Showing posts with label scams. Show all posts
Showing posts with label scams. Show all posts

Business in Bad Faith

A Crumbling Corporate-Consumer Relationship
Scamming today's consumers appears to be an increasing and ongoing trend in the manner of doing business. Consumers are being abused at various levels of marketing, sales, product quality and support. It is a common buyer experience to make a purchase only to discover that it is not as was presented by the seller, and that there is little or no recourse. Nor is it much of a corporate public relations concern anymore - everyone else is doing it and there are no repercussions worth worrying about.

More often than not, with costly transactions it is not impossible to find someone to write to, or to complain to in person. If there is, frustrated purchasers are easily turned away with scripted words of fluff.

"... the advertisement meets all legal requirements."
"... subject to the ethical standards in the industry."
"... our intent has never been to mislead and I believe our practices are . . ."

Purchasing products or services that increasingly turn out to be much less than what was expected for the price, or just no good at all, is part of the business model. It is commonly expected and too often accepted by shoppers. A tricked buyer's only reaction might be; "It was stupid of me to fall for that one!" And the retailer rings up another bit of profit in yet another underhanded transaction.

So many clever and deceitful techniques flourish in the market place with new ones appearing regularly. Double-dealing is a creative booming business.

I have read of large retailers that were fined for unethical marketing practices like bait and switch. In this scenario you are attracted to a store by an advertisement for a bargain-priced product. Even though you rush to the store on the first day of the sale you discover that the product is sold out or otherwise not available as perceived in the ad. While there you may be tempted to purchase a similar product at the regular price; they expect.

Not much hinders business from using dirty tricks in marketing. On the rare occasion where they are charged and fined the public is unaware. The company will simply tweak the sales technique for the next ploy, to its advantage.

There are many sleazy methods such as deceptive ads, displays and price tags. One must study the complex words and look for double meanings. And then there is the use of fine print that is immensely popular with corporate marketers including many of the largest, most successful companies.

The communications, credit and some large retail corporations quickly come to mind as leaders of the pack.

Admittedly there are still a great many shoppers that do not pay attention to price at all and gladly pay top dollar with little concern if the item or service is overpriced or unsatisfactory. These deficiencies are the retailers' advantage and if it does not work out these customers simply buy something else. The rest of us feel cheated and are upset. We know from experience that an adjustment or rebate may not be a possibility or is not worth the annoying effort required in dealing with the issue.

Such is our free enterprise system, allowing business almost freely to take advantage of individuals. But heck, it's good of commerce.

But that's the way it is, and that is the direction in which a more or less self-regulating market has taken us. And it will continue as sellers want more sales and profits and the competition is vigorous. It is unfortunate that there is little negative publicity about bad business ethic and the dwindling consumer reaction. Thank private media and owners. Shoppers today expect bad treatment in certain industries and must be studious and alert or be sorry.

So the business-consumer relationship continues to evolve in a very negative way.

The 'good old days' is somewhat of a misnomer because so much in our lives is so much better now than then. Some things however, are very much worse.

55 years ago I had just purchased my first car and I was ordering insurance for it, over the phone. After supplying the details to the agent and completing the transaction verbally, I then asked how they considered the information adequate and truthful when not related to them in person.

He replied that the transaction was conducted in good faith.

As I recall businesses were more trustworthy back then and customer complaints were taken seriously. There were easily accessible complaint departments and public relations personnel. A familiar store motto was; "The customer is always right."

Where have these nice business principles gone?

What is good faith? It's trust of course, but what we have in our present day consumer world is bad ethic and greed. I don't long for the good old days but it's time for a corporate trend back to transacting honestly and kindly and in good faith. Positive change will not be happening until the nature of government changes to reflect a deeper interest in citizens rather than in corporations.

Free Enterprise: Free to conduct business and maximize profit in any creative manner, preferably without being convicted of breaking the law. - Grampa Ken

Related articles on business ethics.   Short url link to this article = http://goo.gl/uxHu2


Sellers shrewd, buyers stupid?

Cunning, deception, lies. Business marketing to consumers has taken on some weird aspects that appear pointless or senseless. What's peculiar though, is that some of it must be quite effective as they commonly appear in advertisements and transactions. And worse, the pettiness often crosses the line to crass double-dealing.

Trickery and deceit are some of the marketing annoyances shoppers experience today. Much of it is foolish and laughable, some quite maddening. As old ideas wear out they are being replaced with trickier and fiercer methods to win the consumer. Always creative in new ways to attract a sale, ridiculous to nasty selling techniques are popping up like dandelions.

Selling the consumer in ways gone mindless.

Are they stupid? Do they think we are? Are we shopping stupid?

Consumers mostly don't seem to care about the deception that is generously scattered throughout the shopping environment; it has become part of the scenery. Shoddy products and services, excessive misleading advertising, in-store sales trickery, hidden costs, fine print, credit gouging. It's just the way it is. The use of sly corporate retailing methods will continue to increase as the need for profit is always strong, and as long as we appear complacent and go for the bait.

Funny, annoying or exasperating. Words I've encountered in the shopping world.

FRESH IMPORTED. It was fresh when it was picked and packed.
FRESH BAKED. It was fresh when it was baked and sent by truck.

Return to manufacturer for full refund if unsatisfied.
Shipping is not included, of course.

A Home You Deserve. AFFORDABLE LUXURY. Oxymoronic, foxy expressions.
Minutes from downtown. 60+ minutes. SALE 2br + den $1,392 month. The price?


Your call is important to us, please stay on the line.
If my call is important answer the phone!! Better still don't give me a reason to call. Actually I think they just want me to hang up, not bother calling back, save them some money.

Some conditions apply. My loss will be their gain.

Tag Black and Blue Sale. 40% OFF BRAND XYZ.
Excludes prices ending in .99, 95 and must be purchased using our Charge and Loyalty cards.

Gramma's Own Heart - Home Style Pie.
Contains natural and artificial flavors, partially hydrogenated soybean oil, potassium sorbate (preservative), carame (color),cellulose gum, mono and diglycerides,sodium citrate, palmitate, sulfur dioxide (preservative), mononitrate, propionate (preservative).

One Size Fits ALL. This is just a large size, no big deal.

Impress Your Friends and Neighbors.
Isn't there a cheaper than $40,000 way to be admired?
How about if I just try being a kinder and nicer guy?

Dear valued customer. We have introduced improved changes . . . Oh! Oh!

Your Favorite Channel News Hour.
Commercials, weather, sports, casual fluff and news snippets.
NEWS continues after the break. They use to call them commercials.

The More You Buy the More You Save. Hmmm . . .

Many new features. Easy to use.
Easy for them, they made the stupid thing. Too many features, confusing instructions. The number of bugs in a product is proportionate to the number of useless extras.

Store loss leader. Customer loses when leaving with a cart full of overpriced goods.

Delight in Eden Pure Bottled Water. Pure water is water. H2O.
Super Duper Heavenly Soft Tissue. Roll is almost weightless, cheap and powdery.

$14.95/month for the first 6months. A classic example of stupid shrewd.

Everything Half Priced. Some exceptions apply. Define everything please.
Up to 80% OFF! Never could I find anything useful at anywhere near that discount.
Buy One get One at 1/2 Price. I can only use one so I don't buy any.

NEW COFFEE MAKER. Programmable, start brew functions, built in clock.
Unplug when not in use! Resetting the clock each morning could get very annoying.

No Sugar Added. Ingredients: Sweeteners, fat, salt, enhancers, color, preservatives . . .
Contains No Fat. Label on a jar of pickles yet - ha ha ha ha ha ha!
Contains Real Fruit. Wow! But how much?

WONDER LOTTO Super Sized Maximum Jackpot. Get Rich!
If you need gambling addiction help call this number. 727-763-6382

$1.79/ lb - SPECIAL - $0.96/lb Club Card Price. Get their card or shop elsewhere.

Lowest fares on sale now. Does not include extras. Surcharges per person each way.
Flight Touchdown in Belle Paradise. 'Touch down' + Exchange passengers = 2 hours.

Product of Canada. Farmed in USA. Processed in China. Packaged in Canada.

ROOMS $99.99 Per Person. Per Night.

SPECTACULAR low priced product.
The refills cost more than the product.

Cell Phone $0. Wow!

This could go on, and on, and on, like an annoying commercial and the market place seems to be totally saturated with stuff. But this stupid/shrewd marketing will continue because consumers are taking it, even though they may not like or even detest it.

You may not be a stupid consumer but aren't you treated like one?

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Ads, Contracts and Fine Print

Small, hard to read print with many confusing words and details are popular marketing strategies in advertising, agreements and contracts. Hiding important information from a prospective buyer can complete a sale where there would not be one, and it can save a company money when consumer dissatisfaction arises later. In short, this sly business practice is to increase profits, and in a nasty way.

Notice: Important buyer information lies lurking
"Accepts no responsibility... Terms are for one year after which... Use of this product is entirely...
"Warranty does not include... Valid only with the activation of... Company reserves the right..."

Usually camouflaged in befuddling text there will be strict details explaining what you need to know, and if it was easier to read and understand you might likely walk away from the transaction.

That is why it is disguised and made fuzzy.

Ignoring these areas of a contract or promotion can be a regrettable and costly experience for the shopper when the new purchase is not at all as expected, or the warranty is void. Yet we so regularly do neglect reading those little words because it is just too difficult and time consuming.

This is yet another unfriendly and mean manner in which much of business is treating today's consumers. Fine print is appearing everywhere and is even standard practice in certain industries. Scammy marketing and foul treatment of customers is no longer a rarity. The dear valued customer has become the dear valuable scapegoat.

Again our governments are letting us down to the corporate advantage. So Consumer Beware!

Fine print is in print advertising, TV commercials, food package labels, information lists, customer contracts, and wherever there may be vital negative information to conceal. We should expect that if we do not read all or do not comprehend the transaction conditions, we will be helping the merchandiser to sell us a regrettable purchase, to increase markup, or save refund money after the sale is completed and complaints arise.

We have come to expect this business trickery in our everyday shopping and particularly with costlier transactions, but unfortunately we have become somewhat complacent when it comes to complaining. It is common for many consumers to accept and regret it, perhaps even feeling a bit embarrassed about getting trapped.

Or we might be furious when we get stung as we have with so many other shady retail transactions. But business does not seem too concerned about this reaction anymore, the use of deception in marketing is quite common and apparently acceptable.

So get out your magnifying glass and read the fine print slowly and watch for deceptive expressions; if you can it will be worthwhile.

Regrettably most of us won't take the trouble - it's just too annoying.

Fine print is sometimes so small that it simply cannot be read. The little text might also be in grey, the opposite of bold, and fuzzy to read, like the conditions on the back of my credit card statement. The words, "IMPORTANT INFORMATION ABOUT YOUR ACCOUNT" are quite prominent. The gross account agreement is lengthy and takes up two sides of legal size pages and is printed in grey.

How obvious are their intentions?

Service contracts, credit agreements, insurance plans and 'too good to be true' ads need to be carefully scrutinized. If these promotions and documents are not easily understood consider an alternative. Like a credit union instead of a bank.

Some telecommunication advertisements have conditions at the bottom that are printed so small that it appears to be a joke. But nobody is laughing. The consumer would need to very carefully ask the right questions when dealing and hope to discover the traps before buying.

As long as business needs to sell to compete, and there are no strict guidelines to stop this type of marketing, expect that treatment of consumers will only worsen. When we get stung with inferior purchases or unexpected costs we simply lick our wounds, and do not complain. Because we do not complain fine print is common in business today and will likely be around for some time.

Perhaps our governments will get concerned. However if, as here in BC,
the marketing for their gambling revenue uses fine print
- Know your limit, Play within it - what should you really expect?


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Shopping Traps and Scams: TIPS

Deceptive marketing and consumer awareness information.
Tips to avoid scams, rip-offs and costly bad purchases.

Where is the corporate ethic going? We don't know for sure but it seems to be getting meaner each year, so consumers should be aware of shrewd marketing techniques so as to save money and avoid frustrations.

We are shopping more than ever in this continuous commercial expansion of the past century. In most recent years there has been very rapid change in the manner of transactions and the experiences of consumers.

The business side of the equation continuously becomes evermore crowded with new companies and more wares to sell. The always present need to increase sales and profits in this environment has seen a gradual lowering of merchandising standards as marketers leap frog over each other and grapple for customers. and profits

New tricks and traps are sprouting like stubborn weeds throughout the marketplace. The shopping adventure has become an encounter and it is not taking place in an arena of fair play.

Scams, bad deals sold as good buys, are particularly troublesome when they are costly and have strained your budget.

TIPS and cautions for the pricier stuff.
  • Be suspicious that it may not be a bargain at all. What can be wrong with this? Surcharges for service, supplies, delivery?
  • Beware of advertising that is carefully and deceptively designed to make you BUY.
  • Time is important if you have it, shop around and compare products and prices.
  • Ask friends and co-workers about experiences and opinions which may be very valuable.
  • Fast talking sales people can sell stuff that you will regret ever buying. Wait and return later if it still seems like a wise purchase.
  • It's necessary to have a good warranty and return policy but are they clearly defined in writing?
  • Very important: Read the fine print! An agonizing task perhaps but that is where the tricks are buried.
  • Paying by credit card is an option as you may be able to dispute a charge.

Even the less expensive traps can be costly and unpleasant as they add up.
  • SALE usually means a price reduction but it may still be too high.
  • Terms like SPECIAL HOT PRICE can be empty words to lure buyers.
  • Running out of stock immediately after the bargain priced sale begins.
  • Study sale display signs or you may checkout paying a non-sale price.
  • Bring the ad with you and crosscheck the sale price with the actual paid.
  • Reduced prices not computer updated, happens just too often.
  • Double scanning and double pricing occurs now and again.
  • Check the prices on the display screen as they are scanned, and/or
  • Read the sales receipt printout item by item, preferably before leaving.

Miscellaneous suggestions.
  • Retailer price-matching policies are often provided to match or beat a competitor's price. Ask.
  • Many stores will give you a rebate if the item goes on sale 30-90 days later. Another reason to keep the receipt and it's easy.
  • Search websites to compare prices, perhaps for stores in your area.
  • Plan for and gather information on future purchases. On the spot buying can so often be so regrettable.
  • Shopping as a pastime? Read, play, exercise, enjoy nature, and live a free and healthy lifestyle.

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Advertising Ethics, Truth and Lies

Lies: false statements intended to deceive; untruths; falsehoods.
Ad traps: legally true words intended to deceive for purpose of gain.

Consumers beware the words of advertising.

Commerce is a mainstay of our society today allowing us the basic necessities in life, and a standard of living much above that, for those of us who are fortunate. Advertising is the fuel used to keep this machine running; it increases sales and profits, creating more jobs and a healthier economy in the process. But something has run amok with the general expansion of business, its use of marketing and the consequences we are faced with.

The very widespread and excessively intense marketing in our daily lives has convinced us to strive harder to accumulate more, bigger, better and newer things; things our friends and neighbors might also have or are themselves striving to acquire. Perhaps our programmed desires to catch up have extended to where we now wish to be in the lead with owning newer objects or the latest designs or devices. It is a never ending race around the commerce-consumption circle.

Yet surely, someday, society will have had enough of this. If not, then imagine.

The main purpose of advertising was once the introduction of something new, or of some valuable improvement to an existing service or product. This has changed drastically and today's ads are there mainly to convince consumers to buy this from one seller rather than that from another, or to buy when there is not a need to buy at all. It consistently applies mind capturing pressures to convince of the necessity to own.

There has been an escalating and prolonged competition between companies doing business with their many products and varieties. The fight to get the consumer has become quite fierce - towards the shopper. In trying to outdo each other, commercial advertising has been expanded in frequency, ingenuity, intensity, and shrewdness. In recent years misleading ads have become quite common in merchandising.

It is discouraging to see what some of the industry has become ethically, and how they are treating families and society in general. Business is overpowering consumers and looking to the future by attracting children to their wares with toys, tasteless commercials and shock appeal. The big players are showing how it's done professionally and successfully with expanding global profits. Unfortunately there are increasing adverse effects on our physical and mental well being and the lowering of our social values in the process.

Particularly upsetting is the lack of basic honesty and goodwill of many companies. The reckless and competitive use of advertising is degrading the standard business ethic, and dragging citizens along by the nose. Sure there are some regulations that require certain standards but they are often week and not well enforced. Governments don't seem to care all that much as long as the economy continues to grow.

Advertising associations don't help much either, their guidelines are only 'guidelines' and they are not consumer associations. Companies do not usually criticize their peers for questionable behavior, not when they too are using the same cunning and deceitful marketing strategies successfully. And so the ethic of an entire industry will sink further.

Consumers may not get all that excited because unscrupulous dealings are so common, and they have become accustomed to bad treatment in their shopping ordeals. They may grumble and try to be smarter and more careful to not allow this to happen again. But it does as the shrewd marketers are always one step ahead with slick new ideas.

This trend towards doing business in a less honest and kindly manner is very costly to society and creates social tensions. In the desire for citizens to acquire more of what is unnecessary, so much is taken from the good life. And the wasteful use of our precious natural resources produces mountains of junk at such a great cost.

Considering that excessive advertising promotes artificial social characteristics and is so destructive to the environment, why isn't there more noise from citizens? Without more concern and complaints from the people, there is little possibility for effective, positive social change. Corporations will continue to run the show, their ethic will decline further, and so will our quality of living.

Should free enterprise be this free?

What is the difference between unethical and ethical advertising?
Unethical advertising uses falsehoods to deceive the public;
ethical advertising uses truth to deceive the public. - Vilhjalmur Stefansson

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Consumer: Corporate Enemy?

Misleading ads, credit scams and widespread deception.
Sly contracts, unhealthy food and disinformation campaigns.
Fine print, bad customer service, switch and bait selling.
Price gouging, and nastiest of all - marketing to children!

An arsenal of meanness is pointed at citizen consumers.

The trend towards using trickery in capturing sales for increased profits has been expanding competitively for decades. It's our present day version of free enterprise. Scamming consumers may not be such a big deal anymore because competitors are doing it and there is not a lot of harmful publicity if exposed. Besides when consumers are cheated they usually will not complain - because it's just not worth the effort and they are becoming used to it.. They might even blame themselves for getting trapped once again when they should know so very well to watch out for double-dealing when they shop.

It's understandable that a corporation's competitor might become its enemy if the one-step-ahead routine gets out of hand. But what about the beloved consumer as the new corporate enemy? Think about how you are treated in some of your consuming experiences. It used to be a scam would likely have occurred with someone selling a watch on the street corner but this has moved up to the big players in business.

Some corporations believe in the principal that it's only a crime if you get caught - and convicted. Even then the consequences may not be so severe and thus worth the effort. And so the manner in which many companies produce and market their products and services continues its long term downhill trend ethically, with little resistance demanding positive change.

NEWS Item: SCAM CORP agreed to pay a $333,000,000 fine.
They did not admit to any wrongdoing in the settlement.


In the past it was a common declaration of how most companies expressed their dealings with consumers. They were proud to say so and backed it up with easily accessed customer relations personnel that were there to correct or to explain. Things have turned 180 degrees when dealing with many businesses in today's marketplace.

NEWS Item: SCAM CORP announces company name change to SLY ENTERPRISES.

Gone are those days with many companies or sometimes entire industries. Customer service often may not be there, difficult to access, bankrupt of fairness or expressing large amounts of fluff in answer to buyers' concerns.

A new business axiom could well be "Beat the competition and the consumer in any manner within the law." There are so many marketing, sales and service methods used by businesses that do not appear to meet basic ethical standards.

Exaggerated and deceptive advertising is now very widely used, some questionable, other deceitful and mean. This can appear in various media or store display tags and signs. Trick labels require careful word by word study by the shopper to get the true facts. It may yet be difficult and the resulting purchases surprising and disappointing.

The techniques are creative, varied and widespread.

The purchase of unsatisfactory products and services is the purchaser's loss when the fine print in a contract is just too hard to read or understand, or is excessively long. Fine print is a very popular business tool.

Credit gouging is so common and it takes terrible advantage of those who can least afford it, often causing family devastation. Luring of the unfortunate marches on through media and mailbox, trapping them into paying excessive rates and fees.

The marketing of unhealthy food should have been stopped dead in its tracks years ago yet we still see enticements toward cheap, tasty junk food. Much of this is directed at kids and can set them on a path to serious health problems later in life. Packaged food can contain excessive taste enhancers and preservatives to extend shelf life and profit.

Shock entertainment and commercials catch attention and sell product but soil social standards going forward. Shock for attraction is a relatively newer marketing strategy that seems to be increasing in use and intensity.

Shamed into buying. This marketing method involves creating an 'acceptable' vision for the prospective purchaser. Everyone else will look better and be better than you unless you too acquire their product. You might even be embarrassed or shamed if you do not.

Unethical promotions like bait and switch have been used by large retail store chains. Here you are attracted to a bargain at a store but it is sold out even when you get there early. A similar, costlier item is there. Incidents of this surface but are buried very deeply somewhere, not likely in the popular news, and it is also quickly forgotten with stepped up advertising.

People don't complain much because it turns out to be so useless so often. If it is an obviously deceptive sales promotion complaining will be fruitless, after all if it was purposely designed that way what would you expect? Responses to my complaints vary: " Standard practice in the industry" . . . "The warranty only applies . . . " "Valid with the activation of . . . " "our intent has never been to mislead and I believe our practices will bear me out." . . ." "Terms are only for the first six months . . ."

And well discussed these days is the massive world pollution and environmental destruction of our cities, our land and seas, and our world. These are the results of the continuous and excessive production of wasteful products that do not enhance life or social values but provide profits.

The picture is gloomy as society seems to be generally accepting all this including the programming of the next generation to a life centered on consumption. The marketing area of economics has shaped society to what it is today, materialistic and artificial in many ways, to those who have accepted it.

Do we want to allow this? While we may think it a waste of time, if we don't like what is happening commercially and socially, or are unhappy with our governments, we need to speak up. Corporations must be made to use decent ethics for the good of society. Complaining to business and government needs to be made easy by encouraged submissions of complaints. Consumers as citizens need strict enforced guidelines, fairness and protection from corporate bullies and it can only come from governments.

Required: a federal department that uses marketing to encourage consumers to speak out on unjust business practices, and then act strongly on it.

Alas if business and government are too well knitted together to expect any improvements we can at least sound off to our friends and anyone who listen. There are many websites appearing that together could begin a movement for positive corporate and social change, but this will face great opposition backed by mountains of money.

"Corporation, n, An ingenious device for obtaining profit without individual responsibility." - Ambrose Bierce

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Store Shopping: Feels Like Theft

Store scams trick and cheat shoppers at the checkout.
Retail outlets scamming consumers with mean tactics.

It was another great sale and I was running a purchase through the clothing department checkout of a large retail chain store. "That item is not on sale", I was informed. This sounded familiar; anyway I needed this, paid the regular price and left.

A few months later I was at the same till with a 'discounted' package of socks and was again told that it was not on sale, it was another brand. Beginning to get a little wiser, finally, I returned to the display with the socks to study the situation. Several brands were mixed in a prominent display which loudly shouted 40% OFF at the top. Small words indicated the brand name that was on sale but that product was not prominent in the display, and it was not what I was holding.

As I was putting the package back I heard a man at the checkout, "but the sign says . . ."

The methods are creative with bright signs and small print like, "Does not apply to items with prices ending in .96 or .99", brand xyz excluded. Then off to the side a smaller notice; "when purchased with our store charge card."

How common is deceptive in-store marketing?
On becoming more concerned about the increasingly deceitful treatment of shoppers I began to pay more attention to ads and store displays, carefully studying the words. Often with an advertised sales event the messages were difficult to understand, purposely to entrap the buyer I concluded. On one of my tours through a mens clothing department sales event I heard a senior clerk explaining to a junior how a particular item was not on sale.


Obfuscation: the concealment of intended meaning in communication, making communication confusing, intentionally ambiguous, and more difficult to interpret. - Wikipedia

As I later wandered through the department store's shoe department an elderly lady and store clerk were looking at a sign 7 feet above which listed the runners that were included. The clerk was trying to explain to the nice little old gal why she was not holding a bargain.

"Our computer must not have been updated."
I'm amazed how this has suddenly become so popular in my shopping experience lately. The regimen goes like this: On the store shelf is an item at 30% OFF but at the checkout it rings up full price. Perhaps some people do not pay attention to the cost, while others just swallow it and go on their way donating a few dollars to the store.

Again, when this began to sound familiar to me I started paying close attention. The routine played out twice at a one national department store's branch and twice at their other outlet. I did get the displayed sale price but when I complained and I notified them that there was no excuse for this to happen with any frequency. I was told that they were probably just busy and forgot to update the computer.

Note: As I was winding up this article I revisited this store to pick up a few things including a 6-pack of Scotties Tissues reg: $6.99 for $5. You guessed it, $6.99 on my receipt list. I returned for an adjustment and the familiar response; "The computer... and this on the last day of the sale!

Supermarkets are in on the tricks and traps game where the advertised produce may be way back in the corner and a very similar product is in-your-face as you enter the store. There was a big special last Christmas on certain turkeys but they were difficult to pinpoint. As the regular price rung up I told them to take it back and that their efforts were devious. The other sneaky display routines are widely used in some supermarkets that I do not frequent anymore.

Catching consumers at the checkout is just one of many varied ways merchandisers can cheat customers out of their hard earned money. It's shrewd, unethical and fairly easy to get away with. Most buyers aren't looking for scams or might feel embarrassed about making an issue of the pricing if they are not sure.

CHECK THAT RECEIPT PRINTOUT!

Grampa Ken - Author of 32 Keys About Life and social issues blogger at Social-Fix.

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Retail Store Scams

The customer is always fair game.

The old motto in merchandising used to be; "The customer is always right." Not any more!

Misleading ads and contracts, credit greed, fine print, deceptive promotions are just some of the unsavory selling methods that are used to increase corporate profits. There are trends in areas of the retailing of goods and services which appear to play the consumer as an enemy whose money is to be captured. Varied sly and innovative tricks abound.

An example is an increasing trend by some retailers to trap the buyer in the store, at the checkout. There are sales items cleverly placed in mixed displays. The reduced items are there but so are several other similar products that are regular priced and very prominently displayed. Almost caught again, I was at a large chain department store checkout and discovered the unexpected actual cost of a pair of socks. I refused to accept this and returned to the display to put it back. At another checkout I heard a man saying: "But the sign says . . .". I have checked on this and the scam is regularly used in this large department store and also by other retailers.

Some of us may not pay attention to the cost at the till if we have bought other items, or are perhaps we are embarrassed to make an issue of it.

Raising the price of an item immediately before putting it on sale is another scam for which some major companies have been fined in recent years. Whether or not this is a hindrance to them in trying this again, or some other ruse, is dubious. There is not a lot of publicity, the public seems unconcerned and they are later dragged back with more 'clever' marketing.

Another technique that I find irritating and unacceptable are brightly colored price tags that look exactly like the sale price tags but are not sale priced. Tricky! This is gaining in popularity because it works! When I sent a complaint letter to a drugstore chain head office I received a reply from the president no less. (Use the word 'unethical' in your letter to get attention). He stated how hard they work to show integrity and fairness and to save money (same tag style) etc. "I can assure you our intent has never been to mislead . . ." And other fluff.

Yet another new scam is appearing and may well become popular. A flyer or shelf item is sales discounted but at the checkout it is rung up at full price. I assume that we are not supposed to notice, but when questioned the response is that the computer must not yet be updated for that. However I have experienced this at one department store three times. After the last occasion I left for the adjacent supermarket where the same thing occurred.

Advertising flyers will often have regular priced items cleverly mingled with specials so if read too quickly purchases are made because they seemed to be on sale. Another newbie trick experienced just a few days ago: An eight page flyer displaying a Week Long Sale on the front page had a small ad on one page with several items on sale Friday and Saturday, and another at the end with a Monday and Tuesday date. This was the same large department chain store that seemed to lag with the computer updates so frequently.

This and other forms of the hostile treatment of 'dear valued' consumers will trend onwards in this deceitful manner until adequate checks are in place and penalties and publicity are stronger. This will only begin when consumers voice their displeasure in large numbers, and when there is an easy way to do so.

Related S-F posts

This Creative Commons article is free to copy with the following hyperlinked byline.
Grampa Ken - Author of 32 Keys About Life - and blogger for change at Social-Fix.

Loyalty Club Cards Annoying

It's troublesome to have a wallet stuffed full of cards and to rifle through them for the right one at the checkout.

But are they worthwhile? They appear to be. If you don't use your card at the supermarket you will lose out on points that can be used for rewards. A local major chain supermarket has gone one step further and displays 2-priced tags on very many items, regular and card price. You carry and use their card or pay much more. So much for choice? I do have their card and purchase about 2% of my groceries there, choosing to shop almost anywhere else.

Card programs cost retailers money to set up and operate. Where do these costs come from if not from the price of the goods sold to cardholders and others? I see nuisance not bargains, with advantage on the side of the retailers in the collection of purchasing data. There are also concerns about privacy. As customers pass through the checkout personal purchase information is transmitted and recorded.

Loyalty programs are structured marketing efforts that reward, and therefore encourage, loyal buying behaviour — behaviour which is potentially of benefit to the firm. Other critics see the lower prices and rewards as bribes to manipulate customer loyalty and purchasing decisions, or in the case of infrequent-spenders, a means of subsidising frequent-spenders. Commercial use of the personal data collected as part of the programmes has the potential for abuse. It is highly likely that consumer purchases are tracked and analyzed towards more efficient marketing and advertising (in fact, this can be one of the purposes of the loyalty card.) To some, participating in a loyalty program (even with a fake or anonymous card) funds activities that violate privacy. There has also been concern expressed regarding RFID technology being introduced to loyalty cards. Read more on Loyalty Programs at Wikipedia.

Loyalty card almost leads to wrongful conviction for arson.
The records of a man's purchases compiled by a supermarket loyalty program almost led to his wrongful conviction on arson charges in Washington state। A veteran firefighter was suspected of the crime and his Safeway Club Card revealed a purchase of the store-brand firestarter। He was arrested in October and what would have appeared to be a slam-dunk prosecution had to be abandoned when someone else came forward and took responsibility.
Canadian Privacy Law Blog: Loyalty . . .

Consumer Reports finds not many rewards programs are worth the effort. Their July 2008 issue offers tips to select the right programs and reap the most rewards.

To keep shoppers coming back and spending more, supermarkets, drugstores, warehouse clubs, gas stations, bookstore chains, and many other retailers are pushing points programs.

About 85 percent of U.S. households participate in at least one rewards program. A recent poll of Consumer Reports Money Adviser subscribers found that 41 percent of the newsletter’s subscribers carried three to five such cards, 9 percent had six to nine of them, and 3 percent somehow found room on their key rings or in their wallet for 10 or more.

Katherine Albrecht at CASPIAN asks: Why shouldn't I use a fake card?
It is a selfish solution. It acknowledges that there is a problem, but leaves the problem for the next person to solve -- or more unconscionably, for the next generation to solve. If we were living in a totalitarian regime where open resistance would mean jail or persecution, I could understand pretending to play along. But when the problem could be solved RIGHT NOW if everyone opposed to shopper surveillance would simply speak up, playing along removes you from the ranks of the potential solution.
More . . .

Identity Theft Info and Tips

Worried about your social security or credit card information falling into the wrong Hands? Need to know about phishing, skimming and other new age personal crime methods? Identity theft is on the rise with new creative techniques catching victims unaware.

The US Federal Trade Commission has some pertinent information on the topic that is worth reviewing.


What is identity theft?

Id
entity theft occurs when someone uses your personally identifying information, like your name, Social Security number, or credit card number, without your permission, to commit fraud or other crimes.

The FTC estimates that as many as 9 million Americans have their identities stolen each year. In fact, you or someone you know may have experienced some form of identity theft. The crime takes many forms. Identity thieves may rent an apartment, obtain a credit card, or establish a telephone account in your name. You may not find out about the theft until you review your credit report or a credit card statement and notice charges you didn’t make—or until you’re contacted by a debt collector.

Identity theft is serious. While some identity theft victims can resolve their problems quickly, others spend hundreds of dollars and many days repairing damage to their good name and credit record. Some consumers victimized by identity theft may lose out on job opportunities, or be denied loans for education, housing or cars because of negative information on their credit reports. In rare cases, they may even be arrested for crimes they did not commit.

How do thieves steal an identity?

Identity theft starts with the misuse of your personally identifying information such as your name and Social Security number, credit card numbers, or other financial account information. For identity thieves, this information is as good as gold.

Skilled identity thieves may use a variety of methods to get hold of your information, including:

1. Dumpster Diving. They rummage through trash looking for bills or other paper with your personal information on it.
2. Skimming. They steal credit/debit card numbers by using a special storage device when processing your card.
3. Phishing. They pretend to be financial institutions or companies and send spam or pop-up messages to get you to reveal your personal information.
4. Changing Your Address. They divert your billing statements to another location by completing a change of address form.
5. Old-Fashioned Stealing. They steal wallets and purses; mail, including bank and credit card statements; pre-approved credit offers; and new checks or tax information. They steal personnel records, or bribe employees who have access.
6. Pretexting. They use false pretenses to obtain your personal information from financial institutions, telephone companies, and other sources. For more information about pretexting, click here.

For more information on identity theft such as . . .
What do thieves do with a stolen identity?
How can you find out if your identity was stolen?
What should you do if your identity is stolen?
Should you file a police report if your identity is stolen?
How long can the effects of identity theft last?
What can you do to help fight identity theft?
Read the FTC's About Identity Theft