{"id":1617239,"date":"2023-01-16T22:49:18","date_gmt":"2023-01-16T22:49:18","guid":{"rendered":"https:\/\/dropshipping.com\/?post_type=article&#038;p=1617239"},"modified":"2023-12-27T10:47:02","modified_gmt":"2023-12-27T10:47:02","slug":"how-to-avoid-chargebacks","status":"publish","type":"article","link":"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/","title":{"rendered":"How to Avoid Chargebacks: 9 Actionable Tips for Dropshippers"},"content":{"rendered":"\n<p>As a dropshipper, one of the worst challenges you\u2019ll have to contend with is the dreaded chargeback. When you don\u2019t know how to avoid chargebacks, it\u2019s a nightmare. A customer places an order, you ship it out, funds are released, then &#8211; sometimes months later- you unexpectedly get a notification that funds have been taken from your account.&nbsp;<\/p>\n\n\n\n<p>To make matters worse, the transactions can be hundreds or thousands of dollars.&nbsp;<\/p>\n\n\n\n<p>Sometimes, customers request chargebacks legitimately, and sometimes they\u2019re a result of buyer fraud. Either way, you can be proactive to mitigate chargebacks for your dropshipping store; that\u2019s the goal here.&nbsp;<\/p>\n\n\n\n<p>First, you\u2019ll learn what a chargeback is and explore the impact they have on dropshippers. Then, you\u2019ll see answers to some of the most common questions sellers ask and learn how to avoid chargebacks.<\/p>\n\n\n\n<p>Now, let\u2019s get to it!&nbsp;&nbsp;<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_67_1 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#What_is_a_Chargeback\" title=\"What is a Chargeback?&nbsp;\">What is a Chargeback?&nbsp;<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#Heres_How_Chargebacks_Affect_Dropshippers\" title=\"Here\u2019s How Chargebacks Affect Dropshippers\">Here\u2019s How Chargebacks Affect Dropshippers<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#The_Ultimate_Guide_How_to_Avoid_Chargebacks_as_a_Dropshipper\" title=\"The Ultimate Guide: How to Avoid Chargebacks as a Dropshipper\">The Ultimate Guide: How to Avoid Chargebacks as a Dropshipper<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#1_Quality-Check_Every_Product_You_Offer\" title=\"1. Quality-Check Every Product You Offer\">1. Quality-Check Every Product You Offer<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#2_Be_Aware_of_Buyer_Fraud\" title=\"2. Be Aware of Buyer Fraud\">2. Be Aware of Buyer Fraud<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#3_Set_Realistic_Expectations_for_Your_Offer\" title=\"3. Set Realistic Expectations for Your Offer\">3. Set Realistic Expectations for Your Offer<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#4_Create_Clear_Refund_Return_Policies\" title=\"4. Create Clear Refund &amp; Return Policies&nbsp;&nbsp;\">4. Create Clear Refund &amp; Return Policies&nbsp;&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#5_Use_a_Trusted_Payment_Gateway\" title=\"5. Use a Trusted Payment Gateway\">5. Use a Trusted Payment Gateway<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#6_Always_Use_Tracking_Numbers\" title=\"6. Always Use Tracking Numbers&nbsp;\">6. Always Use Tracking Numbers&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#7_Respond_Quickly_Fairly_to_Complaints\" title=\"7. Respond Quickly &amp; Fairly to Complaints\">7. Respond Quickly &amp; Fairly to Complaints<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#9_Make_Use_of_Chargeback_Management_Tools\" title=\"9. Make Use of Chargeback Management Tools\">9. Make Use of Chargeback Management Tools<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/dropship.it\/article\/how-to-avoid-chargebacks\/#Final_Takeaway\" title=\"Final Takeaway\">Final Takeaway<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\" id=\"h-what-is-a-chargeback\"><span class=\"ez-toc-section\" id=\"What_is_a_Chargeback\"><\/span>What is a Chargeback?&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In short, a chargeback is a demand made by a credit card issuer or payment processor for a retailer to compensate for a loss on a disputed transaction. In dropshipping, disputes and chargebacks tend to occur when a customer is unsatisfied with their purchase.&nbsp;<\/p>\n\n\n\n<p>Once a chargeback is initiated, the funds are removed from your business account and placed in escrow until the dispute is resolved. Unfortunately, once they occur, they are difficult to win.&nbsp;<\/p>\n\n\n\n<p>The dispute process can be initiated weeks, months, or even up to a year after a transaction is supposedly finalized.&nbsp; I\u2019ll speak plainly: This sucks for sellers. There is no transaction limit on chargebacks, so a fraudulent chargeback can set you back thousands of dollars out of the blue.&nbsp;<\/p>\n\n\n\n<p>Even if you win a chargeback dispute, a hold on funds can throw a wrench in <a href=\"https:\/\/dropshipping.com\/article\/managing-cash-flow-in-a-dropshipping-business\/\" target=\"_blank\" rel=\"noreferrer noopener\">your cash flow<\/a>, as funds can be held for up to six months.&nbsp;&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/lh3.googleusercontent.com\/zvV5kK_oHlJ1mgoIcFil8N6YgPiK0VxAHfACbnrj9zY_lPwi1HRPMTtcEuhPYAyzkYtyJbfv9tWVF3ePhe_v8Q6iL5zWkcj1WWX8XAtou4bWwxOla0YerShEzO9BeeAvYomiqfmwB0Wnk2jkV4i0n414HEOALjV1CMqZ-J2dOthh2-bpecFMSRu0TlKLWg\" alt=\"Do customers always win chargebacks?\"\/><\/figure>\n\n\n\n<p>Sadly, in the end, you may have to eat the costs, even when you\u2019ve done nothing wrong.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-here-s-how-chargebacks-affect-dropshippers\"><span class=\"ez-toc-section\" id=\"Heres_How_Chargebacks_Affect_Dropshippers\"><\/span>Here\u2019s How Chargebacks Affect Dropshippers<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Dropshippers hate chargebacks because they immediately hinder their cash flow, impact their bottom line, and can have long-lasting negative effects. <\/p>\n\n\n\n<p>The outcomes of the dispute process are typically determined at the discretion of the card issuer or payment processor &#8211; these institutions tend to hold the customers\u2019 interests above the sellers.\u2019<\/p>\n\n\n\n<p>Sometimes, chargebacks become a recurring problem when a seller doesn\u2019t understand why they keep happening. Setting unrealistic expectations for shoppers, unintentionally providing poor customer service, and technical mistakes are everyday occurrences with new dropshippers.<\/p>\n\n\n\n<p>There is no set number of chargebacks that a seller is limited to. However, according to <a href=\"https:\/\/sift.com\/sift-edu\/chargebacks\/average-chargeback-rates#:~:text=A%201%25%20chargeback%20rate%20is,allowed%20for%20direct%20merchant%20accounts.\">Sift<\/a>, the industry-standard maximum is 1%. This means that more than 1% of your transactions result in chargebacks or disputes, and there can be consequences.&nbsp;<\/p>\n\n\n\n<p>Depending on which platforms you sell on or process payments through, too many chargebacks can lead to excessive payment holds. Eventually, it may even get you banned from using a platform, so you have to learn how to avoid chargebacks.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_Ultimate_Guide_How_to_Avoid_Chargebacks_as_a_Dropshipper\"><\/span>The Ultimate Guide: How to Avoid Chargebacks as a Dropshipper<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Some chargebacks are inevitable, but they don\u2019t have to be a continually recurring problem, even for dropshippers. As a dropshipper, here\u2019s what you can do to steer clear of them.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-1-quality-check-every-product-you-offer\"><span class=\"ez-toc-section\" id=\"1_Quality-Check_Every_Product_You_Offer\"><\/span>1. Quality-Check Every Product You Offer<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Dissatisfaction is the leading cause of chargebacks &amp; disputes &#8212; Legitimate chargebacks occur when a customer feels they didn\u2019t get what they bargained for. <\/p>\n\n\n\n<p>Of all online sellers, dropshippers are at the highest risk of legit chargebacks because we tend to have less quality control with our inventory.&nbsp;<\/p>\n\n\n\n<p>So, before you put a product in front of your customers, do your due diligence. Some dropshippers read reviews and choose to only work with suppliers that have high customer satisfaction. My advice is to take it a step or two further.&nbsp;<\/p>\n\n\n\n<p>Prior to offering a product in your dropshipping store, order and examine it yourself. Inspect and <em>use<\/em> each product in your catalog to learn as much as you can about it. If you don\u2019t like the offer, chances are your customers won\u2019t.&nbsp;<\/p>\n\n\n\n<p>Along with your products, you also need to test your suppliers. When you <a href=\"https:\/\/dropshipping.com\/article\/best-dropshipping-suppliers\/\">choose a supplier<\/a>, make sure they are informative, and organized, and that your account can be assigned to a specific person &#8211; someone that you can develop a relationship with.&nbsp;<\/p>\n\n\n\n<p>A worthy supplier will also be located in a convenient location or region with the ability to ship quickly, as your customers will expect this.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-2-be-aware-of-buyer-fraud\"><span class=\"ez-toc-section\" id=\"2_Be_Aware_of_Buyer_Fraud\"><\/span>2. Be Aware of Buyer Fraud<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Fraudulent chargebacks happen when a buyer sets out to scam you. New \u201ccustomers\u201d aren\u2019t always peaches and cream. <\/p>\n\n\n\n<p>So, as pessimistic as it may sound, you need to be on the lookout.<\/p>\n\n\n\n<p>Some common signs of buyer scams that tend to impact dropshippers are:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Multiple orders from the same account at one time<\/li>\n\n\n\n<li>Several customers using the same shipping address<\/li>\n\n\n\n<li>Suspicious email or shipping addresses on an order<\/li>\n\n\n\n<li>New requests made after an order is placed (change to the shipping address or rush shipping)&nbsp;<\/li>\n\n\n\n<li>Multiple requests for one item or a transaction higher than usual<\/li>\n\n\n\n<li>The shipping address in a high-risk location or an influx of international orders<\/li>\n<\/ul>\n\n\n\n<p>These are all indications that an order is at high risk for fraudulent chargebacks in the near future. So, be on the lookout and <a href=\"https:\/\/aurajinn.com\/paypal-scams\/\">learn how to act fast<\/a> when you run into evidence of a buyer scam.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-3-set-realistic-expectations-for-your-offer\"><span class=\"ez-toc-section\" id=\"3_Set_Realistic_Expectations_for_Your_Offer\"><\/span>3. Set Realistic Expectations for Your Offer<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Sometimes, a customer will honestly feel that they deserve to have their money back because they don\u2019t fully understand your offer (I knew someone who paid a few thousand dollars for laser liposuction on her chin &#8211; when she didn\u2019t feel that her face was perfect after the process, she initiated and won a chargeback for the full amount of the transaction).&nbsp;<\/p>\n\n\n\n<p>You can reduce the occurrence of this type of chargeback by setting clear and realistic expectations.&nbsp;<\/p>\n\n\n\n<p>Product descriptions aren\u2019t just a great place to <a href=\"https:\/\/dropshipping.com\/article\/product-descriptions-dropshipping\/\">persuade shoppers and present benefits<\/a>; you also need to let customers know about the features that they might <em>not<\/em> like. This may sound counter-intuitive, but &#8211; I\u2019m telling you &#8211; it\u2019s crucial.&nbsp;<\/p>\n\n\n\n<p>Use your sales pages to weed out people who you already know would be unsatisfied with your offer.<\/p>\n\n\n\n<p>Don\u2019t make disparaging statements like, \u201cthe battery life sucks,\u201d but you need to be honest. Instead, you could say something like, \u201cUp to 2 hours battery life.\u201d <\/p>\n\n\n\n<p>Someone looking for something with 12 or 24 hours of battery life would know that your product isn\u2019t a good fit for their needs and move on.<\/p>\n\n\n\n<p>Here\u2019s a perfect example of transparency done right: <a href=\"https:\/\/www.gymshark.com\/products\/gymshark-adapt-animal-seamless-cycling-shorts-court-blue-ss22\" target=\"_blank\" rel=\"noreferrer noopener nofollow\">Gymshark<\/a> lets customers know <em>exactly<\/em> what to expect with their clothing via a visual diagram.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/lh6.googleusercontent.com\/j0dKQ8x1YnUJRcTXGBH1TncdsFfvNrMWQFdDcNMBkU5nGkqhQrGI8IOdeQEEOiVHCZcCzJvbAV4HiIr3RPdZBT7GKvx-MjdyBtblhc9ns5huh2RuYcnbQfB8wJcXMrTxB8wKli5PdLnfNgAbHvzXQYfuOJvc4lbk2rzOYfRy0BWjqNtwPXQcXZMjZyJ8vA\" alt=\"How to prevent chargebacks outline\"\/><\/figure>\n\n\n\n<p>Gymshark\u2019s product chart *candidly* highlights the value, comfort, range of movement, quality, size, and length. <\/p>\n\n\n\n<p>Instead of touting misleading information about comfort or leaving out details that some shoppers might see as negative, they just tell it like it is &#8211; when you put \u2018em on, they\u2019re gonna \u201cfeel like compression shorts\u201d (translation: not very comfortable).&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-4-create-clear-refund-return-policies\"><span class=\"ez-toc-section\" id=\"4_Create_Clear_Refund_Return_Policies\"><\/span>4. Create Clear Refund &amp; Return Policies&nbsp;&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Realistic should apply to individual product pages and your overall operations.&nbsp;<\/p>\n\n\n\n<p>First of all, if your products ship from overseas, let customers know. <em>Never<\/em> be deceptive. Sadly, this is a common rookie mistake that has ruined many online stores. <\/p>\n\n\n\n<p>If you insinuate that your products are coming from the buyer\u2019s country, but they take weeks to arrive, customers will hate the waiting game.&nbsp;<\/p>\n\n\n\n<p>Next, your shipping policies should be based on your supplier\u2019s offer. If it will take three days for shipping and handling, make sure your shoppers know this. <\/p>\n\n\n\n<p>Plenty of consumers are happy to wait for a package, but only if they know how long they should expect to stay patient.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Finally, <a href=\"https:\/\/dropshipping.com\/article\/dropshipping-returns\/#Write_your_own_return_policy_and_ensure_it_complies_with_that_of_your_supplier\">write your own return policy<\/a>, but be sure that it aligns with your supplier\u2019s. Your return window must be shorter than your supplier\u2019s to give you time to clean up any messes. <\/p>\n\n\n\n<p>If a supplier offers 14 days to make a return, you should give your customers 9-10.&nbsp;<\/p>\n\n\n\n<p>Quick Tip: If your supplier doesn\u2019t allow returns, consider how you might adjust your pricing to accommodate managing them on your own. <\/p>\n\n\n\n<p>And, think about how you might resell, recycle, or dispose of any surplus inventory that you acquire through your return processes.&nbsp;<\/p>\n\n\n\n<p>The bottom line is that you need to share honest details about how shipping, handling, and returns will work. Through your policies, let customers know how they might&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-5-use-a-trusted-payment-gateway\"><span class=\"ez-toc-section\" id=\"5_Use_a_Trusted_Payment_Gateway\"><\/span>5. Use a Trusted Payment Gateway<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Using an established, trustworthy payment gateway is more important than you might think. <\/p>\n\n\n\n<p>In addition to moving funds between accounts, full-featured payment gateways provide fraud detection and prevention, which can further help reduce the risk of chargebacks.&nbsp;<\/p>\n\n\n\n<p>A misused credit card is a valid reason for a chargeback, and the fault can rest on you if you don\u2019t take the necessary steps to provide payment security.&nbsp;<\/p>\n\n\n\n<p>Here are a handful of trusted dropshipping payment gateways to consider:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>PayPal<\/li>\n\n\n\n<li>Stripe<\/li>\n\n\n\n<li>Amazon Pay<\/li>\n\n\n\n<li>Shopify Payments<\/li>\n\n\n\n<li>Google Pay<\/li>\n\n\n\n<li>ApplePay<\/li>\n<\/ul>\n\n\n\n<p>If you dropship products that aren\u2019t eligible for one of the above platforms (CBD, etc.), then you might look into one of the following:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Inovio<\/li>\n\n\n\n<li>Pinwheel Pay<\/li>\n\n\n\n<li>Merrco Payments<\/li>\n<\/ul>\n\n\n\n<p>Obviously, this list isn\u2019t exhaustive, but it\u2019s a good starting point.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-6-always-use-tracking-numbers\"><span class=\"ez-toc-section\" id=\"6_Always_Use_Tracking_Numbers\"><\/span>6. Always Use Tracking Numbers&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Not everyone knows this when they first start selling online, but tracking numbers are <em>crucial<\/em> for trust. <\/p>\n\n\n\n<p>Every single order should have a tracking number. And, it should be shared, not only with the customer but with the payment gateway.&nbsp;<\/p>\n\n\n\n<p>One seller I know lost upwards of $10K after waiting months for chargeback dispute results. <\/p>\n\n\n\n<p>The key factor that allowed the customer to prevail was the fact that no tracking number was shared with the payment gateway (PayPal) at the time of the transaction. Before this, the seller didn\u2019t even know that he should be sharing tracking numbers.&nbsp;<\/p>\n\n\n\n<p>You can add tracking numbers manually or use a third-party app or service to sync your tracking numbers between your online store and your payment gateway. <\/p>\n\n\n\n<p>The latter is more efficient, especially for a dropshipper with multiple orders.&nbsp;<\/p>\n\n\n\n<p>Note that some chargeback management apps have built-in tracking number syncing &#8212; always take advantage of this feature when it\u2019s available.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-7-respond-quickly-fairly-to-complaints\"><span class=\"ez-toc-section\" id=\"7_Respond_Quickly_Fairly_to_Complaints\"><\/span>7. Respond Quickly &amp; Fairly to Complaints<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>First of all, you need to have a clear, easy-to-find method for customers to connect with you. At a minimum, post your customer service email address conspicuously on your website or use a working contact form.&nbsp;<\/p>\n\n\n\n<p>Customer service reps should be trained to act professionally and empathetically and to prioritize complaint resolution. If you\u2019re the one handling complaints, brush up on your customer service skills. <\/p>\n\n\n\n<p>When complaints arise, you need to address them as quickly as possible and keep customers informed every step of the way.&nbsp;<\/p>\n\n\n\n<p>Consider compensation and incentives you might be able to offer customers who\u2019ve had a negative experience to transform these incidents into positive interactions.&nbsp;<\/p>\n\n\n\n<p>In the same tune, chargebacks should be continuously monitored to find patterns or common issues and keep your machine well-oiled &#8211; making necessary changes can keep your chargeback rate low. <\/p>\n\n\n\n<p>When they do occur, act fast to provide evidence to the issuing bank, credit card company, or payment gateway.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-9-make-use-of-chargeback-management-tools\"><span class=\"ez-toc-section\" id=\"9_Make_Use_of_Chargeback_Management_Tools\"><\/span>9. Make Use of Chargeback Management Tools<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Chargeback management is the process of taking precautions to prevent chargebacks, documenting transaction details, and responding to disputes.<\/p>\n\n\n\n<p> Most of the safeguards you can implement are listed above, but you don\u2019t have to do everything manually.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Consider taking advantage of apps and services that can help you manage your chargebacks and maximize your win rate on disputes.&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Fraud prevention apps<\/li>\n\n\n\n<li>Chargeback management services<\/li>\n\n\n\n<li>Chargeback management apps<\/li>\n\n\n\n<li>Tracking number syncing apps&nbsp;<\/li>\n\n\n\n<li>Dispute resolution templates (specific to your payment gateway)<\/li>\n\n\n\n<li>Customer blacklists&nbsp;<\/li>\n\n\n\n<li>Chargeback insurance&nbsp;<\/li>\n<\/ul>\n\n\n\n<p>For complete control of your operations, use these tools as needed to save yourself time and minimize the impact of chargebacks on your bottom line.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Recommended: <a href=\"https:\/\/dropshipping.com\/article\/chargeflow-review\/\" target=\"_blank\" rel=\"noreferrer noopener\">Chargeflow Review: Recover Chargebacks for Dropshippers, on Autopilot<\/a>&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-final-takeaway\"><span class=\"ez-toc-section\" id=\"Final_Takeaway\"><\/span>Final Takeaway<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>These tips will help you mitigate chargebacks for your dropshipping store. Quality-check your products on a case-by-case basis, and watch out for common signs of buyer fraud. <\/p>\n\n\n\n<p>Seat clear, realistic expectations of your entire offer, from products to shipping and returns. Use a trusted payment gateway, and input tracking numbers for each order.&nbsp;<\/p>\n\n\n\n<p>When you receive complaints, give buyers the benefit of the doubt. And, take advantage of available chargeback management tools to make your job easier.&nbsp;&nbsp;<\/p>\n\n\n\n<p><strong>If you\u2019re looking for tools to streamline your dropshipping processes, <\/strong><a href=\"https:\/\/dropshipping.com\/apps\/\"><strong>check out our recommended apps<\/strong><\/a><strong>.<\/strong><\/p>\n","protected":false},"featured_media":1617240,"comment_status":"closed","ping_status":"closed","template":"","categories":[2473],"article-maturity":[2861],"class_list":["post-1617239","article","type-article","status-publish","has-post-thumbnail","hentry","category-guides","article-maturity-expert"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.9 (Yoast SEO v22.9) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to Avoid Chargebacks: 9 Actionable Tips for Dropshippers<\/title>\n<meta name=\"description\" content=\":earn what a chargeback is and explore the impact they have on dropshippers. 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