Nutraceuticals

Many traditional banks have completely steered away from Nutraceutical businesses due to Ongoing regulatory compliance changes and the amount of disputes these businesses receive, many times due to deceptive marketing practices.

Can Aacadia Payments help me get a Nutraceutical Merchant Account?

Sounds super simple, gather some information and documents, and submit an application. Unfortunately, with High-Risk Merchant Accounts it is not that easy, many banks will not even consider your business for underwriting. You will need to find a high-risk merchant account provider that has relationships with Acquiring Banks that appreciate your business and will approve your merchant account. Since finding a nutraceutical merchant account provider that is able to get you approved for Nutraceuticals is not an easy task – basically, just need an underwriter to review and approve your merchant account – it would be faster, in the long run, to search for a bank or payment provider that approves Nutraceutical merchant accounts.

Why should it matter and How Can Aacadia Payments Help with My Nutraceutical Merchant Account?

For most of the ecommerce businesses out there, the most important thing is to discover lost/stolen cards and purchases PRIOR to shipping merchandise. Preventing or discovering fraud before it costs your company is certainly important but another item that is certainly essential is for customers to be able to contact your business easily with issues and to request refunds. If customers cannot easily contact the business they made the purchase from, their bank certainly makes it super simple to dispute the entire transaction.

Aacadia Payments is here to not only provide you with the highest quality payment processing options, but we have an amazing gateway that we will train your team and arm you with the right tools to keep your merchant account open and active, without funds being held and without excessive chargebacks, as much as possible.

Here are some specific suggestions for our nutraceutical merchants to follow:

Are your currently sending confirmation emails?

Super easy way to confirm the email address the customer is using is real and to help verify the purchase. Also, providing shipping information including tracking number(s) will help ease the customers' mind, that the product they ordered is certainly on the way. Sending these emails is a great way to open up the line of communication with your customers and give them a simple way to contact you back if needed.

Do you send Customer Satisfaction emails?

Customer Satisfaction emails are a much better alternative to customers contacting their bank to dispute transactions they are not completely satisfied or have questions. This is simple, send an email asking if the customer received the product, if they have any further questions. You can also use this opportunity to upsell the customer on additional products or services your company offers. Again, keeping an open line of communication with your customer is super important and will lower the number of disputes you receive.

How Does Being High Risk Affect Your Chances of Getting a Nutraceutical Merchant Account?

More than anything, chargebacks cause the nutraceutical industry to be considered high risk. The question is, why do nutraceuticals receive so many disputes? That is the Good Question to ask to prevent these disputes in the future.

See a few reasons below:

• Experienced nutra businesses know about the number of chargeback management tools available and use them readily. However, managing chargebacks isn’t something that a lot of companies do from the get-go, therefore they generally find out about these management tools well after it’s too late to save the MID.
• Many nutraceutical companies use the subscription model to continue billing customers monthly, etc. However, even if the merchant makes it super clear for the customer that they will be billed ongoing, somehow when that customer is billed they somehow completely forget about engaging in the subscription service.
• Lastly, many nutraceutical companies are selling health and anti-aging products and make marketing claims as to the products effectiveness. Then many times the nutraceutical companies are smaller and do not have the necessary customer service to handle the amount of inquiries that arise – if you are not quick at responding the customer can become increasingly upset and the more disgruntled the customers – the more often they will simply file chargebacks for more than just one transaction.

Aacadia Payments can help nutraceuticals find a bank that will appreciate their product and not only approve their merchant account but Aacadia Payments will continue to work with you to help you keep processing payments successfully.