SRAM Changes Service & Warranty Structure for OEMs

AMERSFOORT, The Netherlands – Today SRAM Europe announces a restructuring of its product service and warranty support for its OEM customers in the Benelux countries. As after years of double digit growth at OE level pressure was building on its distributors for handling OEM warranty cases, SRAM Europe is now taking this in its own hands.

The SRAM Dealer Service Direct (DSD) program was started last year in Germany. It offers dealers the option of going directly to SRAM for service and warranty support. The program has been a resounding success with more than 2,000 German dealers registering at SRAM’s Service, Marketing and R&D facility in Schweinfurt, Germany.

In a press release SRAM Europe states: “A strong increase in market shares and the launch of new product categories are driving SRAM to support their distributors and OE customers. Especially with the seasonality of cycling and a broad dealer base, additional product service for dealers, distributors and OE customers is a logical next step. SRAM DSD Benelux will be launched at the Bike Motion Show in October 2009.”

Asked for a reaction on the Dealer Service Direct program, Rolf Timmerman, MD of  SRAM’s Benelux importer AGU BV says: “With SRAM’s growth in OEM of course also the number of warranty cases increased. We were not happy with that, especially given the fact that AGU is not involved in SRAM’s OE business as they handle that directly with bike manufacturers. So, it was a logical step for SRAM also to take on this additional product service and warranty support.”

To handle the OEM warranty cases in the Benelux a fully equipped workshop with three mechanics is since October 1 operational at SRAM Europe HQ in Amersfoort, the Netherlands. According to SRAM’s Robert Priest, Director of Sales Europe: “Based on what we learned from Germany; an investment of between € 750,000 to 1 million is involved in the DSD program for the Benelux. European legislation on warranty and product liability is also reason for us to change our OE service structure. In addition the SRAM DSD program fits into our strategy of giving choice to the market, whether by product choices for our OE customers or service choices for dealers and OE customers.”

SRAM DSD will also be adding the ability to offer training to the retailers in the near future. “Over the next year further investigations and studies will be conducted in other markets to see how we can bring the SRAM DSD experience to other European markets,” says SRAM Europe.

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