On a perfect summer day in 1997, life as I knew it was changed forever. I lost all trust in
human race, and felt my life was over -- but I vowed to seek vendetta in
most violent way. Yes,
taste of blood was in my mouth… Okay, so maybe it wasn’t quite as melodramatic as all that - but I sure was seething mad.
I had been ripped off to
tune of $2800 by a scam artist who "sold" me a Gateway laptop over
Internet.
I’d tell you
details, but they’re just too painful to relive. And frankly, I feel more than a little embarrassed for being conned.
After that distasteful experience, I embarked on a personal crusade not only to expose
deceptive sales practices in
computer industry, but also to scour
globe for
best computer deals in
world.
I voraciously read computer manuals, specs, ads -- and scrutinized anything that even remotely resembled a PC. My brain became
Geiger counter for computer-buying information.
As a result, I’ve become
Head Purchasing Manager for a worldwide non-profit organization consisting of 7000+ members – in charge of purchasing computer equipment for overseas branches in South Korea, Russia,
Philippines, China, Japan, Indonesia, Malaysia, and Europe.
But I’m getting ahead of myself. Flashback to 1997.
Back then, I learned quite a few things about computer-buying that very few people on this planet know about. I’m going to reveal some sneaky -- and in some instances, illegal -- things that computer vendors do to bilk you out of your hard earned cash.
1) Bait and Switch - Computer vendors generally resort to any means to get you to their website or store first. The most common way is to lure you there with
promise of
lowest prices. When you fall for
bait, and visit their website or store, you’ll find that their prices are higher than they advertised. They feed you
story that
advertised price was last week’s price, or that price doesn’t include this component or that peripheral. Vendors do this because, in
highly competitive business of computer sales, this is sometimes
only way they get a shot at showing you their wares. Then, they do
usual song-and-dance routine: “But while you’re here, have I got a deal for you…” hoping you won’t go looking elsewhere.
2) Bankruptcy Routine - This trick consists of opening a ‘new’ computer outlet, selling product for a few months, shipping only a portion of
orders, and then declaring bankruptcy and taking most of
customer’s money. The people who do this are real crooks, and typically engage in this practice many times.
3) Opportunistic Pricing - This is something very few people know about. Mail order companies change their prices and specifications regularly. They have a complex pricing policy where they employ experts whose only job is to determine exactly how much
market will be willing to pay for a specific model.
4) Delayed Shipments - Some firms charge your credit card, and ship your order within a week -- but since it is a legal requirement that
goods are shipped to you within 30 days, it could take all of 30 days before your goods leave their warehouse. And you may not be able to cancel your order. They are, of course, earning interest on your money.