Day 18: Is giving a guarantee crazy -- or a competitive advantage?
Published: Thu, 06/09/16
Sometimes just suggesting a guarantee is enough to send shivers down the spines of business owners, entrepreneurs and executives.
I hear the fear quite a bit …
“But, Tom, people will take advantage of a guarantee if I offer one!”
The reality, though, is those who want to exploit you will do so whether you have a guarantee or not.
So why base your decision on a factor you can’t control?
I love guarantees because they eliminate buying risk. In fact, I guarantee specific outcomes when I create marketing programs for companies and even promise people 10 times their investment with my coaching/consulting.
The bottom line: Offering a guarantee shows confidence in what you offer.
Look, your prospects fear making a bad decision, getting ripped off or being dissatisfied. If you can eliminate this worry, it only makes sense that you’ll generate more sales.
Guarantees create trust with prospects. You also gain a competitive advantage by calling attention to your focus on quality.
Of course, one big misconception about guarantees is that you must include a money-back option. That’s not always the case.
If a buyer isn’t satisfied, you can offer to fix a problem within a certain time period … immediately correct a situation … give replacement products/services … provide personal access … or allow for a free trial period.
Check out this great guarantee I saw today for a property manager:
I guarantee to rent your property in 15 days or less OR I’ll pay you one month’s rent and manage your property FREE for 3 months! That's right, if I can’t fill your property in 15 days or less, I will come out of my pocket and pay you one month’s rent, plus manage your property for free for 3 months.
This promise gives you confidence that the guy can get the job done.
Right?
Here’s another example from a math tutor service:
We are so confident that this class will work for anyone that we have a Pass or Don’t Pay Guarantee! As long as you come to class on time, complete your assignments on time and take your tests on time, we guarantee you’ll pass our class. If you don’t, we will refund you your Ology tuition or we will pay for you to take the class again for free!
Here’s a simple guarantee targeting new members for a credit union:
If you’re not 100% satisfied after 30 days, we will close your account and give you $25.00 to open a new account at another local credit union.
These examples each focus on a big fear that prevents people from moving forward with a purchase or hire.
If you’re on the fence about using a guarantee, think about this …
What happens now when a client is disappointed with your product or service?
In most cases, you attempt to fix the situation, right? You certainly don’t ignore it.
So why not make this information known?
Talk soon,
Tom
NOTE: This is Day 18 of a 30-day marketing challenge for all my subscribers. These emails are designed to help you fix underperforming campaigns, cut marketing expenses and uncover overlooked profits in your business. Simply pick and choose a few strategies and apply them to your business. (Of course, keep me updated on your progress too.)
And if you’d like to discuss having me create a Guaranteed Marketing Profits Program for your business, please click here to get on the waitlist. You’ll be notified when an available spot opens.