What’s tricky with free offers, Yelp's $300 Example for small business
I understand how frustrating it can be to sign up for a trial offer only to realize you don't like the service or it isn't what you were expecting. When considering digital marketing services, such as Yelp, it's essential to research the terms and conditions of their trial offers. Ensure you understand what you're signing up for before committing to a $300 trial.
In this post, I point out examples in the language and design of a specific free offer from Yelp. Companies express their value, priority systems, and ideas about best practices in their marketing materials. Most companies understand a happy customer is a good customer, and they will go out of their way to resolve any issues and communicate clearly. Continuous improvement is something I work hard at in my business!
My story started when, as a small business owner, I received Yelp calls and emails. I clicked on an email from Yelp offering $300 in free ads. It was not what I was expecting it to be. I have a few tips on tricky things to look for in digital advertising from my analysis that I will share in this post.
Email Offer, The Hook
Sales Funnel, Setting a Budget
(No) Billing Receipts, Credit Card Changes
Reporting on Cost Per Click
Negotiating a Refund, My Timeline
Lessons Learned, Advice for Digital Marketing
Please note that I believe Yelp and other online digital marketing companies provide valuable services to their customers. My post is intended to be educational and help inform consumers so they can make the best choices with their purchases.
Analysis of Email Offer, The Hook
I don’t remember paying for Yelp ads before, but the email offer I received says that I was a customer before. This made me feel comfortable trying it again. Notice that this relatable message is the largest aspect of this email, and it’s on the top. They say that returning customers are more likely to return than new customers. It got me!
What I didn’t see in this email ad is the word PROGRAM. The word program suggests that this offer is a recurring subscription offer. However, it’s easy to miss this language because the marketers have emphasized the click bate offer in bold and with a red button.
The Sales Funnel, Set your budget
After clicking on the email offer I landed on a website for the second step in the sales process. I was looking for the per day average that would fit the free offer of $300. I went with upsell option for $15 a day.
What I missed here was the implication that this was a monthly budget of $450 and would be a recurring charge. This critical information was written in the smallest type and with a light gray color.
What’s totally missing is the option to add a budget spending cap. If you are new to online advertising, you might not notice this feature is missing altogether from the sales process. It got me, and I assumed it was a spending cap!
Spending Limits and Budgets for Comparison
For comparison, I have included a few other screenshots from Facebook and Google. Although these applications have changed since I did this analysis in 2017, the screenshots still show balance and total spending cap (not monthly). It is a good idea to check the spending limit so that you are not surprised by any charges that exceed your advertising budget.
PRO TIP: Slow down when trying a new online service and read everything. Not all companies follow industry standards. I have been dupped a few times by tricky digital marketing companies when I was working quickly.
Notice that Google created a red error banner to notify me when I reached a spending cap. Knowing when and what to communicate to customers is an essential step in optimizing any online service. Providing sales receipts and emails in addition to alert messages is how these major companies handle it.
Receipts, Email Confirmations
After completing the sales process I received an email confirmation.
I missed the fine print customized in the terms and condition paragraph at the bottom of the page that said I would be charged on my credit card monthly. I had not idea that I needed to check up on this account.
Email Receipts for Comparison, Billing Accounts
With Yelp, I never got another email that notified me of any charges. I never bot a billing statement. Most companies will email you a receipt with every charge.
After you give your credit card information and create an account, it’s a good idea to check for:
Is there an email confirmation about your billing?
How can you access your account to view past charges, cancel, or change the terms?
Do you need to set a reminder for yourself to check on the status and performance of your ads?
Reporting on Cost Per Click
In this story, I noticed I was charged for ads from my credit card statement in the third month. Because I had assumed the free trial was limited, I forgot that I had signed up. The first thing I did was check the report and cancel the service.
I felt misled and had enough motivation to dispute the charges on my credit card because Yelp did not provide the service it claimed. I was able to prove this from the reporting. In addition to the Yelp report, I had two additional reports for comparison.
Comparison Website Traffic Reports
The below reports are for the same period and show that I did not receive the traffic on my website that Yelp claimed that I had and that I had paid for in the primary month of May.
Negotiating a Refund
April 10: I get an email from Yelp for $300 in free Yelp Ads and I sign up
June 1: ‘LP Advertising’ charged my USBank Credit Card $332.94
June 1: I called Yelp to cancel my ads immediately and request a refund. They refused to acknowledge my complaint as valid and recommended I contact my credit card company. From amsupport@yelp.com:
Hi Mitra, The following items were canceled as of today, June 1, 2017:
Yelp Ads with a $10.00 daily budget
Enhanced Profile at $2.50 per day
June 2: I called my credit card company and reported the Yelp charge as a fraud based on not getting what I paid for.
June 5: USBank Refunded my card $332.94
June 20: USBank reversed their credit and charged me $332.94
June 26: I complied with the history of events (this post) because I received a letter from my credit card company stating that I had not supplied the evidence required for a chargeback. I called the credit card company and had to request the form required to be sent to me so that I could fill it out. I sent in my complaint to the credit card company.
June 26: I also sent my evidence and complaint to shop@yelp.com:
Thanks for contacting Yelp Support! [ 5869470 ] Yelp HQ <no-reply@yelp.com> Jun 26
JUN 27, 2017 | 03:02 AM UTC
Thanks for contacting Yelp!
We just wanted to let you know that we've received your email. One of our agents will take a look and follow up with you within the next business day.
Best,
The Yelp Deals Team
July 3: Yelp charged me $11.95 for the one ad click and partial day of "Enhanced profile" in June. (I don't depute this because - well - it's too much work for $11.95!) But I do remove my credit card information by deleting my account.
July 10: USBank refunds my card again, $332.94 (Plus$2.55 interest)
August 16: I received an email from Yelp telling me a mistake had been made. Yelp says the charges are valid. They want me to contact their billing department. I did not reply to this email, give them a credit card, pay again, or call their billing department.
I have not paid for any more ads with Yelp.
Lessons Learned
Big companies have big budgets, and little accounts, like mine, have to fight to get money back.
PPC Advertising is expensive, and it can cost more than you will make in sales.
A negative customer experience is motivating. The lesson I learned from this experience is how motivating injustice can be for me. I was very upset that I had been tricked and felt I had been taken advantage of. This gave me the energy to compile and analyze the whole experience. If you are a small business, these marketing tactics can be depressing and upsetting but getting your money back feels great and helping other people feels good too.
After I first published this article in 2017, I received so many comments from angry people who fell for the same marking email from Yelp that I had to turn off the comment feature on my blog. I didn’t have the time to moderate the comments.
Advice for digital marking
Keep a record of your accounts and have additional reporting in place to verify.
Put a reminder on the calendar to check on your accounts monthly.
Read the small print and research before trying ‘free’ offers if you have to give a credit card.
Contact customer service for a resolution and seek alternative help if you don’t get an adequate response.
I hope this blog post will help inform other small businesses about the tricks and tactics to look for when considering signing up for digital marketing services.
At Foreverbird Studio, the emphasis is on creating content of value with marketing dollars. I’ve put my time into creating this post for YOU! =) I hope you will share this post and contact me with any comments or questions.
