Is anyone else seeing a rise in charge backs?

[tony404]

From 1/2007 to 12/1/07 had 9 ,then 2 in Dec and now 2 in Jan. Not doing anything different, is this the way people are now starting to lower their cc balances? I choose to post this here and not the jungle because I figure better chance of getting a straight answer.

[RawAlex]

Tony, a couple of the programs that I promote that show chargebacks have had a few, maybe more than usual. I would say that if people are crunched for cash, they may look more critically at their credit card bills and try to charge back anything that isn't an in person transaction or a transaction for delivered goods signed for.

You may also see some if the CC has hit the limit and the spouse is suddenly looking at the statement going 'what are these porn site things?' That could lead to the old denial and chargeback routine.

[MRock]

So far, no increase in chargebacks ... but now you're making me paranoid and I'll be keeping my fngers crossed and watching for 'em.

[Toby]

I checked my stats for '07, a total of 3 chargebacks, with 2 of those being separate rebills on the same initial transaction.

I had my first chargeback for '08 earlier today.

[gonzo]

Look out for falling conversions. THe show was expensive!

[DannyCox]

I just went through the CCBill stuff for Carol's website for 2007 and prior, back to 2000. In 2007, she had 42 chargebacks for a ratio of 0.0008%. Historically, we sit right at 0.001%, so last year was slightly better for us (although sales were the worst they had ever been).

I didn't bother checking her Epoch stats as those are a pain to use.

[EmporerEJ]

Nope...still sitting at 0.0% since 1995

[Toby]

Originally Posted by EmporerEJ

Nope...still sitting at 0.0% since 1995

And that's still as irrelevant to this discussion as it was the last time you mentioned it.

[EmporerEJ]

Did I say it before in this thread?
Sorry 'bout that.


Guess the point is, some parts of the biz are higher risk than others, and things aren't going to get any better for the risky parts. If anything, it's gonna get worse.

[Jace]

in the coming years I would get used to surfers learning how to lie, cheat and steak to get their porn

right now, out of all my friends, I don't know ANY that have porn memberships anymore...they say "why, when we can just go to megarotic or youporn?"

I have actually heard one friend say that every new credit card he gets he joins 4-5 porn sites, grabs all their content, and then charges back

wtf can ya do, ya know?

[EmporerEJ]

Sounds like the bloom is off the rose.
I'm glad we aren't in that arena.

[softball]

Originally Posted by Jace

in the coming years I would get used to surfers learning how to lie, cheat and steak to get their porn

right now, out of all my friends, I don't know ANY that have porn memberships anymore...they say "why, when we can just go to megarotic or youporn?"

I have actually heard one friend say that every new credit card he gets he joins 4-5 porn sites, grabs all their content, and then charges back

wtf can ya do, ya know?

The whole world ain't trailer trash, Jace. You need some new friends. Kinda speaks volumes, really.

[pam]

None for my paysites yet. 2 last year with close to 400 sponsors, and both wee with the same sponsor. None this year.

Now I'm nervous, too.

[Hell Puppy]

Miniscule chargebacks for us in 2007 as well and nothing out of the ordinary comparing 12/2007 and 01/2008 against 12/2006 and 1/2007 so far either. Now I should note we dont push the edge of the envelope with things like cross sales, limited trials, free trials, etc. Everything is disclosed.

I'm looking at both ccbill and epoch.

Things I would suggest:

1) Look at multiple processors. You DO run multiple processors dont you? Dont put all the eggs in one basket and that gives you the ability to see if something is happening industry wide or just with a processor...

2) Check your traffic sources. Is someone promising something on an ad to send signups that you aren't delivering?

3) Check up on your processor's customer service. Call or email customer service yourself with a simple question. How is the service? Did you have to wait long on hold or a response? Were they rude? Did they speak english? People will say fuck it and charge back if they cant get customer care.


It's easy to just sit back and watch stats, but you need to stay in touch with what your customer's experience is.

[Hell Puppy]

Originally Posted by Jace

in the coming years I would get used to surfers learning how to lie, cheat and steak to get their porn

right now, out of all my friends, I don't know ANY that have porn memberships anymore...they say "why, when we can just go to megarotic or youporn?"

I have actually heard one friend say that every new credit card he gets he joins 4-5 porn sites, grabs all their content, and then charges back

wtf can ya do, ya know?

What can you do?

I assume you did correct them? Explain to 'em nothing is really free, someone spent their time and energy to produce and star in that content, someone is paying bandwidth for them to view it. You of all people should understand and respect both of those processes.

It aint free. It's no different than doing a dine 'n dash or shoplifting.