Direct Buy

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Top 5 Reasons Not to Join Direct Buy

It just makes sense that to get bigger discounts all you have to do is join a large group.  Sam's Club, Costco, Bj's, etc have all flourished because of this concept.  One company promises to have the biggest savings of all: Direct Buy.  But it seems their customers are getting more than they bargained for--and by that I don't mean more low prices.

Top Reason Not to Join Direct Buy #1: The Membership Fee

Normally you would have to attend a 90 minute, high-pressure sales presentation only to find out how much a Direct Buy membership actually costs. But because so many people are speaking out about this company, almost everyone knows by now. In order to join Direct Buy, a couple must pay $4000 for the first year, and then pay to renew every year after that in order to remain members. That is a lot of money. Period.

That would mean that a single household would have to save $4000 for the membership to pay for itself.

The 2 lines that Direct Buy uses to convince people to join are:

1. "If you purchase $4000 worth of goods in a year, you will have paid for your membership" and
2. "Most people pay for their membership fee even if they only buy carpeting".

That would mean that their customers would have to save 50% every time they set foot in the door. So let's see how they stack up in that department next.

Top Reason Not to Join Direct Buy #2: No Real Savings

You can pretty much find everything they have, brand for brand, style for style, somewhere else for less. If you do save someone money, it is not even close to the 50% that you would have to save in order for your membership to pay for itself. And this is coming from countless real customers who have joined and put their memberships to the test. One customer was even told, after he couldn't see any real savings, that the great thing about Direct Buy wasn't the savings but that you don't have to shop around from place to place to purchase goods from their manufacturers!

Add to that a mandatory 8% "order fee" on the total amount of your order--even if you place your order yourself via an online portal.  You would think that all of this would translate into the Direct Buy staff really taking care of their customers, wouldn't you? Until you read the next reason not to join Direct Buy.

Top Reason Not to Join Direct Buy #3: Poor Customer Service

When you arrive for your introductory tour, you are greeted and asked to check in and are given a name tag.  Then, in Time-Share presentation style, you are assigned an aggressive, sometimes rude salesperson who force-feeds you everything they want you to know about the great benefits of owning a membership.  All you are shown while you are there is cabinetry and flooring samples.  As a returning customer going back to browse and buy, you are given huge tombs of dealer catalogs to sift through.  Or there is an option to order online.  The problem is, if the merchandise arrives damaged, it is very difficult to get Direct Buy to do anything about it.  Most of the customer service staff seem to have an extreme case of Pass-the-Buck Syndrome.  I have read countless cases of issues not being resolved, ending in the membership being suspended arbitrarily.  One member reported exiting the showroom after placing a furniture order and meeting an older couple in the parking lot who were coming for their presentation.  The member was very candid about the sales and ordering process, and the couple apparently came away with a negative view which they then brought up with their Direct Buy hosts.  The member got a phone call from the franchise owner telling her that her order had been cancelled and that she would no longer be allowed to use their services because she had lost them a sale.  The company president, Scott Powell, responded to this customer's complaint by saying that a franchise owner has the right to refuse to do business with whomever he or she chooses.

Top Reason Not to Join Direct Buy #4:  Poor Quality

J.D. from Dunnellon, FL reports that he recieved a love seat that was broken underneath, and a couch where the wicker pieces were cracked and now the wicker reeds are breaking off.  His dining room table was sent with one piece of glass to fit the table when it seats six. When the leaf is in, the glass top does not fit a table for eight. Also, the leaf does not even fit the table. It is unusable. It was made for another table.  Another customer took delivery of maple cabinets that were of such low quality that she cried.  Screws protruded from drawer fronts. Cabinet doors were poorly painted and had holes. Trim was broken. Hinges didn't fit and replacement parts took months to receive.

Top Reason Not to Join Direct Buy #5:  Limited coverage

When you sign your contract with Direct Buy , you agree never to disclose the pricing to anyone outside of your immediate household.  You are not allowed to share your membership with anyone in your family or your membership will be suspended.  I know of one customer who wanted to purchase an engagement ring for his daughter on behalf of his soon-to-be son-in-law.  As soon as he mentioned his intention, he was told that he could no longer purchase the ring.  I am not kidding.

So how do you find the prices that Direct Buy brags about so much in their false advertising?  Well what I did was join a group savings program where the members are allowed to share information about the company--in fact, there is no advertising--infomercial or otherwise--only memer referrals, which earns the individual member a very nice referral fee.  Plus, the membership costs half of what Direct Buy is charging and it is only paid once in your entire lifetime.  It covers you, your parents, your grandparents, your children, your grandchildren, and your business and up to five employees.  We have looked, and nobody can beat their prices on furniture and jewelry, and they get you huge savings on cars and motorcycles, too.  The list of savings is huge.  In fact, they even have a way to save through local merchants, which is cool because then small businesses are supported, too.  We love it.

Oh, BTW, I did show up for a tour one day to a Direct Buy in St. Louis, MO.  But because my husband couldn't make it, they wouldn't even let me set foot in the door.  Apparently, they have a policy that you have to buy a membership the day you take the tour or you are never invited back.  If that isn't high-pressure sales, I don't know what is.

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    angline williams angline williams Dec 15, 2009 @ 3:04 pm
    I have not received anything that I have purchased in a timely manner. They go on line and show the order complete before you receive your merchandise. I stumbled on the blog because I'm trying to find Scott Powell President & CEO, DirectBuy, Inc. to launch a complaint with him. I have not been able to find a direct line and I know the folk here in Jacksonville FL are going to block my message to him. I have had my membership for 7 years and have only purchased 4 times and nothing, I repeat nothing came on time. I waiting now for some tables I purchased in September.
  • Reply
    ticked off cop ticked off cop Oct 8, 2009 @ 4:48 am
    i joined this magical service back in july and was told it was going to take about two weeks to get our magical "pass word" that would give us the world of saving on a silver platter. here it is october and they basicly took my money for our membership, then forgot about us. heck i havent even gotten a bill. i just keep getting junk mail saying "please join!" look take it from me this place is a joke i get better service at the local "stop and rob, thats ran by ak bar who dosent even like his own mother. so look stay the hell away from this place,unless you like pissing away your money for no reason!!!
  • Reply
    jcavaluzzi jcavaluzzi Sep 27, 2009 @ 8:38 am
    My wife and I went to a Direct-Buy presentation In West Palm Beach Florida yesterday. It is definately a high pressure to join situiation. We did not join because of the high cost ( $4900.00)
    As for financeing, I did not need another monthly bill at this point in my life. (semi-retired) I must disagree with some of the responses. There was no rudeness from the presenters or the sales people.. On average, the cost savings on just about everything is about 30-40% over time, that is if you buy everything thru Direct-Buy. We did see there pricing catalogs. What you have to remember that these are the manufactures prices, not wholesale prices. (no middleman).
    The biggest markups when you buy retail is cabinetry, jewelry, furniture. There pricing is what retailers pay. Some of the savings can be substantial, and you can buy just about anything other then food and alcohol. This is not an endorsement for Direct-Buy. Just my opinion. By the way, anyone know where I can buy a dining room?
  • Reply
    Tmgr1962 Tmgr1962 Sep 19, 2009 @ 9:15 am
    I would like to know the details of the club you use. I had an appointment today for the local Direct Buy, called and cancelled after reading your article.
    Thanks
  • Reply
    MOMOFLEONJR. MOMOFLEONJR. Sep 19, 2009 @ 1:22 am | in reply to mentormommy
    I AM SOOOO GLAD I FOUND THIS SITE & EVERYONES HORROR STORIES. I CAN RELATE TO THE "TIME SHARE" PRESENTATIO I HAVE BEEN TO ONE WHERE THE REP & I WERE ACTUALLY SPEAKING TO ONE ANOTHER IN A VERY HOSTILE MANNER.(IF YOU KNOW WHAT I MEAN) SO ONCE AGAIN .
  • Reply
    Anita Anita Sep 4, 2009 @ 12:15 pm
    Very good info. I wish I would have saw this before I bought a memebership a few years ago. We MIGHT have made up the cost of the membership with the items we bought, but it isn't worth it (our startup fee was $3000). And we only did because we where starting off and needed everything. It is better to wait for a store to have sales. And with a store you have better customer service and easier time returning stuff.
    Their customer servise is the WORST i have ever seen. Whenever we had an issue it was a pain to get corrected and it would take weeks (and most of the time it was their mistake). And we always had to wait a long time to get to an agent to take our order and no one ever picks up the phone.

    DO NOT get a membership, you will be so fusterated with the poor customer service and the hidden costs of handling taxes and fright costs.

    sales at stores are way better.
  • Reply
    chicmom chicmom Sep 1, 2009 @ 4:35 pm
    Thanks everyone for the heads up on Direct Buy! So glad I didn't waste my time or money!!!!
  • Reply
    Reggie in Vegas Reggie in Vegas Sep 1, 2009 @ 12:40 pm
    Thanks so much for this insight. Today 9/21 I was scheduled for the tour. As I told my wife, it seems like one of those high pressure timeshare sales pitches that she talked me into.

    I have Sams and Costco...I will stick with this formula until something comes along. I think the poor quality story scares me most.!
  • Reply
    Henry Henry Aug 28, 2009 @ 3:57 pm
    I just returned from a Direct Buy presentation in Corona, CA. Everything sounded great until I was told the price. $4990 if I sign up 'right now' or $5990 if I come back within 30 days.
    The whole experience reminded me of the timeshare presentations, a rip off.
  • Reply
    Melody Melody Aug 14, 2009 @ 3:16 pm
    Thank you for getting this information out there. I have tried numerous times to find out what the cost was, how the membership worked. After reading your blurb, I will not even pursue this avenue. Even though I live a very high price area of Aspen, Colorado, it is much less expensive for me to go to Lowes or Home Depot and apparently a lot less of a hassel.
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by mentormommy

Rana Burr is a stay-at-home mother of four children.  Her website www.smart-money-management.com educates hundreds of people per month on how to...

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