Maintenance Plan
Definition
A maintenance plan is a customer-facing product that bundles routine inspections, discounts, and priority scheduling into a single recurring purchase.
What Maintenance Plan Means for Your Business
What it means
A maintenance plan is the branded product version of a planned maintenance agreement. It is packaged and priced like a retail subscription: Silver, Gold, Platinum, for example.
Why it matters
Maintenance plans are easier to sell than bare contracts because they feel like a product. They also create tiered pricing that upsells naturally over time.
How contractors use it
Shops name their plans, design marketing around them, and train every tech to present them at the end of every service call. The best shops convert 25% to 40% of one-time customers into plan members.
Real-World Example
An HVAC company sells a Gold Plan at $29 per month that includes 2 tune-ups, 15% off repairs, and no overtime charges. With 600 members, that is $208,800 in recurring annual revenue.
Related Terms
Membership Plan
A membership plan gives customers priority service, discounts, and perks in exchange for a monthly or annual fee.
Planned Maintenance Agreement
A planned maintenance agreement is a contract where a customer pays a recurring fee in exchange for scheduled inspections and tune-ups of their equipment.
Recurring Service Agreement
A recurring service agreement is a contract that auto-renews and bills a customer on a fixed schedule for ongoing maintenance or priority service.
Service Agreement
A service agreement is a written contract between a contractor and customer that defines the scope, price, and terms of ongoing service work.
Upsell Rate
Upsell rate is the percentage of service calls on which a technician successfully sells additional work beyond the original reason for the visit.
Put This Into Practice with Free Software
Kaldr Tech handles maintenance plan and everything else you need to run your shop. $0/month, 3.5% + 30¢ per transaction.