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22.11.2018

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    Smartcare Rewards

    Domestic & General

    For every £1 spent on appliance care, customers receive £1 worth of Smartcare rewards which can be used to get up to 50% off any household appliance. So, if protection costs £80 a year, you’ll receive £80 worth of Smartcare rewards to use – at no extra cost.

    What customer problems did you set out to solve?

    Our protection plans are designed to offer complete peace of mind in the event of breakdown, accidental damage, loss or theft. We offer an expert service when this occurs, however where customers don’t experience one of these events, it’s important to us that customers still benefit from our plans and value our service.
    Smartcare provides our customers with tangible value and recognises loyalty, throughout the product lifecycle. Rewards accumulate each year with every £1 spent creating a reason for customers to engage with us outside a claim and reinforcing the value of a relationship with D&G

    What differentiates your proposition from other offerings in the market?

    Today, very few providers who offer protection on appliances offer loyalty benefits. Those who do (such as British Gas or Aviva) offer either: discounts for tenure and on additional plans; or benefits on unrelated services e.g. discounts on restaurants.

    Smartcare is unique to D&G, offering customers the opportunity to purchase a new appliance direct from the manufacturer, delivering tangible benefit to our partner, our customers and our subscription model.

    The value equation is simple as every £1 spent on a plan is credited to the customer’s Smartcare account, accumulating over time at renewal, which they can use to purchase another appliance. There are over 800 products to choose from, ranging from high spec fridges to coffee machines.

    What impact has the proposition had? For example - in the industry, on your customers or commercially within the business.

    Since launch, Smartcare customers have saved over £1.5m. That means a saving of £115 per customer(or 38% off the RRP!). Customers have purchased over 13,000 appliances; equating to £4 million revenue for our partner, Whirlpool.

    Smartcare also drives loyalty. On average 35% of customers who buy an appliance go on to purchase a further protection plan and we are also seeing positive renewal results

    What’s next for your proposition?

    Recent customer research has shown that 72% of customers want to receive regular updates on Smartcare. So we’re planning a full end to end engagement plan, to ensure all customers are aware of Smartcare and how to use it. We are also exploring similar loyalty schemes with other manufacturers.

    Find out more about Smartcare Rewards here

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