Posted to Ben Finklea's blog on May 24th, 2007

Are You Making a Costly Mistake With Your Money-Back Guarantee?

Odds are your company offers a no-risk return policy on the products it sells online. Most businesses like to offer the standard 30-day money back guarantee.

But did you know that the longer you extend your guarantee, the less likely your customer is to return the product? In other words, offering a 1 year guarantee will not only give your customers more confidence when placing an order (thus increasing your online sales), but it will actually reduce the number of refunds requested. A five year guarantee? Even better! Longer terms reassure customers they have plenty of time to return the item, but most of the time they never do.