Consumer perceptions of extended warranties and service providers

Abstract

PurposeThis paper aims to assess consumer perceptions of extended warranties that are marketed by the manufacturer for an independent service provider as applied to the purchase of a computer by mail catalog, telephone ordering, or the internet.Design/methodology/approachA descriptive survey of a large sample of consumers in the USA was conducted using data collection by the internet. Measurement was responses to eight Likert scales of agreement and two demographic items.FindingsSignificant differences between perceptions of females and males were observed. Overall, there was no relationship between perceptions and age, although there were significant differences for some scale items. There were no interaction effects of gender and age. A major finding is that although service is provided by an independent service company, consumers believe it to be provided by the manufacturer.Originality/valueThis is the first known examination of the specific research questions underlying the study.