what happens if a chargeback happens on shopify

hey it's rafael cintron here teaching,more than 55 000 people all over the,world how to grow their shopify drop,shipping businesses in this video i want,to talk about how to reduce your,chargebacks disputes,and refunds on your shopify store you,probably are already getting sales on,your shopify store or even trying to,scale up your profitable campaigns but,one of the things that holds a lot of,people back definitely a lot of my,mentorship students are chargebacks,disputes on paypal maybe your stripe,account gets banned because of these,chargebacks what do you do and what are,the solutions to every type of problem,there's many problems for example the,first one could be you sent out the,product,the customer received it but it broke,very quickly it wasn't a high quality,product or you sent out the product the,customer used it,they used it for a while and then they,said oh i don't like it oh i don't have,a use for it give me my money back,or you have your actual fault or your,supplier's fault where you try to send,the product the product gets stuck in,china or you have a problem like that,and you can't actually deliver it to the,customer or the postal service does a,mistake or you just have a delay in the,delivery time many different problems so,how do we solve all of those the first,thing that i highly recommend you to do,if you want to definitely reduce your,chargebacks and your disputes the first,thing is to edit the customer billing,statement you can find this by going to,your settings and then the payment,methods on shopify and then clicking on,shopify payments if you're using shopify,payments or stripe whichever one of them,you're using or if you're using another,payment processor or even paypal usually,when somebody buys from your store you,have a determined billing statement that,says oh you bought from yourstore.com,or you bought from this particular,company now what happens a lot of the,time specifically with shopify payments,is people will put their own name or,maybe you put the legal company name or,maybe you put a name from your store,that was that name six months ago but,it's currently another niche or another,name and usually customers that call,their banks for a chargeback for a,dispute they call it because they can't,recognize that name in the billing,statement i'll give you an example let's,say you sold swimsuits six months ago,and you set up your store with swimsuits,and in your billing statement it says,myswimsuits.com,now you're selling cooking utensils and,now you're selling kitchen products,let's say that you start to sell those,kitchen products they start to be quite,profitable you start selling a lot and,now the customer receives that kitchen,product but in their billing statement,on their credit card statement on their,debit card statement or whatever they're,using to pay it says,myswimsuits.com the customer is going to,be very confused and they're likely,going to call their bank,and say hey i didn't order a swimsuit i,didn't order from,myswinsuits.com if you want to take it,one level up a notch what you can do,with that url you can create a custom,product page or a custom landing page or,funnel that takes them to a specific,funnel related to chargebacks refunds,disputes that maybe has a video of you,or a video of your assistant whatever,that says hey we just noticed you were,checking your billing statement and this,is the link for people to actually get,more information about our brand and see,if we can help you be satisfied or get,100 satisfaction and then in the bottom,maybe you have a survey asking the,customer what their problem is with,their product if they can help you,better whatever that customer wants to,vent to you you put that link to a,funnel that is very specific or a,product page that is specific to those,people doing a dispute so that those,people don't just call their bank and,say oh this this place sucks let me just,get my money back they actually go to,that link and they find out that hey,this person actually cares let me fill,out the survey let me get a refund let,me actually talk to their customer,service instead of calling my bank and,disputing that order and add a phone,number onto that billing statement if,you want just people to call that number,and get information right away what,we're trying to do is not to completely,eliminate disputes and chargebacks,because that's probably going to be,impossible in any business you're always,going to have people at chargebank but,what you want to do is to minimize,the amount of people that vent to their,bank,not to you you want those people to go,to that custom page you want those,people to call that number and vent,about their frustration and problems,with your product to you not to their,bank so your payment processor doesn't,have any problems that's definitely,helped us lower our chargebacks from,about 50 or 40 a month to about,20 a month so it's lowered them,dramatically you're always going to get,chargebacks especially when you're,scaling massively,when you have that high volume,chargebacks that almost your payment,processor is going to ban you what you,want to do is get that chargeback ratio,down by creating a custom product page,creating a phone so that your customers,can be happy,from your purchase from their purchase,from your store a quick note if you want,to learn from me live in a private group,how to start and grow your shopify,business for five days we're gonna be,live you can ask all questions you want,showing you all the topics all the,information you need for free,click that link in the description it's,gonna say five day live training we're,gonna be starting very soon i'm excited,to see you in that five day training now,other things you can do in the case,where the customer is dissatisfied and,they're actually emailing you about that,dissatisfaction and they're telling you,i'm gonna call my bank i'm gonna call,which is some,particular customers do this they say,i'm gonna call the better business,bureau and take your business down,because your product sucks what you want,to do with these type of people is,really dig deep and see if this is just,a mechanism of them getting their money,back and doing online shoplifting like,just getting the product and then,getting their money back and now they,have a free product and you're on the,losing end of that and they're just,trying to threaten you and make you feel,like you need to give them their money,if you don't want to be reported you,want to be really careful with this this,will happen at some point there are,people that are not honest out there,they will buy from your store and just,demand their money back because they,just want a free product right they're,shoplifting from your store what you,want to find out is is this person,actually having a bad experience with my,product so if that person orders from,your store and the item delivers there,in about 10 days or 14 days or whatever,the shipping policy that you have is and,they get the product they use it and,then a month later they say give me my,money back give me a refund you want to,make sure,that you ask the customer for a video,for pictures for any type of proof,that shows,that that product is broken is not,working properly that the person is,actually dissatisfied with that product,so you want some sort of proof to make,sure that you're not just giving away,money or refunding people because the,product isn't exactly what they thought,it would be or just because they're,online shoplifting so definitely ask for,proof if you see that in the video that,they send you the product actually,doesn't work that well then okay the,product doesn't work that well it's,broken then you would proceed to give,them a refund maybe you can send them,another unit always try to not give,people 100 refund unless it's actually,justified that you send them the product,the product broke within five minutes of,using it and you don't want to send them,another one or they're just so angry at,you because their product broke in that,case obviously give them 100 refund but,what you want to do is not create any,bad customers any angry customers so you,don't want to just ignore people and,tell them to f off that's definitely not,something we do what you want to do is,find out,is it actually my fault,is the product late is the product,broken is the product not working,properly when you have that proof then,you want to,really negotiate with a customer to see,if you can send them another product or,maybe send them another two products as,a sort of apology of you actually having,that broken product you want to lose as,less money as possible because that,those little paper cuts will amount to a,big loss at the end of the month at the,end of the year and you want to,definitely avoid that now another thing,which might seem obvious but customer,service amazing customer service a lot,of people what they do when they start a,shopify store and they start to grow it,they get a lot of sales as they do their,customer service by themselves or they,just hire some random person from upwork,or fiverr to do the customer service you,want to make sure that that person that,you hire for customer service is a,quality english speaker cares about the,customers and you actually train them to,do your customer service try to be as,fast in response as possible try to if a,customer has a problem with their delay,order if a customer has a problem with,how the product is used or any sort of,problems maybe the color is wrong try to,address that as fast as possible you,know it'll not only give you really good,reviews online and people talking about,your store people talking about your,products but also avoid refunds disputes,chargebacks that'll be a problem later,on the best thing you can invest in when,you're starting to scale apart from more,ads hiring the right team is support the,customer service needs to be polished,and this is something that a lot of,people ignore and that's why a lot of,stores really start to do very well they,make six figures and then they die down,because their support is really bad they,get banned from payment processors,people want refunds they lose a lot of,money there so you want to make sure,that your customer service is top notch,so those are the main things that we did,we actually negotiated with customers we,change the billing statement which is,very important and also we just improve,the customer service to the next level,if you do that with your store you will,dramatically reduce your chargeback,disputes and refunds if you want help,with all of this and you want to talk to,me every single week we actually have a,mentorship program where the students,are able to come on the mentoring calls,and talk to me directly ask me questions,show me their ad show me their store and,ask me questions like this how do i,reduce refunds how do i scale this,particular facebook ad how do i test,this product and you can ask me directly,i can give you those answers if you want,to be part of that mentorship click that,first link in the description we're,happy to talk to you and see if the,mentorship is the right fit for you,make sure to talk to us we're happy to,talk to you and see if we can help you,grow your business 10k a month 100k a,month and be on and deal with all these,problems make sure to watch the other,videos here on the channel right here,there's going to pop a really nice video,for shopify and drop shipping just click,on that subscribe hit that notification,bell and that like button down below and,i will see you on the next video

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