Digital Signage "Need to Know": Parts and Labor doesn't always equal warranted repairs...

-Deacon Wardlow

In the world of digital signage (DS), we need to use a lot of tools. Sometimes it's a resource for sales or perhaps the one tool you need is a simple explanation on how a complex solution will fit the need. The biggest tool we (manufacturers, resellers, integrators, and end-users) really rely on is the guarantee. The promise, verbal or (ideally) written, which states whatever goes wrong, someone will come along to ensure it's made right.

Technology makes people somewhat uneasy. When it's working properly, we're pleased and don't think about all the little +/- particles zipping around circuitry to make it work the way it's supposed to. When something goes wrong, it's rarely a simple fix. I recall seeing an owner's manual to an old Model T Ford my grandfather had on the ranch. in 10 pages the manual showed how any person could fix, repair and/or replace any part in the automobile using a small set of tools included with the car. Simple. These days, I can't even begin to guess where to start with some modern car repairs as a lot of it isn't a moving part, but rather the computer or some other piece of technology which nearly requires an engineering degree to really understand. Warranties are getting to be somewhat tricky these days as well...

Warranties shouldn't be complex. At their heart, they're simple. Something's broken? We'll fix it. Here's a basic breakdown of some warranty terms to watch for:

Limited:
There's a big word which is buried deep in most warranty statements. Make sure to find out what the limitation is. With LED Signs, this often means the 5 year parts warranty DOES NOT cover the radio or other third-party components which the manufacturer sold you as someone else made it.

Parts and Labor:
This could easily be misconstrued (and has been repeatedly) as meaning parts and on-site service. Parts and labor simply mean the manufacturer will replace the part or repair it (in the factory). Depending on availability of parts, this could mean your DS solution could be down/out for a lot longer than a few hours or days... Make sure the manufacturer you're dealing with has depot parts (parts available in their factory) to send out so the end-user can be up/running as quickly as possible.

On-Site Service Warranty:
It's great when these are available. Find out if the warranty is underwritten or not (a warranty is no good if the company who sold it to you goes out of business). What protections are in place to ensure the warranty will be covered for the lifetime of the agreement and what remuneration is available (do you have to use the manufacturer's certified repair people or can you/your company be listed as the main service company)? Service is a cornerstone for relationships with the DS end-user and you don't want to lose out on an opportunity to work with the client, especially when something is going wrong and they need someone to come in and make it right ASAP.

Quick Questions to dig deeper:

1. What parts and repairs are covered by the warranty?
2. Are any expenses excluded from coverage?
3. Is the warranty just a promise or is it backed by a bond or insurance?
4. How long does the warranty last?
5. What has to be done to get a repair completed? (Check to see if the process is simple and straightforward or convoluted with a lot of hoops to jump through.)
6. Are there conditions or limitations on the warranty?
*Take a look at Scott Hofheins Blog on Warranties as well!

*For sign companies or resellers/integrators who do service, check to see how the remuneration is handled. Do they have a flat national rate or is the rate determined by location?

So much work is done on the front-end to turn opportunities into sales, make sure the back-end is covered or that great referral could turn into a nightmare...

-DH

*I invite you to comment here and/or email me directly with requests at deacon@vantageled.com. Vantage LED has white paper resources and more educational material on the website (http://www.vantageled.com), please check it out when you have a moment. Note all posts/thoughts/writings are strictly the viewpoint of me and me alone and do not reflect nor speak for Vantage LED’s beliefs, attitudes, thoughts, etc. unless specifically noted.

The Value of a Warranty

Warranties have been used as a sales tool for a very long time. Unfortunately, they have often been abused as an easy way to add ‘perceived value’ to the product and close a sale. It is a tempting practice - to be able to add so much value by just adding “10 year warranty” to the quote. However, this “free” add-on is NOT cost free by any means. In some cases, it is as worthless as the paper it’s written on and can cost end-users and dealers wasted time and money.

How do you tell a real warranty from a worthless one? Some things to check into:

Warranty Length
The current standard is 5 years. Do extra research on any company offering warranties in the double digits, and avoid anyone offering less than 5 years on their standard product. Personally, I’m not a fan of “value line” product (see my previous post ), but this usually carries a shorter warranty, usually 1-2 years. However, I don’t think the cheaper cost is worth the risk. A sign is your identification to the world, it should always look great!

Warranty Coverage
Do not assume that a warranty covers everything. Most standard warranties cover the replacement and repair of parts. This does not include any labor to physically install them into your sign. Some end users like this and some don’t, so it is usually provided as an add-on. Either way, you should know specifically what the warranty covers and does not cover before making a purchase.

Warranty Security
Is the warranty underwritten by a third party? Deacon had a great post about this in July. This is a very important factor to consider for both standard and on-site labor warranties. A warranty is only as good as the company that offers it. Underwritten warranties are a kind of “warranty insurance” that make sure existing warranties stay in effect through their lifetime.

Health of the Company
Does the company have what it takes to fully support you after the sale? Will they be there to support the warranty in 5 years? When you invest in a sign manufacturer you want to know they are profitable and will be available long term. Do your research; look for pictures, references, testimonials and resources (white papers, documentation).  

Visit the Factory
One of the best things you can do is to visit the factory directly. This helps you get a good idea of how much capacity they have and how much support they can provide. Some manufactures are very open about giving factory tours (we love doing this at Vantage LED), so take the opportunity if possible. Use your own eyes to determine if they can support you long term. Make sure they can show you their abilities, not just tell you how great they are.

Remember that the warranty does not always reflect the quality of a product or company. A good 5 year warranty should be standard with any LED sign, but the manufacturer should be able to back up this warranty with a quality product, support, and good documentation.

- Scott Hofheins

I hope this post has been informative and helpful. As usual, I welcome ALL constructive comments. Please feel free to comment and add anything I’ve missed, or additional tips you may have regarding this topic. Please visit www.vantageled.com for many other resources, white papers, and of course: Great looking LED Signs!

**All posts/thoughts/writings are strictly the viewpoint of me and me alone and do not reflect nor speak for Vantage LED’s beliefs, attitudes, thoughts, etc. unless specifically stated.

On site service warranties - Make sure your investment is adequately protected!

-Deacon Wardlow
Underwriting has been around in one form or another for centuries. Lloyd’s of London is perhaps one of the most famous underwriters (with policies insuring trade goods dating back to the 17th century). Having an underwritten insurance has been a standard “must” on trade, isn’t it time the same rules applied to underwritten warranties for on-site service?

A common complaint in the Digital Signage industry (specifically relating to Programmable LED Signs) is the concern on dealing with manufacturers and vendors who are around one day and gone the next (usually around the time when warranty-related issues start cropping up). With so many fly-by-night resellers and manufacturers coming-and-going, there’s a standing distrust of manufacturers and the companies selling the systems. Even companies who’ve been around for more than a decade have fallen to the pains of an ever tightening economic downturn. These pains are, unfortunately, no stranger to the sign industry.

How can a company ensure parts and warranty are covered through the lifetime of a Programmable LED Sign? Where should dealers and end-users turn when they need help with their system? A third-party underwritten service warranty is the answer. No company can say with 100% assurance they’ll be running strong 5 years from now. Businesses change hands, financial issues occur, some companies close their doors and others are merged with larger corporations. A 3rd party underwritten warranty protects both dealers and end-users against future issues.

While many reliable (and several not-so reliable) manufacturers offer a five year parts warranty, few follow-through with a standard option for an underwritten on-site service warranty. Often when they offer the service warranty, it’s through a division of the manufacturer’s own business. The problem with this is the contract resides with the manufacturer and if something happens to that manufacturer, the warranty is meaningless.

Having a third-party company come into the mix allows for everyone to be covered. Should something occur to the manufacturer which made the display or the sign business which sold the LED system, the third party company will be around to ensure the parts and service warranty is covered. Should something happen to the third party underwriter, there are several other qualified companies who will pick up the contract and continue coverage.

When you’re looking at your source for Programmable LED Signage, do they work to ensure you’re covered in every possible way? Check their standard policy with on-site warranties and make sure they have this offered through a third party. A reliable Programmable LED Sign manufacturer should be looking after the interests of your investment for its lifespan and working to ensure you’re covered should even the worst situation occur. This is the difference between being just another vendor and an active partner for your success. Make sure there’ll be someone answering that phone several years down the line should there be a problem. Make sure your choice of manufacturer offers the option for a 3rd party underwritten on-site service warranty. The underwritten policy is your life jacket when treading the uncertain waters of business.

*Please comment here and/or email me directly with requests at deacon@vantageled.com. Vantage LED has white paper resources and more educational material on the website (http://www.vantageled.com), check out the site periodically as we’re constantly adding new material.

**Note all posts/thoughts/writings are strictly the viewpoint of me and me alone and do not reflect nor speak for Vantage LED’s beliefs, attitudes, thoughts, etc. unless specifically stated.