably spend most of your day talking to them. They’re looking for “gotchas” and assume the fine print is a mile long. And since they think what you sell is nothing more than an expensive, low value “money grab,” you’ve got your work cut out for you.
But it’s possible to break through
What Convinces The Extended Warranty Skeptic Persona?
Certainly not FOMO, even if done ethically. You should simply do what you should be doing, anyway: be transparent — in this case, exceedingly transparent. Explain the most minute details of your terms and conditions to the nth degree. Highlight FTC and FCA regulations like the Magnuson Moss Act that preclude deceptive warranties.
How Inline CRM Helps:
You can create trust-building scripts for this persona and send follow-up materials that focus on positive reviews and real-life case studies.
Sales Scripts Specifics For Each Persona
So far, we’ve given a general idea of the buttons you should push to turn a prospect into a customer. But what does pushing these buttons sound like?
Something like this:
- Risk-Averse Personas: “The worst kind of surprise isn’t when {product} breaks down. It’s how much fixing the issue costs. When you buy a warranty, you pay a predictable monthly rate, so you’re covered when the worst happens. You can save even more money if you pay for your coverage all up front.”
- Ownership Maximizers: “Everything you buy is an investment. What we’re offering is a way for you to get the most value and enjoy your {item} for as long as possible, so you won’t need to replace it for a long time. Actually, our customers end up keeping their {item} for {number of} years longer because of their coverage.”
- First-Time, Big-Ticket Buyers: “Congratulations on your first {item}! That’s really exciting! Our policies can help you protect it and keep it like-new if anything happens to it.”
- Skeptics: “Let me tell you what isn’t covered so you know what you’re paying for. And if you’re still not sure, we can set you up with a 30-day, no questions asked refund if you decide you don’t want it.”
You can work in the messaging above with our custom extended warranty script builder to A/B test yourself.
Perfecting Each Persona’s Performance
The general rule of sales is to speak to one person at a time. The thing is, most companies try to cram everything into one pitch.
That can work — just not as well as it could.
CRMs can prove invaluable in giving each conversation a more intimate, 1:1 feel:
- Segmenting leads based on demographic, behavioral and purchase data
- Building and refining sales scripts associated with different and distinct personal profiles
- Automating campaigns (cold calls, emails, follow-ups) for specific buyer personas
- Tracking and improving responses through detailed reports that show the outcome of every interaction
Here's What We Suggest
Identify one persona to target. It could be a group listed already or another you encounter frequently. The key is to start small and specific. Focus your efforts there first.
Then, pick one tactic to work in persona-specific messaging as part of your direct marketing campaign:
- Sales script
- Follow-up email
- Direct mail
Make sure to give enough time for data gathering and performance tracking. Tinker and test as needed until you see improvement. Then, apply the same messaging to the next tactic for that persona. And the next tactic.
Here’s the reason: You’re likely doing well enough right now. There’s no need to demolish your entire process — but you should be working on improving one area for one persona. This approach accomplishes that goal without forsaking everything else.
Try this persona-lization (pun intended!) with your free, no-obligation Inline CRM demo for 30 days.
