Author Topic: how many refunds do you incur on average/month from selling images online? (Read 8881 times)

johngriffin · « **on:** July 14, 2009, 23:41 »

I have been reading about some of the other companies in our industry giving refunds from fraudulent credit card transactions and removing money from accounts when they incur chargebacks. doesn't seem like they can offer a lot of protection to their contributors or fight with the credit card companies to recoup any losses.

how many of you have been affected by this and how much do you think it costs you? i'm interested in learning how big of a problem this is and how much it could be costing photographers, agencies and how this could be affecting the price the buyer is paying (if it does)?

Phil · « **Reply #1 on:** July 15, 2009, 00:27 »

personally it seems to come in waves, half a dozen times in one week and then none for a couple of weeks. generally largish size sales but not always

sharpshot · « **Reply #2 on:** July 15, 2009, 00:49 »

It only happens occasionally to me so far, not a big problem at all. I know some sites absorb the costs, so we might not know all the times it happens.

Freedom · « **Reply #3 on:** July 15, 2009, 01:10 »

It rarely happens to me. IS absorbed the loss when it happened.

fotografer · « **Reply #4 on:** July 15, 2009, 01:37 »

I just looked back over my last 1000 sales on Fot and it happened 4 times. The largest amount was 3.8$ and one was as low as 38c.

rene · « **Reply #5 on:** July 15, 2009, 01:54 »

Very rare for me. It happens only with Dreamstime and Fotolia. Less then 10 times a year.
Istock absorbs the cost - I've red IS official post about this.

Freezingpictures · « **Reply #6 on:** July 15, 2009, 01:56 »

For me ~13,5 Credits the last 1000 sales at Ft. I guess thats around 1%.

Clivia · « **Reply #7 on:** July 15, 2009, 02:01 »

I have had 7 refunds taken by Fotolia in the last 12 months. Much less than 1%.
I have had a few from Bigstock, but have not kept count there. Maybe $10 in total over the last year.
Never had any that I can see from Dreamstime or any other site.

qwerty · « **Reply #8 on:** July 15, 2009, 02:29 »

I've had about 3% refunds from bigstock.

Sean Locke Photography · « **Reply #9 on:** July 15, 2009, 03:31 »

I get 5-10 a month on iStock. Nothing to do with credit issues - they absorb that. Mostly client downloaded wrong size, wrong photo, etc.

gostwyck · « **Reply #10 on:** July 15, 2009, 05:30 »

On FT I've had 2 in the last couple of months out of 1400 sales. Monetarily it was less than 0.4% of earnings.

I get a few duplicated DL refunds on IS & DT too, usually when they've bought a small sized image and then later bought a larger size. I can't remember the last fraud refund on DT as they are very rare.

For the irritation factor (to the contributor), the administration costs and the miniscule amount of money involved I think the agency should just absorb the cost __ a price increase of 0.5% would probably cover it anyway.

madelaide · « **Reply #11 on:** July 15, 2009, 05:42 »

As far as I know, only one from FT this week (purchased in March).

borg · « **Reply #12 on:** July 15, 2009, 06:22 »

I have just 1 till now...

But one of my clipfolders on Cutcaster is featured right now, "HDR photos"...

Thank you John!

Lcjtripod · « **Reply #13 on:** July 15, 2009, 07:49 »

Over three years and thousands of DLs and ZERO charge backs for me.

-Lucky Larry

Freedom · « **Reply #14 on:** July 15, 2009, 08:33 »

I am curious, for those of you who got refunds from FT and DT, were they for vector images or photos?

Magnum · « **Reply #15 on:** July 15, 2009, 10:31 »

I had one photo refunded at Dt yesterday. 3.33$. today they bought it again. Is that weird

They regret it and regret the regret

rene · « **Reply #16 on:** July 15, 2009, 10:37 »

Quote from: Freedom on July 15, 2009, 08:33

I am curious, for those of you who got refunds from FT and DT, were they for vector images or photos?

only photos

madelaide · « **Reply #17 on:** July 15, 2009, 11:40 »

Quote from: Freedom on July 15, 2009, 08:33

I am curious, for those of you who got refunds from FT and DT, were they for vector images or photos?

One photo: a Lithuanian banknote.

johngriffin · « **Reply #18 on:** July 15, 2009, 14:01 »

interesting. i wonder how many of those transactions were caught before they ended up as a chargeback? that would start to add up for an agency as paypal for example adds 10 bucks onto every chargeback to the merchant.

what are some of the excuses/reasons that agencies give you when there is a reason. is it a boilerplate answer everytime or do they explain what happened?

Moonb007 · « **Reply #19 on:** July 15, 2009, 14:02 »

I have not had a refund as of now.

madelaide · « **Reply #20 on:** July 15, 2009, 16:18 »

Quote from: johngriffin on July 15, 2009, 14:01

what are some of the excuses/reasons that agencies give you when there is a reason. is it a boilerplate answer everytime or do they explain what happened?

I did not request further information from FT, but I think others did in the past. I simply got a site mail "Buyer's credit card declined" with the value debited and the image ID.

jc · « **Reply #21 on:** July 15, 2009, 16:37 »

Good topic. I'm the Pres of a video microstock company and every now and again we get hit with a spate of chargebacks - seem to often occur in Italy, strangely. We have gone to lengths to fight our gateway (fraud protection) and merchant services provider for their lack of culpability in the matter. We will have paid out commissions in excess of $20K that some months later is declared "chargeback," and have no recourse. I cannot see fit to recoup that money from the contributing artists, because they, like us, had no culpability in matter, so it doesn't seem fair that they suffer the burden. We have launched independent investigations to find that many times the chargebacks occur when agencies buy the footage on behalf of a client who in turn either changes course or fails to pay the agency, leaving the agency to call the credit card and declare the charge a fraud. Thus we (and sometimes you) apparently are left without a chair. Obviously to me, the onus falls squarely on the credit companies and the gateways, as neither we, the merchants, nor you, the artists, have any role in preventing the fraud in the first place.

bad to the bone · « **Reply #22 on:** July 15, 2009, 23:40 »

I had them only at FT, and typically on days with high value.
They're less than 1% per month...but depending on my value...it 's at the moment 2 packages of cigarrets, or 1 meal, or 2 beers a month.
I'm angry about this, especcialy because it happens always on my best selling days, when i look every minute at my sales. What - i think - is the opposite of the intent.

But in any way, it's dull, because any agency should handle this problem and factor in this...because, if i gave away my pictures for such a low price....i wouln't like to see or have to be involved in any kind of business-action like this.

If i'm just constributor, just a slave for value, if any agency earn a lot more than me on every sale...the smallest i had to expect is, they support me, and never ever tell my about risc and problems in accounting a client.

If not, and there's a problem at Ft and SS at the moment, agencies haven't understand why they earn that much. If Agencies have a problem with customers or financiel agnecies- that's their problem. Their job and the reason for their profit....
If they didn't had understood this little...well, far away and good luck.

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Author Topic: how many refunds do you incur on average/month from selling images online? (Read 8881 times)

johngriffin

Phil

sharpshot

Freedom

fotografer

rene

Freezingpictures

Clivia

qwerty

Sean Locke Photography

gostwyck

madelaide

borg

Lcjtripod

Freedom

Magnum

rene

madelaide

johngriffin

Moonb007

madelaide

jc

bad to the bone

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