When it comes to decision making, I have a simple approach. If I believe the outcome might be something I wouldn't want my mother to know about, I don't do it. And when creating a direct mail package, I follow a similar rule. If I can't provide a substantial guarantee, I don't do it.
There are reasons to offer a guarantee:
Reason #1: It's the right thing to do.
When you offer a meaningful guarantee, it shows that you believe in your product. And when you're attempting to persuade someone to send you their money, you need to believe in what you're selling-or, don't do it.
Reason #2: Offer a solid guarantee because it can build profits.
Buyers, whether front online or traditional direct mail, have lots of reasons--real or perceived--not to respond to your offer. After all, whether we're fundraising or selling a product, we're asking the prospect to trust us to do what we promised. And unless we can overcome any reluctance the prospect may have, we're going to lose the sale.
A robust guarantee shows that you believe in your offer. It's your written assurance that you accept responsibility for the quality of your product or service. It's the promise of a good customer experience and it helps remove hesitation that might otherwise jeopardize the sale.
How to write a guarantee
Every business or organization-including nonprofits-can offer a guarantee. In your guarantee, you need to explain in clear, simple and understandable language:
• What service or product is being promised
• How will this product or service benefit the buyer
• Any terms, conditions or limitations-must the buyer register the product; is it a 90-day or 120-day guarantee; will you repair the product or replace it; are you offering a full cash refund or a prorated amount; etc.
• What does the customer need to do to redeem the guarantee-call a toll-free number; go to a Web site or return the product to the store; etc.
• If the customer has a problem, what can they expect from you
Tell the customer everything they need to know but keep the guarantee short and to the point. Don't include legal language but do have the legal department approve the guarantee before it goes to print. If there's legal language that you must include, work it into the letter copy on page two or three-and absolutely no asterisks. Asterisks reek of insincerity.
Call attention to your guarantee
Position the guarantee where it will be seen. Put it in the letter near the letter's call to action and mention it in the postscript. Also, add the guarantee to the response form and any brochure or freestanding insert. You may even want to emphasis it with a separate "Guarantee Certificate" insert.
Add the guarantee to your collateral material, your website, the item's landing page and on the checkout page. Let everyone know that you're proud of your product and will work to insure that your customers are satisfied.
Use a sub-headline in the letter to catch the reader's eye. Double indent the guarantee's text and surround it with a certificate-style border to make it stand out.
Offer a stronger guarantee
The more powerful you make your guarantee, the fewer reasons your prospect will have to hesitate before responding.
If you're offering a "Money-Back Guarantee," there's no extra cost to offer a "100% Money-Back, No-Risk Guarantee." Also, consider a "Double Your Money Back Guarantee." And if you now offer a "1-Year Guarantee," consider a "3-Year Guarantee."
With a strong guarantee, you make it easier for the prospect to make a buying decision. And, as long as it's believable, the more powerful the guarantee the better.
Make it simple and easy
Make it easy for the customer to use the guarantee. Let them know that if they are unhappy with the product, they can return it for an exchange or a prompt and full refund. No questions asked.
And cover the cost of return shipping if the customer needs to return the product. You may even want to write a brief note and include a small gift as an apology.
The true value of a stronger guarantee
Without doubt, some people will take advantage of your guarantee and try to rip you off for a few extra dollars. But the vast majority of people are honest, and offering a stronger guarantee can not only reduce buyer reluctance and maximize sales, it can also help build customer loyalty.
A strong guarantee is your promise to give the customer a positive experience. It guarantees shows them that you're going to protect their interests and will discourage the customer from trying a similar product even if they can find a lower price.
Even if they never need to make use of your guarantee, it gives the customer the confidence to make the buying decision and want to continue doing business with you.
Show your customers know that you value their business.
Because whatever the cost of honoring your guarantee, it will be much less than the cost of replacing a dissatisfied customer.
I guarantee it.
Hugh Chewning is a direct mail specialist proving copywriting, strategy and consulting for consumer, nonprofit and business-to-business groups. You can visit his blog, Direct Mail Insight and sign up for free, practical and easy-to-use tips to boost your response. And, for information on his free, no-risk package critique visit his web site, www.cdmdirect.com
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