Direct Buy - Direct Buy Hustle

Posted on Sunday, February 28th, 2010 at 4:56pm CST by 6dbb2a7a

Product: Direct Buy

Company: Direct Buy

Location: Gaithersburg, MD, 20815, US

Category: Other

There are two reasons why consumers continue to be victimized. Greedy and dishonest companies and individuals are willing to go to extraordinary extremes to steal peoples money. So many consumers have too little intelligence to detect the truth about those who want to steal their money. Here is my newest discovery of a major consumer scam.

If you want to experience one of the most painful, hard sales pitches in the universe, then accept an invitation to an open house at a Direct Buy showroom. If you have ever suffered through a lengthy sales pitch for a time share or remember your absolutely worst experience in a car dealership, then you have a hint of how awful the Direct Buy sales pitch is. From reading many comments from people all over the US who have also been suckered into a Direct Buy showroom there is a highly structured sales pitch given everywhere.

The process consists of three time-wasting stages: first spend time with small talk with a smiling sales person, then get herded into a room with other couples attending the open house to hear a much more detailed sales presentation, including several videos and lots of clever question and answer sessions with the audience. Following that you are taken back for another private conversation with the first sales person who is clearly the closer; that is when you really get the high pressure treatment designed to get you to sign up that day and pluck down about $7,000 for a ten year membership (though the price seems to vary with location). If you dont sign up that day you are told that it will cost another $1,000 at a later time.

With the original invitation to the open house you are told that you will get a 30 day free membership. But that membership is very limited. What really angered me was that there was no piece of literature that we were given to look at with details about membership rights and costs that we could take with us. Talk about a high pressure sales pitch!

After my bad experience I discovered that there is a national class action lawsuit against Direct Buy for fraudulent marketing. Here is what the suit claims: The company misleads customers by promoting a $5,000 membership fee which entitles members to purchase a wide array of goods at wholesale prices with no markup, and that it makes no profits other than from the membership fees. In reality, it makes a substantial profit from product markups, exorbitant shipping and handling fees, and tens of millions in annual rebates from manufacturers that it conceals from customers.

I know lots of Direct Buy members will surely write in that they are very happy and satisfied. Scammers, rip-off artists and thieves like Bernie Madoff are so successful because such a large fraction of people are dimwits or just too busy to carefully examine things. And once someone pays more than $5,000 upfront for a membership they are psychologically programmed to conclude that they have made a smart choice.

Here is my bottom line: The very nature of the sales pitch used by Direct Buy says something very, very negative about the company and what it is selling. The way I was treated was not appreciated and I do not want to patronize a company that uses such tactics.


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