Recently, Quibids.com started advertising on television in an apparent attempt to paint the controversial company in a better light. Before that, it attracted consumers using Quibids promo codes that provided up to $15 in free bids. Although many people get excited when they get a hold of these vouchers, one expert says they may end up costing consumers in the end.
According to Sarah McDaniels, a technology expert who specializes in review, scam and deal features that warn consumers about potential cons, there are a lot of deceptive auctions ripping people off, these days. In fact, the Better Business Bureau has listed penny auctions like Quibids in its annual feature ranking the most common scams of the year.
“Many people believe the Quibids promo code is intended to attract less savvy consumers, who don’t understand how penny auctions work,” she said. “Because some of these people aren’t used to Internet bidding, they don’t understand that each time they place a bid, they are placing it at risk; and, ultimately, they lose their money even if they don’t win the auction.”
Not stopping there
According to McDaniels, while some bargain websites scam consumers with bait-and-switch tactics; others use deceptive marketing strategies to lure them into participating in penny auctions.
“Many penny auctions have begun hiring celebrities and former sports stars to endorse their merchandise,” she said. “Beezid has Lindsay Lohan, while Skoreit has been mentioned on ESPN’s Mike & Mike in the Morning Show. In the end, many believe this tends to make the sites seem innocuous to less savvy consumers.”
Sound advice
Before participating in a Quibids auctions, McDaniels advises consumers to thoroughly read the site’s terms of service.
“According to the BBB, most complaints regarding penny auction sites center on consumers misunderstanding how the sites work,” she said. “While most believe these sites are intentionally deceptive; the facts is that they do clearly spell out their rules for anyone willing to take the time to read them.
Ryan Lawrence is a freelance copywriter and special contributor to HighClassBlogs.com.