How Clubs Work
Each month (or week) subscribers receive a product offering which can be the product or an offer card describing the product. The subscriber then has a specific time to respond, either by rejecting or accepting the offer/product. This is usually done by mailing the offer card or product back. If a subscriber does not reject the offer within the specified time (often 10 - 14 days), then the offer defaults to 'accepting' the offer and the subscriber is charged accordingly.Clubs - Deal or No Deal?
Reading the fine print and the complete details of the subscription is the best way to figure if it a club is a good deal. If you have questions, call an speak with customer service. Ask for the terms discussed to be emailed to you. The person answering your questions may not be around to support any later conflicts.
Breaking It Down
Trying to see if a club is really going to be a bargain will involve a little arithmetic.I will use a recent offer I found to join a DVD club. The introductory offer reads, "Five DVDs for 50 cents and Free Shipping." I then read the available club terms and find I'll be charged $5.00 annual processing fee for the membership. Shipping is free on one free introductory DVD, but there is an undisclosed handling fee. The DVDs (unless special offer DVDs) are $19.95 of which I agree to buy four over the next 12 months.
Crunching the Numbers
- Five Free DVDs - $0
- Free Shipping - Applies to one free DVDs
- Handling Fee for the one free DVDs - $2.95
- Shipping and Handling on four free DVDs - $15.80
- Membership - $5.00
- Four Paid DVDs - $79.80 ($19.95 each)
- Shipping and Handling for the Four Paid DVDS - $15.80 ($3.95 each)
Grand Total - $119.35 or $13.26 per DVD
$13.26 is not a bad deal if you are diligent and get only the DVDs you actually want. But there are other things you want to look at before you join such as:
How many and what are the titles the club has for sale?
Browse the clubs inventory and decide if enough titles are current or would you do better to hit the discount bins at your local stores.
What is the clubs average delivery time?
The average for a good club should run two to four weeks. Anything over that and you have to question if the club is top notch.
Is the customer service live?
As much as I like Philip the Mechanical Voice, when I've got questions or problems with an order, I want a real live person on the other end of the line. Browsing website FAQ (Frequently Asked Questions) pages tend to be too general. Look for clubs that offer live support.
What ways are available for rejecting offers?
Look for clubs which have multiple ways to reject offers such as by phone, online or through the mail. This will make it easier for you to reject the offer faster and reduce the chances of ending up with a product you do not want.
Can you reject an offer before it is mailed?
Being able to view the offer before the product is mailed will save time and money. It is easier to go online and check 'no thanks' compared to taking a package to the post office.
If you do get a product you decide you don't want after the specified time period, can it be returned?
Sign up only with clubs that are liberal with returns. Search forums for discussions about clubs to get consumer reviews before you sign up. Ask the customer service representative about returns if the agreement terms are not clear.
What is the club cancellation policy?
If you decide you do not want to be in the club you will usually have to fulfill your obligation (example: buy four DVDs) before you can opt out of the deal. Clubs which offer better opt out options would be the safest direction to go.
What if they keep sending the products after I've cancelled my membership?
As long as you are certain you fulfilled the obligations you agreed to and you've sent a written request to end your membership, any product received after that time can be considered unordered merchandise and you may keep it as a gift or return it. If this does happen, send a copy of your original letter again to insure the information is received and your membership is cancelled.
