First sale...followed by first refund. WTF?

32 replies
I sold an ebook to a customer the other day via Clickbank. 48 hours later they request and get a refund. Which is all well and good, but they still have the product. I know the content is good - I'm a professional writer and know what I'm doing in that regard at least. I've been teaching the material in the ebook as a live course to people for two years, so I don't think quality is the issue.

So here's my question - is this just one of those bs things we have to live with or is there something I can be doing to help prevent this kind of thing?

Thanks,
Joe
#refund #salefollowed #wtf
  • Profile picture of the author Colin Y
    Hey Joseph, congrats on your first sale. Refunds are a fact of life when it comes to Clickbank products. There is no way you can prevent buyers from returning your Clickbank product.

    I would suggest you not focus on that one refund, look at the positives and continue your marketing efforts. You will have many more sales than refund.

    Best of luck!
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  • Profile picture of the author rickdearr
    In the old days we used to have software that locks em out after they refund, I'm not sure why no one uses it now... Might be time to revive the practice.
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    Rick Dearr
    RnR Marketing, LLC
    Sandy, Utah 84070
    http://www.winnerscircletraining.com/gonow
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    • Profile picture of the author SteveJohnson
      Originally Posted by rickdearr View Post

      In the old days we used to have software that locks em out after they refund, I'm not sure why no one uses it now... Might be time to revive the practice.
      Might have something to do with the fact that many of us won't buy products like that at all. I have, in the past. If I wanted to print it for study, I couldn't. If I wanted to read it when I wasn't hooked up to the net, I couldn't. If I wanted to transfer it to my laptop to read at the coffee shop, I couldn't.

      Never again. If I, by mistake or from not knowing, end up with an 'ebook' with a lock on it like that, or something that needs to be installed before I can read it, I request a refund immediately, and let the seller know why I want my money back.
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  • Profile picture of the author rickdearr
    Actually you should stay focused on selling then watch the refund rate after a few sales to get your %, if it seems high call or contact the refunders, and see what's up, lots of folks will give you straight answers that can help figure it out. It might have nothing to do with you or the product at all. Right now 100% refund rate sounds high, but it's too small a sample to count.
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    Rick Dearr
    RnR Marketing, LLC
    Sandy, Utah 84070
    http://www.winnerscircletraining.com/gonow
    90 Second Video - Free Access

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  • Profile picture of the author nemock
    I had a similar experience when I started but my sales outweigh the refunds by a huge margin. Having your first sale turn around like that is a bummer, but you're still ahead of 99% of the yahoos who only talk about getting a product out there. Good for you.

    Dave Saunders (davesaunders) on Twitter
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    • Profile picture of the author rickdearr
      [quote=nemock;702287]I had a similar experience when I started but my sales outweigh the refunds by a huge margin. Having your first sale turn around like that is a bummer, but you're still ahead of 99% of the yahoos who only talk about getting a product out there. Good for you.



      Good point! You've made a sale ! Most just talk about the "someday". Keep truckin'
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      Rick Dearr
      RnR Marketing, LLC
      Sandy, Utah 84070
      http://www.winnerscircletraining.com/gonow
      90 Second Video - Free Access

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    • Profile picture of the author wbnetwork
      Nothing to worry about. The more that buy, the more that will not refund. You had a little bad luck. Keep selling!
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      Anthony Busciglio

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      • Profile picture of the author Kevin Riley
        Joe

        It can be disheartening to have your first sale refunded, but probably just bad luck of the draw. You will get refunds (more at ClickBank it seems), but that's part of doing business. The thing is to never let that bother you.

        Rick

        I can block serial refunders with a click of a link in my 1 Shopping Cart, so the ability is still there.
        Signature
        Kevin Riley, long-time Warrior living in Osaka, Japan

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      • Profile picture of the author Nathan Hangen
        No need to echo what others have said about refunds, etc...but make sure your sales page is congruent with the product. Not that it isn't, but just check it out.

        Also, try offering a bonus deliverable within 30-60 days to give people incentive to keep the product. You can also set up an AR to get in touch with people right after the sale.

        I'm guessing this person knew CB's policy and took advantage of it. In that case, not much you can do.

        One thing you might consider, which is what I have done with my product, is putting it in a membership area. If it is just a book you can't really do that, but if you ever do a product with video/mp3/etc then it might be a good idea.
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  • Profile picture of the author Jnassise
    Thanks gang - I know refunds are a fact of life, but seeing that first sale suffer from a refund was like a kick in the head. Okay - nothing to be done, focus on the sales.
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  • Profile picture of the author Steven Fullman
    Here's what I'd do...

    Send him an email.

    Ask why he refunded.

    Tell him his feedback is appreciated...and mean it.

    Tell him you'll send him a complimentary copy of your next product in return for his opinion.

    He'll be a friend for life...and...he's more likely to become a customer again than if you were to just 'ban' him.

    Well, that's my 'stupid' opinion, anyhow.

    Steve
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    Not promoting right now

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    • Profile picture of the author yourreviewer
      Originally Posted by Steven Fullman View Post

      Here's what I'd do...

      Send him an email.

      Ask why he refunded.

      Tell him his feedback is appreciated...and mean it.

      Tell him you'll send him a complimentary copy of your next product in return for his opinion.

      He'll be a friend for life...and...he's more likely to become a customer again than if you were to just 'ban' him.

      Well, that's my 'stupid' opinion, anyhow.

      Steve
      Stupid opinion? That's great advise. I mean it, it is a great perspective and a wonderful way of drilling down at the exact problem.
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    • Profile picture of the author Trader54
      Originally Posted by Steven Fullman View Post

      Here's what I'd do...

      Send him an email.

      Ask why he refunded.

      Tell him his feedback is appreciated...and mean it.

      Tell him you'll send him a complimentary copy of your next product in return for his opinion.

      He'll be a friend for life...and...he's more likely to become a customer again than if you were to just 'ban' him.

      Well, that's my 'stupid' opinion, anyhow.

      Steve
      Not a stupid opinion at all.

      I even had someone ask for support for a product he had got
      a refund for. I helped him out and he repurchased the product.

      So it does work, and you do have a customer for life.
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    • Profile picture of the author shane_k
      Originally Posted by Steven Fullman View Post

      Here's what I'd do...

      Send him an email.

      Ask why he refunded.

      Tell him his feedback is appreciated...and mean it.

      Tell him you'll send him a complimentary copy of your next product in return for his opinion.

      He'll be a friend for life...and...he's more likely to become a customer again than if you were to just 'ban' him.

      Well, that's my 'stupid' opinion, anyhow.

      Steve

      Wow this is the best response I have ever seen from all the posts on the refund topic.

      What a way to turn a setback to your advantage.


      Great job!

      Shane_K
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    • Profile picture of the author Mohammed Hammad2
      Originally Posted by Steven Fullman View Post

      Here's what I'd do...

      Send him an email.

      Ask why he refunded.

      Tell him his feedback is appreciated...and mean it.

      Tell him you'll send him a complimentary copy of your next product in return for his opinion.

      He'll be a friend for life...and...he's more likely to become a customer again than if you were to just 'ban' him.

      Well, that's my 'stupid' opinion, anyhow.

      Steve
      That's the greatest opinion and I really don't see it stupid at all
      and I really Hope Jnassise follow your opinion

      Thanks
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      • Profile picture of the author Harvey Segal
        Originally Posted by MemberWing View Post

        Actually I'd be interested to hear if there are any online solutions that allows to access ebooks via some sort of protected access that could be locked/unlocked.

        I do see potential in such service.

        Gleb
        Gleb

        As Steve Johnson showed above these sort of solutions really annoy people.

        Besides they can keep and read an ebook for up to the 60 day
        return period.

        One thing to look at is the reason (if provided) by the customer on
        the refund request. That may give you an idea whether it's a genuine
        warranted request for a refund or from a serial refunder. You can't do
        much about serial refunders - I should know, I wrote a book called
        "Stop Those ClickBank Refunds". Even that gets refunded.


        Harvey
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        • Profile picture of the author iwanttomakemoney
          Originally Posted by Harvey.Segal View Post

          Gleb

          As Steve Johnson showed above these sort of solutions really annoy people.

          Besides they can keep and read an ebook for up to the 60 day
          return period.

          One thing to look at is the reason (if provided) by the customer on
          the refund request. That may give you an idea whether it's a genuine
          warranted request for a refund or from a serial refunder. You can't do
          much about serial refunders - I should know, I wrote a book called
          "Stop Those ClickBank Refunds". Even that gets refunded
          .


          Harvey
          Ah. The irony. I'm actually nervous about refunds and all through ClickBank.

          To the OP: Getting your first sale refunded is totally a bummer, but keep working at it. I congratulate you for at least getting somebody to click the "Pay Now!" button. Even if the buyer were to be a serial refunder, you're still ahead of the game when it comes to novice Internet Marketers. So don't give up! The best is still ahead.
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        • Profile picture of the author stevenh512
          Originally Posted by Harvey.Segal View Post

          I wrote a book called "Stop Those ClickBank Refunds". Even that gets refunded.
          Now that's irony.. lol (sorry, someone was going to say it)..

          Seriously though, refunds happen, it's part of doing business. No point in worrying about it too much unless you have a pretty high refund rate.. and in that case I'd look at my product to make sure it was good quality and my sales letter to make sure it wasn't "misleading" potential customers.
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  • Profile picture of the author marketguru
    there is nothing you can do about it, its just how it is with these kinds of digital distributions
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  • Profile picture of the author MemberWing
    Actually I'd be interested to hear if there are any online solutions that allows to access ebooks via some sort of protected access that could be locked/unlocked.

    I do see potential in such service.

    Gleb
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    • Profile picture of the author stevenh512
      Originally Posted by MemberWing View Post

      Actually I'd be interested to hear if there are any online solutions that allows to access ebooks via some sort of protected access that could be locked/unlocked.
      Can't be done with a PDF without "wrapping" it in an executable file, then you have the same problems people always had with EXE ebooks (Windows only, customers may be afraid to download and run an EXE because of the possibility of viruses, support issues due to whatever "locking" system you use not working the way the customer expects it to, etc).

      If you're going to go that route anyway, might as well just hunt down one of the EXE ebook compilers that support some kind of "locking" system and skip PDF altogether.
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  • Profile picture of the author Wendy Woudstra
    Do you have an affiliate program. I've got a related site, so maybe I can help you get a few non-refunded sales.

    EDIT - Nevermind, I found the link.
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  • Profile picture of the author WillDee
    For what it's worth, you might also find that the source of your refund requests has a great deal to do with the percentage of refunds/sales.

    Advertising here will result in a much lower refund request rate than certain other forums that seem to possess a large number of scammers, for example.

    Something that sets my alarm bells ringing is the question: Do you offer a refund if I'm unhappy with the software? I can almost guarantee that the person's not a genuine buyer, as I offer a free trial and confirmation that I offer refunds.

    When confronted by these questions, I usually ask if they'd like a free copy and refer them to my free copy offer on the site. If they buy, good for me, if not, no loss.
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  • Profile picture of the author WillDee
    Well, for pure PDF DRM protection, there's always something like LockLizard, although that's pretty expensive, unless your sales are in the $6K+ per month range, in which case the $6K+ you spend on the software is justified. ;-)

    Which is why I tend to stay away from info products. Far easier to code a solution into the software. :-)
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  • Profile picture of the author tmauto
    Refunds are what we have to accept with clickbank. But generally I find it's only about 5%. So don't worry. Just allocate an amount in your mind like say 20% for refunds so you won't feel disappointed.

    However, for non-US customers, it can be pretty high.
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  • Profile picture of the author askloz
    Want to protect it?

    Simple.

    Give them immediate access to the first chapter!

    Then send the rest to them via CD, have this CD Copyright protected so they can't copy the contents.

    I believe Clickbank have a policy for returning of physical products - could be mistaken. But i do remember asking them about this and they vaguely said they honor that type of physical return of the product first before they refund the buyer. You might want to check that out?

    Only other suggestion is - i hate to say it, but use paypal, seller is protected, and buyer isn't on digital goods. And more so if the product is not bought via ebay. Any product bought outside of ebay is NOT protected - and this is from the horses mouth (Head Supervising Manager of Paypal).

    Originally Posted by Jnassise View Post

    I sold an ebook to a customer the other day via Clickbank. 48 hours later they request and get a refund. Which is all well and good, but they still have the product. I know the content is good - I'm a professional writer and know what I'm doing in that regard at least. I've been teaching the material in the ebook as a live course to people for two years, so I don't think quality is the issue.

    So here's my question - is this just one of those bs things we have to live with or is there something I can be doing to help prevent this kind of thing?

    Thanks,
    Joe
    Signature
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  • Profile picture of the author jameshax
    I don't like this at all!
    Person could buy a book, get money back, repeat with every ebook product. get EVERYTHING for free! I'm sorry, but this just sucks!
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    • Profile picture of the author Jnassise
      Originally Posted by jameshax View Post

      I don't like this at all!
      Person could buy a book, get money back, repeat with every ebook product. get EVERYTHING for free! I'm sorry, but this just sucks!
      Exactly what my wife said, man. I'm busting my home to create this membership site and all these cool products based on my own experience writing and selling novels, real world stuff that I know works because it is what I use everyday to sell my fiction, and I am potentially just giving it all away AND being charged the Clickbank fee without getting the sale?

      Yep, sucks. Hopefully my sales will be enough to balance it all out.
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  • Profile picture of the author Nathan Hangen
    Originally Posted by ProductCreator View Post

    I think Joe needs to wait for more sales before even being able to start to confirm a trend. Talk of protecting or locking the download in some way is premature I think.

    I agree that it is early in his case, but I don't think it can ever be premature to talk about protecting downloads.

    This guy was probably just a jack@$$, but unfortunately there are many of them!
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  • Profile picture of the author Jnassise
    Thanks for all the suggestions, gang.

    I did write and ask him if he had some difficulties with the product, so we'll see if he answers. If it was an honest complaint about quality or some such, he'll reply.

    I'm concerned because I intend to release a new ebook each month and wanted to be sure I got a handle on the problem before I get too far down the road.

    I do have a membership site, and in fact, two of the three levels of membership get every ebook as part of their monthly fee, but I am also selling them as stand alone products which keeps me from locking them away totally behind the membership wall.

    I'll give it some time, see how the refund vrs sales things goes and then make some decisions.

    AskLoz - you mentioned using Paypal and I had originally set up the ebooks as being handled through Paypal and Ejunkie instead of Clickbank. (Deciding to put everything up as part of an affiliate program made me switch it all to Clickbank since Ejunkie couldn't handle recurring affiliate payments)
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