Rubber bands on Groupon – Redux

The skeptical movement is all about consumer protection, especially when people are being ripped off with woo-related paraphernalia. I’ve mentioned balance bands being sold on group-buy websites twice now.  Well, it turns out that Groupon cancelled the deal because they realised that it was an absolute scam!  The following quick synopsis was written by riley in the comments:

What is really funny about this deal and everyone fails to realize is that this Groupon deal was set out to be the biggest scam a company has ever pulled on Groupon. No one is giving them credit for that.

Balance-bands.net created on Creation Date: 12-jul-2011, I am guessing for the sole purpose of selling balance bands on Groupon for $15 a pop.

These are the ones I could find, there could be more.

Seattle [groupon.com] 2596 Sold
San Diego [groupon.com] 962 Sold
Little Rock [groupon.com] 255 Sold
Toronto [groupon.com] 3306 Sold
Denver [groupon.com]1352 Sold
Ottawa [groupon.com]1151 Sold
Kitchener [groupon.com] 765 Sold
Calgary [groupon.com] 1197 Sold
Vancouver [groupon.com] 3448 Sold
Edmonton [groupon.com] 458 Sold
Halifax [groupon.com] 449 Sold

From all of those, 15,939 were sold. There could be more.

So 15,939 x $15 = $239,085
Take out groupons 30% commission= $71,725.50
Balance bands.net ends up with $167,359.50

Since you couldnt use the groupons until a set date, which was same strategy that VoxComm used for the Tablet scam where he would bulk order from china, linky [groupon.com]
they could bulk order that 15,939 at one time lets assume .10 each, that would cost them $1593.90 and all the shipping they probably would have ended up with $160,000. Not bad for a company 1 month old.

Its a pretty smart idea, glad they didnt get away with it.

Also, anyone coming here thinking $10 is a good deal, they are $3 shipped with prime at amazon, link. [amazon.com]

So not only are these bands a scam from those who appear to genuinely believe in them, but they are also being exploited as a way to make a quick buck.  Caveat emptor, indeed!

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2 thoughts on “Rubber bands on Groupon – Redux

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