Limiting Your Offer Annihilates Refunds

by Daniel Molano 8 replies
Hey warriors, I just wanted to give you all a nice tip that has been giving me a refund rate of below 1% (And I'm using Clickbank with their crazy refund policy).

After some research I have found that limiting your offer on the sales page incredibly reduces refunds, allow me to elaborate.

Lately I have been receiving a lot of e-mails in regards to a specific information product that go like this (paraphrasing):

"I purchased your product expecting a good deal, but I didn't expect more than that and when I went through the whole package I was shocked to see I got much more than what I payed for. I really didn't think it could get any better, but it did."

I actually stumbled upon this "trick" by accident, but it works.

In my sales letter and other places where I pitch the offer, I do it in such a way that it is a great offer, but I don't mention it all, I even "forget" to mention certain bonuses included within the package.

This way, the perceived value of my product pre-purchase is high, but it is not as high as it is post-purchase.

It also helps so that the potential customer is not overwhelmed by 1,000 bonuses and makes the offer a lot more simple to absorb.

I say I stumbled upon this by accident, because in the copy of the product I really forgot to mention some of the bonuses, so when they bought it and saw the package, they were looking at more than what I offered.

I am certain this is one of the reasons for such a low refund rate (I've done the testing and research), so I hope this helps.

Daniel
#main internet marketing discussion forum #annihilates #limiting #offer #refunds
Avatar of Unregistered
  • Profile picture of the author Ricter
    Beautiful, underselling, I love it! Thanks, Daniel.
    Signature

    - For your import/export/customs questions or problems, send PM.

    {{ DiscussionBoard.errors[101589].message }}
  • Profile picture of the author gapservices
    I normally include extras just for the sake of overdelivering, but I hadn't considered it reduces refund requests. Good thinking!

    Gene Pimentel
    {{ DiscussionBoard.errors[101598].message }}
    • Profile picture of the author Daniel Molano
      Yes, I guess a more simple formula to explaining this would be underselling = overdelivering

      OR

      underselling + overdelivering = zero refunds
      Signature
      Como Ganar Dinero Por Internet - Spanish Make Money Online Site

      Daniel Molano
      - LinkedIn Profile
      {{ DiscussionBoard.errors[101608].message }}
      • Profile picture of the author Frank Donovan
        Daniel, this is a great point.

        Many marketers feel that the sales process finishes the moment the customer purchases, but it's vital to reassure that customer that they've made the right decision after they've bought.

        This is especially true with a more expensive purchase, but the principle is the same for all transactions.

        If more CB merchants, for instance, were to simply include an unadvertised bonus report or ebook (which they could produce or acquire for next to no extra cost) that was relevant to their product, I'm certain their refund rates would be significantly reduced.

        Frank
        Signature
        I've just put Richard Branson's number on speed-dial. I call it my "Get-Rich-Quick" scheme.

        {{ DiscussionBoard.errors[101708].message }}
        • Profile picture of the author Daniel Molano
          Originally Posted by Frank Donovan View Post

          Daniel, this is a great point.

          Many marketers feel that the sales process finishes the moment the customer purchases, but it's vital to reassure that customer that they've made the right decision after they've bought.

          This is especially true with a more expensive purchase, but the principle is the same for all transactions.

          If more CB merchants, for instance, were to simply include an unadvertised bonus report or ebook (which they could produce or acquire for next to no extra cost) that was relevant to their product, I'm certain their refund rates would be significantly reduced.

          Frank
          Add killer customer support to the post-sale proccess and you've got yourself long term customers.
          Signature
          Como Ganar Dinero Por Internet - Spanish Make Money Online Site

          Daniel Molano
          - LinkedIn Profile
          {{ DiscussionBoard.errors[101860].message }}
          • Profile picture of the author John Ritz
            IMO, this is short-sighted. It is costing you sales.

            If anything, you should be MORE aggressive in your offer, even if it means more refunds.

            I try to get my refund rate between 6 and 12%.

            Yes, I may have to issue more refunds, but I make 3-4 times more sales. Do the math.

            John

            P.S. I always overdeliver, too, and add extra unannounced bonuses. That helps to keep the refund rate down, as nobody WANTS a high refund rate. But if you downplay your offer, it's going to cost you sales, and yes, less sales = less refunds, but not the game I want to play.
            {{ DiscussionBoard.errors[101872].message }}
            • Profile picture of the author Daniel Molano
              Originally Posted by John Ritz View Post

              IMO, this is short-sighted. It is costing you sales.

              If anything, you should be MORE aggressive in your offer, even if it means more refunds.

              I try to get my refund rate between 6 and 12%.

              Yes, I may have to issue more refunds, but I make 3-4 times more sales. Do the math.

              John

              P.S. I always overdeliver, too, and add extra unannounced bonuses. That helps to keep the refund rate down, as nobody WANTS a high refund rate. But if you downplay your offer, it's going to cost you sales, and yes, less sales = less refunds, but not the game I want to play.
              I think we are saying the same thing here John, I'm not suggesting to downplay the offers, I'm also saying to add unannounced bonuses to the products.

              If I said to be less aggressive and to downplay the offer in the original post point me to it and I'll edit it because that is not what I was trying to suggest.
              Signature
              Como Ganar Dinero Por Internet - Spanish Make Money Online Site

              Daniel Molano
              - LinkedIn Profile
              {{ DiscussionBoard.errors[101903].message }}
              • Profile picture of the author mrjonman
                Daniel,

                Very interesting post. Certainly gives an interesting perspective to think about.

                Thanks

                John
                Signature
                Get Over 50% Off! A Brand-New Course by Michael Brown Called Niche60 About Making Money As An Affiliate Marketer. And It Really Works!

                Get This $99 Product For ONLY $49.00 If You Act Now! Click Here Today And Save $50.00!
                {{ DiscussionBoard.errors[101913].message }}
Avatar of Unregistered

Trending Topics