Why You Should Always Honour Your Guarantees - Even When The Customer Is In The Wrong

The Reason Why Direct Internet Marketers Have To Work So Hard To Earn Our Trust

A bad attitude to customer service can literally destroy your business.

So, I thought I'd share my response to what I read on an Internet Marketing Forum recently to illustrate my point.

It started with a genuine request made by someone looking to do the right thing despite having a frustrating run of luck...

"I've been asked for three refunds this WEEK. The product is a proven one that I've sold for 6 months and my refund rate is normally TINY. I have only been asked for four refunds ever. One of the reasons I've been given are crazy - He thought the product in question (which is about creating Income streams) was about Gardening - I kid you not!

I gave the refund because I couldn't think what to say to him, but it brought up the question of refunds? Should you ALWAYS give refunds when requested or do you sometimes argue the point?

So do you ALWAYS give refunds?"

One response which (due to the added fact that other people agreed with it) made me livid was...

"A seller on eBay was asking a similar question to yourself and the response was: 'eBay isn't a branch of Marks & Sparks, tell them to get stuffed!' Brilliant! I have actually used this response myself when dealing with timewaster buyers on eBay (minus the 'get stuffed' bit as I always try to be polite and professional) and it hasn't resulted in a tit-for-tat negative rating yet!"

So here's what I wrote...

"This is for all people who think it's funny to treat unhappy customers like a**holes!

I always give refunds when offering an unconditional guarantee - even when the mistake was "their fault". Unconditional is exactly that - without conditions. I also suggest talking first and getting clear exactly why they want their money back - you may be able to save the sale but even if you don't then all feedback is useful, right?

People who automatically assume someone who's made a mistake (or is unhappy) is a "timewaster" need to check their attitude. In fact maybe they shouldn't be in the business at all - because glib remarks, by people who should know better, telling unhappy customers (in one way or another) to "get stuffed" when they want their money back gives us all a bad name.

If your product/service is good, and you've described it accurately (giving samples where possible) then the number of refunds will be low. My experience is people who have a bad attitude when customers are unhappy get it (the attitude) because they have a higher return rate than they'd like - and think the world is full of crooks and timewasters. But maybe they should take a look at how they're describing their product and the product itself (they may unkowingly look like crooks themselves) before assuming the rest of the world is wrong."

So why am I so emphatic about this! Surely some people are crooks and timewasters?

Well you'd be right. Some people are. But many more are not.

If you recall back a few issues you'll remember I spent a lot of effort to help you hone a Bold Promise and Awesome Guarantee. Being able to offer an honest and audacious promise helps complete strangers to trust you and buy without risk of getting taken for a ride.

In fact, where Internet Marketing is concerned, a guarantee is essential. People are rightly wary until they know and trust you. It's so easy to set up a website that looks like it has something of value for sale and to take payments online that there are bound to be cheats and scoundrels out there happy to take your money without giving the promised value in return.

So a guarantee is a very powerful way to make prospective customers feel more secure in making the decision to buy from you. The problem is that scammers can make the same promises without having any intention of delivering on them.

This sorry state of affairs is why it's still difficult to gain trust from strangers on the web. And that's why it's essential to build a relationship using the pipeline and then to continue building on that relationship (again take another look at the pipeline) even if a customer later decides to call in your guarantee.

So, if we agree that our end goal is to have lots of paying customers and an army of cheerleading, evangelists telling anyone and everyone how great we are then you'll see it makes sense to be squeaky clean, to accept the odd loss and to focus on making your product and service great.

If you fail to play it straight (even when you suspect your customer isn't) then you'll be certain to completely trash your reputation faster than I can say, "Bankruptcy". The reason, quite simply, is that when a customer has a good experience they'll tell a handful of people, but when a customer has a bad experience they'll tell anyone and everyone who will listen!

This goes back to the fact that us humans will do a hell of a lot more to avoid pain than we will to gain pleasure. We simply focus on the bad stuff. Plus, a story of how AWFUL something was is far more dramatic than one about how NICE it was.

So it's simple. If you make a promise then stick to it. If you don't bad things will happen. Let the Universal Law of "What Goes Around Comes Around" take care of customers who are genuinely cheating you. You can focus on all the good stuff, like profits, instead.

In summary:

* If you make a guarantee then honour it (even if you feel you're being wronged).

* Always try to save the sale by asking questions - even if you still lose the sale you may learn something to make a return less likely in the future.

* Don't take people calling you on your guarantee personally - that's what it's there for. Be gracious and you may even gain a new evangelist where you first thought there was a problem.

'Dangerous' Debbie Jenkins
debs@debbiejenkins.com

(c) Copyright 2005 www.BookShaker.com

SUMMER CAN BE SLOW FOR BUSINESS
But don't let that get in the way of your success.
This is the ideal time to work on your business
rather than in it. Get 2 F'REE eBooks and prepare
for more success with less effort here...
http://www.leanmarketing.co.uk

I'm wondering if... You Know Other People who should be reading this too? So do us all a favour (they get 2 free books - we get a new subscriber - you get to look good) when you Pass On This link... http://www.leanmarketing.co.uk

In The News:


pen paper and inkwell


cat break through


Handling Angry Clients

What do you do when your client gets mad at... Read More

5 Golden Online/Offline Business Rules To LIVE Or DIE By

Whether online or off, if you plan on running or... Read More

The Reality of Customer Service in America and Best Efforts in Franchising, We Can Do Better

Yesterday I went to buy a sandwich at a franchised... Read More

Minimize The Pain of Check Recovery

$350 million in bad checks are written each and every... Read More

4 Customer Service Mistakes Companies Should Avoid Making

1) Being placed on hold endlessly. Don't you just love... Read More

Automating Your Customer Support

My regular readers will know that one of the things... Read More

Doesnt Anybody Work Here? Nametags Impact Employee Communication

Walmart was the first business to require all its employees... Read More

Why Communication Skills Dont Work In Customer Service

Every time my firm conducts communication skills training, we know... Read More

What Exactly is Customer Relationship Management?

The defintion of Customer Relationship Management (CRM) that I favor... Read More

Learning from Your Employees and Customers Complaints

Listening to complaints, whether they're reasonable or not, is a... Read More

Clients?Do You Really Need Them?

Running a successful business takes a lot of energy and... Read More

Basic Levels of Consumer Integrity that Presently Permeates Society

Reality is not always pretty. But here is a tad... Read More

Restaurant Scheduling for Success

- Excerpt from Richard Saporito's latest e-book "How to Improve... Read More

Customer Service - A Sweet Essence

First let us specifically define customer service. It is the... Read More

Make An Action Plan To Improve Customer Service

Customer Service is a critical factor for keeping your clients... Read More

Everyone talks in code!

How often have you left a meeting with a customer... Read More

Doors by Catering to Your Clients

Clients? they are the most important influence in the success... Read More

How To Build a Profitable Business

It's never too soon to start saying thanks to your... Read More

8 Critical Steps to Establish a Customer Service Culture

"Every company's greatest assets are its customers, because without customers... Read More

The Number 1 Rule for Businesses - Be Professional

Have you ever walked into a store and things looked... Read More

3 Special Benefits Every Customer Wants

Every customer looks for 3 special benefits when they do... Read More

Is Your Food Establishment Clean?

Is your restaurant, bar or hotel clean? I mean really... Read More

Customer Service Is Dying - and Im Not Feeling So Good Myself

Have you ever called a company and been greeted with... Read More

Can Three Words In Websters Dictionary Be The Key To Customer Loyalty?

Are you concerned about customer loyalty? Are your customers so... Read More

4 Things Your Clients Want From Your Company

Sure, all clients are different. They have different kinds of... Read More

11 Moments of Truth

These moments come when a customer or client?1. Hears someone... Read More

Renewing Customer Loyalty

Every business loses customers, but not many do much about... Read More

Is your Online Business Customer-Friendly?

Customer service is increasingly seen as one of the most... Read More

The Consumer Power

While most companies talk about consumer friendliness, customer centricity, customer... Read More

The Dissatisfied Customer

We, as small business people, naturally dislike complaints from our... Read More

Customer Service and The Human Experience

Historically, customer service was delivered over the phone or in... Read More

Turning Customer Mistakes Into Raving Fans

When you make a mistake with a customer, should you... Read More

CEM Can Improve Customer Loyalty

'A 5 percent increase in customer retention increases profits by... Read More