Direct Buy is a membership program that claims to cut out the retail middleman and save you money on almost anything for the home. Those infomercials are very enticing to say the least. The pitch, "Learn the secrets retailers don't want you to know" makes you really wonder what information retailers are hiding. Well just yesterday, I saw a Canadian TV show "Marketplace" where they interviewed five Direct Buy members. They also compared prices from Direct Buy's catalog to similar products you could buy at local retails stores. Here's the real scoop on Direct Buy.
You can watch the Direct Buy show that I saw right here at Marketplace on the CBC website.
What to Expect In the Direct Buy Presentation
- You're first offered a free visitors pass to hear a presentation and see the Direct Buy showroom in your area.
- Then expect a brief tour of the facility, slick testimonials and an aggressive sales pitch
- You aren’t allowed to see the catalog before you sign up to see the products that they offer.
- You are not allowed to ask questions for ALL to hear. Questions you are told will be answered by your "host".
- Direct Buy Canada made a brand new corporate policy for a three day cooling off period. So you now have three days after signing the contract where you can review the contract, the supplier catalogs, and the membership so they can then decide if you really want to keep the contract or cancel it. Direct Buy USA already has this policy in place.
- The [tags]direct-buy-membership[/tags]fee is $5000 just to get a membership to shop there.
What to Expect From a Direct Buy Membership
- The membership is not practical for people making average purchases. Although if you make several substantial purchases, the list of positives will outweigh the negative aspects.
- If you look at how much you would have to spend over three years to save$ 5,000.00, at a 10% saving it would be $50,000.00 and at a 20% saving it would be $25,000.00. This shows you how much you have to spend to just break even.
- It does take time to do research before ordering and you are on your own with the manufacturers' catalogs.
- You'll spend lots of time with the Direct Buy ordering system searching through catalogs, filling out forms, doing retail comparisons for the best buys and then waiting weeks for items to arrive.
- You don't get the same service as you might expect in retail.
- If you read the fine print of the contract the shipping surcharges can be up to 25 percent of the product purchased. These include freight, duty, brokerage fees, and handling fees. The product handling fees are up to 8% of price.
- If you have to return the product you’ll return the product to the manufacturer.
A Direct Buy membership is worthwhile but only if your spending over $20,000 to do your remodeling project. Also, when you sign up you won't know what merchandise is available since you can't look through the catalogs. So if you are ok with all of this Direct Buy may be for you.