The following are 7 Ways Sale Of Fake Products Can Hurt Your Small Business:
- Fake products are inferior
- They make customers spend more
- Destroys business relationships
- Causes poor customer retention
- customer service problems
- Harmful effects
- Your take away
Fake products are goods that are usually of inferior quality.
They are often intended to deceive and exploit unsuspecting buyers for selfish reasons.
Moreover, sale of fake products can negatively impact on your business.
Furthermore, it is a knife of two edges.
It affects both you and the buyer in much the same way.
This article is, therefore, looking at how sale of fake products can hurt your small business.
Sale Of Fake Products: Fake products are inferior
Fake products are inferior because they cannot meet the needs of customers.
Sale of fake products can hurt your small business in many ways.
For example, when you sell a fake product to your customer, there are five possible outcomes:
- the customer returns the product to you
- you replace the product for the customer
- You refund money to the customer
- the customer does not get a refund
- He customer retains the product, though unhappily.
Clearly, none of the above scenarios can be said to be a pleasant experience both to you and your customer.
So why sell fake products?
Makes customers spend more
Customers buy to make themselves happy. But fake products make customers feel bad.
Moreover, it also makes the customers spend more money.
For example, a disappointed customer will need to spend money moving from store to store in search of original product.
Moreover, you have caused the customer inconveniences and deprived him the use of his precious time for alternative purposes.
When you sell fake to a customer you make him:
- and unhappy.
So why sell fake products?
Sale Of Fake Products: Destroys business relationships
Sale of fake products to customers can easily destroy existing business relationships.
No doubt, when you started your business, you must have spent valuable time and money trying to acquire customers.
Therefore, it will be bad news if you have to loose customers due to fake products.
Poor customer retention
Sale of inferior products can make it difficult for you to keep your existing customers.
You are in business to make sales and profits. And you cannot achieve these goals without customers.
Moreover, if you sell fake products to your customers, they will not give you referrals or recommend your business to their family and friends.
Additionally, unsatisfied and unhappy customers will begin to spread negative news about your business.
Furthermore, if you are reputed for selling inferior products:
- you will not be able to compete in the market place
- chances are that you will not be able to attract new customers.
So why sell fake products. Sell Quality products. Those who know the difference will buy from you.
Sale Of Fake Products: Customer service problems
Sale of inferior products can create huge problems for your customer service problems for your front desk officers.
For example, even though you are able to make some customers happy, others may never think of coming back to you again.
Researchers have estimated that only about 5% of dissatisfied customers will complain.
Those who complain to you those who are still interested in doing business with you.
The remaining 95% will not complain because they do not want to complain.
Instead, they will simply walk away without a word!
They will rather take their business to your competitor next door.
Most important, selling fake products to customers can make your customer reps spend valuable time trying too make angry customers happy.
How do you expect a customer service personnel to convince a customer that the fake product he bought is genuine? It just cannot work.
Fake products: Harmful effects
Some fake products can actually be harmful to the buyers.
Fake products can be found in many products across the glob.
Some people believe that they are much more commonly found in cosmetics and medicines.
And the degree of adulteration varies from country to country.
For example, you cannot expect a customer that bought a cosmetic that damaged her skin to recommend your business to her family and friends.
But if you sell quality products, many customers will be willing and ready to pay a little more so long as they get value for their money.
Most importantly, satisfied and happy customers will stick with you both in rough and good times.
They will be your fans.
They will talk the talk for you.
And the best part is that talk is free.
Your take away
If you an importer, do not tell the exporter “ship the products. I know my people. They will buy”.
Or tell the supplier to mix up the supply: “10 original and 40 fake products”.
Finally, in order to maintain your integrity, reputation and keep your business growing, you should distance yourself from sale of fake products.
Do not, because of greed for money, destroy the business you have labored so hard to build.
If you are reputed for selling high quality products, those who have high tastes and preferences for quality products will buy from you.
With time, you can even make little increases to your prices that such high taste customers may never complain about.
By Samuel Ijenhi, B.Sc. Accounting
University of Benin,
Benin City, Nigeria
Founder: Ijenhi Business Solutions