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Brandarama / Sponsor offer gift card scam

1 United States Review updated:
Contact information:
Phone: 1-877-31-BRAND

After completing 8 different trial offers from 8 different companies (most of which were scams in and of themselves), I was supposed to qualify for a $500 gift card from Brandarama. I usually don't fall for these types of scams, but $500 was hard to pass up. Unfortunately I didn't check the web first as there are hundreds of complaints posted about Brandarama and their various scams.

Anyway, I bought all the trial goods as directed, which cost me ~$150 in shipping and handling fees, not to mention hours (literally tens of hours) of dealing with unscrupulous companies that did not want to end my trial membership. Each of the "sponsors", or companies with which I participated in some sort of trial offer, were supposed to confirm to Brandarama that I completed the offer so that I would qualify for the gift card. It has been over 3 months now, and only 6 of the 8 sponsors have supposedly reported my participation.

As directed, I sent Brandarama the backup confirmation emails that clearly show I completed the offers, but they claim they cannot qualify me for the gift card until the sponsors confirm, and that they cannot force the sponsors to confirm in any specific amount of time. Being in the marketing world myself, I know that Brandarama probably gets paid by those sponsors for every confirmed participant, so why on earth would they leave an open-ended timeline for the sponsors to report participation?

The only logical conclusion I can make after 3 months of waiting, and after reading the other complaints, is that Brandarma is not only scamming me and other consumers like me, but is also likely scamming the sponsors who advertise with them. I have no desire to work with any of the sponsors again after the headaches I've been through to try and complete this process. So if the sponsors are paying for Brandarama's service, they are completely wasting their money as it is counterproductive.

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Comments

  • Bo
      24th of Apr, 2009
    0 Votes

    Not to mention LOTS and I mean LOTS of other people have been waiting for gifts ranging from $100 to over $5000 for nearly TWO years Now.

    So anyone newly completing a site, be warned.

  • Ch
      31st of Jul, 2009
    0 Votes

    I just went throught the same thing! But I actually bought the $500 gift certificate because they said that they were so backlogged that this would somehow expedite the process - 6 months later, not only have I not received my promised reimbursement from Brandarama but I now get an email saying that they are filing for bankruptcy and are "not sure" if they can honor all if any of their customer requests!! I feel like such an idiot for falling for this kind of thing!!! Wondering now if I have any legal recourse. If anyone has filed a lawsuit against this company, please let me know what happened?

  • Jo
      4th of Aug, 2009
    0 Votes

    Monday, August 4, 2009

    Dear joseph vera,

    According to our records, you may be a claimant of one or more consumer prize(s) from one of our consumer rewards sites.

    Active Response Group, Inc. ("Active Response Group") is the parent company of Brandarama the Brand that you originally registered for.

    As you know, many businesses have been hurt badly by the financial downturn and the credit crunch that followed the collapse of the subprime mortgage markets. Active Response Group, like many other firms, though not involved in any way in those activities, has seen its revenues drop dramatically. As a result, we found ourselves in very serious financial difficulty.

    Despite taking various steps to reduce our costs and preserve value, we became unable to make our debt payments to our senior lender, Hercules Technology Growth Capital, Inc. ("Hercules"). Hercules had lent Active Response Group ~$10, 000, 000, which senior loans were secured by all of our assets. Since we were unable to pay our current payments, Hercules has foreclosed on its collateral and has sold Active Response Group's assets to a third party via an auction process. While the details of the transaction are subject to confidentially provision, the highest offer was insufficient to pay Hercules in full.

    Unfortunately, Active Response Group's inability to pay Hercules in full means that with certainty Active Response has no funds to satisfy any consumer prize claims. Our customer service center is no longer in operation, and we will be winding down the affairs of the company under state law. So this is the last communication you can expect from us and we have no means of conducting further contact with you.

    We are of course very disheartened by this turn of events, as we know you must be. We thank you for your patronage and wish you the best.

    Very truly yours,

    Customer Care Department

  • Jo
      4th of Aug, 2009
    0 Votes

    Dear Brandarama Customer,


    According to our records, you may be a claimant of Brandarama. Active Response Group,
    Inc. (“ARG”) is the parent company of Brandarama. As you know, many businesses have been hurt badly by the financial downturn and the credit crunch that followed the collapse of the subprime mortgage markets. ARG, like many other firms, though not involved in any way in those activities, has seen its revenues drop dramatically. As a result, we found ourselves in very serious financial difficulty.
    Despite taking various steps to reduce our costs and preserve value, we became unable to make our debt payments to our senior lender, Hercules Technology Growth Capital, Inc. (“Hercules”). Hercules had lent ARG $10, 000, 000, which senior loans were secured by all of our assets. Since we were unable to pay our current payments, Hercules declared the loans in default and began to exercise its rights under the loan agreements and State law to recover its loans outstanding through an agreed upon asset sale process.
    Through this process, ARG is working with Hercules to complete the sale of all of ARG’s assets in an auction. In the meantime, Hercules has agreed to permit us to use its collateral to fund a bare bones operating budget in order to allow ARG to continue enough operations to be able to still seek a buyer of ARG as something like a going concern. Unfortunately, since any claims you might have are unsecured, and therefore in any liquidation scenario would be junior to the claims of Hercules, who holds a valid senior security interest in ARG’s assets and any proceeds from the sale of ARG assets, no funds have been allocated in the budget to satisfy any consumer prize claims.
    Hercules’ agents have scheduled the bidding on ARG’s assets to end on July 23. Only after the results of all of Hercules’ and ARG’s Management’s efforts to sell our assets and business are determined will we be able to say whether there will be any funds left over after Hercules applies the proceeds of any such sale to its loans outstanding. At this juncture, we cannot determine whether there will be any surplus at all. However, if there is sufficient interest by a sufficient number of bidders, it is still a possibility.
    Should you have any questions, please contact us via email at support@cs.brandarama.com. While our customer service center is no longer in operation, if we are in a legal and operational position to do so, we shall try to keep you informed of material developments in this process. We are of course very disheartened by this turn of events, as we know you must be. We thank you for your patronage and wish you the best.
    Very truly yours,
    Customer Care Department

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