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  • Report:  #226307

Complaint Review: Mahibay - Provo Utah

Reported By:
- Reston, Virginia,
Submitted:
Updated:

Mahibay
3651 North 100 East Provo, Utah, U.S.A.
Phone:
877-304-8938
Web:
N/A
Categories:
Tell us has your experience with this business or person been good? What's this?
What you really get is a site with access to hundreds of retail stores that offer rebates to anyone who has registered and makes a purchase. The rebates average, without consideration to buyer discounts, about 3-4%.The highest I have seen is 20% but it was for a product that you would not try to sell on ebay.It is absolutely impossible to realize up to 80% profit as they advertise.

If you want to use it as a drop ship program you will have to sell at a fixed price at or above retail because when you make the purchase at the store (you will pay retail) for the product you sell on ebay you will only get their 3,4,5% whatever, rebate. Ebay and Paypal costs alone will eat that up. The program was presented to me as a one site shopping place with access to hundreds of excellent retail stores that offer the people you get to register on the site a rebate every time they make a purchase.

The rebates add up in the individual's account and are paid out once a quarter. I was also told that others use it as a drop ship program and sell on ebay. Actually they are now promoting this as a drop ship program. It is not and cannot be because you are buying at retail and only saving through the store's rebate. Saying it is a drop ship program is a misnomer because you have no relationship with the stores for the product other than as a regular retail customer. The owner of the site gets 50% of rebates. So if the customer get a 5% rebate the owner of the site get 2.5% of their total purchase. As far as I can see one would probably average about a 3% profit on users purchases.

At that rate one will have to have registered users make purchases of $33.33 in order to make $1.00! Just to pay Mahibay's $50.00/mo. hosting fee will require sales of $1666.67/month. So how many people need to make purchases each month just to pay that fee? You do the math. One would have to bring thousands of people to the site and get thousands registered and buying all the time to make any kind of decent money. These people are very misleading and once they have your money you are on your own to try to figure out how to market your new business. These are not nice people and they are outright lying about what they are offering. I bought in and can only blame myself for not doing more research first. But their sales pitch and the lies about how well I could do selling all this stuff on ebay made me bite. It is all money down the drain!

Brandon

Reston, Virginia
U.S.A.


9 Updates & Rebuttals

Brandon

Orem,
Utah,
U.S.A.
Response to Lee Allaben

#2REBUTTAL Owner of company

Sat, June 30, 2007

When someone purchases a website from us we immediately start working on the back-end of the website. We create a logo for them and then build the website around that logo. Yes, they are custom websites and some do have similar features such as where the tabs are located, etc. Some of our clients are not picky with what they desire. We can create virtually any kind of website you desire. Mr. Allaben wanted his money back because his wife was upset with him. That is precisely what he told me over the phone. When he heard we had a no refund policy he got very upset. That is why he has written these postings. Mr. Allaben once again misquotes what we have on our website. Nowhere does it say "80% savings." It states you can get "up to" 80% profit margin. That is true and we would be glad to show that to each person. He spoke of making a purchase from Brookstone company. He would have to deal with Brookstone directly, not Mahibay. Mr. Allaben states that Mahibay really is not a drop ship program. Let me educate anyone out there on what drop shipping is: People advertise the product (no money put out), sell it, then have it shipped for them to their customer. That is drop shipping and that is what we do. We sell people the technology we have in place to make that happen. We established 1,400 supplier relationships over three years so that you do not have to yourself. We then integrate those relationships onto a custom website. What cost Mahibay hundreds of thousands of dollars to create costs our clients a fraction of what time and money we put out for this system. Mr. Allaben spoke of a customer who puchased from Lands End company but the customer had a payment reversed. Once again, you would need to deal directly with them. Mahibay has nothing to do with that. Mr. Allaben asked again for a refund. We do not give refunds to people if their wives get upset. They need to deal directly with their wives "before" the sale happens. Once again, Mahibay is not accountable for those actions.


Brandon

Orem,
Utah,
U.S.A.
Response to "R" from Arizona

#3REBUTTAL Owner of company

Sat, June 30, 2007

We still as a company run Zibus and service all of our clients. We do not currently market that model anymore because we focus on building websites for people. Once again, "R" from Arizona is another person who has never been a client of Mahibay. If you want the truth, go to the source.


Brandon

Orem,
Utah,
U.S.A.
Response to John from New Jersey

#4REBUTTAL Owner of company

Sat, June 30, 2007

This person named "John" here has never actually been a client of ours. He does not have the facts since he has never been a member. People do not have to be a member to see if we are legit. We do allow them to see client websites to see pricing, etc. We give them quite a bit of information to see so that they can make an educated decision. We have nothing to hide since we are a web-development company who provides products through our 1,400 suppliers for drop shipping. That is it. On the 80% profit people must understand it means "up to" meaning not all products are going to be that way. We could show hundreds of items that do have those profit margins. Have a great night everyone.


Lee

south burlington,
Vermont,
U.S.A.
Mahibay is indeed a scam

#5Author of original report

Thu, February 22, 2007

I bought into this scam. I tried to get my money back the day after I had it sent. I was lied to and told that over the weekend their site builders had worked on building the site for me. It's a lie because all they use is a template and create a logo. So I tried to make it work as a site for people to save by shopping in one site and get a rebate on each purchase. I soon realized I would have to get thousands of people signed on, let alone visit the site to make any money. Not possible. So then I tried using it as a dropship which was a joke. My rebate on average was 6-10% which means I had to buy retail and try to resell and make a profit. Try that with such a small markdown. Boyd and Lee, the scammers who own Mahibay, promote the business by claiming 80% savings. That is total BS. One retailer whose product was not something that could be resold, offered 40% rebate which for a site owner equals 80% rebate. The vast majority of retailers available only offer 2-5% rebate. In all practical considerations it is not a dropship program as one would be looking for to make some decent money. So I told them to shut down my site as I did not want to pay them $50 per month maintenance fee for nothing. I told them to pay my customers their rebates and pay me mine. I had made a purchase from Brookstone for $395.00 and should have received a 10% rebate. I got nothing. Also one of my customers who made a purchase from Land's End had over $119.00 of the sale reversed without explanation so she lost that rebate. I asked for an explanation for both my non-payment from Brookstone and the reverse from Land's End and only received lip service from Josh Lee. To this day these problems have not been resolved and none of my customers have been paid their rebates. I have reported Mahibay the the Utah BBB and asked that all payments in full be made and my $5495 original investment be refunded due to failure to satisfy promises and for non-performance. Lee Allaben, Vermont - past owner of worthless site.


R

Tucson,
Arizona,
U.S.A.
Assoiciation with Zibus

#6Consumer Comment

Sun, December 24, 2006

Same gentlemen that run the Now Non-funtioning Zibus Website for Dropshipping. Just add another LLC and make more money off Un-educated people. Please people put these crooks out of buissness and don't give them your account numbers.


John

Califon,
New Jersey,
U.S.A.
Not that there was any confusion to begin with

#7Consumer Comment

Sun, December 24, 2006

the OP did his research and figured out your scheme and you're upset. Too bad. One less person to rip off. Your "clearing" did absolutely nothing but talk in a vague circle. Why would someone HAVE to be a member to allegedly see that you are legit? What are you hiding and why does it have to be hidden? You also had the perfect opportunity to prove this: "As far as being "up to 80% profit" we would be glad as a company to show you many examples of this." right here on this site and failed top do so. No reason to send out alleged individual emails to people to "prove" your case-more of the masses can be reached by posting it on a website. Plus, it would save you alot of typing.


John

Califon,
New Jersey,
U.S.A.
Not that there was any confusion to begin with

#8Consumer Comment

Sun, December 24, 2006

the OP did his research and figured out your scheme and you're upset. Too bad. One less person to rip off. Your "clearing" did absolutely nothing but talk in a vague circle. Why would someone HAVE to be a member to allegedly see that you are legit? What are you hiding and why does it have to be hidden? You also had the perfect opportunity to prove this: "As far as being "up to 80% profit" we would be glad as a company to show you many examples of this." right here on this site and failed top do so. No reason to send out alleged individual emails to people to "prove" your case-more of the masses can be reached by posting it on a website. Plus, it would save you alot of typing.


John

Califon,
New Jersey,
U.S.A.
Not that there was any confusion to begin with

#9Consumer Comment

Sun, December 24, 2006

the OP did his research and figured out your scheme and you're upset. Too bad. One less person to rip off. Your "clearing" did absolutely nothing but talk in a vague circle. Why would someone HAVE to be a member to allegedly see that you are legit? What are you hiding and why does it have to be hidden? You also had the perfect opportunity to prove this: "As far as being "up to 80% profit" we would be glad as a company to show you many examples of this." right here on this site and failed top do so. No reason to send out alleged individual emails to people to "prove" your case-more of the masses can be reached by posting it on a website. Plus, it would save you alot of typing.


Brandon

Orem,
Utah,
U.S.A.
Clear up any confusion

#10REBUTTAL Owner of company

Sun, December 24, 2006

First we need to make note that this individual has never been a client with Mahibay.com. That seems to be a common thing with postings on this website. These percentages quoted here are outrageous and totally un-factual. There are %'s that are 3-4% but that is certainly not the average. We must also remember these prices are off "retail" and not MSRP like many other drop shippers advertise. When you are speaking of 15-30% or higher off of retail, you are talking about good margins. That is the average margin retailers work off of. If you are looking for better margins, pull out your wallet and get ready to buy a semi-truck full of product to wharehouse. Good luck trying to come up with the cash to do so. Drop shipping is a high volume, low-margin business and that is okay. People must understand that and if they don't, they do not understand how this industry works and should get out of it. People seem to be happy with those percentages in real estate and the stock market. It is the same in the product sourcing industry. As far as being "up to 80% profit" we would be glad as a company to show you many examples of this. By the way, one cannot compare all prices to eBay since 96% of all items sold on the internet are bought on websites other than eBay. As far as getting a "rebate, wholesale price, or profit margin" again we need to remember that either way, it is all the same thing. The wholesale price is considered a "revenue share" from the online retailer and can be a great way of having "long-term" business in working with retailers. Most wholesalers or drop shippers go out of business within six months and so it provides security for our clients to work with retailers to stay in business for the long-haul. Clients bonus checks are paid out every 30 days, not quarterly. As far as being able to drop ship, our suppliers and retailers do the drop shipping. So yes, it is drop shipping. They take the order, process the card, package up the item, send it out to the customer, and provide a tracking # for each customer. That is Drop Shipping 101. As far as being there to help our clients, we give free access as owners of the company for clients to call us directly to ask for any help needed. We do not advertise in being a marketing company but would be glad to give some free tips and advice to help each person along their path to making money on the intenet. The comment we get the most is, "You guys are one of the only companies that picks up the dang phone." On the last concern. Can people actually make money using this technology? Here are our most recent testimonials we received from one of our clients: "I can't believe the money you can make with a drop ship website through Mahibay! I've made over $100,000 in the past 6 months with my website! Working with Mahibay has been the best thing I could've done to accelerate my online business. To anyone considering purchasing a website, it will be the best investment you could ever make." - Raymond B. Mahibay Reseller In my opinion Mahibay is the best in the business, if you can afford $6,500 fee. Hands down they are the best to work with on a one on one basis. I personally have become good friends with the president Brandon Boyd. Now with over 50,000,000 products they are the biggest & the best. I don't really sell on eBay but the website is a goldmine. If you have the time you can make a fortune. Last month I cleared $18,000 in my 4th month with Mahibay. - Drew Seibert Washington Mr. Rhodes, Thank you for contacting me through customer support regarding Mahibay. We have only been established with this company since November 1st of this year, so we are just getting started. It has been challenging and exciting marketing our site. Remember, you are responsible for marketing and advertising to get your site out there! We are not having second thoughts and yes, we would do it again. Brandon and Josh are easy to get along with, easy to work with and will answer any questions you may have. The one thing to remember is that this takes time, you will not become "rich" over night! However, it has a s****.! Hope that this helps you and best wishes in whatever your decision may be. Just wanted to let you know that all of our Christmas was bought through ralphdavid.com. We didn't have to worry about high gas prices, parking, large crowds or long lines. The savings were remarkable! For example, we bought a $99.99 winter coat for $12.99 with free shipping. WOW! The cash back incentives were excellent also! Everything arrived at our front door in just days and are now wrapped and under the tree. The has been one of the best and easiest Christmas shopping experiences that we have ever had Thanks to ralphdavid.com Best Regards, Ralph Federle ralphdavid.com For any other concerns or questions, make sure you speak to someone who has actually been a client before you go out and read postings on websites like this. Make sure you go to the source just as you would with your spouse on any major concerns. Brandon Boyd President, Mahibay.com

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