Too Good to Be True? - App4Takeaways

Too Good to Be True?

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Too Good to Be True?

Where does your App provider hide their charges!

 

Recently we have seen many new “App Providers” arrive looking to make a quick buck by claiming they provide the same service for a fraction of the cost.

 

A wise man once told me “if it sounds too good to be true, then there is probably a catch” and when it comes to ‘low cost App’s ‘ there are plenty of catches.

 

Some of the claims we regularly come across include:

 

  • Your own App for £12.50 a week
  • Complete solution for £20/30 a month
  • Card payments are included
  • You pay NO commission on your orders!

 

We understand why people believe the sales pitch as they make it sound amazing, but it is a mistake. They fail to mention, or gloss over, the hidden/secret charges such as;

 

  • How much are the included card payments?
  • How much commission do they charge your customers instead of you?
  • How much do the fees go up to if you do 50/100/300 orders?
  • How much are push messages or text messages?
  • How much do you pay to print each order?
  • Why do you have to use one payment provider who charges such high fees?
  • Why does it take 14 or even 28 days to get paid?

 

Don’t just take our word for it, read about Sean from Somerset, and his experience with another App provider before he moved to App4.

 

“After a lot of badgering over the phone and numerous emails I gave in and signed for an App service that I was told would cost me £12.50 a week, everything was included and I would pay NO commissions. Very quickly, I realised it was never going to be just £12.50 a week, and worse, I was probably going lose many repeat App orders, as my customers were paying more to order via the App than they would if they ordered over the phone!

 

The included card payments meant the service was included, not the costs!

 

The “included card payments” meant the service was included, not the costs.  The costs were 3.4% + 20p for every order paid by card, meaning for a £30 order I would be charged an extra £1.22, and then I found I had to wait 3 weeks to get my money! On 250 orders, I was charged an extra £300! Add in the £12.50 and the VAT, and I ended up paying nearly £400 per month, about £100 per week. Certainly NOT the £12.50 “everything is included” I was originally sold. Worse still, my customers were being charged up to £1 per order, by the App provider, for ordering through the App. Because they were paying more to use the App, many of my customer complained and some even stopped ordering from us.

 

Instead of £12.50 a week as I was told, I was actually paying almost £400 per month

 

I had lost my faith in ALL App companies, but I needed a solution and decided to try App4. With App4 we pay a fixed Monthly fee of £154.80 (£129 + VAT) which is fixed for 2 years ensuring no price rises for the length of the contract. I am considerably better off with card payments too. I went with WorldPay, who are over 70% cheaper than the old App. Also, the App4 App allows me to recoup some of the card charges by asking my customers to pay a small fee if paying by card. My card fees are now only 10% of what they were. The money from card orders goes straight in to my bank within 48 hours, so my cash flow is significantly better as well.

 

Using App4, we have nearly DOUBLED the number of orders through our App

 

Our customers love it too. No more premiums to order through our App, I charge a small fee to pay by card and they are OK with that. Now my customers are ordering more often and spending more money too. Using App4, we have nearly DOUBLED the number of orders through our App. Our customers are happier, my cashflow has improved and my costs have halved, from almost £400 a month to less than £200, including VAT.
 

As well as the financial benefits, there have been a lot of practical improvements too. The old App company supplied a cheap plastic printer, that used text messaging to send through orders. When it was busy, the printer regularly either stopped working, printed receipts in the wrong order, or mixed orders up. It also had a very small printer roll, which ran out every hour or so. The App4 printer is a professional Epson commercial receipt printer with a big 80mm wide roll which lasts days not hours. App4 also customised my receipts so that we don’t have to rewrite the food orders by hand as we were forced to with the old App supplier. This has saved us LOTS of time at the till and in the kitchen.

 

App4 customised my receipts so we dont have to rewrite the orders by hand

 

Customers used to call a lot to say the old App wasn’t working or wouldn’t let them place an order. It was usually at our busiest times and we ended up turning it off on a Friday and Saturday night to stop customer complaints.  With App4 we never turn it off, and customers know it is quicker, easier and more convenient to order through the App. There have been no issues with receiving dozens of orders at peak times or any other time.

Customers often used to complain they were being charged the wrong delivery fee. This was because managing delivery areas and prices used to be very difficult. With our new App4 App we have control over distances and postcodes, and can even set a delivery price for an individual address if needed.

 

I have already recommended the App4 service to three of my friends

 

I have already recommended the App4 service to three of my friends. I wish I had understood more before choosing my previous App, but it is very difficult for businesses to understand the difference between these services until we experience them. We tend to go with the cheapest option, which, as you can see from my own experience, can end up costing a lot more and can have a detrimental effect on your business.”

 

Sean’s story isn’t unique, we come across it all the time. We know there are hundreds of businesses falling foul of the clever sales pitches that promise everything for a fraction of the price of our solution.

 

If you have an App that is costing you 10 times what they said it would, your customers are complaining because it doesn’t work, or it is more expensive for people to use compared to calling, then get in touch, call us on 01332 742 514 or email us at info@goapp4.com and one of our experienced advisors can talk you through how we are already helping hundreds of businesses save £100’s every month.

 

Picture by Freepik