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Why can a scam company raise $40 Million Series C + $76 Million Series B?

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Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#301

Post by chmars »

abalone wrote: post #154

Every single person who has been misled into signing up for a recurring charge should do this one thing: Dispute the charge with their credit card company. You'll get your money back and it will issue a bunch of chargebacks to JustFab, which will penalize them financially. If enough people complain their penalties will escalate and their credit card processing rates will go through the roof. This is how the credit ca…

Dispute the charge with their credit card company.

Who is their credit card company?

I have not had a credit card complaint for years but I would probably ask my credit card issuer for a refund, in particular because I have an agreement with my credit card issuer but not with the vendor's credit card company.

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#302

Post by bowlofpetunias »

cs702 wrote: post #278

JustFab is not a 'scam company' (in the sense that they may not be doing anything technically illegal), but they are using DARK DESIGN PATTERNS[1] to trick at least some people into doing things they don't want to do. The checkout page[2], in particular, seems designed specifically to trick people into signing up for recurring monthly charges. Any person who adds merchandise to the cart and then clicks the big 'Conti…

What they are doing in fact is illegal in most countries with strong consumer protection. Explicit and informed consent is not something judges and regulators take lightly.

And since they apparently operate in Germany, France and Spain, I strongly suspect they are breaking the law in one if not all of those countries.

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#303

Post by DanBC »

chmars wrote: post #301
abalone wrote: post #154

Every single person who has been misled into signing up for a recurring charge should do this one thing: Dispute the charge with their credit card company. You'll get your money back and it will issue a bunch of chargebacks to JustFab, which will penalize them financially. If enough people complain their penalties will escalate and their credit card processing rates will go through the roof. This is how the credit ca…

Dispute the charge with their credit card company. Who is their credit card company? I have not had a credit card complaint for years but I would probably ask my credit card issuer for a refund, in particular because I have an agreement with my credit card issuer but not with the vendor's credit card company.

Yes, that's what the parent says.

When Bob has a problem with Ann's scummy business Bob should ask Bob's credit card company for a refund, which generates chargebacks for Ann's business.

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#304

Post by gozmike »

Frank and Oak (frankandoak.com) does something similar to JustFab. They just raised a large Series A.

I've been burned by this personally, but ultimately it's really a case of buyer beware so I can't really hold a grudge - even if the tactic is sleazy imo.

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#305

Post by goathead »

Tichy wrote: post #70
jdh wrote: post #23

I'm the Series A investor in this company. We in fact have done plenty of due diligence, and you will be pleased to know it is not a scam company. In fact, the company has very high customer satisfaction ratings, including an NPS that is in the ballpark of Amazon, and a very high customer retention rate. More than half of the people who subscribe to the service are still subscribers after two years, which is unusuall…

Are you kidding? Even though I knew what I was looking for in that image, it took me a long time to find the information that there will be a charge every month. It is at the very bottom of the page, in the fine print. I believe you that you believe in the honesty of the company, and that you have the best intentions. Clearly this semi-scam works for you, but if you really want to feel good about yourself, I recommen…

Same here, it's very clearly unclear in what is going on with that VIP program. That's not a failure of the site visitor at all but certainly will be the first thing anyone hungry for their money would say.

It seems like further proof that the plan is to separate suckers from their money.

I'm not overly familiar with consumer protection law here in the US but if it exists it wouldn't surprise me to see it haphazardly enforced if at all.

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#306

Post by calinet6 »

avalaunch wrote: post #69
jdh wrote: post #23

I'm the Series A investor in this company. We in fact have done plenty of due diligence, and you will be pleased to know it is not a scam company. In fact, the company has very high customer satisfaction ratings, including an NPS that is in the ballpark of Amazon, and a very high customer retention rate. More than half of the people who subscribe to the service are still subscribers after two years, which is unusuall…

The other commenters are being too nice in their replies. You're full of shit. JustFab is a shoe of the month club masquerading as a normal online shoe store. The VIP Membership Program is the essence of JustFab's business model and yet it's missing entirely from the home page of their site. It looks like any other shoe store. And yet you think it's clear that the user is being signed up for a shoe of the month membe…

Exactly. It's a bullshit scam. The entire page guides you into signing up for a "VIP" style, but always looks and feels like you're buying a single pair of shoes. It is a scam, plain and simple, and their recurring income is from the privilege of sending poor unwary consumers a new pair of shoes every single month without their full understanding.

It's no better than the mail-order monthly subscription scams of olde. Perhaps people invest in those too, but no one in their right mind claims it's "a great company."

It's a scam using classic deceptive marketing methods. No debate, no question.

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#307

Post by mkr-hn »

avalaunch wrote: post #69
jdh wrote: post #23

I'm the Series A investor in this company. We in fact have done plenty of due diligence, and you will be pleased to know it is not a scam company. In fact, the company has very high customer satisfaction ratings, including an NPS that is in the ballpark of Amazon, and a very high customer retention rate. More than half of the people who subscribe to the service are still subscribers after two years, which is unusuall…

The other commenters are being too nice in their replies. You're full of shit. JustFab is a shoe of the month club masquerading as a normal online shoe store. The VIP Membership Program is the essence of JustFab's business model and yet it's missing entirely from the home page of their site. It looks like any other shoe store. And yet you think it's clear that the user is being signed up for a shoe of the month membe…

I came to it knowing the OP's story and still had to think for a minute to realize the pre-checked VIP option was the monthly thing the OP described. What hope does someone without so much information have?

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#308

Post by ceejayoz »

jdh wrote: post #33
wenxun wrote: post #25

Earlier quoted context omitted.

A quick count from these three websites showed several hundreds customers have fallen victims: http://www.sitejabber.com/reviews/www.justfab.com http://www.scambook.com/company/view/146/JustFabcom http://www.consumeraffairs.com/online/justfab.html If you google "justfab review" or "justfab scam" or "justfab fraud", there are surely many more.

You've posted this comment three times, and I won't reply on every thread, but let's be clear: these "review" sites are shady operations that extort retailers by aggregating negative reviews and charging to hide them. Amazon's review is worse than JustFab's on the same site: http://www.consumeraffairs.com/online/amazon.html You can Google a lot of e-commerce sites with the word "fraud" or "scam" and find a lot of neg…

JustFab has nearly as many complaints as Amazon while having many millions fewer customers. You're proving the point, not refuting it.

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#309

Post by calinet6 »

abersek wrote: post #217
testing12341234 wrote: post #135

Earlier quoted context omitted.

Absolutely agree with this comment. Here's the impression that I see at a "first glance" that page: 1.) The item to purchase, along with the price of the item. 2.) A bright magenta "Continue Checkout" button. 3.) An ad for an upsell on the right hand side which I'm generally not interested in. (on the right side, light grey text, etc) Only after carefully scanning the page do I notice the following: 3.) This isn't an…

Even worse, should you click on 'Checkout as a Pay As You Go member', the order summary still shows VIP status. It appears there is no way out.

It's because the shoe itself is the first item in the VIP membership by nature. If you buy something, you're buying into their whole service.

Re: Why can a scam company raise $40 Million Series C + $76 Million Series B?

#310

Post by rschmitty »

bitJericho wrote: post #253
ghshephard wrote: post #228

Earlier quoted context omitted.

Totally not the case that you get your money back, at least with WellsFargo Visa, they will investigate to determine whether your card was used by some other party. Saying, "I didn't read the terms of the agreement" is not grounds for a chargeback. What's worse is when you've signed up for a One year recurring payment and you have to jump through hoops to cancel such as a registered letter to cancel. Wells fargo will…

And that's why you shouldn't bank at Wells Fargo.

WF is fine, its just that parent thought his WF Visa was the same thing as an actual Visa that comes with actual protection

Remember, never use debit cards.

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