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Cherry Tree Consumer Club

, posted: 23-Feb-2007 11:34

Anyone heard or seen the TV ad? A bit alarming I'd say. Actually, almost everything that's advertised on TV in the morning is quite alarming. This is a discussion I found on Google group about Cherry Tree.

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Comment by lurker, on 23-Feb-2007 12:52

Yes, they've appeared on Canterbury TV a few times in their "informercial" type programmes talking to a CTV host. As per the newsgroup posts, it's some sort of group buying scheme. It sounds completely legit to me, not that it makes much sense at all to someone like me but it must suit some folks I guess... I have seen them around for a while and haven't read/heard anything bad about it.

Comment by rscole86, on 23-Feb-2007 13:09

I went to school with with someone who use to work as a receptionist for them, she said it was a really good scheme, but to get the benefits you had to spend a bit of money with them, meaning youd have to do most of your shopping there.

Author's note by asianbro, on 23-Feb-2007 14:24

It's alarming because they didn't clearly mention up front that there is going to be a [relatively expensive] membership fee and annual fee. Secret prices, secret fees? Too suspicious I think.

Comment by NokiaRocks, on 23-Feb-2007 15:55

Its legit. You pay a yearly membership fee and in return get discounted goods. Therefore if you buy lots of stuff from them, then you will quickly make your money back. They sell a huge range of things, so shouldnt take long for the savings to add up.

Comment by x-cubed, on 23-Feb-2007 16:21

I went to one of their "open nights" once. Basically you pay around $2000 to become a member (from memory, it might be more, and I think it is an annual fee). Once you're a member, you get the ability to buy stuff through them without them taking a cut (or so they say). So you buy at wholesale prices.

The offices just have huge product catalog folders, grouped by product type, which you browse through, and then you place an order at the counter and they'll let you know when it arrives.

At the open night, they made a point of telling us that we couldn't look in the Computers and Consumer Electronics catalogs "because the savings are so great", or something to that affect.

As for whether it's worthwhile or not, I dunno. I scarpered after I found out the membership fee! ;-)

Author's note by asianbro, on 27-Feb-2007 22:54

> "because the savings are so great"

LOL, if the savings are so great, why hide it? Don't they want more people to join? Or may be not? hmmm

Comment by Gubby, on 14-Apr-2007 18:59

We have just signed up. Had to attend a 1 hour presentation which was up front and straightforward. The comment previously in this forum

"At the open night, they made a point of telling us that we couldn't look in the Computers and Consumer Electronics catalogs "because the savings are so great", or something to that affect.

is in fact the opposite to what happend at our intro. We were told quite clearly if we were in for computers we would be unhappy because there were so many good bargins on the market they couldn't do much better. Also with carpets which were cut to the bone everywhere. However we were convinced that if we were to shop at Cherry Tree as much as possible for our home consumables, gifts, some clothes, and the odd major item it would be fairly easy to recoup the joining fee within a couple of years. Of course that always relies on them being around in a couple of years but they have been in business for 10 years and while we were there we saw many members arrive and make purchases which we feel bodes well for the future. Nothing is for free and many of the previous comments seem to be from correspondents who have not been to a presentation?

Comment by MamaT, on 17-Jun-2007 21:15

We've been members now for over 3 years. It's almost too good to believe, but Cherry Tree is totally legit and the real deal.

Yes, you have to pay a membership fee to join, but it's a one off payment and we split it over the year which meant it cost us about $20ish a month. Then the annual fee is tiny in comparison to what we're saving on every day stuff like laundry powder, gifts, clothes, toiletries, pet food, nappies and toys. Then there's the savings on the bigger stuff - we saved over $1500 on some outdoor furniture and nearly the same again on a bed! Plus I've lost count of what I've saved on all the toys we've been buying - I just don't check the prices any more because I know they're the best. They told us too that there wasn't much margin in things like computers and we've found that to be true, but we still make a great saving on the consumables (inks, paper etc).

What's great about Cherry Tree is that all the stuff they sell is good brands and warranteed, so there's no worries if anything goes wrong. My experience of using the Club has all been very positive and I can't speak more highly of it. One of the biggest benefits is the transparency of pricing - you see the wholesale price in the many folders they've got in their showroom, and you're allowed to have a good look inside them when you go to one of their presentations.

I'd highly recommend going along to a presentation to find out more. They're honest people and it's a pleasant evening walking around the showrooms and learning how it all works. There's no hard sell from memory - the whole thing sort of sells itself!

Comment by Kiwi67, on 20-Jun-2007 23:12

I joined Cherry Tree a couple of years ago after one of my mates (who is a tight arse) told me about it.  My membership didn't cost me anything because I saved the cost in the first  3 months on things I was going to buy anyway - the same brands.  I can buy pretty much anything I need either from their showroom or from the wholesale catalogues - all the same brands as the shops.

I can't remember how much the joining fee is.  There is a small annual fee which we save many times over on Placemakers, health insurance, petrol and alarm monitoring discounts, without even thinking about the savings from the club.

The staff are great and even remember our names.  They don't hassle you to buy.  The coffee is great & free and we love it.      

We took a few price comparisons to the presentation and comared the quotes we had with their prices and it was an easy decision.  Just go along and decide for yourself.

Author's note by asianbro, on 21-Jun-2007 09:12

I'd be cautious with any scheme that try to lure me but doesn't want to give any indication of what costs will involve up front.

Comment by Kiwi67, on 6-Jul-2007 21:39

We didn't feel lured.  In fact I remember they told us a lot of reasons not to join the club so it's not really a 'sales' presentation.

You need to see the savings and decide for yourself. 

Just go!!!

Comment by Jaye, on 9-Aug-2007 11:36

Remember Amway?

Remember A2K?

It's called Multi Level Marketing (MLM) and is as close as you'll find to a legitimate scam. Of course anyone who is currently a member WILL say that this is a fantastic scheme - because the more people that are lured into joining and spending money, the more money THEY GET.

Comment by julie, on 16-Aug-2007 22:11

We have been members for 3 years and have just not renewed our membership. We paid $500 joining fee plus $115 per year renewal fee, but last year we tried really hard to recoup our money and would have been lucky to do so.

Most things can be purchased at any of the big retailers at their 20% off weekend sales and they also offer interest free terms, which you do not get at Cherry Tree. A number of things can be purchased cheaper at retail sales and sometimes just retail. You also have to pay extra for delivery which goes to Cherry Tree and then you have to pay an additional delivery fee to get it to your place (or hire a trailer). Cherry Tree put an 8% or 11% fee on top of your wholesale price and they do not have the buying power to achieve huge savings like many of the retailers do. For any of the small purchases you are wasting your time, saving 50c here and 80c there.

Knowing what I know now I would not go into it in the first place and neither would I recommend it to anyone. You are not allowed to buy for friends or family and not allowed to disclose anything.

Comment by martinez_nz, on 8-Sep-2007 14:13

My husband and I have been members of Cherry Tree for over three and a half years, and will remain so forever! The staff are wonderful and friendly and do everything they can to help us.

During the presentation, they said Cherry Tree is not Amway (which is multilevel and does not sell 'known' good quality brands) and is not timeshare or anything remotely multilevelled. They have over 1400 brands and 350,000 products at wholesale prices.

Given what they are offering, why should joining be free? If public could come in and see wholesale prices, it would ruin the retail market and they said they don't want to upset retailers.

Nothing comes for free these days, but the business is totally transparent. I would definately recommend going along to a presentation, if not to just see what they are about. Contrary to comments said above, the joining fee IS NOT $2000 and it is only 1-off anyway.

Comment by Kiwi67, on 21-Sep-2007 21:10

I remember in the presentation we went to they said you shouldn't join if you mainly shop in sales.  How many multilevel presentations have you been to when they tell you reasons not to join?  None, right. 

This is NOT multilevel.  Could you buy Sony or Panasonic or Bosch from Amway?  Of course not!  And I can buy these brands and their whole ranges and most other brands at Cherry Tree and at great prices all the time. 

We just received a newsletter and they let us know that they now belong to a huge buying group so prices are better for them and better for us members. 

These people are honest, friendly and helpful and we love being members too.  I have recommended our friends go and look at joining and if they join they give me $50 which is nice and there is nothing more that I get... so all the savings on products come back to us members.  

I am self-employed and have a young family so life is busy.  It's a great place to shop for all the family without pressure to buy.  And I know the prices are always great AND I get to buy what I want when I want not what's on special in the shops as things are on special every day at Cherry Tree.

Before knocking it, go & see for yourself and you'll see what I mean.  

Comment by tintin007, on 23-Sep-2007 19:50

I found cherry tree to be not very helpful. i went to an open day and they said yes we cant provide good deals on computers but we do adjust the handling fee to counteract this. they were also very reluctance to show us the books unless we were prepared to sign up then. were were told that the discount from placemakers was better than what the builders get, Yet they were not prepared to prove this.. I went away with very mixed thoughts about the honesty of this group and the savings they say they can acheive. I noticed a few things in their display shop which were just as cheap at the warhouse or pet store for the same brand stuff..

Comment by dunch, on 25-Nov-2007 20:39

I have been a member of Cherry Tree for over 3 years and am very happy with the savings I have made and the service I have received. My husband and I joined after attending a presentation, we were undertaking a renovation and decided to pay the significant but not unreasonable, fee to join. We purchased quality kitchen appliances, bathroomware, and door hardware through Cherry Tree for the renovation in 2004 and very quickly recovered the initial cost to join, in the savings we made on these items. We would carefully check retailers and shop around for most products looking for the best deal - Cherry Tree almost always came out on top. There is a huge range of products available to members, after 3 plus years I have found that along with the savings - the best part about being a member of the club is that we can almost guarantee now that we will be able to access the best price without the need to visit numerous retailers looking for the best price. Along with the great prices, the ease of driving to a one stop shop, with free parking, free (good) coffee and a room dedicated to keeping our kids occupied while we shop in the showroom, or browse catalogues really are top reasons for continuing our membership. We are now familiar with the catalogues and the process of purchasing goods, and are very comfortable being members of the club. By using the club regularly, now for day to day rather than big ticket items, I know that the staff are looking after our best interests and providing us with friendly, helpful assistance wherever they can.

Comment by Peter Parks, on 29-Nov-2007 11:50

Haha i Love all the Amway references. just because cherryhill sells wellknown brands doesnt mean it cannot be a Multi Level Marketing scheme. i would like some of the members above writing heartfelt reccomendations to address why

A: they dont disclose the joining fee, how much did it cost you exactly? how much is annual fee?

B: what are the delivery costs?

C: is the coffee really that good? do you get cream?

Comment by Kiwi67, on 7-Dec-2007 22:26

Cherry Tree is so simple!! 

Members pay the wholesale price from the manufactures or NZ wholesalers.  They get to see all the whole sale prices on about 350,000 products. 

Members pay a handling fee to facilitate the transaction (up to 11%).

Members pay GST (that's because we all have to pay this to Mr Cullen!).

That's it.  Simple.  Honest.  Good business and we love it as members and we don't get paid to say this and it's not multilevel. 

If you don't get it then that's OK.  You keep paying retail and we'll keep buying at wholesale.  The same stuff as retail, just transparent. 


Comment by Concerned, on 27-Sep-2008 17:33

Kiwi 67, ManaT who have posted messages on this site are the Managing Director of cheery Tree and martinez_nz is a Staff member, so there coment are bias think hard about cherrytree its not as transperant as they say....

Comment by asianbro, on 3-Apr-2009 13:21

Hmmm, 4 replies just from Kiwi 67 alone.

The thing is, I could come into normal retailers in NZ, look at the goods prices before I buy, without paying any membership fee.

> They don't hassle you to buy.

May be because the joining fee and annual fee are already hassling you? Because if you join and buy nothing or not much, well, you make loss. So you have to buy to recoup your membership fees.

When I go to most stores, no body hassle me either. And I don't need to recoup any fee, coz there's no membership nor annual fees.

> You need to see the savings and decide for yourself.

Where can I see the price list so I can see the savings so I can decide for myself?

It is concerning when a business claims to provide savings/discounts but not able to proof it even the slightest.

Comment by eric, on 14-Aug-2009 15:07

Half the positive comments are by the same person who no doubt represents cherry tree. Dodgy if you ask me

Comment by Richard, on 12-Sep-2009 21:35

The sooner the NZ government do to Cherry Tree what the UK government did to AMWAY the better! THERE IS NO SUCH THING AS A FREE LUNCH!

Comment by Chris, on 20-Sep-2009 20:33

Here is some actual and real information about Cherrytree. I have been thinking about going along and have been looking for good advise, well here it is

Comment by Keith, on 27-Jun-2011 13:08

I think that Cherrytree would be a very good club to join if you are a young couple starting a new home or a large family.We are a retired couple and so have already purchased most of the expensive items we are likely to need so the savings for us would be minimal. We went to a Cherrytree evening and there was no pressure to join (Although we were offered a very good discount off the $1650 joining fee if we signed up that night). In fact the franchise owner was very frank and told us, that in our case, we might not make any savings through them.The annual fee after joining is $200, so it should not be difficult to save this amount each once you are a member. This is definitely not a pyramid scheme like Amway or United Online and we are keeping an eye on what we spend from now on and may still join in the future if we need any big ticket items.

Comment by Alasatir, on 25-Apr-2012 18:10

The joining fee is very high indeed. The club is only worth the investment if you buy a lot of any product they stock or can get. It is a bit of a rip off. The annual fee which is now $200 is also a rip off because you get nothing for it really. Imagine if they have 1000 members and I bet they have more, then straight up an unearned income of $200.00.00 not bad and a legal way of skimming. In my opinion as business man the worst thing you can do is put fees up during an economic downturn they could lose members a bad business decision. We joined when we were building a house and we saved the joining fee on one Chandelier so it was worth it for that alone. We saved a lot of money in that first year on fittings for the house. We got much better deals from suppliers of stoves, baths, showers and that kind of product than Cherry tree could ever hope to match. We bought Italian light fittings for $50 each which were retailing at the time for $150 so we made a huge saving there as the house had three lounges and eight bedrooms. So while we did Ok I still maintain the company is based on greed like so many businesses in NZ. In the end it is up to each person to make up their mind based on what they can save. If you buy lots of house cleaning goodies etc then it's worth joining for that alone but be sure that you wills ave by joining don't join in the heat of the moment go home and think about and do some sums. If you are building don't hesitate join. Alastair

Comment by Marcus, on 3-Sep-2012 22:57

The cherrytree savings appear great because they compare the the price 'you pay' with the manufactures suggested RRP. However, retailers can and do sell below the suggested RRP, which subsequently distorts the real savings cherrytree members are making compared to buying the same products from retailers. We found this misleading and subsequently ended our membership with the club. Its great to know what manufacturers are suggesting as a RRP, however in order to compare savings more accurately it needs to be compared with they actual shelf prices that retailers are selling products for. We sourced quotes on some products from cherrytree and found that you can infact buy the same products from retailers cheaper. We brought these issues to cherrytree's attention and instead of 'sharpening their pencil' in order to satisfy their members and honour their philosophy, their attitude and response to us was that "it's just the way it is" whilst conceding that they do not have the buying power like some retailers. Interestingly it was mentioned that they will not sell some products because they cannot compete with the retailers with the buying power. They tried to back their argument up by saying that retailers cannot sustain their cheap margins and that some will end up going bust before too long. This appeared confusing as 1) they admitted to not having the buying power of some retailers, and 2)how do they know what other retailers wholesale costs are for various goods. Cherrytree obviously works for some people, but just mindful of some of the points that have been raised to do with comparing savings to RRP, and that some retailers can sell products cheaper than a wholesale shopping club because of their buying power and sales.

Comment by Gregg, on 11-Jul-2013 22:26

I attended a presentation evening and decided to sign up as we had a number of mid range items we were looking at purchasing over the coming year. The sales pitch was the significant savings made even compared to retailers prices at clearance sales. Sounded good and convincing. The first item I asked a quote for was a camera, a well known quality brand. I had looked around on the web and a couple of camera shops in town so had a pretty good idea of likely price range and from the original presentation speech the likely price I was expecting from Cherrytree and the huge saving (in the order of $100's as was over $1000 on average) I'd be making. I was shocked to get a quoted price back which only bettered the on-the-shelf price of my local camera shop by $4! I said this to them and that surely this can't be right?! They simply said they often can't match retailers and in those cases I should go with them!!! In addition this camera shop is about 7 mins walk from home and I got a free 2hr training & tips session from one of their guys. I was also able to buy it, walk out and start using it (although it was low on battery for first time use). Had I gone through Cherrytree I'd have had to order it then when it arrived go over to where they are (not in the most convenient part of town) incurring fuel costs and no training. Ok, that was just the first item, give the benefit of a doubt. Next item a couple of months later a Springfree trampoline. Ok the discount wasn't bad, but just a week later at the local school fair they were selling them same price including delivery! The list goes on, bedding - having three beds upgraded, 2 queens and 1 single. Going around the retail outlets (always at least one having sales) was able to negotiate a far better deal for the 3 beds + free delivery + pick up of the old beds. Paint for the house has been the most recent. This required a LOT of paint. As my painter was using Resene paint and Cherrytree have a Resene discount I asked to utilise it only to be told "I'd stick with the painter's discount if I were you, your Cherrytree discount doesn't even come close"! Apart from the odd item (under $30) I've bought from their outlet and saved myself maybe $20 all up, I'm disappointedly at a large deficit with their membership fee. Every non-trivial item I've looked at and purchased over the past year (including a tablet and TV which I've yet to mention) Cherrytree either don't have access to or just cannot match competitively, and that would still be the case even if there was no membership fee!

Comment by Aaron, on 21-Oct-2013 14:02

Normal 0 MicrosoftInternetExplorer4 This is hilarious (and ridiculous)! Cherry Tree is quite simply a group purchasing club modeled on some very successful and established US companies that have been around for decades. Like Most clubs you pay to be a member and like the gym some people benefit others don't! It really comes down to how you use it. I have been a member for over 10 years and we have saved more than enough to remain members this long. It's great if you have a growing family. There is no multilevel marketing (I wish they paid me)! The club is not secret they just don't publish their fees online. If you go in and ask or go to a presentation they are all right there as stated above multiple times.  If your interested go have a look, they are actual shops you can visit. If not find another conspiracy there is noting here! st1\:*{behavior:url(#ieooui) } /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-parent:""; mso-padding-alt:0cm 5.4pt 0cm 5.4pt; mso-para-margin:0cm; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:10.0pt; font-family:"Times New Roman";}

Comment by Dan Ward, on 13-Aug-2014 21:20

I would be wary. This has all the characteristics of a Ponzi scheme. I was invited to one of their introduction evenings.There's a huge entry fee of around $1400 which was a discounted amount from a usual $1600 if I was to sign up there and then. I tried negotiating this down but they wouldn't have it. Why do they need all this money up front? Where or who is this money going to and for what purpose? It can only be that they are creaming this off or can't run this scheme viably unless they keep getting new entrants donating this money, which is a Ponzi scheme. I would be very wary of this.

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