L3 YR1 Unit 306 session 7 Customer information

​Unit 306
Identify the purpose of information given to customers.

​Customer information

Communication between the customer and the company takes place at every stage of the contract.

On the next slides are just some of the documents that may be used to communicate important information to the customer:

An estimate

approximates how much the job will cost and can vary both upwards and downwards depending on the actual time taken to complete the work and the final cost of the materials.


Most small businesses opt for estimates because of its inherent flexibility.

Open Ended

What do you think could cause issues when using an estimate?

​ A quote

is a fixed price for the work to be carried out to the customer’s satisfaction.

It cannot vary once the price has been agreed.

Generically, because of this, quotes tend to be slightly higher than estimates.

Invoices and statements
these are documents that are issued at the end of the contract, which show the final account to be paid by the customer. Itemised statements and invoices are often requested because they show the customer exactly what they are paying for. It is usual to give a period of between 14 and 28 days for payment.

​Statutory cancellation rights

all customers have the right to cancel a contract once it has been signed. Usually, there is no cancellation penalty providing the contract cancellation was confirmed in writing within a specific amount of time.

Handover information


when the work is completed, all information such as manufacturer’s installation and servicing instructions, warranty documents, information leaflets, component brochures, commissioning documents etc, should be presented in a folder to the customer.

In addition, the folder should also contain a thank you letter, thanking the customer for their business, a list of other jobs and services the company undertakes, a plan showing where any emergency isolation valves and cut-offs are located and the contact details of key personnel within the company, including an emergency contact telephone number, should any problems arise.

Finally


inform the customer of any servicing time frames or requirements that the appliances or components may have.

Multiple Choice

What is the main difference between a quote and an estimate?

• A) A quote is a fixed price, while an estimate can vary.

• B) An estimate is a fixed price, while a quote can vary.

• C) Both quotes and estimates have fixed prices.

• D) Quotes are usually lower than estimates.

Multiple Choice

Which document is issued at the end of the contract to show the final account to be paid by the customer?

• A) Estimates

• B) Invoices

• C) Quotations

• D) Statements

Multiple Choice

What is the typical payment period given to customers for settling invoices?

• A) 7 days

• B) 30 days

• C) 90 days

• D) Payment is made upfront

Multiple Choice

What rights do customers usually have regarding contract cancellation?

• A) No cancellation rights

• B) A penalty-free cancellation within a specific timeframe

• C) A penalty for cancellation at any time

• D) No contract can be cancelled once signed

Multiple Choice

What should be included in the handover information provided to the customer?

• A) Only warranty documents

• B) Manufacturer's installation instructions

• C) A thank you letter

• D) Information leaflets about other companies

Multiple Choice

Why do most small businesses opt for estimates rather than quotes?

• A) Because estimates are usually lower than quotes

• B) Because estimates offer more flexibility in pricing

• C) Because estimates are legally binding

• D) Because quotes can vary upwards and downwards

Multiple Choice

Which document shows exactly what the customer is paying for?

• A) Estimates

• B) Invoices

• C) Quotations

• D) Statements

Multiple Choice

What should be included in the handover information folder presented to the customer?

• A) A list of competitor companies

• B) Manufacturer's installation instructions

• C) The company's profit margins

• D) A thank you letter and contact details of key personnel

Multiple Choice

What should the company inform the customer about regarding appliance or component servicing?

• A) Nothing, servicing is not necessary

• B) That servicing must be done by the customer themselves

• C) Any servicing time frames or requirements

• D) That servicing is included in the initial contract price

Multiple Choice

Which document provides a fixed price for the work to be carried out to the customer's satisfaction?

• A) Estimate

• B) Invoice

• C) Quotation

• D) Statement