Specialty Merchandise Corporation SMC hidden cost rip-off *REBUTTAL

REBUTTAL:
From: lisa.jensen@abnamro.com
Date: Fri, 20 Jul 2001 10:39:58 -0400

I found your information about SMC online. I disagree with most of the things you say.

I have been with SMC for one year now. No, I havent made millions, but then again, I never thought I would.

I agree that you can not start for only $25. The $25 that they refer to is a PAYMENT toward the membership price. You indicated that it is $299.95, which is not true. I got a trial membership for only $99.95. I wanted to make sure it was worth my time. I then renewed this year for $150.00, which now makes me a lifetime member with annual renewals of $24.95.

I did not have to order $300.00 in catalogs. In fact, I only ordered 6 catalogs for a couple of bucks. No one has to buy a ton of catalogs. I skipped doing that because of the postage costs to mail them to potential customrs. Instead, I took the 6 catalogs and passed them around my office. I had three orders the first day.

The shipping does take 7-10 days for delivery after 48 hours for
processing. However, being a catalog gift purchaser, I can say that it takes far longer to receive something you have ordered from Harriet Carter, Lillian Vernon or Miles Kimball catalogs.

I will partially agree about the customer service. On the phone, I have never had a problem. Online is a different story. I am not home during the hours in which customer service is open. So email contact is critical to me. They take forever to respond to letters, or emails.

They filed the following to the above Rip-Off Report:

Their email: kut1998@aol.com
Their name: Vickie Kollaja

Their relationship to the company: Consumer Suggestion

Rebuttal:
I too joined SMC in 1998..It cost me 375.00 and the 24.95 first payment. I made monthly payments of 35.00 for the balance of 375.00. The membership fee was 19.95..now it is 24.95. The fees are changing.. as for the 150.00 membership fee to become a life-time member.well that is news to me? I suppose the money amts have changed since 1998.. Yes, when I had orders placed..from customers..the product was sold out... and not to be in
stock.. I had one customer who placed a 200.00 on some artifical Trees from the catalog..guess what they do not have the trees. How can you make any money...when there are no products. I have only done a little with SMC since 1998..but i will continue to pay my membership fee..yearly.. I cannot let 375.00 go down the drain..

I've been with SMC since 1997. They haven't made me a millionaire, and I have had some minor problems in the past with customer service, etc.however, they don't promise to make you a millionaire. They don't promise anything. I never heard anything about a free website. I had to buy my own, but it's been worth it. My whole point is that you don't get something for nothing. Everything in the SMC infomercial, and the tapes that come with the intro packet let you know that you have to actually work to make this program work. The quality of the products does leave something to be desired sometimes but I can usually find some good deals and I pass that savings on to my customer base. I am choosy about what I sell, and I can always find something in the SMC catalog that fits my needs. Bottom line, get your head out of the clouds, or sand, or wherever you stuck it and realize that you have to work to make your dreams come true. No one is going to do it for you.

Look to me like you are all missing the boat. Individuals can indeed join SMC for ONLY $24.95. If you all read the material you were sent, you would have noted that there is info pertaining to sub-wholesales. Sub-wholesales can join for only $24.95. Of course there are draw-backs to being a sub-wholesalers, one being you pay more for the products that you order. Remember one thing, you get what you pay for. I have been with SMC for something like 5 years now and I have only one complaint. The product line is of very poor quality making it hard to market. That's it.

#1.) Read and listen to SMC information carefully. Don't let your personal greed cloud your good judgement.

#2.) Contact SMC and ask questions, see what deals they are offereing, etc.

#3.) Check the site for availability of products.

#4.) ALWAYS check quality yourself FIRST, before you put it out to your customer base.

I joined SMC January, 2002. My initial investment of $395.00 AND my approximate grand of products COMBINED with another grand of various products from other vendors has paid off nicely this year.

I have an independent website, which doesn't generate many orders - however, that could be due to economy and competition and a few other things.
My flea market business has been phenomenal this year though.

Often I generate sales through catalogs I MAKE off of my computer and send out, so I eliminated that expense - almost.

I also plan on doing home decor parties this winter based on some of the products I have in my own home.

As far as SMC customer service goes, I've received broken items, etc. and have always been directed to a live human, have always had my issues settled, and have not had a problem.
I agree about the long time to answer emails, but that's not a problem for me, as this IS my job, so I have the time to call.

Some of the complaints I've read here about SMC give me the impression that the people are greed motivated, and that they think the products should sell themselves. Not too many products sell themselves, despite what others would have you believe. In any endeavor in life, it takes constant awareness , motivation and the desire to succeed.

I have been a member of SMC for over 18 years and like many of you, in the beginning I followed every recommendation they suggested and actually spent several thousands of dollars in purchasing their catalogs, phamplets etc., doing mailings to mail lists, friends, relatives etc. I also spent time making cold calls on retail store outlets in my region. Needless to say, I lost thousands of dollars and spent a lot of time trying to market products from catalog that clearly says "WORLD OF PRODUCTS" right on the front, in big letters.

You will find that almost everyone you send the catalog to or try to market too, is familier with the catalog and knows exactly where it comes from - SMC. They either belong to SMC or have a sister, brother or someone who also is a member.

Every single retail outlet I called on, had the same catalog on their bookshelf and was a member of SMC. They also had many other catalogs from other wholesale suppliers they purchased merchandise from and they get the same or better quality products for less money than what you will find in the white pages from SMC.

I have another full time job so this is a sideline for my wife and I so we now use the catalog primarily for buying gifts for Relatives, holidays etc. and we are very selective in the products we purchase from SMC.

I have written to SMC many, many times and always get the same canned response of what a great business this is. They never really answer my questions or provide any constructive help. I have strongly recommended to SMC that since the business I run is mine, that the printed name on the Catalogs should be the name of my company, and not say "World of Products". They need to eliminate any reference or connection to SMC.

I would like the catalogs I purchase to say "ABC Gifts" on the front as an example but they will not offer that option because they know everyone in the business of selling this type of product knows immediatley who "World of Products" really is. It's SMC Corporation not ABC Gifts.

Recently I thought I would explore their offer for a web site through www.emerchantclub.com but no one has ever replied to my requests. Perhaps because I ask to many questions like - What will my Domain Name really look like? Will it include SMC as a link in the name? Show me an example? Give me the web address of other sites so I can go to them and see exacley how they respond? How much memory will be allocated on the server to my site? Can I manage the site myself? If emerchantclub is going to handle my customers purchase transactions, how secure is the site? What exactly are the charges I would incurr and many other questions still not answered.

Turns out, emerchantclub.com is owned by SMC. If SMC is going to market their products with promises that it's your business, they need to make available catalogs, web sites etc. with only your company name, not "World of Products" or any indication that SMC is behind the catalogs, brochures, products or the Web Site. Yes, they need to process the orders effeciently and in a timely manor and if they have a web site for you to use (don't know yet) they need to make sure it's "YOUR" web site with no links or names in your web site name or address that links SMC to your customers. My web site should be www.ABCGifts.com as an example. Not www.smc.ABCGifts.com. It's not really your site if they include SMC in the address. They can hide those links but of course they probably want anyone that buys from you, to know the SMC link so your customers can go directly to SMC thus bypassing your store front or Web Site so they get the business directly.

I have also asked SMC to make available all the catalog product pictures in such a way that I can put them on my own web site but still no answer. I am hoping SMC and emerchantclub will respond with some possitive information so that when I reach retirement age, I can make some extra money.

If your listening SMC please respond. You could make things better for your Members.

I have only been in SMC for 3 months and have a full catalog website and an overwhelming response to my product line.

Bill, if you want me to believe that you couldn't get any response to your requests for an e-commerce website I would have to say you're probably a disgruntled loser who's crying because he purchased an SMC membership and is disappointed that the whole world is not knocking your door down to give you oodles of cash.

SMC has made no promises they can't back. One of the first things my E-commerce website salesman told me was "Don't buy this thing if you're not going to work it. This website is exactly like a retail store anywhere in the world. YOU have to make something out of it. YOU have to move merchandise around in it,add new products to it, change the layout for the seasons and holidays and customize it to give it your own feel.You have to run specials and promotions and ADVERTISE ADVERTISE ADVERTISE!!!"

To answer some of your questions, Bill I have to tell you first that nobody knows my website is SMC oriented. There is no SMC logo, no link to SMC whatsoever. If I decide to delete every single item of SMC merchandise off of my website right now and sell used egg crates nobody in the world can do anything about it. THIS IS MY WEBSITE! Bought and payed for. Is it expensive? Yes, it is. And you have to hire some search engine enhancement team to get you visible on the net. Also expensive. Monthly operating costs are moderate and easily paid for.(for me)
I really like the website to help people check for the availability of merchandise and to easily spread the word to others without having to part with their World of Products catalog. I understand that many of the products are out of stock. That frustrated me at first. ABC, and all the other catalog sales companies have the same problem. Back order, back order, back order, it's so common. SMC has some merchandise that is so coveted I can never buy it! These items are gone as soon as they're put out on the market. I blame those dang flea marketers and jewelers who buy in bulk. SMC merchandise in flea markets is so hot you can't touch it. Gone in 60 seconds!

And finally, Bill. I started my SMC membership with $25.00 Just like they said I could. I paid my membership off after 70 or so days and now get 10% off all my purchases.

But the coolest thing about SMC is this. I had an SMC coach named Maria. I don't think I ever spoke to her because I never returned HER calls. She called several times a week to ask me if I needed her help. My wife kept asking me when I was going to call her so she'd quit calling us! But I was busy selling products and didn't have time to respond. And incidently, nobody has yet to ask me if these products are from SMC. Nobody knows. I didn't understand why until I realized that everybody else in the world is not me. They don't know SMC from XYZ. And I understand that you might think SMC products are not high quality I feel the same way about some of them. But I am only one person. Many people are CRAZY about most of the things I felt were of questionable quality. Let the customer decide. With SMC you get what you pay for. If it's cheap you won't pay much for it and you shouldn't make your customers pay much for it.

Finally, I understand that many retail stores know about SMC products or say they do and are reluctant to sub-wholesale. That doesn't mean you cannot make money. If you buy a Burger King franchise, you can't sit around and whine because there's 12 other Burger King's in your city because you'll be too damn busy selling hamburgers!!! ICONS make money!!! Be an ICON!!

I Just started with Smc in November. I have had so much fun and cannot believe you think that the products are of poor quality.

I signed up after reviewing EVERY single piece of literature that SMC sent to me. I recieved several offers for discounted membership fees and decided to try it. I ordered my starter kit,( knowing full well what to expect) Then read through it all, watched all of the videos and then called my Coach "Belinda".If you work the business exactly how they tell you to...you WILL have results.

I purchased a $50.00 catalog kit a $50.00 Christmas kit and they arrived within 5 days (I live in zone 2 and all of my orders have been deliverd in 4 to 6 days from ORDER DATE)Every single order.

I immediatly sent out invitations to a Christmas Shopping Party. I had 2 in one week. I sold over $2,000.00 worth of merchandise. Yeah!
I also have two Salons carrying my products. One salon sold almost all of my inventory that was in that store in 1 1/2 weeks.

I am having fun and making money. Am I a millionare? no,but I'm doing finacially better than I was before I found SMC.

I have always had my questions answered properly and to my satisfaction.I am very happy that I decided to WORK this business. I just wish that I had done this a long time ago.

You have to remember,inethis is a busss and you have to treat it as such.You have work it.There is no such thing as "get rich quick".(Unless you inherit it.)

I was an SMC Dealer for over 5 years. I did not get rich, because I had a second full-time job, but I had fun trying. I called bingo for over 15 years that helped sell alot from the catalog. I was a volunteer in a Veterans Hospital, sold lots there too.

Never had any complaints from customers. I have been away for over two years from diabetic medical problems and trying to get Social Security Disability, but I ant back in now. Yes, I paid the original $25.00 and soon full membership later. I read all the fine print and with me with only a G.E.D., I understood what I was getting into, and even if SMC lets me come back and needs to re-charge me full membership I will pay.

Am I a sucker for punishment, no just a satisfied customer. And know that I am only allowed to make up to $840.00 on social security, I am still ready to push forward. For those who thought or think they were misled maybe they should try the lottery, that I have spent thousands on and I am not a millionare from their offers.

I own a Flower and gift shop. I was exciting to see this young woman come in to our shop with a new line of garden products.

Everything was ok at first. But our orders started taking LONGER AND LONGER to get here. I am STILL waiting on an order we placed back in july . NOW 3 months later we still do not have our order.

She keeps being told by SMC/worlf of products that my items are out of stock.

I had purchased a bird feeder from her this past summer that didnt last ONE day. The wind hit it and it went into about 100 pieces. So the quality on the products is not the best.

I have a business to run and dont feel that 3 months is a timely shipping rate. These products are no good to me now. As they were seasonal and i needed them months ago. I was thinking about joining SMC to expand my product line in the shop untill i found out it was also world of products.

Just goes to show you get what you pay for. And as far as the membership fees. I have no doubt that some of you paid $99.95 but - after they call you at home a million times and lower the price untill they get you to join. NOR do they tell you you have to renew YEARLY. GODS SAKE for the money you shouldnt have to keep paying ANYTHING. You are selling their product and making THEM money you shouldnt have to keep paying for membership.

I am glad i didnt get sucked in!!!!!!!!!

I ordered the whole enchilada with SMC and the "business coach" I spoke to promised me Gift Cards with my Gift Card site. He said, "It will cost you $1495.00 to get a Gift Card site and we will give you $2900 worth (retail) of Gift Cards, I told him I wanted a better site than thayt, but he said that I would get a complete credit to "upgrade my site"

I was ripped off for more than $700. I did not receive what was promised at all. Before I knew it I was in to this for more than $7,000.00.

It seems to me in everyones report there are different dollar amounts for different things. I paid the lifetime membership of over $300 and I also paid for a $5,000.00 website and $1500.00 in catalogs. I know about hard work and word of mouth, but I have not even been in this company six weeks and the two employees I have dealt with have been scam artist. Specialty Merchandise Corporation has promised and sold a bill of goods... not because they said anything to me about getting rich quick, but because they absolutely did not deliver to me what I had ordered through them on the phone.

The second order was placed within days of the first and finding out the first "business coach" scammed me I complained and the second person could not seem to find a supervisor, but assured me he would take care of the situation. After spending several more thousands of dollars to get a full complete website I was promised even more that was absolutely not delivered. Fortunately, I have this on tape and have taken this to the labbb.org and contacted an attorney.

If you decide to deal with SMC, please realize that some of these reports may not be real. Take your time... do not be fooled as I was, get absolutely everything in writing, create your own website by contacting someone in your local community. If in fact you do discuss things over the phone, please do yourself a favor and record the calls letting them know you are doing so.

Good Luck! signed: loser of $7,000, but attempting to get it back!

I don't know when you got a $99 special because I just "sold my soul" to them to the tune of $29.95 per month (forever) for the website and another $24.95 every month for 2 years!  for that I received 6 catalogs and a "training manual".  

The stuff in the catalogs looked like the stuff I can find in a thousand other catalogs that are out there.  I was told that they opened at 7 a.m. so this morning I called.  I was literally on hold from 7:00 a.m. until 7:49 a.m.  I could never get an actual human to speak with.  I then hung up and went to their "cancel membership" number.  I got a recording that was so quickly spoken I had to listen to it 3 times just to be able to write down the info the robot was giving me.  However, "she" didn't tell me if I will be given a refund or if they will continue to take this money out of my account each month so again, I tried to speak with a person and was on hold for another 45 minutes until I got fed up and hung up.

I'm not saying this company is a rip off.....I'm saying I am not in any way impressed nor am I happy with them.  Most importantly, I would never recommend them to anyone.  

If this is how they treat you when you first join....God help me later down the road.  I am beyond disgusted and frustrated with them.