"Guaranteed" Success

 The 18th century entrepreneur Josiah Wedgwood pioneered many of the marketing strategies still used today, including the satisfaction-or-money-back guarantee on the entire range of his pottery products.[1] The money-back guarantee was also a major tool of early mail order sales pioneers in the United States, such as Richard Sears and Powel Crosley Jr., who wanted to win the confidence of consumers.(Wikipedia)

Now let’s try and summon the Billy Mays in all of us. RIP 

Do you have a guarantee on your Shopify store? There can be huge benefits to including guarantees on your Shopify store. Here are some reasons why you should utilize guarantees on your store and how to decrease risk associated with guarantees. 

Increased Conversion Rates:

Guarantees can be a great way to increase conversion rates on your Shopify store. As an example, with one brand, I A/B tested landing pages with and without guarantees and saw

a 21% increase in sales from the page with the guarantee. Going a step further - I made the guarantee standout on the page. In comparison to the control (without guarantee) this brand saw a 24% increase in sales. 

Try your own testing with different guarantee layouts and designs and see how it can impact your growth. 

Timeline of Guarantees:

Does your guarantee have a specific time frame? 30-day? 60-day? 90-day? 1-Year? Based on your product, it may be more beneficial to push the timeline out quite a bit. 

72% of returns from e-commerce purchases are typically done within five days. (readycloud.com)

One company found that by offering a 1-year guarantee vs the standard 90-day, the conversion rate of their product doubled. Twice as many people made a purchase. 

The majority of people that refund do so within the first 90 days, while less than 1% refund after 1 year from date of purchase. In fact, after thousands of customers they have only had two people request refunds after 1 year. (ConversionFanatics.com)

Satisfaction Guaranteed:

Money back guarantees aren’t the only option for your store. 100% satisfaction guarantee helps your business and the customer. Keeping someone satisfied can include providing a second chance at your product or potentially a different product. 

From the customers perspective, you are reducing their risk of purchase. From the company perspective, you are giving yourself multiple opportunities to ensure the customer is satisfied. 

If the return process is easy, 92% of customers say they will make another purchase from that brand. (ReadyCloud.com)

Average Return Rates:

The average return rate across all e-commerce is 10.6%. (National Retail Federation) Obviously, this includes stores that don’t include guarantees. Return rates are affected by many factors, but the largest is time of year - not guarantees. 

During the holiday season, the average return rate can be as high as 35% (redstagfulfillment.com).Statistics vary widely by industry, but holiday return rates remain consistently higher. 

Many believe offering guarantees likes the ones listed above will increase rates of return, but the data shows the increase is minimal. In my opinion, these types of guarantees provide opportunities for your brand to truly showcase its customer service abilities. 

“The best things in life are free- and $19.95.” - Billy Mays

Now go and grow.

J