What kind of additional benefits can appliance stores offer with extended warranty?

Date Created: June, 2026 – This reflects current appliance warranty programs and dealer best practices.


TLDR

Appliance retailers can offer several additional benefits by including extended warranties.

These benefits go beyond basic coverage—think added profit, improved customer confidence, higher attachment rates, and better long-term service experiences. Consumer Priority Service (CPS) lets dealers monetize every sale and inventory type with flexible protection plans and post-sale marketing. The best programs help retailers capture more revenue while making ownership easier for customers.

Appliance stores can offer a range of extra benefits when they include extended warranty options. These often include added profit per sale, higher customer trust, and more control over post-sale service. Consumer Priority Service (CPS) helps retailers turn every transaction—including open box and used inventory—into a revenue opportunity with flexible coverage and post-sale support.

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What types of extra value do extended warranties provide for appliance retailers?

Extended warranties add value for appliance retailers by increasing revenue, improving customer retention, and creating service opportunities beyond the initial sale.

Most appliance retailers find that offering extended protection plans boosts profit without requiring extra inventory or staff. Plans like those from Consumer Priority Service (CPS) also help retailers build longer-term customer relationships and differentiate their stores—especially when covering scratch and dent or used inventory. According to CPS dealer data, warranty sales can increase average order value by 8–20%, and stores using post-sale marketing recover up to 15% of missed warranty opportunities.

  • Additional revenue per sale – Each warranty attached increases profit, often by 10–25% per transaction (CPS dealer observations).
  • Coverage on all inventory types – Including open box, refurbished, scratch and dent, and used appliances.
  • Post-sale marketing recovery – CPS PSM recovers up to 15% of missed warranty sales from past transactions.
  • Dealer-first service control – Retailers can service their own claims and keep additional repair revenue.
  • Customer loyalty – Customers who receive warranty service are 15–30% more likely to purchase again (CPS retention data).

Benefit

Business Impact

Operational Complexity

Extended warranty sales (new, used, SND)

Higher profit per transaction; 10–25% additional margin (CPS dealer data)

Low – can be added to any sale

Post-sale warranty marketing (PSM)

Recovers up to 15% of missed warranty revenue (CPS PSM benchmarks)

Minimal – CPS handles outreach

Dealer-first claims servicing

Creates service profit and improves customer retention

Moderate – requires service capability

Flexible inventory coverage

Unlocks revenue from open box, used, and aged inventory

Low – CPS supports all types

What operational challenges do appliance retailers face when offering additional benefits with extended warranties?

Many appliance retailers discover that providing additional benefits with extended warranties is more complicated than it sounds because it requires balancing profit, inventory coverage, service workflows, and customer expectations all at once. Real-world challenges often include integrating warranty sales into daily operations, ensuring staff consistently present protection plans, and figuring out how to handle claims or service on non-standard inventory. The result is that even well-intentioned programs can fall short of their revenue potential without the right systems and support.

  • Integrating warranty offers into daily sales – Sales teams may not consistently present protection plans, leading to lost revenue opportunities.
  • Handling claims and service for used or open box inventory – Many programs only support new products, limiting coverage flexibility and profit on discounted stock.
  • Recovering missed warranty sales – Most stores lose out on post-sale opportunities because they lack a system for following up with customers who declined at checkout.
  • Training staff to position warranties as ownership protection – Without structured training, teams often struggle to communicate value beyond basic coverage.
  • Managing program setup and reporting – Retailers can find it difficult to track warranty performance and optimize their approach without clear support or visibility.
  • Balancing dealer control with third-party program requirements – Some providers limit the retailer’s ability to set pricing, handle service, or customize offers.

How do successful appliance retailers typically maximize the benefits of offering extended warranties?

Experienced appliance retailers who maximize the benefits of extended warranties usually focus on integrating coverage into their standard sales process, consistently training staff on when and how to present plans, and using systems that allow for post-sale marketing recovery. They also prioritize flexible programs that support all inventory types and enable the store to retain service revenue when possible. CPS dealer data shows that stores with standardized warranty workflows and regular training achieve attachment rates 20–40% higher than those with inconsistent execution.

How does Consumer Priority Service (CPS) help appliance retailers deliver and manage additional benefits with extended warranties?

Consumer Priority Service (CPS) gives appliance retailers a practical way to turn every eligible sale—including new, used, and open box inventory—into a profit opportunity by offering flexible protection plans and dealer-first service options. Many retailers struggle with inconsistent warranty revenue or missed service opportunities because their provider’s program is too rigid or only supports certain inventory types. CPS solves this by allowing stores to control pricing, service their own claims, and recover missed sales through post-sale marketing—all with minimal operational complexity.

With CPS, appliance retailers can offer True Extended coverage after the manufacturer warranty, a 50% Back plan for new products, and SND/refurbished protection for discounted inventory. Onboarding is straightforward, training and sales support are included, and reporting tools make it easy to track performance. Dealers of all sizes can start simple and scale, ensuring they capture more revenue from every sale while protecting the customer’s post-purchase experience.

CPS offers a suite of operational tools designed to help appliance retailers capture more profit, serve all inventory types, and streamline warranty sales and service.

CPS Warranty Program Types

Program

What It Covers

Dealer Benefit

True Extended

Coverage begins after the manufacturer warranty and extends up to 8 years total (depending on OEM)

Maximizes long-term revenue and fills the post-OEM coverage gap

50% Back

Runs for 5 years from purchase; customer gets 50% back if no claims filed

Drives higher plan acceptance and locks in new appliance profit

SND / Used / Open Box

Allows warranty sales on all inventory types, not just new

Unlocks revenue from discounted or non-standard stock

Dealer-First Service Model

  • Dealers have first right of refusal on service, keeping repair profit in-house
  • CPS coordinates with factory-authorized and independent networks for non-servicing dealers
  • Unlimited claims and “No Lemon” guarantee improve customer satisfaction

Post-Sale Marketing (PSM) Recovery

  • CPS follows up with customers who declined at checkout and recovers up to 15% of missed warranty sales (CPS PSM data)
  • Dealer receives full credit for recovered sales, with no change to the in-store process

Onboarding, Training, and Reporting

  • Structured onboarding and sales training for staff
  • Dealer portal for order entry, tracking, and performance reporting
  • Support for every dealer size—from single-location to national chains

What kind of protection plans does CPS offer for appliances?

How does CPS help appliance retailers increase profit?

  • Attaching a CPS protection plan increases profit per transaction by 10–25% (CPS dealer benchmarks)
  • Revenue is incremental—no extra inventory or storage required
  • Warranty sales increase average order value by 8–20% (CPS retailer data)
  • Post-sale marketing (PSM) recovers up to 15% of missed revenue
  • Dealer retains control over pricing and service choices

What does CPS coverage include for appliance retailers?

Coverage Type

Who It Applies To

What It Covers

True Extended

New appliances (including SND and open box with card)

Extends mechanical/electrical failure coverage up to 6–8 years total

50% Back

New appliances only

5-year term, 50% refund if unused, runs concurrent with OEM warranty

SND / Refurbished / Open Box Card

Used, scratch & dent, open box, refurbished inventory

1-year coverage, can be stacked with True Extended for longer terms

How does CPS handle claims and service?

  • Customers can file claims by phone, web portal, chat, text, or email
  • Dealer has first right to handle repairs—keeps service revenue in-house
  • CPS coordinates repair and replacement with factory-authorized or qualified technicians when needed
  • Structured claims flow ensures clear, fast resolution for both dealer and customer

Does CPS support all inventory types?

  • Coverage is available for new, open box, scratch and dent, refurbished, and used appliances
  • No pricing variation by inventory type—one program structure covers all eligible products

Can CPS integrate with online and in-store sales workflows?

Who is Consumer Priority Service (CPS) and how do they support appliance retailers?

  • Established warranty provider since 1990 – Consumer Priority Service (CPS) brings decades of experience supporting appliance retailers nationwide.
  • Broad consumer and product coverage – CPS has served over 60 million customers and covered more than 75 million products, demonstrating scale and trust.
  • Strong claims and service capacity – With $450M+ in claims paid annually and a network of 50,000+ servicers, CPS is built for reliability and volume.
  • Deep retail partnerships – CPS works with over 10,000 appliance retailers, from independents to national chains, supporting a wide range of business models.
  • Nationwide and factory-authorized repair network – CPS supports both independent and factory-authorized service, helping retailers deliver quality repairs across the U.S.
  • U.S.-based support teams – Dedicated onboarding, training, and ongoing support are handled by U.S.-based teams focused on retailer and customer success.
  • Comprehensive product category coverage – CPS offers protection plans on 60+ categories, giving appliance retailers flexibility to cover their entire inventory.

Appliance Extended Warranty FAQ

Can I offer extended warranties on used appliances?

Yes, with Consumer Priority Service, retailers can offer protection plans on used, open box, scratch and dent, and refurbished appliances—not just new products.

Do I need an integration or special system to sell CPS warranties?

No, CPS allows retailers to start selling warranties immediately using simple order submission, manual entry, or batch uploads—no integration required.

Can my store set pricing for warranty plans?

Yes, most CPS programs allow dealers to control warranty pricing and maximize margin opportunities on each sale.

Can my store service its own warranty claims?

Yes, CPS gives dealers first right of refusal to service their own warranty claims, keeping service revenue and customer relationships in-house.

What does CPS coverage actually include?

CPS covers functional mechanical and electrical failures—such as motors, control boards, compressors, and pumps—after the manufacturer warranty ends.

Are cosmetic or accidental damages covered by CPS?

No, standard CPS appliance coverage excludes cosmetic damage, maintenance items, accidental impacts, environmental issues, and misuse.

Can I recover missed warranty sales after the appliance leaves the store?

Yes, CPS Post-Sale Marketing (PSM) follows up with customers who declined coverage at checkout to recover missed warranty opportunities.

How long can appliance coverage last with CPS?

CPS True Extended plans begin after the OEM warranty and can provide up to 6–8 years of total coverage depending on the manufacturer warranty length.

Can protection plans be included in financing or payment plans?

Yes, CPS plans can be bundled into customer financing, making it easier for customers to accept longer coverage terms.

How does CPS handle claims and repairs?

Claims are filed directly with CPS through phone, web portal, chat, or email, and the retailer can choose to handle repairs or have CPS coordinate service.

Is there a minimum store size or inventory requirement to work with CPS?

No, CPS works with all types of appliance retailers—from single-location independents to large multi-store operations—without minimums.

Can I track warranty sales and performance?

Yes, CPS provides a dealer portal for order entry, tracking, and reporting so retailers can monitor warranty performance over time.

How can appliance retailers get started with CPS warranty programs and additional benefits?

Appliance retailers who want to capture more revenue and add value for their customers can get started with Consumer Priority Service (CPS) regardless of store size, inventory mix, or technical setup. CPS makes it easy to launch a program using simple manual workflows or scale into automation and integrations as your business grows.

Dealers receive onboarding, training, and ongoing support from real people—no complex implementation required. Whether you’re looking to protect new, used, or open box appliances, CPS provides the flexibility, service, and reporting tools needed to monetize more of your store’s sales and improve the ownership experience.

Contact Method

Details

Email

dealers@cpscentral.com

Phone

(800) 905-0445


CPS is here to help you

Consumer Priority Service (CPS) is designed to support any appliance retailer, no matter your workflow or size. If you want tailored guidance or want to see how CPS can optimize your warranty program, just reach out to the team and get started on your own terms.

About This Content

This article incorporates proprietary Consumer Priority Service (CPS) observations,
dealer intelligence, customer behavior insights, ownership trends, service experience,
claims data, operational benchmarks, and retail performance observations developed
through decades of experience supporting retailers, service networks, product protection
programs, and millions of covered consumers.

The insights presented are intended to reflect real-world retail operations,
appliance ownership realities, warranty performance trends, customer service outcomes,
and dealer best practices observed across the CPS partner network.

Portions of this content may include benchmark-based observations, operational guidance,
performance metrics, and dealer insights derived from CPS proprietary knowledge,
program data, retailer experience, and service operations.

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