How To Punish Customers Who Do Chargebacks

15 replies
I provide refunds immediately whenever requested on my Clickbank products. But some customers do not even ask for refunds but instead do chargebacks as there way to get their money back well within the guarantee period.

This obviously costs me money.

It really p***** me off and I would like to somehow punish such customers for the unnecessary money they are costing me.
#chargebacks #customers #punish
  • Profile picture of the author mattlaclear
    Sounds to me like you just need to boost your sales numbers. Whenever I see someone po'd about refunds it's because their not making enough sales to take the hit.

    Focusing your attention on learning to reward your customers rather than finding ways to punish them would be a giant step in the right direction to making that happen.

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    • Profile picture of the author innocent07
      How to punish them?

      You can try to track them down and then give them a mouthfull!

      on a serious note, this is going to happen anyway, and i know it is annoying, but still try.
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  • Profile picture of the author AFD
    Originally Posted by JK Nyerere View Post

    I provide refunds immediately whenever requested on my Clickbank products. But some customers do not even ask for refunds but instead do chargebacks as there way to get their money back well within the guarantee period.

    This obviously costs me money.

    It really p***** me off and I would like to somehow punish such customers for the unnecessary money they are costing me.
    It's like filing a dispute at Paypal without informing you first and yes, I don't like that attitude...
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    • Profile picture of the author ozduc
      This is the only solution

      Or you could always put a note on your thankyou page about not filing charge backs but to contact you first and you'd be happy to give a refund.
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  • Profile picture of the author LB
    It's just the cost of doing business. No matter how great you run things, they happen.

    Some people are scared to ask for refunds, some people really don't recognize the charge, maybe their kids/spouse/sibling made the purchase, maybe it was a stolen credit card, maybe they're just having a bad happens.

    Just focus on your good customers. Unless you're getting a ton of them, it happens.
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    • Profile picture of the author Jeremy Morgan
      Don't let yourself get worked up about this, and don't focus on "punishing" these people. Serial refunders do what they do and they'll never learn, it's best to refund them and spend as less time as you possibly can on them and focus on your good customers.
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  • Profile picture of the author acrasial
    Don't punish the customers. Punish yourself.

    You took the time to choose this product to promote, or you took the time to create this product yourself. No one took you by the hand and forced you into this, nor did they force you to do anything related to internet marketing in general.

    Also, since you are choosing to do this, you only have yourself to blame when people aren't satisfied. Ask yourself this: what aren't you doing to keep people satisfied.

    If you are seeing a high refund rate, or think people are stealing your product, have you used any tools to prevent it from being stolen, or are you checking into your product again to make sure it's high quality for your customers?

    Why blame them, for something you should be doing in the first place: making sure the customer is always satisfied, because THE CUSTOMER IS ALWAYS RIGHT.

    At the end of the day, NO ONE IS COSTING YOU ANY MONEY, because these people who are buying from you and are refunding....they didn't FORCE you to get into this business. You came into that yourself, it was your choice, can't blame them for something you wanted to do to yourself!

    And if they are ripping you off....well then that must mean you have something good, so find a way to be a step ahead of those kinds of people.
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    • Profile picture of the author Nhcarreon
      Yeah, I agree. It's not right to punish them. You just have to be careful next time, after all they are still your customers. Who knows they will be your return customers for your other products.
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  • Profile picture of the author Venturetothetop
    I'm a little bemused by some of the replies.

    It does not matter if you make 7 figures or just 3 fugures, everyone has a right to be annoyed by chargebacks. Just accepting it does not make sense either.

    I ran an offline video game business. The average 'steal' rate I was told to factor into my costs was 5%, yep 5% of stock is expected to go missing or get damaged for reasons out of my control. Want to know how much my steal rate was after 3 years? 0%

    Yep, you don't have to accept it, you can actually find way to reduce it or elimiate it. I elimiated it by attracting mass amounts of 'the type of people who steal' to my stores in competitions etc and respected them... in return they made sure my stores were 100% safe from other 'hazards'.

    Think outside the box. Find out why your customers find the urge to chargeback instead of asking for a refund. Is it bad education, do they simply not know how easy it is to ask for a refund? Is the card actually being missued? (if it's missued i also get my charges back as Im insured against fraud)

    I write back to people who chargeback asking them why, I then educate them as to how I would have gone about it, and then hit them with a few bonueses they missed out on as they asked for the refund the wrong way. I have had almost 50% apologise for their actions just by doing this.

    I also state clearly how to claim a refund, but then remind them why they really should not want one. Many marketers claim, that by doing this I might encourage refunds, as 'im making it easier for them'. But I make the case clearly as to why they should not even consider the option first, then provide a quick guide to tell them how to do it. (I also provide a questionnaire I want them to fill in about the product, and most people give up at this stage and keep it, so I am still making it sufficiantly hard for them!) It's not a big part of my programs but this alone cut my chargebacks to almost non existant...

    If your obsessed with punishing then by all means ban these people from future programs...
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  • Profile picture of the author R Hagel
    "Punish customers."

    Those are two words that just don't belong together.

    Look, if you're having problems with chargebacks -- and you REALLY want to do something about them -- then stop using Clickbank and start using a payment processor where you have more control. That way, you can fight the chargeback rather than passively accepting it.

    Otherwise, if you continue to use Clickbank, then do as others have suggested here. Specifically, educate customers about how to ask for refunds. And secondly, accept that it is a cost of doing business, and don't get caught up in the emotions of the situation. Instead, focus on your REAL customers.

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  • Profile picture of the author Nicholas Kemp
    It happened to me once and it was a little annoying. You just have to let it go. It could mean that the person didn't believe that they would get a refund from you or that they are just plain stupid. It could also mean that they were disappointed with your product.

    You could try to contact them and ask them "why", but I bet they won't reply. Add more value to your product so it doesn't happen again.

    Do you really want to punish your customers??? I think your time would be better served rewarding customers who buy from you.

    Let it go and learn from it. Ask yourself why the customer did the chargeback??


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  • Profile picture of the author MisterMunch
    You can take their email address and search for it in facebook. You will there find their real name.

    Copy the customers surname and find out who is their mother. Set up a date with her, take it further and make sure to be part of their christmas dinner.

    Under the dinner make sure you talk about how much you love the customers mother and how much nasty things you guys do on a regular basis. For a christmas present you can give him a printed vertion of your ebook. This will send him a message.

    Or you can just let it go.
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  • Profile picture of the author armadin
    Maybe you can track them down and say to them something freaky like "it puts the lotion on its skin or it gets the hose again"
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  • Profile picture of the author Tsnyder
    Punish customers?

    What an absurd idea.

    Every moment you waste worrying about something
    that happened in the past is a moment you aren't
    focusing on the present... which will cost you far more
    in the future.

    It's yesterday's pizza... move on.

    If you knew what I know you'd be doing what I do...
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