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Wednesday, May 28, 2008

INTERNATIONAL SHOPPING NETWORK

Anonymous said...
INTERNATIONAL SHOPPING NETWORK IS NOT A RIPOFF

International Shopping Network / ISN, a national direct response television production company, is revolutionizing the infomercial industry.

International Shopping Network is unlike many companies in the infomercial industry. International Shopping Network has a very strong set of values and morals. We care tremendously for our customers, the products we sell and the companies we work with.

Like many industries, there are good companies and some rotten apples. It’s unfortunate, but the infomercial industry is known to have a very “shady” reputation.

There are two ways that many rip-off infomercial companies make their money. The first way is the infomercial company charges for their services an upfront fee which ranges from $25,000 to 50,000 or more. Often the fee is referred to as a “placement fee”, “vendor fee” or “participant fee”. This upfront fee pays for all the costs of video production, low-end media buys, product distribution, order fulfillment, call center services and credit card processing. After the rip off infomercial company has fulfilled it’s obligations in the agreement with the manufacturer, it stops doing business with the manufacturer because they have already made a very large amount of profit off of the upfront fee and they don’t need to sell inventory. Essentially, the rip off infomercial company does not take any financial risk whatsoever because the profit has already been made. Furthermore, the rip off infomercial company does not take an invested interest in selling the product or getting exposure for it by doing the right media buys because they have already made the money by charging the extremely large upfront fee.

The second way a rip-off infomercial company operates is by working directly with an inventor of an innovative product. Usually the product doesn’t even exist yet. The product is just a drawing on a piece of paper or if the product does exist, then it is in its infancy and is only a prototype. Under these set of circumstances, the inventor cannot afford to get the product manufactured and distributed. In addition, the inventor does not have the resources to launch the product by getting exposure through advertising and marketing. The infomercial company signs a legal agreement with the inventor and does not charge the inventor any upfront fees. Instead, the inventor gives up his rights to the invention. The infomercial company pays for the product to be made at low cost usually by a manufacturer in China or another Asian country. This way, the infomercial company gets to maximize its profits when the product is sold. After the product is ready, the infomercial company produces a short form direct response commercial or a thirty minute infomercial. The infomercial company pays for the media buys and airs the product on TV. Also the infomercial company pays for the costs of warehousing the inventory, order fulfillment and distributes the product into stores and other retail outlets. In exchange for giving these services to the inventor and taking a calculated financial risk, the infomercial company gives the inventor a small royalty from the sales of the product. Usually the royalty is only pennies on the dollar. Even if the product sells very well, the inventor will not make much money. This is not exactly a scam, but it’s not a fair deal either.

International Shopping Network is much different compared to the many other infomercial companies. We don’t make money by charging a $25,000 upfront fee and then let the manufacturer and the product get thrown under the bus.

We don’t take advantage of financially disabled inventors with dreams to sell a product on TV. Instead, we embrace manufacturers and inventors of unique products.

Many of our competitors are not capable of doing everything that we do and are very jealous of us. Some of our competitors have even tried to hurt us by placing false complaints with the Better Business Bureau and other third parties.

Recently, a company posted a bogus complaint against us on a consumer advocate website. After researching the website, we learned that it is owned and operated by an ex-convict who was found guilty for committing a felony. Moreover, we found out that the person who owns the website has extorted thousands dollars out of companies in order to post responses to complaints on the website or have the complaints removed. Since it is against our beliefs to allow anybody to extort money out of us, we decided not to post a response directly onto the website.

Currently, we are in the process of taking legal action against these competitors and the website which posted false information about us.

If we decide to work with a product, then we will pay for all the costs of video production, media buys, product fulfillment and distribution and all other costs involved in selling and advertising the product.

International Shopping Network is not a rip off company. International Shopping Network has very strong code of ethics. In no way are we trying to say that all of the companies in our industry are bad. In fact, there are many companies in industry who are good. Overall, the message that we would like to get across is that our philosophy and the way that we do business is very unique and different compared to everyone else. This is why we, at International Shopping Network, make our profits by reselling the products.

For more informational about International Shopping Network, please visit: www.internationalshoppingnetwork.com

May 28, 2008 1:22 PM

1 comment:

  1. Web site doesn't exist any more. One wonders if this isn't the same sort of scam (like Shop on TV Network) that they try to say they're not in the 4th paragraph. The pattern seems to be to set up an Internet company, sharge manufacturers for promotional services they never deliver, and then move to a new town with a new company name and a new mailing list or call list of victims.

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