Rebates are annoying. A great example of how to make the customer experience unpleasant. I purchased a tech product the other day with a $25 rebate. I had to go on the computer download the rebate form, and fill it out. Then I had to go get a knife to cut out the UPC code off of the box, then make a copy of my receipt, put the whole mess in an envelope and address it to some rebate firm in Arizona. After putting a stamp on the envelope I mailed it. The mice type on the form said I could expect my rebate in 4 to 8 weeks (if everything I sent was perfect), if not they would simply not send it to me. It was a lot of fun. I wonder if I will get the $25.00.
Money back guarantees on low priced food items are a joke. Imagine selling a bag of potato chips for, let say $1.49. If the customer is unhappy, all he or she has to do is send the UPC code from the package, along with the reason for dissatisfaction, and wow, the company will send a coupon for a new bag of chips or $1.49 refund. Please. First of all lets say your time is worth at least $10.00 an hour. By the time you have put a 41 cent stamp on a envelope, cut out the UPC code, written out a short note on why your chips were unsatisfactory, you will have invested about 15 minutes, in your quest for a refund. At $10.00 an hour, you have lost money. Why bother? Memo to food companies, make your guarantees worthwhile.
In both of these situations the Internet would have provided a much better experience for the customer. Provide a website for your rebate. Staples does this and it is great. And provide a website for your refunds on low priced items and let the customer wrap up the unhappy experience faster and easier.
Better yet forget the rebate and just lower your price. In the case of food items just include a postage paid card, an email address or a website.



Posted by: Kristi Schneider on Tuesday, April 22, 2008
Thanks for voicing something I've contemplated in my own mind for awhile. Most people I know who are "convinced" in the buying cycle by a rebate make more than $10 an hour, so even 5 minutes of effort removes the benefit.