Retention Red Flag Policy

Retention Red Flag Policy

An eligible Retention sales call is when the customer indicates agreement to the sales activity and has a clear understanding of the activities being undertaken on their warranty.
 It is the responsibility of Retention Sales associates to use all available and ethical means to convince customers who would otherwise cancel their contract and no longer be a customer to remain active and express the intention to continue paying indefinitely for one of our plans. 

Commissionable sales activity occurs if an associate’s efforts lead the customer to continue with the warranty. It is necessary to confirm the sales activity applies to the warranty as outlined in this document.

Defined Activities

What is a Valid Save?

A valid “save” occurs when your efforts lead the customer to keep the home service plan active. 
  1. All saves must be confirmed with the customer during the call wrap-up.  
    1. Sales scripting MUST be used on all sales calls and MUST be read verbatim.
      1. This requires a verbal yes/confirmation from the customer.
  2. Documentation must include the initial reason why the customer wanted to cancel. 
  3. The call must be properly dispositioned as a Save to receive credit. 

What is an Invalid Save?

  1. Giving incorrect or misleading information (e.g., “…everything is covered.”).
  2. Giving rebuttals when the customer has not requested or implied cancellation (e.g., general billing or coverage questions).
  3. Unresolved, future-based event (e.g., claim escalation, supervisor call back, refund requests). 
  4. Dispositioning a call as a Save without reading the Sales Confirmation Script.
Warning
Sales verification is completed on TS&R sales. Any sale deemed invalid will not be eligible for commission payout.
Invalid sales activity will result in disciplinary action, up to and including termination. 
Notes
If you are unsure whether the activity is a defined sales activity, eligible for commission, or need clarification on proper dispositioning, please ask a Supervisor or Quality Assurance Specialist.

Cancellation

  1.  Sales efforts must be enacted on interactions involving a request for cancellation or a clear implication of cancellation.
  2. Requests to cancel must be processed immediately upon request for authorized users.
  3. Failure to process cancellations as requested will be considered an attempt to avoid the cancellation.
Warning
Such activity will result in disciplinary action, up to and including termination.

Enrollment

  1. Requests to enroll in one of our warranty plans must be processed immediately upon request.
  2. It is the responsibility of the associate to determine the method by which the caller became aware of our plan to ensure adherence to the selection of client/cell codes process.

Save vs Not a Save Comparison Examples

Info
The table below provides examples based on common scenarios. It is not all inclusive. 
SAVE
NOT A SAVE

Unknown charge without prior knowledge of coverage.

Agent builds value/paints a picture and educates the customer.


Customer still doesn’t remember signing up for the warranty but agrees to continue with coverage after sales efforts

Unknown charge without prior knowledge of coverage.

Associates educate customer and the customer recognizes/remembers charge and does not request or imply cancellation.

Ex: “Yes, I remember now! That’s what I needed to know…”

No additional sales efforts are put forth. 


Customer expressed dissatisfaction as they were told item(s)/service was covered but found out they are not covered. 

Ex: “I don’t know if I want to continue because I was told something different.” 

  1. Agent explains coverage and value of keeping it.
  2. Customer agrees to continue coverage. 

Customer calls to confirm an item/service is covered but never requests to cancel.

Ex: “Is my water heater covered?”

  1. Agent educates customer.
  2. Customer understands without ever requesting or strongly implying cancellation and agrees to continue coverage.

Customer no longer sees value/need for keeping the warranty (e.g., has new warranty, appliances, or systems, too expensive, coverage conflicts).

Ex: “The warranty is getting too expensive. Why does the price keep going up?”

Ex: “I’ve found a warranty that covers the same things at a lower cost.”

  1. Agent educates and builds value and/or paints the picture of benefits of keeping Cinch warranty.
  2. Customer agrees to continue coverage. 

Customer calls to inquire about a price/deductible increase or coverage details but never requests or implies they want to cancel.

Ex: “I’m calling to confirm the cost of the warranty this year.

  1. Agent educates the customer.
  2. Customers have no further questions or concerns. 
  3. No additional sales efforts are put forth. 

Non-Renewal (offer as last resort)


Associate sets up non-renewal with 60 or more days left in the warranty. 


Associate DOES NOT set up non-renewal, and the customer agrees to call back closer to the expiration date to request cancellation. 

Sets up non-renewal with less than 60 days left in the warranty. 


Refusing to cancel or set the warranty to non-renewal misleading the customer to believe they HAVE to call back closer to the expiration date.   

Future Based Event:

Agent consulted with leadership or appropriate department (i.e. claim department, supervisor) and obtained solution for the primary concern (e.g., new appointment scheduled, new service provider assigned).

Unresolved Future Based Event:


The customer’s concern or issue must be resolved and the customer must agree to keep the plan indefinitely before the call can be flagged as a Save.

Additional Guidelines and Notes

SCENERIO
ACTIONS
Unauthorized users: Cannot make decisions to keep or cancel the warranty.

The authorized user has to come to the phone and authorize the caller OR call us back.

Sears Customers: If the caller is not listed on the warranty but indicates that they were the person who enrolled, follow the Sears Name Change Procedure. 

Notes
Once the information is verified, update the name on the account, making the caller the authorized user.
The customer calls to speak to another associate.

If the requested agent is not available, the agent who receives the call must handle the customer’s request directly.

Even if retention efforts fail and the customer cancels, the current agent is responsible for completing the request.

The Same Day Enrollment Error Cancellation Reason: designated for enrollments entered in error and same-day cancellations. 


Sears Renewal Inactive Period Cancellation Reason: used when a Sears customer requests non-renewal, but the warranty has already auto-renewed and is now in an inactive status.

The Same Day Enrollment Error Cancellation reason can be used on the next business day in the following scenario.


An enrollment was entered close to the end of the business day, and there was no time left for the customer to call back to cancel (i.e., after 8:30 PM EST).
Failure to Cancel: A caller indicates they previously requested cancellation, non-renewal, or did not agree to the save/renewal.

The associate handling the current call should cancel the account.

Notify their supervisor of the occurrence to review and remove the cancellation. 

Notes
A Save attempt must be made on this call.
Customer releases the call before sales confirmation wrap up.

Associates are required to immediately call the customer back to complete the transaction and gain consent from the customer for the sales activity.

If the customer fails to answer, the associate must document the warranty, indicating the outbound call was made, but there was no response

In the case of a save, the warranty CAN BE dispositioned as a Save.


In the case of cancellation, the warranty must be canceled. 


Whenever a call is inadvertently disconnected an attempt to call back is required. 
Duplicate Warranty/Coverage: A warranty is considered a duplicate when both warranties offer the same coverage.

Associates must completely review and probe to designate a warranty as a duplicate enrollment.


A warranty can be canceled as a duplicate once the associate has efficiently researched and probed to designate the warranty as a duplicate enrollment.

Sales Confirmation Script

SCENARIO
ACTION

Offer Accepted:

Read Offer Confirmation Script in SCM

Thank you. I have added your discount, and it will be applied to your next billing installment on [date]. 

Your future billing price is [discounted amount] each month. 

You will receive an email shortly confirming your change. 


Offer Does Not Apply:

Read Standard Sales Confirmation 

Thank you <Customer Name>! Do you have any other questions for me today?”

If No Questions Proceed with Scripting:

“Thank you <Customer Name>! Just to confirm, we will be keeping your <Product Name> Warranty active. <Monthly/Annually/3 Installments> billing will continue through your <Credit Card/Mortgage/Bank Account> at the rate of <Amount>. Is that ok?

 Wait For a Response

Notes
A call is only considered a Save if you receive a clear and affirmative response from the customer.
AlertIf there are further questions, address the customer's questions and REPEAT the Sales Confirmation Script. 

If No Further Questions – Brand and Close Call.

“Thank you for calling Membership Service. Have a great day.”


Final Reminders:

TS&R sales activity is subject to the sales verification process.
  1. Any sale deemed invalid will not be eligible for commission payout.
  2. Failure to use the sales scripting verbatim will deem a sale invalid and removed from commission payouts.
  3. Requests to cancel must be processed immediately upon request.
  4. Failure to process cancellations as requested will be considered an attempt to avoid the cancellation.
Warning
Invalid sales activity and/or failure to process a requested cancellation will incur disciplinary action; up to and including termination.
Notes
If you are unsure whether the activity is a defined sales activity, eligible for a commission, or need clarification on proper dispositioning, please ask a Supervisor or Quality Assurance Specialist.  

Retention Red Flag Policy Job Aid

The attached job aids are a guide to identify eligible and ineligible save calls per red flag statements (cancellation requests or implications to cancel) and/or actions.

This job aid is not all-inclusive. You must be reasonable with your judgment. If you are unsure whether the call is eligible or ineligible, please ask a Supervisor or Quality Assurance Specialist. 
Notes
View attachments at the bottom of the page.


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