Wednesday, August 27, 2008

Difficult to earn my money

Recently, 5 salesgirls and 2 salesmen came into my office during lunch time to promote their health products.

They started by giving my colleagues free body checkups and telling them their health are in bad shape after punching in some calculations through complex formulas.

Initially, they gave a lot of freebie samples like oatmeal vitamins, detox drinks, aloe vera wash etc.

Then, they started their sales pitch.

Their products are not cheap, typically $80 for some omega 3 fish oil capsules, $50 for vitamins. They broke up into teams and started promoting to different cliques. By the time I reached there, many of my staff had bought their products, as they felt embarrass to reject them after trying out so much samples from them.

One of the salesmen started to pitch his sales talk to me. After just taking my body weight, he was able to calculate my body fats level, ideal weight, stress levels and gave the conclusion that my health was in dire straits!

He started saying things like:

You need my products to cure yourself!

Everything in life can wait, but not your health!

It is really up to you, whether you want to eat these or eat medicine in hospital.

This pollen is good for you!

Take this package, you will not regret! It is a “man package”.

You need to detoxify! You need to clear at least 2 bowels a day! You eat 3 meals right?? Where did the other 2 meals go to?

To be honest, I almost bought the products, until the man told me the last salesline.

This is a typical MLM product salesman punch line!

True enough, I went to the internet to research about the company’s US products and I was spot on!

We all know one of the characteristics of MLM products are obscene profits. A $6 product can be selling for $60 or more.

The reason for such huge mark up pricing is because there are many “uplines” waiting a cut of the profits.

I will not want to buy a product when I know the profits margins is a hefty 1000%. Basic economics tell me that such products do not give value to the consumer, wiping any consumer surplus available.

Consider Singpost and SPH. Their profits margins are only 40-50% and they have done so after eliminating 90% of market competition, operating in an almost monopolistic environment.

A profit margin of 1000% is definitely ridiculous from business ethics perspective, unless you are selling out of the world products. Don't tell me I can become God after eating your products!

Come to think of it, the sales talk was rather exaggerated, similar to what we had seen in Money No Enough 2.

I am proud that I said NO, despite some colleagues giving me the disgusted look that I was a typical Singaporean who only went for the freebies. I prefer to stay healthy the healthy way. Not through capsules and sales talk.

I guess it is just hard to earn my money!

PS: Due to potential legal liability, I will not be naming the brand of the products the salesman are selling.

1 comment:

Anonymous said...

You did the right thing to say 'NO'.
I allowed a salesperson into my residence one day who failed to persuade me to buy her pots. There were no freebies given but she demonstrated to me how to scrub my old pot the right way.
I did not buy anything from her, very exorbitant, but she stayed a long time even right through my cooking time for dinner.
Such experience scared me and I never let anyone into my home from then.