Buyer Beware!

Randy Hansen
Special Issue 2006

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It wasn't what I ordered.

I purchased a state of the art DV camcorder from an online retailer for more than $700. A week later, I received the box from the retailer. Excitedly, I opened it only to discover inside was the previous year's model and not the current one I ordered. After several frustrating phone calls, many letters and official intervention from my credit card company, I got my money back, but I became a smarter consumer in the end. I ordered my dream camera a few days later from another business using much of what I learned, and I couldn't be happier with the result of my purchase.

More people are shopping online every year for everything from books to cars to houses and even, yes, video gear. There are thousands of retailers out there, all competing for your hard-earned dollar. But, how can you find the honest ones and the ones who'll deliver on their promises? And, what happens if the purchase goes sour? What recourse do you have and what can you do?

Choosing where to buy your dream camera or accessory is not as simple as it may seem.

Online retailers may offer a huge selection, low overhead and best of all, low prices. But, they may be located thousands of miles away, which can make returns, customer service and the "personal touch" harder to accomplish. You have to wait for your item to arrive and pay shipping and handling costs, too. However, you may save on sales taxes if the retailer's location is outside your state, which can be substantial. Also, there's no "face-to-face" interaction with sales people and the Web page may have little to no information about the widget of your dreams and answers may take a day or more. As a result, some people prefer "brick and mortar" stores or ordering by telephone (see sidebar).

We've all heard horror stories about rip-offs, scams and other devious schemes involving some retailers -- so who can you trust for honest service?

Once you've decided on the exact widget of your dreams -- including model number -- check out online retailers who sell your item. Picking the lucky business that gets your hard-earned money requires a little nosing around and aggressive questioning. Check out Web sites that review online retailers, their prices and customer service, such as Resellerratings.com. Look at not only the cost of the widget, but ask yourself:

• What's included for the price? A super-bargain camera may be the camera only and not the battery, remote, charger, strap and other items other retailers offer as standard for a slightly higher price.
• Shipping and handling charges. Sometimes, a shady retailer may start with a low price only to make it up with excessive "shipping and handling" fees. Know these before buying.
• Is it "gray market"? Foreign versions of your widget may be available at low prices only to be resold online. Warning! These items will not have a U.S. warranty and could leave you with no recourse should your widget break. Instructions may also be in another language. How's your Japanese?
• Return or exchange policies. Read the fine print! Some returned items may incur a "restocking" charge based on the purchase price that's deducted from any refunded monies (15% is typical). Also, make sure what the retailer requires when returning an item -- any missing detail (i.e., receipt, incomplete contents) could stretch out the time required to get a refund or result in a complete denial.
• Is it a factory warranty or a store supplied warranty? Factory warranties are supplied by and backed by the manufacturer. Store warranties are sourced from a 3rd party company and can vary wildly in quality. Store warranties are often used as an incentive to "push" gray market merchandise.

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