STORM2K

My son-in-law-to-be came to our house and did a demonstration for a vacuum cleaner/carpet shampooer/air cleaner machine that uses a container of water to filter the air. It really was a nice, innovative machine. If it was $200 or even $300, I'd buy one.

Unfortunately this sells through a pyramid marketing scheme. By the time each person at each level gets his cut, the machine sells for $2,900 (but if you buy today, you get a $700 discount - only $2,200! Oh, and easy payment terms are available)

The sales pitch includes all kinds of exaggerated claims about the hazards of house dust, and how much money we probably spend on air fresheners, etc., that now will not be needed. My wife was sucked right in. But I saw that it was really intended to give my wallet a good cleaning.

After his presentation, he was required to call his supervisor and get us to speak to her to verify that he gave the presentation. After a couple basic questions, she launched into the hard sell. I told her straight up that I recognized that this is a pyramid scheme. She countered that even Walmart and all retailers basically take a cut at each level, (They do train well), but I answered that the other retailers take a much smaller margin. It was a fun little conversation.

Then at the end, he asked us for references (he gets a commission for every new lead he obtains)

What a racket! The only reason I agreed to let him do it is that he gets a $40 commission just for giving the demonstration.

I am sure that these schemes go through word-of-mouth (read friends and family)

I told him nicely that I wasn't going to buy a machine, because of the price. I also told him that I don't think that he's going to sell many machines, but maybe he might try selling to businesses. I should have referred him to our dentist, who's a shyster in his own right and could actually afford one of these machines.

I am considering telling him that he needs to find another job, because he's not going to support our daughter on that! A few people get rich in those schemes, but most just struggle along, alienating their friends and family in the process. This boy is a nice kid, but he's no ball of fire. I think that he'd fall into that latter class!

We had a salesman come around selling Electrolux vacuum cleaners the other day. Over $2000 for a vacuum cleaner? No way, but I did let him vacuum my living room carpet as a demonstration. With 2 little boys, I need all the extra help I can get, when I can get it.

The vacuum your talking about sounds like a Rainbow vacuum cleaner. We happen to have one, although I didn't buy it. It was a wedding present from my parents. It was a demo model, so it wasn't at full price.

Ed - glad you saw right thru this scam. After we had one child, our small condo wasn't big enough. So we began the house search. A condo neighbor was selling Kirby vacuum cleaners and pestered us for a presentation. We sat thru it but near the end, explained that we were reducing our debt, so we could get as much house as we could afford. Not add to our montly expenses. The monthly payment was outrageous too, I want to say $400. He left our condo that night, seemingly confused as to why we wouldn't want a top notch vacuum for a new house. We talked about his sales pitch for years to come. And like you, we didn't fall for them in the future. I won't even book the presentation either. Even if the salesperson was referred by a friend of ours. I just keep saying no, not interested. On and on it goes.

Doesn't matter what the product is - vacuum cleaners, vitamins, etc. - they're all a scam.

Here's the best comeback I've come up with to give them - when I want to purchase a product, I'll just go to the store to buy it! Oh that gets them everytime. Because their products are not available at Target, Wal-Mart, or department stores!

Good for you. Had a laugh at your dentist shyster comment. I've got one of them too! LOL

Sounds like a Rainbo vacuum cleaner Ed. My sil has one and she loves it. But she can well afford it.

CajunMama wrote:Sounds like a Rainbo vacuum cleaner Ed. My sil has one and she loves it. But she can well afford it.

Yup..........that's exactly what it was, the "Rainbow" vacuum, I got "sucked" into a "in house demo" a LONG time ago, luckily, I didn't buy it, this was WAY before I knew anything about the pryamid schemes.

Sounds like a Tristar exl to me. These are really scams and you can get one online used for well under $1,000.

These companies love to get relationships with huge companies so that it makes them look legit. The thing is, they just have agreements to sell the companies' products. Anyone who is willing to go through the paperwork to get set up to sell for these companies (like Wal Mart, Sears, etc) can do it. It has nothing to do with being legit.

And the funny thing is that the people who sell these things don't have a clue how crooked the company they're working for is. If you try to point out how unethical the tactics are, it's like trying to tell a priest that Jesus doesn't exist.

I guess you have to convince yourself that everything is on the up and up to sleep at night.