The Famous "Money Back Guarantee" Still Effective?

Here is the history on money back guarantees. It was used to death in the direct mail business. You would get a sales letter to buy some type of flimsy product or information and at the end it was guaranteed. However, the people selling the product knew that only a small percentage of those dissatisfied with the product or information would actually go through the hassle of repackaging the product and sending it back. Now comes the Internet and the age of downloads where a person merely needs to send an email to request a refund...and many people did and do. Truly it is sticky situation. If you have a quality product (highly recommended) you can offer a conditional guarantee. My 2 cents...I would never give an unconditional Internet guarantee.

If you're a new player in the IM business you'll need to get trust from people. And one of the things that can increase your trust factor is "money back guarantee". How well does it work? It depends and no one can really tell you.

Until you get yourself a name I'd go with such elements. I had them in my WSOs.

there are a lot of people out there who are serial refunders and people who just refund because they need money for another wso, I personally just refund all of them without question because it relives many headaches in the future.

The good honest people far out number the dishonest people, so don't let that stop you from reaching your goals. My refund policy is simple, ask for a refund and it will be given to you without questions.

Some people insert their reasons or excuses which in most case I don't even read because my refund rates are really low anyway.

I can tell you that it works 100%. If the offer is smart. When I look at our metirc for this kind of refund it is less than 1%, the overall affect on conversion is about 6%. You can't lose if you put up an offer that doesn't give the farm away.

Thanks for the feedback folks! Helped a bunch!

I currently sell a diabetic supplement online that used to have a 110% guarantee. Well, I decided to increase it to 200% guarantee. Sounded kinda dumb to me at first, but it increased my sales by 5x and the refunds are very low.

Quite apart from the positive comments made by other Warriors re maintaining trust and goodwill of prospective and actual customers, there is such a thing as the "Distant Selling Regulations" which apply to to EU countries, at the very least.

If you don't state the statutory terms clearly on your website re seven days for online sales during which customers have the right to change their minds on any purchase - digital or physical, the customer may be entitled to demand a refund several weeks after the date of purchase.

If your market is exclusively US, then different laws may apply to distance selling. If however, you market to the rest of the world, also, then not providing a refund guarantee would be counter-productive.

Although I'm careful about my purchases, I would not buy from a vendor who did not offer a guarantee or did not have a reasonable refund policy. It would smell of "fly by night merchant" to me.

As already mentioned, I'd far rather return someone's money (even if I suspect that they are unscrupulous), than turn away other genuine purchasers who, like me, want the assurance that their purchase is covered by guarantee in case of problems.

James