Unconditional guarantees are the offers made by business, of returning the money in full to unsatisfied customers. This helps them secure business as well as attract large number of customers.
Often full guarantees are offered in products, as these are machine-made and are very predictable but some companies that provide services like design houses also call for redeemable guarantees.
It is advisable for service providing business not to opt for money back guarantees. Offering an unconditional guarantee as service providers is something that definitely makes you nervous and then you think of giving no guarantees at all. It worsens when you are working as designer you suspect what if few of your clients ask their money back because they don’t like your design work.
And there goes your business down in the drain. Ok, now you are thinking of devising a safe guarantee that will attract your clients as well and will keep your business risk-free.
What makes these guarantees deadly is the unpredictable human behavior. That is a client really wants to believe in you. With his utmost trust, he is asking for your services and relying on your services. The money he has paid makes him more committed and brings him on your team.
And you have completely dedicated yourself to this one project. With your whole-hearted efforts, you dream to complete this project on time and satisfy your client. You made the changes and tweaking that the client wanted but the end result—he called in the guarantee.
All your energies and time was wasted, discouraging you more to work further. Not only this but also making you suffer financially. Money-back guarantees definitely increase your sale as customers find it less risky to consume or enroll for your services. But you also need to understand, you are out there to do businesses and you can’t just keep yourself unpaid after spending hours on the project of unsatisfactory and whiny clients
Unconditional guarantees build up customer loyalty and promises fast feedback but non-serious clients call for guarantees. They may not give you any rational reasons and will not clarify what was dissatisfying.
In such a scenario, failure is for sure and it may also develop a negative image of the company as many would doubt the ability of the company. In addition, it will affect the company’s image that desires to look sophisticated.
In contrast, conditional guarantees that have some provisos will keep the client honest and will make him think twice before calling for it because even getting a portion of what he has paid, the ultimate loss will be his. It will also reduce your financial losses.
So before offering guarantees, keep these things in mind and then captivate your audience with such deals and offers.