Dixons plans for pick 'n' mix warranties

Dixons Group is completing preliminary research into the future of its warranties strategy, ahead of launching a 'menu' of options later this year.

Work is being carried out at PC World and Currys stores at Staples Corner, London, and Croydon, fleshing out a plan to deliver a service-focused offer to replace Dixons' Coverplan.

A Dixons spokesman said: 'This is part of a plan to trial some alternatives over the course of the year.'

He said the main thrust of the pilot had not gone live, but will be launched pending the research results, which is partly to examine customer requirements and fulfilment.

He said: 'There will be two elements: the repair and replacement element, and the requirement for technical support. This is all heading towards offering a menu of options for warranties.'

Dixons first flagged plans for a service-led approach to warranties last year, amid negative publicity after the Competition Commission inquiry into the sale of such products.

Evolution Beeson Gregory analyst Nick Bubb said the menu would offer 'different levels of service' for customers depending on their needs.

'It's not the full leap into what I think it eventually plans to do, which is the Best Buy approach of having engineers install everything,' he said.

- Dixons feature: page 13.