Complaint Review: Kluger Marketing Group - K.M.G. - KMG - Houston Texas
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- Kluger Marketing Group - K.M.G. - KMG 4801 Woodway Houston, Texas U.S.A.
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Kluger Marketing Group - K.M.G. - KMG Ripoff Potential Pyramid Selling Cydcor Products Deceptive interviewing process Lying to interviewers Houston Texas
*UPDATE EX-employee responds: ***Let's Look At Facts Before Believing Lies***
*UPDATE EX-employee responds: FACTS DON'T LIE! PAUL KLUGER IS DANGEROUS! BUSINESS IS BOOMING AT YOUR EXPENSE!
*UPDATE EX-employee responds: To lucky: you made the right choice!!!!
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I will start by saying that I was never an employee of Kluger Marketing Group, but I'm glad I found the various websites showing the company for what it is (or belongs to). I did, however, go through the whole "interviewing" process to the point of being hired, and was fortunate to spend time learning more information from the internet.
First, if you are reading this and considering employment with KMG (Kluger Marketing Group) in Texas, I suggest you search more on the internet for "Paul Kluger" (owner) and R3 Enterprises (his partiner sharing office space). Paul and Rob Reger (the owner of R3) both have been involved in some suspicious run-ins with the law, both from Florida, and both doing the same pyramid-like scheme to make money. Rip-Off report shows much of this, as well as several other web sites. Just do your homework. If you want to try the job, be my guest.
So, the first question to ask is, would you want to work for either one of these individuals? Based on all the reports? While some reports indicate that these companies and Cydcor / DS-Max are great places, the majority indicate otherwise. Why play russian roulette with your future? I now feel like a dodged a bullet by not taking the position I was offered... and if I had taken it, I'd be in financial hell in month or two.
Like many people, my interview last about 15 minutes. I hardly even spoke. It was mostly the owner/manager talking. I was asked back for a second interview (an all day interview, supposedly) where I would be in the field with a trainer on the job. I was told I was 1 of 400 applicants, and "wow" what an opportunity this is. They do over 70 interviews a day, and I was one of the lucky ones chosen. (What company in the world does 70 interviews a day? Everyday? Every week? Could it be a company that can't keep employees? Could it be a company that wants to grow outrageously fast so the residuals of sales peak and then the company closes its doors?)
On full-day-interview day, I arrived along with several other people. One fellow was chatty in the lobby, and asked "You know, I'm still not sure what this job is even about. Do you know?" I responded with some canned-stuff from the website saying it starts out as sales and then you move up into management. But, it goes to show that during your first interview, you learn nothing about the company. Interestingly, I could hear the other employees of the company all chanting and clapping in the next room. Lost of screaming and applause. This seemed a little odd to me. After further research I learned this is their "pump up" before going out and selling office products to unsuspecting businesses.
I was assigned a trainer to "shadow" for the day. Several times I caught this trainer lying to potential customers, but I didn't want to have a confrontation over it. Some examples: giving the wrong low prices in the beginning, filling out the paperwork differently, and then hurrying through the process to complete the sale so the customer won't know. Also telling customers he doesn't work on commission and he's a salaried employee, when later he tells me everything is commission based. Quite often giving out his "ID number" to people who already buy Quill products, because they will get special discounts. When I asked what discounts, he said there were none, actually. Its just a way to get his ID attached to a customer.
We stopped for lunch, and this "Campaign Manager" could not afford a restaurant that changed $8 for lunch. We ended up eating fast food for a dime. This is the first time, ever, that I've been on an "interview" in which the interviewer didn't treat me to a reasonable meal at their expense. So, this is my future in the company? Being so poor I can't eat anywhere but taco bell or subway? My interview also drove a well-worn-down vehicle that literal was on its last legs. A true junker.
So, all day long we walked from business to business trying to sell paper. Paper paper paper. All total I think my trainer made 1 sale for less than 100 dollars. Commission take-home = $20 or less. Thats about 2 dollars per hour!
Plus, I was told that all expenses (milage, fuel, food) you have to pay for yourself, but you can write-them-off on taxes at the end of the year. I'm poor already. What good will a tax write off be to me a year from now? Is that going to help pay my rent this month? If I'm making $2 per hour (like this trainer was), how could I possibly pay the bills? No wonder he couldn't afford to eat at a decent restaurant.
Finally, at the end we returned to the "main office", and had a short discussion with the owner. I said all the right stuff, because I still half-believed it, and even offered that I could start the next day. I was hired. I was told to be there at 7:30am, and plan to work until 7pm. Whats with the 12 hours days?
Fortunately, I talked this over with my girl friend and she pointed out the oddities. The miserably low $200 "training pay", the out-of-pocket expenses for travel and food with no reimbursement, and the suspicious behavior of the trainer as I described my day. When I explained the various levels of promotion from "Account Executive" through "Owner", I realized this sounds familiar... That an old friend of mine doing AmWay told me the same stuff. How I could sell this stuff, get a few people under me, and move up to make 6 figures within a year! Hmmm.... Pyramid?
Anyway, after doing research on Cydcor and KMG and R3 Enterprises, I decided it wasn't worth the risk for me. That in the end, the "Entry level management" was really doing door-to-door sales with practically no pay and definitely NOT SALARY as I was told... Its just commission sales.
For the right person, you might do well in this kind of company. For me, I chose otherwise. My only advice is do your research.
Lucky
Houston, Texas
U.S.A.
This report was posted on Ripoff Report on 03/20/2007 11:21 AM and is a permanent record located here: https://www.ripoffreport.com/reports/kluger-marketing-group-kmg-kmg/houston-texas/kluger-marketing-group-kmg-kmg-ripoff-potential-pyramid-selling-cydcor-products-dec-239860. 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. Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report. READ: Foreign websites steal our content
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#3 UPDATE EX-employee responds
***Let's Look At Facts Before Believing Lies***
AUTHOR: Rose - (U.S.A.)
SUBMITTED: Wednesday, November 12, 2008
It is funny to me to read all these lies and ridiculous allegations about Kluger Marketing Group. As an ex-employee who worked with this organization for almost 2 years, I can tell you everything on this website is non-factional. Let's start with some FACTS:
*They are contracted out ONLY by FORTUNE 500 companies to handle all of their Business to Business sales, direct marketing, and Consumer sales. Fortune 500 companies that contract out KMG and other companies who are affiliated with KMG, include Staples/Quill, Innovative Merchant Solutions (Quicken/Quick Books), Bell South, AT&T, Direct Energy, Verizon, UPS, eBay, Monster.com, Yahoo Hotjobs, and I could keep naming other giant corporations. Don't you think that Fortune 500 companies check out businesses and their executives before they allow them to represent their company and marketing, putting their reputation on the line? The Fortune 500's even send KMG their products, catalogs, sales flyers, coupon cards, and tax papers to run their marketing campaigns. I don't know about you but any intelligent person would know that Fortune 500 companies thoroughly investigate and compare companies before awarding a contract to use their name and represent them. They chose KMG/PMG and the reason why is because their company was ranked No. 1 in client trust, vendor preference, and operational value-add, end-to-end sales outsourcing vendor assessment, according to the Black Book Outsourced Sales Services Survey, produced by the Brown-Wilson Group, Inc. They conducted this survey on the top 56 outsourced providers.
*As an ex-administrator of this company, I was in the office all day. I have talked to the client myself that contracts the direct marketing/outside sales to KMG/PMG. I have also handled payroll and have seen marketing reps make well over $1,500.00 in a week. In my first 7 months of working at KMG/PMG, I saw many people get promoted to executive management.
*The key to getting promoted to management is following the system that is taught, being AMBITIOUS, OUTGOING, and DRIVEN. Not everyone can do this type of business, not everyone is meant to be an executive. It takes a special individual. As a top recruiter and administrator for PMG/KMG, my job was to find the few individuals that wanted to open and run their own office. I have seen how much money is POSSIBLE in this type of industry and organization and it is NOT a scam. You just can't be lazy and expect someone to hand you an opportunity or a business.
*KMG/PMG is a company and organization based on integrity, honesty, opportunity, dreams, and teamwork. My uncle owns a multi-million dollar real estate company and he always told me that there is nothing like owning your own business and he stressed how much elbow grease it takes. I am the type of person that believes you have to make your own success in life and you determine your own destiny. If you see an opportunity, take it and run with it. That is exactly what KMG/PMG is all about. They hand you an opportunity and the only thing that is asked is that you put in the hard work for yourself and do what is necessary to reach your dreams. I don't think that is asking very much.
*I have worked alongside Paul Kluger, and I can promise you that he is NOT dangerous whatsoever. Whenever I read all these lies I can't help but laugh because Paul is like no other boss that I have ever had. He is always willing to help, always motivating you and keeping you focused on your dreams and how to reach them. I have never met a person that has so much integrity, that is honest, and goal-oriented as Paul. He was always calm, happy-go-lucky and enthusiastic.
*I have been to national conferences, Leaders Meetings, been to other offices in the area. I would think that if this company is such a "scam" that there would not be 200+ offices across North America and Canada. I have met Organizational Consultants that have been in the organization for 10-20 years. The Chairman of the board for all of the offices is David Pottruck, who is the former President and CEO of the multi-billion-dollar investment company Charles Schwab and a current professor at the esteemed Wharton School of the University of Pennsylvania. Do you think he would associate himself with a company that is a scam?
*So let's be intelligent people and not believe everything that we read on the internet. Make your own intelligent decision. If you look up AT&T, YMCA, Wal-Mart, and other major companies on this website, you will see that ignorant individuals have written allegations that these major companies are scams as well.
*Conclusion -- KMG/PMG is not a scam and Paul is not the devil in disguise. But this type of business is not for everyone and not everyone can do it. The ones that can't do it feel it necessary to find a scapegoat.
#2 UPDATE EX-employee responds
FACTS DON'T LIE! PAUL KLUGER IS DANGEROUS! BUSINESS IS BOOMING AT YOUR EXPENSE!
AUTHOR: USA - (U.S.A.)
SUBMITTED: Wednesday, April 25, 2007
FACTS:
UF ENGINEERING STUDENT CHARGED WITH STABBING FOUR, FEBRUARY, 2001. ALACHUA COUNTY, FLORIDA. NEWS ARTICLE ON ALLIGATOR ONLINE.
CHARGED WITH POSS OF CONTROLLED SUBSTANCE WITH INTENT, SEPTEMBER, 2002. PALM BEACH COUNTY, FLORIDA
CHARGED WITH TRAFFIC OF DRUGS WHILE IN POSSESSION OF FIREARM WHILE COMMITTING A FELONY, FEBRUARY, 2004. PALM BEACH COUNTY, FLORIDA
CHARGED AND ARRESTED FOR DOMESTIC ABUSE BY STRANGULATION, MAY, 2006. OKLAHOMA COUNTY, OKLAHOMA
ILLUSORY INTERVIEW KFOR JULY 2006 OKLAHOMA
OKLAHOMA CITY -- There is a warning from a recent college graduate searching for a job in marketing and promotions. She believes an Oklahoma City-based company is misleading potential employees.
After the job interview the young woman had some questions and started digging around. She didn't like what she found, but her digging made the company owner mad enough to threaten her.
Tristan Dennington found a website, RipoffReport.com and it's postings about direct sales marketing groups like the one she'd just interviewed with in downtown Oklahoma City.
Tristan says, "Everything was vague. [The interviewer] kept saying direct marketing, things like that and at the very end I said, "is this a sales job?' He said no, not a sales job at all. Later I found out it's a door-to-door sales job is what it is."
That's not what she wanted. She felt mislead and posted her own opinions about her experience online. That's when she says the owner, Paul Kluger, called her. Her husband Garrett called him back.
"If he wanted to talk to my wife about something that she posted online then he needed to reply online and not call. He doesn't need to be using a resume he has on file to make vengeful phone calls," Garrett Dennington says.
Then, Garret says, Kluger threatened him.
"Then he told me, I just want you to know, I'll be contacting a lawyer and filing a lawsuit for slander against your wife,'" Garrett says.
NewsChannel 4 looked into Kluger's background and found out he may have already contacted a lawyer, but in a different case. It was after his arrest for domestic abuse by strangulation.
The police report says sometime on May 29th, at an apartment, Kluger grabbed his girlfriend by the throat and slammed her head against the fireplace mantle.
NewsChannel 4 tried for nearly a week to contact Paul Kluger, by phone, through e-mail, and even made a trip to his office downtown.
He did call me once and left a message. I called back and left another message. However he hasn't returned my calls or e-mails since.
FACTS DON'T LIE! STAY AWAY FROM HIM! HE HAS YOUR INFORMATION! THE NICE GUY IS A FRONT! IF YOU KNOW THIS BEFORE YOUR JOB INTERVIEW WOULD YOU ACCEPT THE JOB? KMG, PAUL KLUGER DOES NO CREDIT OR BACKGROUND INFORMATION CHECK! WHY? NOW YOU KNOW!
#1 UPDATE EX-employee responds
To lucky: you made the right choice!!!!
AUTHOR: Adan - (U.S.A.)
SUBMITTED: Tuesday, April 24, 2007
Unfortunately i did not,
About me:
I recently had finished college this past year and was eager to start the next phase of my life. My first job was with Kluger marketing.
Interview:
I went into my interview , dressed properly and ready to please. Paul seemed like a very nice man. Kinda boyish looking, but always smiling and seemed really interested in hiring me. he talked about how great the job would be and that i would receive a call if they decided to hire me. Also the interview was similar to what people had mentioned on here before. he had bells and gongs, said he like to keep a happy work office and party all the time. Sounded like fun and I needed a job.
Day of O:
Happy that I finally got a call back. I returned eager for the second interview and we headed out with a trainer named Carla. She really pushed that this was great business and the commission is a lot better then salary. I was pleased with possibility of working, since all i had been doing was attending school. We spent the day out I must admit, it was boring. we walked door to door in a cruddy area of southwest Houston selling paper. Lunch was held at a small Mexican restaurant around the corner. Here, she did the "breakdown" of how much money I'll make and where I can go. By the end of this year, I should be running my company. They even listed and average pay for account executives. Neglecting , the fact that if you sold nothing you get nothing. We returned to the office after along day and I had my final interview with Paul. I accepted the job and was hired.
My two weeks:
my first four days were training with people who were "corporate mangers" The next level of the scheme. Mornings consisted of "meetings" which were playing kids games like Quill Olympics, fastest fingers, etc. F then about 15 to twenty minutes of practice pitching with ink and paper being the most common items to sell. Then Paul would come into announce top sellers for the previous day and gives us a pep talk. After that we headed out on own with out sales pack. Luckily, I did not get the ghetto like my fellow employees. I got downtown, which I liked except for parking.
I cruised the office building and this si were reality kicked in. I had to make friend with people I Didn't know, Introduce them to a company they hate or never heard of, and sell them stuff they don't need. Of course, my trainers told me about the wonderful opportunities I would receive and how lucky I was to have this job. I returned to the office around 5:30 and we're encouraged to hangout. After being at work all day I wanted to go home. I also never went to any of the crew nights. Music would be played loudly and people would talk about how many sales they made for the day.
Thursday , we had to come in earlier for business meetings. These meetings mostly consisted of small business talk and how we are entrepreneurs and thats whats going to get us to the top. I really put up with this job and tried it. I did this for about two weeks till i got fed up and quit.
Quitting:
I decide to quit because it wasn't working out for me and did not want to go back into training. I gave them my stuff, thanked them for the opportunity and left. There were some good people there and for the most part, at least until I read here, Paul and Rob were really friendly and kind. I still wonder if there open and sometimes wanna drive by. I only recently started reading all these reports and learning about the true nature of these people. Rafe Diaz was referred to as an excellent employee and good guy, yet, all I read about is what a crook he is. Same thing for Paul and Rob.
Suspicions:
Before quitting my job, I began to have doubts and questions. Questions I should have had before I started, but i was naive and needed a job. Paul had claimed to made so much money and that he would show you his w-2's to prove it, yet I found out he had roommates and shared a house or apt. Why would someone making $300,000.00 a year have roommates? We were encouraged to hustle money and had to give presentations on tactics, such has " the Jones effect or playing to people's vanity. Rob even told us about how , to his customers he has owned every single dog in the world.The turnover rate that you have read about is true. We had a girl there , that came to work for three days , made really good friend with the top seller and then never came back. Interviews where being conducted constantly. Paul had also stated how NIKE, NetFlix, and all these other fortune 500 companies were dieing to work with us, yet we sold office supplies.
Final thoughts:
I agree with Lucky, for the right person it can be quite lucrative and my understanding was, that some people including Carla, were fast tracking to promotions. for the majority of people ,its not their cup of tea. One out of ten can probably do it. also, not the the people who were the best at this job were professional bs'ers. If anything this job taught me that things can be to good to be true and you really need to weigh the pros and cons of the job. I hope this helps people in making their decision on the job search.
Ex-Account Executive,
Houston, Tx
U.S.A
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