Module 6: Hardware Replacement

Overcoming Objections

Objection

Your customer already has spare parts on-site and does not see the value in a service contract that would provide them with Advance Replacement as a key service component. She sees no reason to stop buying parts on an “as needed” basis.

Response

Make sure your customer understands that she could alleviate any warehousing or inventory management costs associated with keeping spares onsite by having a service contract that provides her with Advance Replacement as a key service component. Also mention that she will incur higher transaction fees and will experience delayed delivery if she needs to purchase a part that she does not have within her onsite inventory.

It is also important to ask your customer if she has an internal resource who has the expertise to configure any replacements. Will your customer be able to handle this internally – or would it be better for her to rely on a Cisco onsite engineer?

Explain to her that only about 20% of problems are hardware related. Is she sure her IT team is accurately diagnosing problems and is not using expensive spares to fix non-hardware related problems? You can also ask them what they plan to do with the spare parts they have onsite the next time they upgrade their technology.

		Will they try and sell them at a loss?
		Will they sit in a closet taking up space?
		Will they simply throw them away?

Finally, you can ask your customer what she plans to do with defective units. Many state and local authorities have strict laws regarding the disposal of used equipment. Mention that with a service contract like SMARTnet that provides Advance Replacement as a key offering, she can send the part back and be replenished quickly with a replacement.

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