When increasing sales is not enough.
Chargebacks represent one of the situations merchants fear will occur. Although we know that you all (we too) dream of increasing sales, things reach a point where you have to analyse what percentage of them are cancelled at the last moment: chargebacks (yes, as you read). After having worked on the approach to customers many times from scratch, and also having got them to bet on our product or service, they end up requesting the refund of the paid amount. This is obviously a particularly frustrating event and, for this reason, we will discuss various factors that fluctuate the greater or lesser risk of return in a business in today's post.
Fight chargebacks to increase profits.
Use a good descriptor.
Use a good descriptor. The descriptor is the concept of the bank statement. In other words: what clients will see when they check their expenses during the month. If the descriptor is ambiguous or confusing, we risk that customers do not know how to identify it and request a refund or reimbursement. It is recommended to use the business URL instead of its legal name because this is not often known by clients.
Be there for your customer.
Customers often try to contact the merchant before asking for a reimbursement from their bank, seeking to resolve doubts or requesting the replacement of the product with same or similar one. Therefore, it is of crucial importance to provide prompt and efficient customer service. This, in addition to avoiding many of the much-feared refunds, will help us to generate a relationship of closeness and trust with clients, increasing the chances that they will choose us again for a next purchase or, even better, recommend us.
Avoid hidden costs that customers are not aware of until they make the purchase. This error, in addition to weakening the trust they have placed in us, can cause them (just for spite) to request a return. With these charges we mean VAT, currency exchange or shipping costs… EVERYTHING must be shown completely detailed before the client clicks on the “Buy” button.
Besides, when it comes to subscriptions or periodic payments, it is important to send a reminder to customers to make sure they want to remain as service users; otherwise, they may have forgotten and request a reimbursement after that unexpected payment. Remember: returns are a waste of time and money we have to try to avoid.
Write accessible and easy to understand Terms and Conditions.
Take our advice: it is one of the factors that will avoid many problems. It is no longer only about its legal implications, but that consumers understand them perfectly and do not end up feeling cheated.
However, not all chargebacks can be avoided like this. Unfortunately, they can be many and sometimes it is not so easy to understand them to establish a strategy stopping them.
Data business and business intelligence to reduce chargebacks.
Payxpert has developed fintech tools to keep under control these complex and long processes which, apart from a long time, can cost us a great deal of money.
One method to find out what is happening with your business finances is to use the information from your customers, wherever they are. This process of collecting data and producing statistics and charts is called data mining or data management, and it is really the latest in management control. Furthermore, it will help us locate, understand and keep chargebacks at bay.
Our Dashboard: convenience and efficiency.
Designed to collect the most relevant data on your business finances and understand it at a glance. From sales volume to transaction activity or risk level, everything is represented on colour maps for easy analysis. It is one of the latest and most advanced tools on the PayXpert payment gateway.
The Dashboard is planned to gather the most relevant information in a simple and intuitive menu. Since we know that many of our clients may still require more specific or in-depth analysis, we have developed advanced statistics/data analysis modules showing complementary views or, in other words, the numbers behind the charts.
With more than 20 filters and 2 grouping options, you will be able to make multiple combinations to transform your data into coherent and simple tables to interpret.
Follow your conversion cycle closely and understand how to sell more.
As if this were not enough, data management can bring you even more advantages: you will be able to import your historical data and make a comparison with your past data, a way to complement performance tracking or KPIs. Are you meeting the proposed objectives?
Making strategic decisions has never been easier: it saves you time and money and places you in a controlling position over your finances. In this way, you can implement an action plan adapted to your situation and needs, increasing your sales without taking more risks.
If you would like to know more about this, visit our website or read the next posts. We start with omnichannel payments to adapt to the needs of (almost) any client, from payments through interactive voice response (IVR to our versatile POS or SOFT MPOS, which allow you and your team to accept payments from mobile, wherever you want to take your business. In short, financial technology tools at the service of people.
Fintech to increase sales: it has never been easier.
At Payxpert we know that good e-commerce management is not exactly simple. For the optimization of its operation and finances, we have developed different financial technology tools so that you can take your online commerce at its best. Visit our website to know them and discover how to move your business to the next level.