Wal-Mart Introduces Product Care Plans to Add Value for Customers
Plans cover televisions and computers priced over $300
BENTONVILLE, Ark., Oct. 27, 2005 – Beginning today, Wal-Mart stores will offer their first extended service plans -- just in time for the holidays.
Customers will be able to purchase Product Care Plans, an extended two-year service plan on TVs and computers priced over $300. The plans are available today in every state except California, where customers will be able to purchase them beginning next week. Product Care Plans will be offered at Wal-Mart’s every day low prices and are a response to customer demand.
“Our customers increasingly have been asking for warranty coverage over and above what is provided by the manufacturer,” said Gary Severson, senior vice president and general merchandise manager. “They are particularly interested in this coverage when they purchase electronics at higher price points, and with this program we can meet their needs.”
Severson said that although service plans are new for Wal-Mart stores, he was particularly pleased to partner with the nation’s No.1 supplier of extended service plan programs, N.E.W. Customer Service Companies, Inc., which has offered extended service coverage to SAM’S CLUB members for 14 years and to walmart.com customers for nearly two years.
“Our Product Care Plans will provide customers with the coverage they want at Wal-Mart’s very attractive prices. Our customers expect every day low prices on everything we offer, and they won’t be disappointed by the pricing on these plans,” Severson said.
The Product Care plans are renewable after the initial two-year period. They can also be transferred to new owners of any covered merchandise.
The plans, which proved popular during a recent test, will be marketed in-store with brochures. “There will be no pressure on our customers to purchase plans,” Severson said. “We’ll simply remind them that the plans are available and we will ask them whether they want the coverage when they check out. That’s it.”
The Product Care Plans cover:
- Normal wear and tear
- Power surge damage
- Manufacturer’s specifications for product performance
- Repair or replacement of remote controls
- Damage from environmental factors such as heat, humidity, static electricity, dust and dirt
- Annual professional head/laser cleaning on laser-driven products.
- In-home service, if the manufacturer’s warranty provided in-home service.
“We’re pleased to be able to add this new dimension to our electronics customers’ shopping experience,” Severson said. “We also hope it will encourage customers who shop in our other departments to cross the aisle and take a closer look at the choice and value we offer in electronics.”
Wal-Mart Stores, Inc. operates Wal-Mart Stores, Supercenters, Neighborhood Markets and SAMS CLUB locations in the United States. The company also operates in Argentina, Brazil, Canada, China, Costa Rica, El Salvador, Germany, Guatemala, Honduras, Japan, Mexico, Nicaragua, Puerto Rico, South Korea and the United Kingdom. The companys securities are listed on the New York and Pacific stock exchanges under the symbol WMT. More information about Wal-Mart can be found by visiting www.walmartfacts.com. Online merchandise sales are available at www.walmartfacts.com. Online merchandise sales are available at www.walmart.com.