Showing posts with label Scam. Show all posts
Showing posts with label Scam. Show all posts

Monday, November 16, 2009

Why Black Friday Is a Scam for Consumers

In the United States, the day after Thanksgiving is the single busiest shopping day of the year. This day marks the beginning of the Christmas shopping season. It is the starting pistol that signals people across the country to begin their search for that perfect gift en masse. Although Black Friday continues to gain momentum year after year, I think that it becomes more and more of a scam for consumers each year.

Why Black Friday Is a Scam for ConsumersThe story goes that retailers who operate at a loss most of the year do enough business on Black Friday to make a profit and thus move their accounting figures from red to black, hence the name. Retailers encourage shoppers to spend more by offering one-day-only sales on limited quantities of goods at drastically reduced prices. These no-coupon, no-rebate, and no rain check sales are the stuff of legend, which is why they occur just once a year.

In the days leading up to Black Friday, Internet message boards begin buzzing with rumors about which stores are having the biggest sales. People post store flyers and advertisements online and discuss which stores are having the best deals. Consumers get shaken up with excitement over these deals as the pressure builds like a bottle of soda.

On Thanksgiving Day people begin lining up outside retail stores like Best Buy, Wal-Mart, Costco, and the shopping mall. They will endure darkness, discomfort, and cold weather all night long just to be first in line on opening day. They will take time off from work and be away from their families at the prospect of saving a few dollars on some hot consumer item. Some people even camp out days in advance!

This kind of insane consumer loyalty has expanded beyond Black Friday and is now commonplace. People have camped out for the release of major video game systems including the Xbox 360, the PlayStation 3, and the Nintendo Wii. People will line up outside of a movie theater hours before a film opens to catch the first midnight show (Star Wars anyone?). Some people will queue up outside of bookstores waiting for the hot new titles from JK Rowling wearing homemade costumes of the characters! They will wait in line for hours to buy concert tickets, iPhones and just about everything else.

On Black Friday, the pressure reaches a critical mass. Spots at the front of the line are sold for hundreds of dollars in the hours before stores open. Crowds of ravenous shoppers tear through the stores as the front doors are unlocked. People shove each other out of the way as they run down the aisles. Store workers are trampled and injured in the mass of confusion. Shoppers motivated by greed will buy two or more of a hot item hoping to resell it at an inflated price.

Black Friday is a frenzy of consumer spending unlike anything else in the world. It is an orgy of spending and mass consumption. This poses the question: is getting a great deal worth the true cost of Black Friday deals? I don't think it is.

The whole ritual that Black Friday has become just sickens me. I can't believe that people will stand in line outside of a store all night so they can have the "privilege" of being the first to fork over their hard earned cash for some mass produced piece of garbage. I can't believe they will pay hundreds of dollars to cut to the front of the line. I can't believe they can be so brutal to their fellow man when storming the aisles in search of bargains. They trample each other like a herd of wild animals instead of civilized humans. Christmas is a time for joy, peace, and love. Black Friday is just the opposite: it is all about greed, selfishness, and a lack of compassion for others.

To take part in the madness of Black Friday is to give up your dignity as a consumer. Standing in line all night says to the world that there's nothing you won't do to save a few bucks. By standing in line, your friends, family, co-workers, and even retailers can see what a gullible fool you are. Am I being too harsh? Absolutely not, because only a fool would stand in line all night risking their own safety and comfort to buy that must-have present! In all likeliness, a present that will be forgotten about by next Thanksgiving.

I like getting great deals as much as the next guy, but the truth is that many of these hot deals just aren't worth it. An example might help illustrate my point. Let's say that a big-box electronics retailer is advertising a $100 digital camera for $49 in-store, one day only. $51 dollars off sounds like a great deal, right?

Well if you arrive at the store at midnight and stake out a place in line until the store opens at 8am, that's eight hours of waiting. You only saved a little over $6 dollars an hour by standing there all night (assuming you actually get the camera). Is that $6 dollars worth more to you than an hour with your family? Is it worth more than an hour of sleep? This is the hidden cost of these "killer deals:" you pay for them with your time.

Personally, it's worth it to me to pay the regular price and get a good night's sleep. It's worth it to me to not get trampled by some foaming-at-the-mouth, bargain-crazed shopper on the way to the electronics department. It's worth it to me to maintain my dignity as a shopper. No product is so desirable to me that I would pay twice its retail value to a scalper selling one on Craigslist.

Don't get me wrong, I like gadgets and technology. But nothing is so important to own that I would lie in a sleeping bag on the ground and watch the sun come up for. That shitty feeling would forever be associated with that product in my mind and I would remember it every time I used it.

Do the world a favor and shop sensibly this year on Black Friday. Don't join the hoards of compulsive consumers in wrestling over Bluetooth earpieces. It's not worth your dignity or your time. Remember, it's just stuff.

I'm not the only one who feels this way:
http://artvoice.com/issues/v5n51/my_shopping_orgy
http://www.theguardian.com/commentisfree/2008/nov/29/useconomy-retail

Sunday, September 6, 2009

Cash For Clunkers Is An Absolute Disgrace

In July of 2009, the US Government approved a legislative bill known as the Car Allowance Rebate System, or CARS. This program offered new car buyers a large cash discount when they traded in a used vehicle that met specific criteria. The motive behind the program was to encourage drivers to purchase more fuel-efficient vehicles. In spite of this noble effort, I feel the way the program was carried out was an absolute disgrace.

Cash For Clunkers Is An Absolute DisgraceThe truth is, these trade-in vehicles were disposed of in the absolute worst way I can even imagine. Rather than being refurbished, sold to low income buyers, being recycled at scrapyards, or exported to overseas buyers, these vehicles were permanently disabled by replacing the engine oil with an engine-seizing solution.

When poured into the engine and run for a few minutes, the engine seizes up and the car becomes inoperable. As a result, the engine can never be swapped into a different vehicle or used to repair an existing vehicle.

While I can understand the incentive behind getting people to drive fuel efficient cars, I cannot be okay with destroying vehicles that are in perfect working condition. Just look at any of the videos on YouTube of CARS victims meeting their demise.

Take this 1998 Cadillac for example. It is in excellent physical condition and it is vastly more efficient than the vehicle I'm currently driving. The idea that anyone would consider this vehicle a "clunker" is ridiculous! This is not a one-time example; there are dozens of videos of good cars being destroyed in an astonishingly wasteful and inefficient way.

The trade-in vehicles from the CARS program could have gone to so many other good uses instead of being destroyed. They could have been sold to salvage yards, given to hardworking impoverished families that desperately need reliable transportation, or exported to third world nations for use as emergency vehicles or otherwise. They could have been donated to charities, or refurbished and put back on the road. As far as I am concerned, the CARS program is an absolute disgrace.

I'm not the only one who feels this way:
http://en.wikipedia.org/wiki/Car_Allowance_Rebate_System#Environmental_effects

Wednesday, February 4, 2009

Top Choice Digital Is A Scam

Recently I was in the market for a new compact digital camera. I looked online at the most popular models and read user reviews. I looked at sample shots, video reviews on YouTube, and compared specs on DPReview. After a couple of weeks, I chose "the one" for me.

I wanted to get the best price so I checked around on Amazon, eBay, Froogle, and PriceGrabber. My research led me to one merchant whose price on the camera was significantly lower than all of the competitors. The camera I wanted was selling for $269 at Amazon and $289 at B&H Photo, yet this merchant had it for $219. That merchant was TopChoiceDigital.com.


Before buying, I scoped out the website for contact information but couldn't find much. The website looked cheesy and I should have trusted my instincts and gone somewhere else, but this price was just too good to pass up! I went and ordered the camera from them.

After placing my order and completing the online checkout, I had this lingering bad feeling and decided to see what I could find on the company. A quick Google search led me to Complaints Board, Reseller Ratings, and numerous other sites warning people not to buy from TopChoiceDigital. Now I was starting to sweat.

Through user reviews and comments, I quickly began to understand the scam. It's a classic "bait and switch" technique. Once you take the bait and order the low priced item, TopChoiceDigital emails you and makes you call to confirm the order. When you call in, they try to upsell you on accessories. I felt I had made a grave mistake in ordering from TopChoiceDigital.

I ordered my camera on a Sunday night. Sure enough, I got an email on Tuesday that my order needed to be confirmed by telephone before it could ship. This defeats the purpose of ordering online, it is neither fast nor convenient! The telephone confirmation is the critical part of the TopChoiceDigital scam.

I had to call four times before I could get a person on the line, and this was during the middle of the day. The person who finally answered asked for my confirmation number without so much as a "Hello." He confirmed the model number of the camera and I asked for the final price. He quoted me the same price as the email I had received.

Just as I thought we were finished, the salesman asked me "You do know the battery that comes with the camera will only last 30 minutes, right? Would you be interested in an additional high-capacity battery today?" Aha! I was prepared for this, and politely told him no.

He persisted, and then tried to sell me a memory card. I told him I already had one and that I just needed the camera today. He scoffed at me and told me that the camera takes a new type of memory card and that these high capacity cards are not sold in stores! The man was flat out lying to me! Of course they sell them in stores! Best Buy, Wal-Mart, and Fry's Electronics all carry SDHC memory cards. I have seen 4GB cards for sale at under $30 in these stores. Not only are they widely available, they are fairly inexpensive.

I said no, no, and no again. This guy was persistent! He tried to get me to upgrade to a "battery, memory card, and cleaning kit" package plus the camera for $280. That's $60 dollars for accessories that are not necessary to use the camera!

He finally realized he wasn't going to upsell me, and then hit me with the clincher: the "required" shipping insurance of $13 dollars. At this point I should have just cancelled the order, but alas I did not want to be on the phone any longer and said "OK."


The camera finally arrived nine days after placing the original order. I bought a high-capacity Kodak SD card from Wal-Mart for $20.88. Since the date of purchase I have taken over 200 pictures with the image stabilization turned on, and the camera still shows 2/3 battery life remaining.

Everything the Top Choice Digital salesman told me about the battery and memory card was a confirmed lie. I knew he was lying because 1) there's no way a reputable camera maker like Panasonic would produce a camera with a 30-minute battery life, and 2) I read plenty of user reviews that discussed battery life on this camera in depth before buying. I knew exactly what I was getting.


I was very fortunate to have received the item I ordered at all. Other TopChoiceDigital customers have posted horror stories involving missing or partial shipments and fighting credit card companies for a chargeback. Don't let this happen to you!

The bottom line is this: DO NOT buy from TopChoiceDigital.com. They are a bunch of liars and scam artists and are not to be trusted. They will try to sell you accessories you don't need and add bogus insurance fees to your order.