3 Powerful Guarantees To Attract More Customers And Boost Sales
The number one thing that closes a deal is trust, and with new customers, you have none.
What you lack in trust, however, you can easily make up in service by reversing the risk each customer assumes when purchasing your product or service.
A strong guarantee, warranty or reversal of risk can be the main cause for choosing one product or service over another.
The value of a strong guarantee is the safety net needed to provide your potential new customer to take the chance of doing business with you.
To receive new, confident, happy customers that will reap your benefits, you must offer a clear, unmistakable, no questions asked powerful guarantee.
There are absolutely NO excuses to this rule!
There are 3 Powerful Types of Guarantees
- Money-Back Guarantee
This is the most common form of risk reversal and it works extremely well. The fact is, the majority of businesses don’t advertise this out of the fear that their customers will come back and rip them off.
From the customer’s perspective, there is a period of stress and uncertainty between the time they give you their money and the time they experience your product. This stress increases the higher the price of the product you charge.
To minimize this stress, you can offer to give them their money back if they are unsatisfied for any reason. No strings attached.
Contrary to popular belief, the longer, stronger guarantee will boost sales and result in fewer returns because the return period isn’t flagged in the customer’s mind.
It also demonstrates the confidence you have in your offer.
- Pay for Results Guarantee
This is potentially the riskiest guarantee to offer, but the good news is that you are betting on yourself. If you’re highly confident in the effectiveness of your product, and you have a valid way of tracking the results and ensuring your clients are accountable and trustworthy, then a pay-for-results system can return greater profit than an initial service charge depending on the results you produce.
For example, if you charge nothing upfront, but ask for 10% of any positive outcome, and your service renders your customer a million sales, you receive a much greater percentage than you would have charged upfront.
- Make Them More Money Guarantee.
You can offer your customers more money than the investment they made purchasing your product or service. Even if only 1% of your customers qualified for a double, triple, or quadruple money-back guarantee, an even smaller percentage will take advantage of that generous offer.
You need to compare the number of customers who claim your offer to the increase in sales your double, triple or quadruple your money back offer gives by providing this unmatched confidence.
Here are some other ideas to build trust with a new prospect…
- Initial freebies,
- free support services,
- payment plans,
- Try first, pay later guarantees are other options that are fairly low-risk for you to offer.
You can try a few out and pick which one works best for your business model.
As a business owner, you may think this sounds a bit crazy, but if you are confident in your product and service’s value, then there is very little risk for you to offer a seemingly outrageous money-back guarantee.
One quick thing you can do is look back into your analytics to gain more insight into the risk you are willing to take. Look at your average returns, purchases, and customer ratings to help decide the ideal guarantee offer for you.
If you are worried about offering a powerful guarantee, here are some facts to consider:
- Most people will not take you up on a money-back guarantee, even if they are extremely unsatisfied.
- Any refunds you must give will be greatly outweighed by your increased sales caused by your risk reversal.
- If you created a “Spectacular Offer” very few people will ever ask you for a refund because they’ll be delighted with what you have sold them.
Are You Convinced Yet?
It is so important to create and implement a powerful risk reversal strategy in your business. If you can remove your customer’s fear about doing business with you, you’re going to have a steady flow of new and repeat business.
Think about this with the end in mind – how many more prospects could you convert into new customers – 10%, 20%, 30%?
How much more sales could that produce each month for your business?
Take action today and create a powerful guarantee that will attract more customers, boost conversions and increase sales!
If you get stuck or need help, please email us at email@example.com