Why is a money-back guarantee important for both clients and businesses?
A money-back guarantee is essential to every business. It shows that the company is confident in its products and services. Money-back guarantee inspires confidence in potential customers and encourages them to try new products or services. This is a general rule applicable to every industry. However, we are a tad more interested in the money-back guarantee policy in software development.
Software companies have changed the economy and business ways of every country in the entire world. They shook the grounds of the money-back guarantee that has worked the same way for decades. Software vendors did follow some traditional rules but they included new practices to provide a more buyer-friendly money-back guarantee.
Where to start when it comes to a money-back guarantee in software development?
You might be asking yourself why the sudden money-back guarantee talk in software development. The answer is quite simple. We interviewed our customers and potential prospects and found out that 9 out of 10 times, founders are scared to invest. Now read that again! Nine out of ten times is a huge number, and you might be losing prospects because your business doesn't have a money-back guarantee policy in place.
Besides the fact that having a money-back guarantee policy means that you are confident in your product, it helps you mitigate the risk for your prospects, also known as start-up founders. Having a clear goal while setting a money-back guarantee is a must in every aspect of every business. It is only natural that this rule applies when creating a money-back guarantee policy.
What are the most common risks start-up founders are trying to avoid, and how can you help in mitigating them?
While choosing a software development company, several questions come to mind.
What if I choose this company and don't receive enough engagement from their side? The founder might think he will pay your company to make his idea come to life, but how can he be certain that you will address all his needs? What if your team doesn't provide enough developers to engage during the project, and its launch gets delayed?
How can I know that I can rely on them and that they will treat this project as if it was their own?
What can I do if I am not happy with the quality of the software? Are they going to contribute with any ideas and add value to my project?
What if they get a better-paying project and kick me off? How can I trust that this won't happen?
All of these questions and risks have a simple solution. The solution is a money-back guarantee policy. It ensures that your technology partner will bear the risk of not delivering desired results - and what better motivational push to strive for excellence does exist?
Money-back guarantee also known as the Satisfaction Guarantee
A money-back guarantee is also known as a satisfaction guarantee. It provides a safety net in case, for whatever reason, the product isn't up to the customer's desired standards. Not only do money-back guarantees give the clients peace of mind, but they also allow the software provider to go above and beyond customer expectations. It is a win-win situation! The customer is completely satisfied, and the provider gets a chance to show how much they value customer satisfaction!
How do we deal with the money-back guarantee at Tech387?
With our money-back guarantee, we ensure our prospects and clients that we are solely responsible for the quality of our product. We care about the outcome of our work to the extent that we would care if we were the owner of your organization. Our extensive expertise across different industries enables us to stand behind our work and provide quality guarantees for everything we produce. We take full responsibility for each agreed deliverable, and we have a money-back guarantee that backs us up.
We invest ourselves deeper into the product. What does this mean? It means that we don't follow instructions blindly. We listen to our client's needs, do extensive market research, brainstorm, and contribute ideas. But that's not all - we stand behind our suggestions. If a client insists on a specific technology or solution, but we believe it would decrease performance, we suggest a different approach.
When creating a money-back guarantee policy, a business owner must be aware of the fact that there will be customers trying to exploit every bit of it. So what do you do here to protect your own business and money? You have to define the terms & conditions of the money-back guarantee policy!
While creating the rules, ensure they unambiguously define when a software buyer is eligible for a money-back guarantee.
During the software development process, we ensure that the product doesn’t become obsolete. How do we do that? Through in-depth market research and following the latest tech trends. We know that nobody wants to use outdated technology or processes in their product. Development is a process, and if a mistake happens during any production phase, it's not the end of the world nor the reason to pull the money-back guarantee into play. Just go back and fix it!
Before we dive into the development, we set clear expectations about what the money-back guarantee encompasses. We ensure that the product is up to the clients' and industry standards. Our mantra is to underpromise and overdeliver, but it might happen that we underdeliver at a certain point. If this happens, we are not going to run away from our mistakes and duties. We will pull the money-back guarantee into play and refund the client.
Last but not least, while creating a money-back guarantee, don't forget that you have to obey the local laws. Adjust your policy to the law of each founder's country.
Recipe for success
We will let you in on our secret recipe for success. Before we enter the money-back guarantee phase, we offer our clients something unique.
Tech387 offers a free-of-charge discovery phase!
In plain words - this means that we don't charge our clients for the process of collecting and organizing project information that helps them prioritize features, determine their target audiences, and get a better understanding and direction for their final requirements.
If a prospect decides to engage with us, the free-of-charge discovery phase is the first thing the potential customer gets.
Custom software development cost has been a hot topic in the past decade. There are many ways a prospect can calculate the costs, such as using Tech387 Product calculator. The calculator is available to anyone who lands on our website. It provides estimates for founders curious about the cost of their next fundraising ask. But if you are an early-stage founder, you can partner up with Tech387 to co-invest in your product and accelerate your product-building journey." If you are one of the prospects, but you are still unsure about your potential needs, and therefore can't use our calculator, we've got you covered. Our partners created a great resource on custom software development costs, and you can check it out.
Money-back guarantee equals peace of mind
Money-back guarantees are becoming more common across businesses and customers, as they provide a win for all by creating trust and eliminating uncertainty. It's the ultimate customer service perk - allowing customers to invest their money without worry, knowing that the money is safe if you fail to deliver what you promised. Companies benefit too. The enhanced trust in their services gets the prospects emboldened to invest more freely.
Money-back guarantees are important for businesses and clients - they create trust and peace of mind. When creating one, keep a clear vision of what you want to achieve with the money-back guarantee policy, keep the customer's worries and questions in mind, and ensure there is no room for policy abuse.
When executed the right way, money-back guarantees are a win-win for both businesses and clients!
If you have any questions regarding our money-back guarantee policy, please reach out, we will be more than happy to answer all of your questions.