The concept of Risk Reversal is simple – but it requires some courage. Basically, it means that YOU, the businessperson looking to close a sale, should identify the various reasons a potential customer would hesitate to buy. You then think of little things you can do to overcome those reasons.

The Risk Reversal is like a Guarantee – but more powerful.

It’s a guarantee on steroids. The Arnold Schwarzenegger of all guarantees. The kind a buyer cannot turn away from because the buyer has nothing to lose and everything to gain.

Before we go there…let’s look at the different levels of guarantee you can offer. 

Level 1 – The Standard Guarantee

A standard guarantee offers buyers a 30 day period to return the product for a full refund. This type of guarantee is required by law in many countries such as the USA.

The next stop is Level 2.

Level 2 – The Extended Time Period Guarantee

A Level 2 guarantee will extend this 30 days period to 90 or more days.

Many sellers swear by the 90 day guarantee. By giving the customer a full 90 days to try your product you often lower the refund rate.

Here’s why:

Let’s say Mary buys a £90 set of aerobics DVDs from your online store with a 30 day guarantee. It takes 10 days to reach her. Mary now HAS to test the DVDs in the next 20 days to see if she likes them. But she finds herself too busy. All of a sudden she has 2 days left to return the product for a full refund. It’s still sitting on her shelf untouched – feeling the pressure, she returns it unopened.

But if Mary had been given more time to try out the product, there’s a good chance she would not have felt pressured and may have taken more time to test, play and fall in love with the product.

If you’re selling products online, you can often create significant increases in sales AND lower your refund rate just by extending your guarantee to 90 days.

Now we step into a higher zone of Risk Reversal.

A few years ago, a guy by the name of Nick got frustrated because he could never find the right kinds of shoes he liked in the local shopping centre. Nick went home that day and got online hoping to browse through online shoe stores – but there were few of them set up at that time in 1999.

Nick wondered if he could establish his own online shoe store. The idea kept jumping around in his head and eventually he quit his day job and founded

At first people told him he was crazy. Shoes are something you need to hold in your hand before buying. You need to try them on. Feel the leather. Have your spouse see them on you and let you know what they think. There were a multitude of reasons to NOT buy shoes online.

Yet Zappos thrived. In 2005, the 6 year old company did $370 million in shoe sales!


Well here’s what gets most people hooked on Zappos. It’s true, Zappos had a wider variety than a traditional shoe store. But it was Zappos Risk Reversal policy that really makes most prospects in to loyal customers. Here’s the decision making process prospects go through before buying their first pair of Kenneth Coles on Zappos.

  • What if I don’t like that shade of brown? Can I return it? Zappos’ answer was yes.
  • If I try it on and find it won’t fit – can I return it and get another pair? Their answer: yes.
  • Will you pay for the shipping – and the cost of return shipping? Their answer was again: yes!
  • If I buy it and then randomly change my mind – can I still send it back and get my dough back. Again – the answer was yes.
  • If I bought it and then found one for a cheaper price, can I send it back? Again – yes.

They had an answer for every SINGLE doubt their prospects had. They were prepared to lose a few bucks on return shipping because they were smart enough to understand that once their prospects bought the shoes – they would probably really like them and want to keep them. They knew their prices were good and they knew that once they got them hooked, they would be willing to tell their friends about them.

They were willing to bend over backwards to give their prospects the best service possible and eliminate every single doubt from their mind. No physical shoe store I know would place that much trust in a customer.

Zappos had effectively reversed every single doubt prospects could have in their mind. They made it a no-brainer to be their customer.

That is risk reversal.

Guarantee’s are good – but they’ll only get you so far. Risk Reversal on the other hand – will make you millions and make your competition tremble in their boots.

This is where we come to Guarantees that effectively Reverse the Buyer’s Risk and make it a no-brainer to purchase from you.

Once you go beyond Level 1 and 2 – there are 4 more levels of Guarantees that fall in the Risk-Reversal Zone.

Level 3 – The Try and Then Buy Guarantee

This type of guarantee allows the buyer to pay only AFTER 30 days. The buyer pays nothing upfront or pays a small amount like £1 and knows that he will be billed later unless he cancels.

This is how this type of guarantee works. You allow the buyer to make a purchase for a mere £1 – £3.

They get to play around with the product for 30 days. At the end of 30 days, unless they cancel, they authorise you to bill them the balance owed.

Level 4 – Guaranteed Results or a Full Refund

Stronger still is the “Pay only if it works guarantee”. You guarantee a certain amount of results, say a 5 times boost in profits and allow the customer to claim a refund if this goal is not met.

This guarantee is not only fair to the customer – it helps close sales because you’re painting a positive picture in the customer’s mind of what your product can do for them.

Level 5 – Customer Always Wins

Next is the “Customer ALWAYS Wins” Guarantee. This is where the customer can return the main product for a full refund but can still keep the accompanying bonus gifts.

Let’s say you sell energy-efficient lighting. As a bonus on sales over £50 you offer the customer a free energy-efficient bulb worth £15. (Of course the bulb would have cost you only £5 wholesale, but the value to the customer is £15).

You allow the customer to return the lighting within 60 days if it doesn’t please them. And they can still keep the bulb as a thank you for trying out your store. So the customer wins – either way. That can be very reassuring.

Now you may worry – couldn’t people take advantage of your generosity?

The answer is yes – they could. But you’ll find that very, very few would actually do so. Most people are fundamentally good. When using this type of guarantee you will find that less that 0.5% of buyers attempt to misuse the system.

But so what if you lose £5 a few times due to a few unethical buyers. The increase in sales you get will more than make up for this. This guarantee and risk reversal policy works well because of the psychological image it sets up in the buyers mind.

Simply put: the buyer can’t possible lose. Even if they make the purchase and then have to return the light fixtures, they still end up with a free bulb.

The customer always wins!

That’s powerful risk reversal at work.

Now Level 5 is where many of the BEST stores stop.

But there is one more level you can use.

Level 6 – The Platinum Guarantee

This is where you offer the customer a double your money back guarantee.

It requires some boldness and you better have an excellent product. If you do – this guarantee can work miracles.

Here’s an example:

If you implement at least 5 tactics from this book and haven’t seen a boost in revenue that puts a smile on your face, makes you more excited about starting your day each morning and deposits more money in your bank account – we will not only issue you a full refund – we will issue you TWICE your money back. We’ll pay you the cost of the book times 2. It’s the least we can do as a thank you for placing your trust in our business.

Now that’s a guarantee.

In this next example I’m going to describe a Risk Reversal script that was used to create an overnight 50% boost in sales for a book.

Take a look at the script below and you’ll see how they answer the customers concerns regarding time, ease of use and depth of knowledge.

Here’s The Risk Reversal Script that Boosted Response by 50%

An Important Note – If You’re Still Undecided

If you own a website and are looking to grow your business but have still not ordered, you’re probably hesitating for one of the following reasons.

Check the Response that Best Applies to You.

Reason #1: You’ve bought many books before but they just sit on your shelf gathering dust. You just don’t have the time right now.

Our course is designed toinspire you to take action. It’s broken down into easy, sequential steps with clear directions. We guarantee that every chapter will make you want to jump up, implement a tactic and grow your business.

So here’s what we’ll do….If the reason above applies to you – we’ll allow you to purchase the book for £1. The balance of £296 will not be charged for 30 days. Order the ENTIRE course for £1 and read the first few tactics. If you feel we’re not living up to our promise, simply drop us an email at (email goes here) and we’ll cancel your billing and refund you £1.

Our bet is that the book will not only inspire you – it will motivate you to act,to take action, and to do something about growing your business. Before you even pay us more than a buck, you’ll be looking at your business from a whole different perspective.

Click here to order the ENTIRE Course on a 30 Day Trial for just £1 »

Reason #2: You’re still new in this field – you’re afraid that buying such a comprehensive course of advanced tactics will engulf you with too much information and you may get lost.

Our course is designed to be easy to act upon. Knowledge counts for nothing – being able to act on this knowledge is the key to growing your business. So here’s a promise – if at any point you get ‘stuck’ or have questions on how to further grow your business – we’ll schedule a one-on-one call with you to offer help.

I will personally get on the phone with you, and guide you step-by-step through any hurdles or difficulties you may have.

You can request this help anytime by emailing me at (email goes here).

Reason #3: Price is not the issue – time is the issue. You’re busy and you want to know tactics and strategies that can create BIG upturns in your business. Are the tactics in this course really powerful enough?

Our guarantee is that you can return the course to us – ANYTIME – within 90 days – for a FULL, No-Questions Asked Money Back Guarantee. But your concern is really time not money.

We’re confident that the tactics and strategies we outline in this book will make a huge positive influence on the level of sales, leads and revenue coming intoyour business. And we’ll put our money where our mouth is.

If you have implemented at least 5 tactics from this book and have not seen a boost in revenue that puts a smile on your face, makes you more excited about starting your day each morning, and deposits more money in your bank account – we will not only issue you a full refund – we will issue you TWICE your money back.

Yes, we’ll pay you the cost of the book times 2. That’s £594. Just show us the 5 tactics you implemented on your site. This will probably help us refine our tactics further. We’d be happyto pay you double your money back justto get that information.

Fair Enough? Click Here Now to Order »


That’s it – this is what they did to cause an overnight 50% boost in sales.

An Important Question

Now let me ask you this important question – and I want you to take one of two actions as a response. No matter what action you take – you will win big.

Why have you not purchased our book?

I mean seriously? The risk reversal we’re using should cover every hesitation you have.

If you can’t think of any more reasons not to buy – Go ahead and make the purchase. You’ll love it! But if you don’t love it, just email me and claim your refund.

Now if you can think of a new reason not to buy, and feel I haven’t accurately covered this reason – email me.

I’ll reward you by giving you the £297 course for free because you’ll be helping me refine my Risk Reversal presentation.

Make a Decision Now – Either Way You Win

I’m serious. You’re either going to get the book for free or buy it.


With risk reversal strategies like this, you will see your sales soar.