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Is Getting "WSO of the Day" or "JVZOO POD" BAD for Business?

by XponentSYS
14 replies
This is in no way a "bash" on those 2 platforms nor is it a "bash" on the product creators themselves.

BUT....

Here are 2 WSOOTDs that BOTH completely went wayward after PayPal froze their accounts. On both the below threads, the "problems" start around page 3.

I am ASSUMING that the PayPal Freezes were initially put in place due to the sudden and often drastic increase in sales that are a result of getting the coveted feature spots on these 2 popular platforms and the MASSIVE amount of promotion to BUYER LISTS that result from that.

Though these are the only 2 recent WSOs that haven gotten away from their creators, there are plenty of others.

Again, not a "diss" on anyone or any platform. No personal feelings in this post. Just what could become a fascinating and important observation.

Here are the two latest WSOs (supposedly) that have went sour for their creators.

DISCLAIMER: In no way am I implying that in any way have the aforementioned affiliate platforms had ANYTHING to do with PayPal account freezes associated with these or any other WSO. That would be preposterous. What we're looking at here are facts and one of those facts is, a fluctuation in sales volume will cause scrutiny with PayPal, or any other processor.
#bad #business #jvzoo pod #wso of the day
  • Profile picture of the author WillR
    Originally Posted by XponentSYS View Post

    I am ASSUMING
    There's your problem. Don't assume things.

    Paypal are a normal business. They will look into anything that appears out of the ordinary. If you have an account that does $20k a week and you then release a WSO and it does $30k in one week, it's very unlikely that would raise any alarms.

    If you have an account that does only a few hundred dollars per month and all of a sudden it does $10K plus in one day, then ofcourse that is very irregular activity for that account and Paypal will manually review that behavior and take any necessary action.

    It's just normal. Businesses try and remove as much risk as possible. These freezes have nothing to do with WSO of the Day awards. They have to do with a Paypal account doing activity that is out of the ordinary for that account. Nothing more.

    But from my own experience, even if an account is frozen for that reason, so long as you are doing nothing else wrong you will have no issues getting your account quickly re-opened. Those who do not get the freeze lifted are generally breaching other terms.
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    • Profile picture of the author XponentSYS
      Originally Posted by WillR View Post

      There's your problem. Don't assume things.

      Paypal are a normal business. They will look into anything that appears out of the ordinary. If you have an account that does $20k a week and you then release a WSO and it does $30k in one week, it's very unlikely that would raise any alarms.

      If you have an account that does only a few hundred dollars per month and all of a sudden it does $10K plus in one day, then ofcourse that is very irregular activity for that account and Paypal will manually review that behavior and take any necessary action.

      It's just normal. Businesses try and remove as much risk as possible. These freezes have nothing to do with WSO of the Day awards. They have to do with a Paypal account doing activity that is out of the ordinary for that account. Nothing more.

      But from my own experience, even if an account is frozen for that reason, so long as you are doing nothing else wrong you will have no issues getting your account quickly re-opened. Those who do not get the freeze lifted are generally breaching other terms.
      I agree with you, Will. That's kind of what I was insinuating.... a sudden INCREASE in volume from getting WSO of the day could get an account frozen. Not getting WSOOTD itself.
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  • Profile picture of the author joseph7384
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    • Profile picture of the author XponentSYS
      Originally Posted by joseph7384 View Post

      Another thing that is worth mentioning is that a lot of vendors set up their oto's as a recipe for disaster. When paypal sees multiple payments from large volume of customers where acustomer is getting charged again immediately, it raises a red flag.
      Good point. I wonder if JVZoo and WP support that?

      MY stuff is setup as you describe because to my knowledge, it can't be done any other way but perhaps I am missing something? (I am using W+)

      I have a "regular" merchant account I use outside the forum for other stuff. On that, my OTOs are setup with ONE PAYMENT at the end.
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    • Profile picture of the author Rsberg
      Originally Posted by joseph7384 View Post

      Instead of sending a customer to paypal for the frontend product and then again for the OTO, why not send them to the OTO before making any payments and if they decide to grab it then charge them once for both products, make cents to me.
      This sounds great in principle but vendors could potentially lose front end sales if a perspective customer doesn't first purchase the main offer before seeing the OTO. Customers could change their minds about the main offer for a vast number of reasons if they weren't first required to purchase it before seeing the OTO and it wouldn't necessarily be a direct reflection on the product or vendor...some people are just tire kickers. This may also be why most aff networks don't have their sales funnels set up this way or allow vendors to do so. I'm sure there are a vast number of reason why this isn't a typical option.

      Personally I agree with the theory and think it would certainly cut down on the issue at hand but IF it did cost vendors FE sales then they most likely wouldn't use that setup anyway
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    • Profile picture of the author WillR
      Originally Posted by joseph7384 View Post

      Another thing that is worth mentioning is that a lot of vendors set up their oto's as a recipe for disaster. When paypal sees multiple payments from large volume of customers where acustomer is getting charged again immediately, it raises a red flag.

      Instead of sending a customer to paypal for the frontend product and then again for the OTO, why not send them to the OTO before making any payments and if they decide to grab it then charge them once for both products, make cents to me.
      Can I ask, do you actually have any proof of this being a problem with Paypal?

      I mean I have proof of it NOT being a problem with Paypal. My last WSO did over $60k with 2/3 of that being upsells sales that were made right after the initial purchase.

      I have used the same method for a number of my WSOs and plenty of other vendors have used the exact same method with no issue at all.

      So I'm curious what you have experienced that has led you to believe otherwise? Or are you just assuming something? I just want people to know the facts as they stand.
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      • Profile picture of the author joseph7384
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        • Profile picture of the author WillR
          Originally Posted by joseph7384 View Post

          I was told this a last year from a phone conversation with a Paypal rep last year when my account was put on hold. I'm just taking it for granted that he was correct, but I can't rule out that my account went from almost no sales to 5 figures in a short time.
          Yes, it would have been the spike in sales not the OTOs.

          I've had various chats with the risk department where they have gone over my account and the products I am selling and they had no issue with it at all.

          I've never once had an issue with OTOs. Why would you really? A customer is entitled to buy two things from the same website right after one another. It's not as though you or the customer are doing anything wrong or illegal. In fact Paypal make more money in transaction fees this way.

          I would not be at all concerned doing this and I am yet to hear of ANYONE having their account frozen or limited for this reason.
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  • Profile picture of the author George Wright
    For what its worth, I spoke to a PayPal representative and he told me that they start looking at an account when it reaches $10,000 in 1 month.

    George Wright
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  • Profile picture of the author tpw
    Maybe you started this thread to bring attention to the link in your signature?

    "If You Sell WSOs Using PAYPAL, Listen to This CALL".
    It doesn't matter what a front end PayPal representative says.

    PayPal does not kill vendor accounts just because people sell WSO's. WSO's might be on PayPal's radar, but it is the structure of an individual offer that gets those accounts closed.

    It is just a matter of risk management. If a particular WSO offer or vendor seems like it could be a risk, they might shut down the vendor's account.
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    • Profile picture of the author joseph7384
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      • Profile picture of the author tpw
        Originally Posted by joseph7384 View Post

        If he just discovered that call, he is a year late. I clicked on the link and it's the recorded call that Anthony Aires made to Paypal around this time last year.

        I wondered if it was the Anthony Aires call, but then I saw he put it on his own website, and I figured he tried to dupe what Anthony had done.

        Even if I had known it was Anthony's call, I would have said the same about it.
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        • Profile picture of the author XponentSYS
          Originally Posted by tpw View Post

          I wondered if it was the Anthony Aires call, but then I saw he put it on his own website, and I figured he tried to dupe what Anthony had done
          Now why would I try to do that?
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  • Profile picture of the author Joan Altz
    All vendors need to do is alert PayPal about the possibility of a spike in sales. Should do that before launching a WSO even if the WSO ends up being unsuccessful...just in case.
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    • Profile picture of the author WillR
      Originally Posted by Joan Altz View Post

      All vendors need to do is alert PayPal about the possibility of a spike in sales. Should do that before launching a WSO even if the WSO ends up being unsuccessful...just in case.
      No. This will not prevent anything. I have no idea why people keep saying this. If I was going to run a scam I could warn them just as easily as you could. So this means nothing at all to them. Any suspicious activity will be treated the same whether you rang them beforehand or not.
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    • Profile picture of the author tpw
      Originally Posted by Joan Altz View Post

      All vendors need to do is alert PayPal about the possibility of a spike in sales. Should do that before launching a WSO even if the WSO ends up being unsuccessful...just in case.

      If you do some research, you will find that many of the people who got shut down temporarily and permanently contacted PayPal before running their offer, and PayPal nuked them anyway.

      The whole issue revolves around PayPal's need to manage its risk.

      And it often comes down to what is being sold on the sales page or the person doing the selling.
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  • Profile picture of the author sal64
    ... not for the seller's it isn't!
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