The quest for customer loyalty

January 21, 2016

- how to use digitalization to increase aftermarket revenue and create closer relationships

One of the biggest challenges for a machine manufacturer is to maintain a strong customer relationship even after a warranty expires. But in this new era of digitalization, suppliers can use modern solutions to offer continued support that will boost the productivity of their clients in a way that competitors can’t match. When it comes to the quest for customer loyalty, using connected devices, data science and machine learning can give you a massive advantage when it comes to aftermarket sales.

What is the challenge?

Maintaining customer loyalty requires the ability to nurture a close relationship long after a sale is completed. The problem for many suppliers is that their contact with customers often becomes less frequent over time. When a machine is first delivered, the supplier knows more about the product than the customer and spends time teaching them how to use the equipment. But as the customer’s knowledge and familiarity with a machine increases, they require less support. And eventually the customer knows their individual piece of machinery better than the supplier, who is not working with it every day. So if something goes wrong and a machine needs repairs, the customer may now have to teach the supplier about their particular machine – creating an impression of poor service. When a warranty expires, the customer may then choose to use a local repair service in the future rather than extending an agreement with the supplier.

What is the solution?

Every supplier dreams of creating life-long relationships with customers and being able to provide a service that boosts productivity for their clients. But how do we get there? The key is to have an efficient way of communicating and exchanging information that adds value. By using solutions made possible by connected devices, data science and machine learning, the supplier can get instant feedback from machines around the world that highlights possible issues before they happen and give exact error reports when something goes wrong. That way, they maintain the same degree of knowledge of an individual machine as the end-user, leading to a level of support and service that cannot be matched by any competitor. One can even go as far as offering a performance or outcomes based contract (i.e. servitization) with the client promising productivity levels matching their targets and ultimately help them reach their goals.     

How can TechniaTranscat help?

With the help of our R&D centre, OptimData, which focuses on developing applications based on connected devices, data science and machine learning, TechniaTranscat now offers an innovative new application called ProductInUse. Its ultimate goal is to help suppliers transform their business of product selling into a business of value added services. The application, which is delivered to the client, gives the supplier a real-time overview of how their machines around the world are performing, thus helping suppliers understand their customers and the usage of the machine they have bought. It enables them to build new innovative service offers tailored to the market segmentation of the supplier´s expertise. The application will also help customers get the best out of their production systems, thus increasing their loyalty to your brand.

ProductInUse can be branded under a supplier’s own name, giving an added competitive edge when it comes to aftermarket sales. The ability to guarantee a certain productivity level and address any problems quicker will help create loyal customers who will return even when a warranty period expires.

How do I learn more?

To learn more about the application, visit http://productinuse.com or attend TechniaTranscat’s webinar “The data driven approach to increased aftermarket revenue”. Click the link below to sign up and learn more. 

 

Industrial Internet of Things Webinar

Webinar:

The data driven approach to increased aftermarket revenue 

This webinar will illustrate the value of data to increased service business and customer loyalty. ProductInUse proposes an innovative unique approach to digitally transform your business. Based on industrial examples you will be able to assess the value of understanding the usage of machines in production and the empowerment of the business chain stakeholders.

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Writer: Rehan Chaudry

Contact Rehan if you´re interested in PLM or Industrial IoT and how it can improve your processes to create a profitable product portfolio and boost your business.

 +46-8-599 204 83

 rehan.chaudry@techniatranscat.com

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