I really don’t get it!  Tonight, we received the 2nd phone call in as many nights offering us a ‘FREE’ nokia mobile phone.

My hubbie, who is far more tolerant than me, took the first call and just hung up them. You would think they got the message!  Alas, no…. tonight at 8.45pm… just in time for the household to be winding down, children to be heading to bed and hubbies and wives trying to steal some valuable alone time… the phone rings!!!! and they’re trying to ‘sell’ me something.

My approach is possibly a little more direct.  This time, I asked which number they rang (I have two phone numbers on the one line), what company they were from, their name and a contact number.  I really laughed when they said “You want our number?”.  Well… doesn’t it make sense?  They rang me, shouldn’t I be able to call them?

The number provided was a 10 digit number, perfect for Australia, and started with 60.  Not being familiar with a 60 area code, I asked what state they were calling from.  I was told I could “work it out” — I was a little insistent about the state….

Kudos to the operator – they lasted this long.  My next question “How do you spell your company name” elicited the required response… “I have to go now”.  My response of, “Do you have to? You’ve interrupted my evening already and I want to talk” was not taken well, I think.

The Australian “Do Not Call Register” is somewhat of a joke in the face of these calls.  Under the Australian legislation, we need to get a name, Company Name and phone number.

In fact, the legislation states that soliciting companies MUST display their number to their targets.  Given that, when I receive a call that has a ‘number available’ or ‘private number’ I am immediately suspicious…..

So, I endeavour to collect as much information as I can, so that I can report these companies through.  Do I believe the information they provide me is legit?  Nope…

In October 2008, Dodo copped a record fine for ‘flaunting’ the Do Not Call legislation. What did they do?  They thought that because their call centre was located ‘off shore’ the laws didn’t apply to them.  Think again…. Dodo copped a $147,000 fine.

An admirable start, but as any Australian homeowner will tell you – we receive at least one call a week from some other mobile phone network offering great deals to upgrade.  That we are on the Do Not Call register does not seem to register with these people.

Yes, I will continue to report these people.  Yes, I will continue to be so hard to deal with that we get a black mark against our name and they don’t call back (it’s worked so far), but will the Australian Government realize that the legislation is somewhat of a toothless tiger and provide us, their tax payers, with better recourse?

What say you?

Hot off the Internet Presses is the announcement that EzyDVD has been purchased by the Franchise Entertainment Group.

From ABC News – EzyDVD Jobs To Go

Receivers say 30 South Australian jobs will be lost through the sale of Australia’s largest online DVD and entertainment retailer, EzyDVD.

The company went into recievership last month with debts of more than $3 million.

Receivers Ferrier Hodgson say the company has been sold to the Franchise Entertainment Group.

The jobs will go with the closure of the head office and warehouse of EzyDVD at Torrensville in Adelaide’s west within the next three months.

The Franchise Entertainment Group (FEG) operates both the BLOCKBUSTER® and Video Ezy brands in Australia and New Zealand.  The group operates approximately 1,000 stores, most of which are franchised, and have gross revenues exceeding $700 Million per annum.

With multiple Video Ezy, Blockbuster and EzyDVD in close proximity within shopping districts, I can only predict that this move will put more pressure on, what must be, the already beleagured EzyDVD Franchisees.

It’s a shame  really.  Franchisors are not required under Australian Franchise laws to divulge their financial standing or performance. The only time a Franchisor is required to provide financial statements is if they are a Publically Listed company.

It is exactly this issue that has led many, unsuspecting, franchisees to invest their money into a system – as they are ‘sold the dream’ with little evidence to support the claims.

I feel for the existing EzyDVD franchisees and wait in quiet anticipation as the full repercussions of the EzyDVD sale to the Franchise Entertainment Group become clear.

It appears that EzyDVD franchises are not accepting EzyDVD Gift Cards.  However, the stores are accepting full payment for new releases…  Needless to say that this is upsetting a number of consumers…

Hi Everyone

Just thought I’d send out a warning about Ezy DVD shops in Australia.
See ABC news: http://www.abc.net.au/news/stories/2008/12/17/2448871.htm
Today they went into receivership but are still trading from their
shops.

Neil’s Mum had bought us Ezy DVD vouchers for Christmas and he went
into Tuggeranong Ezy DVD to try to spend the vouchers and was advised
that they couldn’t accept them on the instructions of Head Office.

At the time, a man next to him was paying for a “future release”.
Pre-paying for a movie that is coming out shortly. They were about to
take his money when he heard the discussion Neil was having with the
sales clerk (Neil is not quiet – particularly when angry). The man
took his money back, ripped up his order sheet and said “you f*&ers
weren’t even going to tell me, were you?”!

Needless to say, DON’T pre-order from them or buy vouchers (I don’t
know if they are actually selling vouchers, but they were certainly
accepting furture release payments)!!

Neil’s Mum is a pensioner and certainly couldn’t afford to lose $120
on Christmas gifts!

Please pass this on to everyone you know!

Best regards and happy holidays (hopefully).

Melanie Buckley
Canberra, Australia

The franchisor is in receivership and they own the money that is taken at the Franchise level for Gift Vouchers, so the Franchisees are left ‘holding the can’ with this one – I feel for them.  I know how many Gift Cards we sold in the lead up to Christmas in each of our stores…

I can’t comment about asking for full payment for orders… It was certainly one of our policies with customer orders – to ask for full payment up front.  Additionally, we wouldn’t accept a customer order without a deposit.

However, would we – in the current climate that exists for the Franchise – be taking full payment? It’s not a position I would want to be in. Let’s look at the situation, as I understand it from my own experience:

1. Here we are, at the end of the Christmas boom, where we make the majority of income for the year
2. In little over a week, maybe a little longer, we are faced with the inevitable downturn in sales. Store revenues crash to the lowest they ever are in the year.
3. Supplier accounts are 30 days, the stock purchased to cover the December sales isn’t paid for till January.  December accounts are generally quite large…
4. Revenue for the Gift Cards has been lost… The sales that would normally come from people redeeming Gift Cards just aren’t going to happen…
5. And… you still have to have stock on the shelves and fulfill customer orders…

It’s a bleak picture, made bleaker by the current ecomonic climate.  I’m certainly glad that we made the decision to exit when we did – regardless of our current financial situation… it would be a whole lot worse now…

What do you think? What should the Franchisee’s be doing?