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Old 09-30-2020, 01:10 PM   #46
ChicagoRy's Avatar
Join Date: Jan 2007
Location: ColoradoRy
Posts: 20,397
Re: Question about the ethics of refunding a student

For the coach - your fee is $150/h - you offer a discount for 5 hours because it benefits you to sell a larger amount. The client took this discount but then did not want to move forward after a lesson and requested a refund for the other 4 lessons. He would normally be refunded $480 of the $600, but as this would be unfair to the coach he should be charged $150/h instead of $120 and forfeit the discount. The client says that is fair and is willing to pay $225 for the 1.5 hours and would be owed a $375 refund. That should be the end of this.

There is no exploit Issac, pay him the refund minus the full hourly rate for the time he used.

If you have issues with this, then just do a model where players get their 5th or 6th lesson free after paying for 4 or 5 lessons. There's a reason why coaches don't do that though: The sort of "dirty little secret" is that students pay up front, enticed by discounts, and plenty don't end up using all of their hours over a long period of time. Also, many that would drop out after 1,2 or 3 hours on a backended free lesson deal will use all the hours on a bulk purchase.

Coaches need to be aware that they benefit from this and handle refunds in these spots quickly and fairly.

There's also the issue of just standing behind your product. If someone does an hour and doesn't like it, you're really not going to stand behind your product/service? It's not like he wants a refund for the 90 min he used.

If you go onto virtually any reputable product that sells monthly subscriptions and offers a discount for a yearly rate, you can get a refund minus paying the full amount used.

If you disagree, I'm happy to bring in plenty of other coaches who have coached players for 5-10, even more years, to talk about pro rated refunds on bulk purchases.

Last edited by ChicagoRy; 09-30-2020 at 01:20 PM.
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