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Two smart ways to set up after-sales service in India

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Deepmala Datta Head of Business Development
Shashank Verma Head of Supply Chain Management
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If you want to convince Indian companies or consumers to buy from you, you have to make sure that your after-sales service is of high quality. This is especially important when you are selling expensive machines or capital goods. But is is not so easy to set up good after-sales in India, many foreign companies are struggling with this. We are happy to share two ways in which you can set up your service organization in India in a smart way.

india after sales

Annual Maintenance Contract

If you export products that require just a little maintenance, customer support (online or by phone) and possibly some spare parts, it’s mostly quite easy to support your customers. However, if you sell rather complex products or customer-specific solutions, you will face a greater challenge in India. Often, these types of products require regular maintenance or repairs on site, which can be difficult in a country as large as India. In India it is common to have Annual Maintenance Contracts (AMC) as part of the purchase. An AMC is an annual maintenance contract with your customer for the repair and maintenance of the products you supply and can run for about 1 to 3 years. It is almost impossible to set up such an extensive service in India from abroad. Apart from the high costs, the quality of the service is usually substandard due to the longer response times. There are two ways in which you can organize this in a sound manner.

1. Outsource after-sales service to a local partner

You can choose to outsource this after-sales service to a local partner in India. The advantage of a local partner is that they are already established in the Indian market and have a network of technicians and customer service staff that can support your customers directly. The disadvantage is that these local partners do not have the technical and product-specific know-how to provide good service to your customers. This is especially problematic when you offer a complex product or customized solution. In addition, you need to find out in advance how sensitive information about your product can be protected and how the partnership can be contractually arranged, to ensure that the services provided meet the quality standards of your company. In addition, you need to arrange the storage and delivery of your spare parts properly. Sending the spare parts from abroad when they are needed is a strategy that is not recommended. This will cause a lot of delay in the good service that you want to provide.

2. Set up your own after-sales service organization in India

If you supply a high-quality product, it is highly recommended to have a permanent presence in India. Only in this way can you guarantee a solid and comprehensive service. Your own sales and service office in India enables you to offer service that is carried out according to your quality requirements by your own Indian staff. Due to the size of the country and the differences between the Indian states, it is often needed to work with several external dealers. But here too, having your own service office in India takes a lot of work off the hands of the head office. The Indian office can maintain daily contact with the partners and the customers in order to check whether the work is carried out correctly.

With your own staff in India, you are assured that the distribution and storage of your products will be carried out with the right knowledge and in the right way. Of course, there are costs involved, but the investment is often more than worth it. You can also offer your Indian customers an AMC from your own entity that meets the customer’s wishes more easily. Indian customers are notorious for their high expectations regarding service. If you can provide good service after purchase, you will have a bright future in India.