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Refund Rate on Non IM Digital Products

by Kevin AKA Hubcap
12 replies
Warriors

I currently sell physical products and am seriously thinking about making my next batch of products digital.

I'm in non IM niches and was wondering what kind of refund rate fellow warriors are seeing from non IM/make money digital products?:confused:
#digital #products #rate #refund
  • Profile picture of the author cassidywilliams
    I have a 100% digital fitness product (http://www.firmbuttexercises.com) that Im selling on Clickbank, and the refund rate is almost non-existant (~0.2% or so).
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  • Profile picture of the author Roy Carter
    The truth? You'll always get a bigger refund rate with digital products because they are easier to refund. It's a lot more trouble for someone to have to repackage and post a physical product to return it than it is to send an email.

    Just the way it is.

    If you have a very good product you'll do fine but do expect some refunds however good it is.

    Roy
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    • Profile picture of the author Kevin AKA Hubcap
      Originally Posted by Roy Carter View Post

      The truth? You'll always get a bigger refund rate with digital products because they are easier to refund. It's a lot more trouble for someone to have to repackage and post a physical product to return it than it is to send an email.

      Just the way it is.

      If you have a very good product you'll do fine but do expect some refunds however good it is.

      Roy
      Roy

      I thought you might get a larger return rate but it seems like IM/make money products are notorious for high return rates (not speaking from experience but from what I read).


      Other niches might not be so quick to ask for a refund especially when the product benefits the user.

      Kevin
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  • Profile picture of the author Haltingpoint
    Also, just looking through your site (nice homepage btw), I noticed that your "authority" amounts to noting that the product was created by a "top expert." IMHO, not very credible.

    Expect higher return rates when you don't have a recognized spokesperson because if someone has the slightest doubts about your product, they will be less likely to return it if the endorser is prominent. The thinking goes "well, i'm a little skeptical about this, but So and So recommends it and I know he's an expert so I'll keep it and try it."
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    • Profile picture of the author Kevin AKA Hubcap
      Originally Posted by Haltingpoint View Post

      Also, just looking through your site (nice homepage btw), I noticed that your "authority" amounts to noting that the product was created by a "top expert." IMHO, not very credible.

      Expect higher return rates when you don't have a recognized spokesperson because if someone has the slightest doubts about your product, they will be less likely to return it if the endorser is prominent. The thinking goes "well, i'm a little skeptical about this, but So and So recommends it and I know he's an expert so I'll keep it and try it."
      haltingpoint

      What site are you referring to?
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      • Profile picture of the author Haltingpoint
        Originally Posted by Kevin AKA Hubcap View Post

        haltingpoint

        What site are you referring to?
        Whoops, I was scrolled down a bit and didn't realize the second post wasn't the OP

        I was referring to the link in the second post.
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  • Profile picture of the author activetrader
    It depends on the niche. Some well selling products have higher refund rates simply because people who are desperate to buy them do not necessarily have the money but they still want the product and they will get it and ask for a refund under the guise "I can't download it" even after you email them the product. I currently have three products on CB - two products are moderate sellers with 0% refund rate; one is a real well-selling product with a refund rate 4%. The higher the need for the product the higher you should expect refunds because once in a while you will run into a customer who desperately wants it but can't afford it
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  • Profile picture of the author michaelmac
    Yes i found this also...i'm in a great converting non-IM niche that is packed with desperate buyers. Problem is some can't afford so seem to get the service then claim a refund. You also, unfortunately, get some unscrupulous people who buy, get the product then get a refund...human nature again unfortunately!
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  • Profile picture of the author Joel Gray
    The IM niche is like no other when it comes to refund rates on digital products, as we are very suspect of anything that hypes a solution but fails to deliver....we expect to make refund requests when the product is not as described and to give refunds for that and a few other reasons. The NON IM niches are most likely NOT to request a refund unless the product is inferior or there is just very little support. Make a good product and support your customers with a forum and email support and you should be fine.

    Joel
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    • Profile picture of the author awaxler
      I sell three of my own ebooks to the "teacher" niche (teaching strategies, teaching tips, how to get a teaching job etc.) and my refunds are almost non-existent.
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      • Profile picture of the author Kevin AKA Hubcap
        This is good to know.

        I'll gladly accept a refund rate of 4% (actually I'd probably accept any single digit refund rate) for a product that I can deliver worldwide and not have to worry about shipping and handling.

        When I launch I'll post my results here.

        Kevin
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