- Report: #215579
Report - Rebuttal - Arbitrate
Complaint Review: Directbuy
Directbuydirectbuy.com Hunt Valley, Maryland United States of America
DirectBuy ripoff What it costs to break even on membership Hunt Valley Maryland
*Consumer Comment: Not a ripoff exactly - but predatory nonetheless
*Consumer Comment: ripoff is a little harsh
*UPDATE Employee: Each DirectBuy is different
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With the information that I was able to obtain while I was there ( 2 hours ) I have come to the following concllusion.
With a member ship fee of $4,500.00 for the first three years and $199.00 for years 4 through 10. The minimum break-even point would be aproximatley $20,000 in purchases through DirectBuy assuming the best case, worse cast (depending on the discounted amount of the murchandise)would yield a break-even point at aproximatley $49,000.00. Thats is $20,000 to $49,000 just to get to the point that you actualy start saving money during the first 3 year $4,500 mimbership fee pluss DirectBuy added costs. My caculations do not take into sales tax.
I am confident that the DirectBuy Franchise System throught the country opperat at about the same level of fees and costs. I am not saying that someone can not save money using DirectBuy. But rather at what cost. Sales people can manipulate numbers to creat the outcome that will entise the customer.
If DirectBuy were to lay out the actual fees and costs of purchasing demonstrating a realistic projection of actual amounts meeded to be purchased through their system, I dought that many would come to the sales presentations much less actual join after being shown real cost benifit ratio of their projected membership.
I have a backround of 35 years in sale and bussiness, and a sound backround in math. I didn't just off the back of the pumpkin wagon. Needless to say I did not join DirectBuy on my visit.
The best purchase is an informed purchase.
Harry glen arm, Maryland
This report was posted on Ripoff Report on 10/13/2006 10:47 AM and is a permanent record located here: http://www.ripoffreport.com/r/Directbuy/Hunt-Valley-Maryland-21030/DirectBuy-ripoff-What-it-costs-to-break-even-on-membership-Hunt-Valley-Maryland-215579. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.
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