Hard-Sell Tactics

Lux's Hard-Sell Tactics Draw Fire
(TODAY dated July 12, 2004)

CASE's executive director Seah Seng Choon said the company is "overly aggressive" in pressuring customers into buying products they do not need. He noted that Lux salesmen did not inform customers about the mandatory 10-day cooling-off period, in which customers are free to cancel their purchases without penalties.

Buyers were made to sign an agreement that if they cancel their order, they have to pay half the price of the vacuum cleaner.

The vacuum cleaner costs $2,520. 70 complaints have been lodged with CASE this year compared to 42 complaints last year.

The problem with this 'knock on your door' sales is that you are not given the chance to cool off and compare prices and make a rational decision. They claim that they won't be coming again.

Consumers are swayed by sales tactics such as, "if you don't order now, we will not be coming again". It's now or never. Later when you compare prices, you found that other similiar product cost less than $1,000. Then you wonder if it was worth the price. By then, it's too late to return the good cos of the penalty.


What' the Price of a HDB Unit
(Source:Straits Times, dated 12 July 2004)
It was revealed that the construction cost of a HDB housing unit is around $50,000. But the selling price is about $200,000. One reader ask the government how they account for the big difference in the cost.

Trust is an endangered word. It is as rare as virginity.