Bad Customer Service Story #1: We Don’t Give Credit or Refunds for Cancellations

I called one of our vendors recently to check on a service cancellation we made last month. We used this vendor’s service for an employee who recently left our organization but we only used it for one-third of the days in the billing cycle. Since the service for the employee was canceled the day he left, I just wanted to ensure that we had our credit coming to us for the other two-thirds of the cycle. And you know what I heard?

“I’m sorry…we don’t give credit or refunds for cancellations.”

What? Did I just hear that from a vendor that sells cloud-based meter-driven solutions? This vendor will happily provision a new service halfway through a billing cycle and charge you for the half-period but will not refund or credit you when you cancel halfway through a billing period?

I have a number of issues with this.

  1. Why do you think it’s okay to charge me for a service that I’m not using and that I’ve explicitly canceled? I know it’s not any burden on your organization because your organization is no longer using any resources to manage the service for our departed employee.
  2. Why is it okay to charge me for a new service halfway through a billing period but you won’t credit me? Is this how your MBAs advise you to “maximize profitability” at the expense of screwing your customers?
  3. Should I time my hiring and firing decisions based on your billing cycles so I can maximize my profitability?

In the end, this vendor really did pretty good work for us and provided decent support. But I will have a sour taste in my mouth with the way they ended the relationship by saying: F*@^ you since you’re not our customer any more!

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