One of the best things you can do for your ecommerce business is to perfect the art of refund reduction. Darren Moore, from Betting Gods Ltd., weighs in on how it’s done.
Written by and published with permission from Darren Moore.
The Secret to Low Refunds
As Managing Director of Betting Gods Ltd, a leading UK based sports betting tipster platform I was recently asked by a member of the ClickBank team what the secret was to our low refund and chargeback rate especially in an industry that has notoriously high refund and churn rates.
I must admit, in my eyes, it’s no secret. It’s just good old common sense, courtesy and customer service.
Common Sense & Customer Service
There are two main reasons for people wanting to claim a refund: A poor product or poor customer support.
If a customer has a problem we work with them to resolve it – not happy with a service then we’ll find out why, work with them to resolve any queries or blocks to their satisfaction and if appropriate offer them an alternative service or adaptation.
Likewise as the inevitable refunds have come in we always reach out to the customer to establish what exactly they aren’t happy about, and again work with them to resolve any issues and then, if possible, make alternations to the product to ensure it’s no longer a reason people think about claiming for a refund.
ClickBank 60-Day Guarantee
We like the ClickBank 60-day guarantee, and see it as our friend, we don’t hide away from it. It’s actually a valuable sales tool and provides re-assurance to potential and current customers. But by talking to those who do seek a refund we identify problems and work hard to resolve those that could also have an impact on other customers, present and future. This is one way to achieve refund reduction.
You see, I come from a background where people talk to each other, help each other, and work together for the common good. Sure, we are running an online business, but that doesn’t mean we should hide away from our customers who, after all, are real people. We engage with them, build a rapport and friendship, and are always there to support them.
Customers don’t complain for the “fun of it.” They complain because there’s a problem. If somebody wants a cancellation or a refund there’s a reason why. If you’re serious about your business, then you need to find out exactly why. Next, work with them to resolve the problem and prevent it from happening to customers in the future.
Refunders are a Good Thing
Don’t curse refunders. Certainly don’t send them abusive emails. They are actually a valuable (and free) tool for helping you to decrease your refund rates and ensure more of your sales revenue remains in your business. And don’t forget the fact that those low refunds will keep affiliates happy knowing that the majority of their commissions will be staying in their ClickBank account.
But that’s it, the big secret… Talk to your customers and listen to your customers. Then, evolve your business to accommodate customer suggestions, feedback, and requests. This is the art of refund reduction.
Darren Moore is the Founder and Managing Director of Betting Gods Ltd, a UK based sports betting tipster platform launched in March 2014, achieving rapid success with national and international recognition. Featured in UK national publications, press and industry publications plus trackside sponsorship of UK racecourses and proud sponsor of several UK horse racing events. Learn more about Betting Gods on their Facebook, Twitter or LinkedIn profiles.