{"id":19504,"date":"2019-09-02T00:15:17","date_gmt":"2019-09-02T04:15:17","guid":{"rendered":"https:\/\/promotelabs.com\/blog\/?p=19504"},"modified":"2020-07-31T17:07:07","modified_gmt":"2020-07-31T21:07:07","slug":"digital-product-business-profits","status":"publish","type":"post","link":"https:\/\/promotelabs.com\/blog\/digital-product-business-profits\/","title":{"rendered":"3 Ways Your Digital Product Business is Bleeding Profits"},"content":{"rendered":"

Learn The Three Maddening Ways Your Digital Product Business Profits Are Bleeding Out…<\/strong><\/p>\n

\u200b<\/strong>If you\u2019re selling digital products, then there\u2019s a really good chance you\u2019re being ripped off. Profits are bleeding out of your business.<\/strong> And you may not even know it\u2019s happening.<\/p>\n

These bleeding profits could cost you hundreds or even thousands of dollars every year. <\/strong> And worse yet, someone else might be pocketing those profits. That\u2019s right, they\u2019re making money off your hard work. They\u2019re laughing all the way to the bank while you\u2019re struggling to get your sales up.<\/p>\n

The good news is that you can put stop to this madness. But first you need to understand how, exactly, your business bleeds profits. Once you do that, then you can stop the bleeding cash and redirect it back into your own bank account.<\/p>\n

Let\u2019s get started by examining the three most popular ways your digital product business may be losing money\u2026<\/p>\n

\"cyber-criminal\"<\/span><\/p>\n

Serial Refunders Are Ripping You Off<\/h1>\n

The “serial refunder” thinks<\/em> he\u2019s a crafty fellow.  He buys your digital product, he waits a day or two, and then he asks for a refund.<\/strong><\/p>\n

You get the telltale email that says, \u201cThis product isn\u2019t for me. I\u2019d like a refund.<\/em>\u201d<\/p>\n

You cheerfully refund the money. After all, it\u2019s just business. Your product may not be the right fit for everyone. That\u2019s why you have a guarantee policy in place.<\/p>\n

Except here\u2019s the thing\u2026<\/em><\/p>\n

This dude is doing the same thing all over the internet. He\u2019s a serial refunder.<\/strong> And he does it because he wants all the benefits<\/u> of a product without<\/u> having to pay for it. That makes him a thief.<\/strong><\/p>\n

Oh sure, he probably rationalizes it by saying he\u2019s legally using your unconditional guarantee that offers a refund for any reason.<\/p>\n

Except this guy probably actually likes your product. <\/em>He\u2019s getting a lot of benefit from it. And he\u2019s hoping\u2026 crossing his fingers\u2026 praying to the gods that he\u2019ll get continued access to your product even after he asks for a refund.<\/p>\n

The first time you get a refund request from one particular person, you\u2019re not going to think anything of it. But when the same person\u2019s name keeps popping up at your help desk because he\u2019s requesting refunds, then you know you have a problem.<\/strong><\/p>\n

Obviously, it\u2019s just wrong that someone is stealing your work <\/em>by pretending to be a customer. But it also wastes your time and resources to be constantly fielding these sorts of fraudulent requests. That\u2019s why you need<\/u> to protect yourself from the serial refunder.<\/strong><\/p>\n

\"\"<\/span><\/p>\n

Here are two steps you can take right away:<\/strong><\/p>\n

    \n
  1. When you identify a serial refunder, block them<\/strong> from future purchases. You may block their IP so they can\u2019t even get to your site. Obviously, people can work around these sorts of blocks, but it at least stops the casual refunder.<\/li>\n<\/ol>\n
      \n
    1. Revoke access to your product <\/strong>once someone requests a refund. If they\u2019re not paying, they shouldn\u2019t get to keep enjoying the benefits of your product.<\/li>\n<\/ol>\n

      You\u2019ll learn more about the second solution in just a few moments.<\/p>\n

      Note: <\/strong> We mention using a ticket system above – even the simplest of digital-product businesses is going to be dealing with the problems of managing a lot of different products and should have a good system in place with ticket system\/help desk, payment processor, etc. to really be successful; to help you deal with serial refunders and regular customers alike. Here is a good post that covers some some practical advice and tips in that area <\/strong>https:\/\/promotelabs.com\/blog\/product-management-system-circus\/<\/a><\/u> <\/p>\n

      Now, let\u2019s look at the next activity that\u2019s bleeding profits out of your business\u2026<\/p>\n

      \"Stop<\/span><\/p>\n

      People Are Sharing Your Product or Download Pages<\/h1>\n

      Sometimes a serial refunder not only keeps enjoying access to your product, they also share the product with their friends.<\/strong><\/p>\n

      Sometimes you have people who just have the mindset that everything on the internet should be free. So, they buy products and share the products or the download pages on black hat sites <\/strong>or file-sharing sites. They like being the \u201chero\u201d who gets a hold of all the latest digital products and shares them.<\/p>\n

      And sometimes you have legit customers who get so excited about your product that they share it with their friends. They don\u2019t even think about the fact that what they\u2019re doing is illegal.<\/strong> They think of it as a \u201clending\u201d a book to a friend without realizing that digital content comes with a different set of laws and rules.<\/strong><\/p>\n

      Intent doesn\u2019t matter here. It doesn\u2019t matter if you\u2019ve got someone maliciously sharing your products as widely as possible, or if it\u2019s someone who\u2019s not aware of the law and is sharing your product with a few friends. The end result is still the same: you\u2019re losing potential sales.<\/em><\/strong><\/p>\n

      The answer?<\/p>\n

      Here are a few ways to protect yourself:<\/strong><\/p>\n