Television advertisements are aggressively pushing online bargain websites that claim to offer big savings, and many consumers are logging on to see if they can take advantage. Recently, a site named QuiBids began purchasing advertising space on network television; however, this company has come under fire for a questionable business model many see as nothing more than legalized online gaming.
Legal trouble
Recently, QuiBids became the target of a class-action lawsuit in its home state of Oklahoma. The suit accused the site of using deceptive business actions to lure unsuspecting consumers. Other similar online penny auctions have faces similar suits, with some being accused of operating as thinly-disguised gambling operations.
Is it gambling?
QuiBids is a lot more like a casino game than a legitimate online marketplace for one big reason: consumers must risk money against long odds each time they participate in an auction. Every time an auction ends, there is only one winner; however, there can be hundreds of losers, with each one forced to forfeit every single bid he or she used during the auction.
Should you participate?
If you like to gamble, this site may provide some level on entertainment; that said, it should definitely not be seen as a legitimate way for consumers to find bargains. If you do decide to participate, you should be aware that some have accused the company of using automated software to make fake bids. Whether this is true or not, consumers already face long odds each time they participate in one of these penny auctions.
In the end, with so many other great deal sites available, it simply doesn’t make sense for anyone to risk their money at this website.
Ryan Lawrence is a freelance seo copywriter and special contributor to HighClassBlogs.com.