Friday, December 9, 2016

Stemtech is losing steam fast, will they survive?

Stemtech is medical stem cell technology meets direct sales.

Instead of capitalizing on healing herbs and magical plants, this health and nutrition MLM goes futuristic by basing their product in stem cells – they call themselves “THE Stem Cell Nutrition Company”.

Does this mean I’m involved?

This video explains everything:


Make sense? Either way, here’s the full review on Stemtech. Enjoy.

Overview

Ray Carter started Stemtech back in 2005 as the business venture for a group of DLT scientists who had discovered the benefits of a freshwater plant called Aphanizomenon Flosaquae (AFA), namely that it caused the human body to release more stem cells.

Ray partnered up with the scientists and started out with launching a single AFA product. Within a couple years, a groundbreaking study on stem cells was published in Cardiovascular Revascularization Medicine backing their product and helping solidify their place in the industry. Sounds legit.

They were ready to take over quick. By 2008, Stemtech had opened offices in more than 12 countries. In 2009, they were chosen as one of the U.S. Direct Selling Association’s three Rising Star companies. [1]

They basically kept the awards rolling in every year, making the Inc. 5,000 list of fastest growing privately-held companies in America in 2010. In 2011, they launched two new products and made record sales in over 20 countries.

Stemtech really got lucky with the timing of their product. They got to ride a wave into success with the stem cell frenzy that really peaked just as they were solidifying themselves. Some scientists even won a Nobel Prize in 2012 for their research on stem cells and 2013 was even named the “Year of the Stem Cell”. [2]

But is this just yet another trend that an MLM can ride into success until they crash miserably?

Well, not much seems to have been happening since their peak in 2013. They moved their headquarters to Florida in 2014 because of the low taxes, and that’s about all anyone’s heard of them since. [3]

While interest in stem cells hasn’t floored, it has actually gone down pretty steadily…

But I guess that’s the nature of MLM.

Products

Their stem cell nutrition products are what they’re known for, but they now cell “eco products” too (let’s be honest, who doesn’t?)

Their “eco product” line consists of a product called D-FUZE, which is actually a filter for your cell phone that protects you from EMFs (electromagnetic frequency) through what is basically a sticker you stick on your phone that claims to diffuse these waves.

Basically, the filter is infused with “Vital Force Technology”, and there are “anecdotal reports” from people saying they’ve noticed a difference in the experience of using their cell phones. Hmmmm. [4]

It’s $30, which I guess isn’t much considering it’s a one-time purchase, but does it actually do anything?

A lot of MLMs are starting to sell similar products, but it still isn’t really known whether or not they can actually protect you from anything or they’re just overpriced phone stickers.

Stem Cell Products

  • Stemrelease3
  • StemFlo
  • ST-5
  • StemSport
  • DermaStem
  • StemPets
  • StemEquine

Their stem cell products run the gamut, from products for humans to pets to horses.

Stemrelease3 is basically a reiterated version of their original product, which is a supplement that supports the natural release of stem cells. No, you’re not eating stem cells, gross. The pills don’t contain any stem cells, they contain a plant that encourages the release of stem cells in your body.

According to the US National Institutes of Health, stem cells help with tissue maintenance and repair. [5]

The product also helps maintain telomere health. Don’t know what that is? Most people don’t. Telomeres affect our aging and lifespan. Sooo, basically it helps you live longer, supposedly.

Of course, none of these claims have been backed by the Food and Drug Administration.

StemFlo supports healthy circulation and blood flow.

ST-5 optimizes stem cell migration and supports whole body wellness.

StemSport are chewable tablets designed for athletes, that are basically a combination of StemFlo and Stemrealease.

DermaStem is a skincare product that makes you look younger.

StemPets is a stem cell enhancement product for dogs and household pets. Kinda weird.

StemEquine is stem cell nutrition for horses.

Once again, none of these products and their claims are backed by the FDA.

That being said, there is some scientific research to back up this company’s claims.

One study in the Journal of Stem Cell Research & Therapy suggests that the supplement’s ingredients do actually produce more stem cells. [6]

Other studies show that their products support cardiovascular health and even help heal wounds quicker. [7]

Opportunity

Their distributors – Independent Business Partners – sell their products in 20 different countries around the world. In fact, only 10% of them are from the United States.

As with many nutrition MLMs, anyone who is interested in buying a monthly supply of their product is pushed to become a distributor in order to get the product discount.

To remain active, you need to have a minimum of 50 PPV in AutoShip (minimum of one bottle). This gets you qualified for TeamBuilder bonuses of up to a 50% matching bonus.

Independent Business Partners make retail profit, so the difference between their discount and retail price, which isn’t a ton.

The real money comes from recruitment, of course. Stemtech pays out 7% on up to 7 levels deep…not a fantastic commission rate.

That being said, you can get paid out on infinity levels deep if you rank high enough. You can’t get more than 50% on any one leg, though.

They also have a Lifestyle Leadership Bonus that pays 3-10% on all orders with BV over 100 with generational bonuses up to six generations. Then there are Lifestyle Infinity Bonuses of up to 1-3% on all generations of your group starting with the 7th generation.

And of course…a car bonus.

Recap

Alright, so they’ve got a super-science experiment for a product, and even though it’s not fully recognized by the FDA, it’s got some studies behind it.

But the company seems stagnant, and the market might be drying up.

Regardless, can you even make good money? At these commission rates, probably not.

Look, as I’ve shown throughout this review, far from a Stemtech hater. But it’s still MLM and the industry has flaws.

If you like automated ways to build passive income, there are better ways.

(and you can trash those old MLM habits, too)



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