(Tallahassee, FL) – May 4, 2011—More people are expected to give electronic gifts to moms this year on Mother’s Day and are likely to include an extended warranty (service contract) with the purchase, according to the Service Contract Industry Council (SCIC).
A survey of consumers by Brand Keys, Inc. predicts a 10 percent increase in electronic purchases over last year – the highest increase in all the product categories represented (flowers, clothing, jewelry, gift cards, etc.). The survey determined that of those consumers planning to give an electronic device, 25% are purchasing e-book readers, 19% tablets, 15% smart phones, 9% computers and 6% cameras.
“The most popular electronics this year can be costly to repair, making extended warranties a practical and welcome addition,” said SCIC Executive Director Timothy J. Meenan. “For busy mothers, extended warranties or service contracts offer time and money savings in the event their electronic gift malfunctions.”
According to SCIC member N.E.W. Customer Service Companies, Inc., cracked screens for both eReaders and tablets can cost from $160-350 to repair/replace; battery upgrade/replacement $80-150; lines in screen $160-350; unit frozen/not able to connect to computer $180-500 -- with all higher ranges applying to tablets.
Accidental damage protection is also a welcome enhancement that moms appreciate, particularly those who are frequent travelers and/or have small children, Meenan noted.
The SCIC says other popular gifts for moms on Mother’s Day, birthdays and other occasions include music, TV and entertainment systems as well as appliances – all of which can be enhanced with a service contract. The typical cost of an extended warranty is 10-20 percent of the product purchase price.
For tips on purchasing and using service contracts (extended warranties), visit www.go-scic.com.
About the SCIC
The Service Contract Industry Council (www.go-scic.com) is a national trade association established in 1989 to educate consumers about service contracts (extended warranties) and develop and pass legislation at the state legislature level across the country to protect consumers and enhance the integrity of the industry. SCIC members consist of the largest and most reputable service contract providers in the industry and sell approx. 80 percent of the service contracts sold in the U.S. for home, auto and consumer goods.