Appliance Consumer Task Force Continues Work on Warranty Reform
Oct 13, 2004
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The Appliance Consumer Task Force (ACSTF), which was formed in August 2002 to address industry concerns about warranty service, recently met in Chicago, IL, U.S. during the NARDA Fall Institute of Management event.
The ACSTF is made of representatives from most independent retailer membership buying groups, parts distributors, and independent servicer organizations in the U.S. and Canada.
During the last 2 years, the organization has been meeting with appliance makers such as GE, Whirlpool, Electrolux, and Maytag to discuss several service issues, including streamlining the handling of warranty claims, addressing labor reimbursement rates, and generating an equitable revenue stream to defer the cost of handling warranty parts.
According to ACSTF, GE was one of the first appliance OEMs to take part in the initiative. "We're pleased that GE implemented an exciting program, which will pay service providers a 10-percent handling free on all warranty parts that went into effect on April 2004," said Bob Dickerman, ACSTF chairman. "We have been encouraging other major appliance manufacturers to come up with a similar program. This program, combined with paying servicers for parts, freight, and labor represents a significant cost savings to the servicer."
Mr. Dickerman added that providing such tools ensures that end consumers get the best possible service experience, which is ACSTF's goal. "We commend GE for their service to the industry," he said.
The organization will continue to meet with appliance producers in 2005 to address warranty reform issues.
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