There is one thing that infomercial marketers know all too well, and that is offering a money back guarantee reduces risk for the customer, thereby increasing the likelihood they will buy the product.
The reality is that even if the customer isn’t happy with the product, they are unlikely to take up the money back offer, as it involves effort on their part to send the product back.
So in effect, offering the guarantee is actually low risk for the marketer.
But does the same theory apply for food products?
In Peru, I came across this Pizzeria advertising that “If you don’t like the food, you don’t pay”.
There is a clear strategy behind this offer.
Firstly, it is written in English in a Spanish-speaking country, so we know they are targeting tourists.
Secondly, the quality of food in Peru is inconsistent to say the least, so the offer attempts to reduce the risk for the customer in choosing a restaurant.
So in the end it is probably a good offer that drives traffic into the restaurant.
The offer itself isn’t a new idea, as there has been a proliferation of successful ‘Pay-what-you-want’ restaurants around the world.
However the wording ‘if you don’t like the food, you don’t have to pay’ seems to come across as a much stronger quality guarantee than ‘pay-what-you-want’.
But what do you think? Would you eat at a restaurant that offered a money back guarantee?
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