Assuming that it is a scam, which I believe is widely suspected by not 100% confirmed, then it succeeds because buyers do not have perfect information and because they think with the little head.  You must remember that not every hobbyist reads this site and checks reviews, and probably fewer read the boards.  All of which leads to a significant market base that lacks good data and makes decisions accordingly.

Run some numbers. If you assume 5,000 hobbyists in the TC, and even 90% use TER, that leaves an uninformed base of 500 to be pulled into the scam. I suspect that there are more hobbyists than 5,000, and that the TER hit rate is well under 90%.  Ben, do you have any better data?

The scammers do this as long as it's bringing in some cash.  Then they vanish for a bit and resurface with some superficial changes and scam some more.  It may not bring in a bundle but it's easy money for them.