BBB at Fort Worth consumer alert triggers action from the Texas Attorney General.
In January the Better Business Bureau at Fort Worth released a consumer alert on Arlington based FX Supplements also known as Acai Berry Max. The Texas Attorney General took action against the company and a settlement was reached.
Click here http://www.oag.state.tx.us/oagNews/release.php?id=3064 for the article from the Office of the Texas Attorney General.
Celebrity Praised Weight-loss Acai Berry Makes Wallets Lighter and Consumers Angrier Warns BBB
Peddlers of Acai-berry products lock customers in after “free” trial expires
Fort Worth, TX - Better Business BureauÒ is warning consumers to be wary of online ads relying on implied celebrity endorsements to sell acai-berry related weight loss products. BBB has received thousands of complaints from consumers nationwide who thought they were signing up for a free-trial offer of acai berry weight loss products touting the berry’s super food attributes brought to the national stage by celebrities such as Rachel Ray and Dr. Oz vie the Oprah Winfrey Show among others; in the end, the free trial cost them, month after month.
The acai berry has been featured on many national TV shows and praised by doctors and celebrities because of its high level of antioxidants. Marketing claims about acai include that it fights cancer and aging, promotes dietary health and weight loss. Producers of acai berry supplements, juices and teas have been very successful peddling their goods in ads on the Internet. The ads usually include a photo of a celebrity — such as Rachel Ray — and claim that she endorses acai as a weight loss miracle. Sales of acai products increased to $13.5 million last year, according to natural-food tracker Spins Inc.
“We’re not in the position to dispute the restorative or weight loss powers of the acai berry, but we are taking companies to task for their sales and marketing practices,” said John Riggins, CEO BBB at Fort Worth. “Many companies across the country are using the same selling model for their acai products: They lure the customer in with an implied celebrity endorsement and free trial offer, and then lock them in by making it extremely difficult for them to cancel the automatic delivery of more acai products every month.”
BBB at Fort Worth has received more than 550 inquiries and over 100 complaints related to acai berry products in the last 12 months alone. FX Supplements.com, based in Arlington, TX, is an e-tailer selling products such as Acai Berry Maxx and Maxx Slim Hoodia accounted for over 500 of those inquiries. The company offers a risk free trial of their products for the cost of shipping and handling. If the consumer does not cancel within the trial period they are sent additional bottles every month and are billed $85.90. Complaints show that the trial period fluctuates between 10 and 14 days from when the consumer requested the free trial—not from when they received the product.
Complainants stated they had difficulty canceling their subscription; some made numerous calls to the phone number listed, found the number out of service, continually busy or were sent to voicemail. Complainants also had a difficult time canceling their subscription via the email provided. In some cases, the email address did not work or the complainant continued to be billed after multiple emails. Several customers reported that they were forced to close down bank accounts and cancel credit cards in an effort to prevent recurring charges.
“These companies are abusing the endorsement of high-power celebrities for the acai berry in general and using it as a tacit endorsement of their company and products specifically,” added Riggins. “Consumers trust Oprah and if they believe that she is putting her stamp of approval on a product then they are definitely more likely to purchase it.”
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