Infoscams
In this article I am going to talk about those infomercials that are obvious scams. Which ones are they? They are the ones promising you, that by following their system you will make thousands part- time and tens of thousands full-time. Or, they invite you to come to a free seminar where they can tell you about their secret money making system. Let's first look at the ones that offer a money making system, they go something like this.
For only 39.99 you will get the following materials:
- Our get started now booklet
- Our making money with our system workbook
- Our where to find the money making deals guide
- Our two CDs or video tapes showing you step by step how to make big money using our system
- Our top ten secrets to making really big money using our system
- All the forms needed to start making money now.
These commercials are so full of baloney. Yet thousands of people fall victim to them everyday. In exposing their obvious scam lets first look at the math.
They offer all this nicely printed material, plus pay to run a thirty minute professionally produced commercial on television. And yet, they can afford to sell you a product for $39.99 and make a profit. Well, what a lot of people don't know is that they don't make a profit, or much of one. That is to say they don't make a profit on the $39.99 sale. This is known as a front end sale. Just something to bait you in, the back end sale is where they will cash in.
You see, when you order this material it is designed not to give you any real information. Basically, what you have purchased is cleverly written sales material. It will either be worthless, just more hype, or it will be too confusing to understand. Magically, in a couple of days one of the companies' salespeople will start calling you, offering all sorts of upgrades. They will disguise this sale cleverly by innocently inquiring how you are doing with the product. Since what you purchased is garbage to begin with, of course you will not be doing well with it. This is the point where the salesperson cons you into subscribing to their one on one service, or purchase their upgraded material. They will go on to tell you that the people who have made the really big money, invested into these upgrade programs. Notice that I used the word invested, and not purchased. That is because it is the term they will use on you. It's not a purchase you are making but an investment, wouldn't make sense to invest a few hundred dollars to make thousands. Of course it would, and that is why most people sucker into this sale. This is known as the back end sale, and this is where these companies make the big money. These upgrades and one on one training courses cost hundreds if not thousands of dollars, and people pay it. What do they get for their money? Well according to what I have read from these people, absolutely nothing. It's a very costly mistake.
What about the idea itself, won't it make money? Well the answer is no, and here is why. If you had come up with some sort of marketing idea that ended up making you very wealthy, would you honestly share it with anyone? Not only share it, but create a thirty minute television production, and advertise it many times a day on various networks. Do you have any idea how much that costs and the time it takes? Why bother doing all that work, and spending all that money, to tell someone else about a system that makes you thousands part-time. The answer is you wouldn't, unless of course the only system you have is one where you produce infomercials that scam people out of there money. Another consideration is this, if what they had was a legitimate money making system, and everybody started doing it. The market would eventually become flooded and the system would no longer be any good. In fact one of these infomercial superstars did make money with his system, until everyone else got into the game. Now he makes money scamming others out of theirs.
What about all the people testifying about the big money they made? They are most likely paid actors, notice nobody gives a phone number to call, or an address to write. And what about those big check stubs they have in their possession. Well I can print those up on my computer too, doesn't mean I have the money. Also, ever notice how the check stubs are all the same? I guess everyone has the same bank.
What about the infomercials that invite you a free workshop? You are invited to attend their free workshop where you will learn how to make money with their system. Ok, once again let's do the math. Somebody, with a money making system that has made them lots of money; are going to advertise for thirty minutes on various television networks, then rent out a banquet room at a major hotel that can seat over 100, purchase various printed material for the guests to read and take notes on, put on a four hour workshop, all for free. Yea right, once again front end, back end sales. You see the front end is the free money making workshop which, attracts the suckers. Now they have a target audience, a bunch of people who are going to sit down and attentively watch a four hour commercial. This commercial called "the workshop" will be very entertaining, and very well orchestrated at selling. By the time most of these people leave the free workshop they will be handing over there hard earned money purchasing all sorts of kits, which will teach them this remarkable money making system. And these kits will not be just twenty or so dollars; oh no, they will be hundreds dollars. This is once again the back end sale where these people make their money. They spend it up front to get you into the door and before you know it they got you purchasing their products for hundreds of dollars.
What about the people who testify how great the workshops are when they are leaving the banquet room, like shown on the commercial. Well they are either paid actors, or suckers who just parted with a few hundred dollars of there money and actually think they have something of value. If it was that easy everyone would be doing it and the market would be so saturated that nobody would make a dime.
When you come across one of these infomercials, change the channel before you get sucked into the scam. If you feel the need to watch one take down the product they are selling and the name of the person selling it. Then go to your favorite search engine, enter their name, or product, and see what comes up. In all the cases where I have done this I find all sorts of information from people who have been suckered by this person or product and how stupid they feel for every getting involved with it. In some cases I have read where some of these infomercial people have been imprisoned for various frauds.
If you are really concerned e mail me about it. I will be happy to investigate it for you and post my findings on my website. I already have listed numerous scams both in my book "Crime Awareness 101," and on my scams and more scams page located in my Members Area. Don't be another sucker you work too hard for you money just to give it to a scammer.
Scott Shaper is a former police officer of over 14 years. He is also the author of the popular book "Crime Awareness 101", and the operator of the website http://www.crimeawareness101.com
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