Monday, October 22, 2018

Powur: Can green energy change the world & make you rich too? [Review]

powurThe transition is well underway…

By 2035, solar and wind energy will meet 20% of global power needs, nudging oil and gas out of its power seat. [1]

So it’s not surprising that an MLM has stepped in to leverage this transition.

Powur is a network marketing company that offers solar panel products, and they’re now one of the most popular clean energy MLMs out there.

For an MLM, they’re in a pretty solid market. Renewable energy shouldn’t be losing popularity anytime soon and the company is partnered with most top solar panel companies, giving some solid credibility.

So it boils down to one thing: Is this a good MLM company for you? Let’s take a look.

FAQ

1. What does Powur sell? Powur sells solar panels with the goal of aiding the transition from dirty to clean energy. Interestingly, though, they don’t sell their own products. Instead, they’re affiliated with 39 solar providers, servicing 28 states. SolarCity, Elon Musk’s clean energy powerhouse, is one of them. Powur’s distributors do the selling; their affiliate companies do the installation.

2. What are Powur’s most popular products? Solar panels are their only product, installed with zero down, so they’re accessible to anyone who wants them.

3. How much does it cost to join Powur? The lowest level to join Powur is as an Advocate ($99 activation). This gives you $30-45 per solar appointment and an average of $500 per installation. Become a Consultant, and you’ll earn $2,000 per personal installation. The next level you can enter Powur at is Advisor ($299 activation). At this level, you also get overrides from your team’s installations and passive income. The top level you can join at is AdvisorPRO ($299 activation + $29 monthly). This gives you access to a lead-generation system, an elite marketing team, your own media site, and landing pages done for you.

4. Is Powur a scam? Not likely.  There’s shockingly little information about Powur, even on their own website. But the fact that they’ve partnered with so many reputable solar panel companies — and those companies speak well of the partnership — says they’re a legitimate business. It’s possible they’re so focused on transitioning the world to clean power, they don’t have time for updates that could actually build trust and loyalty.

5. What is Powur’s BBB rating? NR. They haven’t been rated by the BBB.

6. How long has Powur been in business? Since 2014

7. What is Powur’s revenue? $1.4 million in 2016

8. How many Powur distributors are there? No numbers have been published by Powur.

9. What lawsuits have been filed? We didn’t see any lawsuits listed online.

10. Comparable companies: Stream Energy, Enagic

As you can see, it’s an interesting business. But as far as money-making opportunities go, there are still better options out there…

Click here for my #1 recommendation

Either way, here’s the full review on Powur (the company).

Overview

Powur’s website starts out with a ticker showing that they’ve sequestered over 54 million pounds of CO2 and counting. Their mission?

To accelerate the adoption of sustainable energy worldwide and help 2,000,000 homeowners save money and gain energy independence.

In an older message, they said:

“The greatest transfer of wealth in history is happening right now as society trades dirty energy for a sustainable future. Powur gives you the chance to be part of the solution and create the life of your dreams.”

Pretty visionary, if they can pull it off.

The company operates out of — surprise — California, the hippie motherland.

They’ve got some HUGE partners too who have funding billions of dollars worth of solar projects with them. Google, Goldman-Sachs, Honda, Citibank, U.S. Bank…this is some Forbes level A-listers. [2]

It was started by network marketing whiz-kid Jonathan Budd. Dude is young but powerful. He started in network marketing at the age of 21, and within 3 years of navigating that world, he started a multi-million dollar company.

He has one of the largest followings in the direct sales world, including 90,000 fans on Facebook. He built his first MLM up to 1,000,000 reps in a mere 78 days. [3]

Dude knows how to start a company and get rich, for sure. But do his followers?

Well, let’s take a closer look at this serial entrepreneur’s previous companies.

He founded Rippln a while back, which lasted barely a couple years before it totally tanked. They weren’t able to raise capital from investors (probably because they saw through the pyramid scheme), and they also came under attack from a trademark lawsuit. [4]

As he states on his fan page, Jonathan Budd doesn’t let obstacles and struggles stop him. A new company with his name attached to it, MyStand, popped up within months of RippIn’s failure. It very easily could have just been RippIn version 2.0, but we’ll never know, because no one ever heard anything more about the company past its initial launch announcement back in 2014.

So, not the best track record, and everyone can start over, right?

Maybe the third time’s the charm.

Products

Powur is a solar energy MLM, but to say that their product is solar panels is misleading.

They partner with 39 solar panel manufacturers and installers, including SolarCity, a publicly traded world leader in solar technology, ZeroCost Solar, National Sun Energy, Alba Energy, Velocity Solar, and more.

So, Powur technically doesn’t have a product of their own. They do the lead generation/network marketing for other solar energy companies.

On a side note, Powur originally had just one partner, SolarCity. Trouble is SolarCity isn’t operational in all 50 states, and once considered the #1 solar roof company, installations plunged 62% in 2018. With financials running in the red, 9% of the company’s workforce was cut and a partnership with Home Depot was abruptly ended. [5]

By partnering with other solar panel providers, Powur reduced their own liability — if one partner goes out of business, they still have others that are going strong — and increased their ability to provide exactly the type of solar panels their customers want. Not a bad business decision.

Compensation Plan

You might have noticed above that I mentioned lead generation.

That’s because, as a “distributor” for Powur, you don’t actually have to sell a single thing. Your customers never have to hand over a dime for you to get paid.

All you’re doing is getting people to sign up for a free proposal from one of Powur’s partners. SolarCity handles the entire sales process from there. You get paid for solar appointments and installations, so your leads need to be sales ready, or at least interested in talking seriously about getting solar panels.

Still, this takes a lot of the legwork out of network marketing. No product, no autoship, no closing sales, and no processing payments.

They boast not having a registration or membership fee to join as a “Powur Advocate” but, of course, to make any real money or training (which you really need in this industry), you need to upgrade.

A “Solar Certification” offers additional training and opportunities for $199.

However, there is lots of talk that it actually costs $500 to join and gain access to full compensation. WOW, that is quite a price tag, more expensive than most network marketing companies (see: USANA, or Shaklee). Since the company doesn’t have a product of its own to profit off of, I guess it has to really rely on membership fees from its distributors to make any money.

Not a very sustainable plan.

I also don’t like how shady their website is — not a word on how much it really costs to join, and no mention of what the compensation plan looks like either.

You need three qualified leads to be eligible for commission, which will get you a one-time payment of $75. After that, when your personally recruited members bring in three qualified leads, you get another $75 payment.

They pay out a 20-year residual for your customers (as long as you’re active), which is pretty good. Residuals are paid through a uni-level plan, and you get $100 for every 3 qualified leads. There are pass ups incorporated as well.

For every contract one of your leads signs, you get $250 — half paid upon signing of the contract, the other half upon installation. There are also rank bonuses and differential bonuses involved.

Recap

Honestly, despite a sort of shady past, this MLM is partnered with a lot of solid companies and offers a decent compensation plan. They also cut out a lot of the BS involved in MLM, from home parties to autoship.

But they replace some of that noise with the fact that you have to get people to sign up for a solar panel proposal AND hopefully sign a contract to buy.

Even if you’re not actually closing sales, you’re gonna need some pretty baller sales skills for that. I mean, would you be easily convinced to give up your Saturday to listen to a sales pitch about solar energy?

What’s more, if you rely on a network of family and friends, that network will run dry real quick. After that, where do you go, without a real product to sell?

A lot of reps resort to door-to-door sales. Most people don’t have the stomach for that, and for good reason… it’s pretty much dead and completely unwelcome in the United States.

Look, I’ve been involved with network marketing for over ten years so I know what to look for when you consider a new opportunity.

Powur isn’t a bad company, but there are better ways to make money.

After reviewing 200+ business opportunities and systems out there, here is the one I would recommend:

Click here for my #1 recommendation



from MLM Companies

Primerica: Should you join this successful life insurance MLM? [Review]

primericaAh, life insurance.

It’s the insurance no one wants to think about until it’s too late. But when we do think about it, we all want to work with a reputable business that’s here to stay.

No one wants to turn in a claim while grieving a loved one and discover the insurer went belly up years ago.

Enter Primerica.

Primerica is a network marketing company that offers life insurance plans and other financial services. Like no other company in this industry, they’re also an MLM.

Granted, it’s not your typical MLM category like skincare or home jewelry, and direct selling isn’t a common method for selling life insurance, but Primerica is making it work.

The question is, can it work for you? Let’s take a look.

FAQ

1. What does Primerica sell? Primerica sells insurance products and financial services to “Main Street” families, including Financial Needs Analysis, Term Life, Investments, Auto & Home Insurance, Long-Term Care Insurance, Pre-Paid Legal, and Identity Theft protection.

2. What are Primerica’s most popular products? Term Life Insurance is Primerica’s flagship product and what they’re most known for. Their term life insurance plans are reasonably affordable, and they were given an A+ superior rating by A.M. Best, a rating only the top 15% of life insurance companies achieved.

3. How much does it cost to join Primerica? It costs $99 to join Primerica, plus a monthly subscription fee of $25 for the online support system.

4. Is Primerica a scam? No, Primerica is a publicly traded company that sells real insurance and financial products. Scam or not, though, to succeed with this MLM, you’ll need to go through more training than with other MLMs. Insurance is a highly regulated industry, so you’ll need to understand the products you’re selling, what the regulations are, and how to talk about them so you’re compliant. That being the case, you’ll need to pass your insurance licensing and possibly other training as well.

5. What is Primerica’s BBB rating? A+

6. How long has Primerica been in business? Since 1977

7. What is Primerica’s revenue? $1.69 billion

8. How many Primerica distributors are there? 130,000+

9. What lawsuits have been filed? In 2014, Carolyn Arline and Machell Amador filed a lawsuit against Primerica for refusing to pay the full benefits due under the life insurance policy. [1] In 2013, Primerica was faced with 238 retirement plan cases, where they were accused of bad investment advice. [2] In 2014, Primerica set aside $9.3 million to settle with these people. [3] This was a big news story, and led to Primerica being asked to testify in 2015 against a new regulation designed to protect retirement savings from dodgy investment managers. [4] In 2012, Miriam Arellano filed suit against Primerica for breach of contract, consumer fraud, and negligence. Mrs. Arellano was awarded compensatory damages of $82,000 and punitive damages of $1,117,572. [5] In 1998, The Securities and Exchange Commission instituted proceedings against PFS, a subsidiary of Primerica, for failure to reasonably supervise four of their representatives. [6] In addition to these cases, there have been a lot of “interpleader” cases, where there’s a debate over who should receive the life insurance payout. [7]

10. Comparable companies: LegalShield, Damsel in Defense,

There’s big money in the life insurance industry, so should you join up with these guys?

Product-wise, the insurance company seems legit. But as far as the business opportunity goes, there are better ways out there to make a sustainable passive income…

Click here for my #1 recommendation

Either way, here’s the full review on Primerica.

Overview

Primerica was founded in 1977, went public on the NASDAQ in 1983, and split off from their parent company Citigroup in 2010. They’re now headquartered in Duluth, Georgia. [8]

According to Forbes, Primerica founder A.L. Williams began his career in life insurance after his father died and their whole life insurance plan ended up being worthless. He was distraught over the poor options for life insurance and lack of knowledge regarding those options among the mainstream population.

Basically, back in the 70s, companies were pushing expensive whole life insurance policies on Americans who didn’t have a lot of financial knowledge, convincing them that it would not only protect their family in the event that they die, but that it was also a very smart investment. Whole life insurance pays out no matter what, accrues interest over time, and you can even take out loans against it, whereas term life insurance only pays out if you die within the policy’s term (10 years, 20 years), and it has no cash-in value.

So, it sounds like term life insurance is throwing your money away, and whole life insurance is investing it.

But here’s the thing: term life insurance is super cheap… like, a few dollars a month cheap. Whole life insurance is very pricey, often in the hundreds, and a lot of these predatory companies promised lifetime payout but found loopholes to get out of paying out once the insured person actually died. Exactly what happened to A.L. Williams when his father died.

So, he started Primerica (first called A.L. Williams & Associates) as a life insurance and financial services company that would serve Main Street America. Their slogan, “Buy Term and Invest the Difference,” and their focus on educating mainstream America about their options caused many people to leave their whole life insurance policies and buy into this new term life insurance company. [9]

Pretty quickly, they grew to become the largest seller of life insurance in the U.S., and they really did transform the industry. Now, Primerica is the largest independent financial services marketing organization in North America. [10] Operations extend throughout the U.S., Canada, Puerto Rico, and Guam.

They’ve also got insane profit margins — in 2017 they hit over 18% net profit. [11] The average net profit margins for the insurance industry? 4-5%, if you’re lucky. [12]

Primerica started out with a great mission that transformed the industry, but a lot of their success has been due to the way they treat their employees and agents (distributors). Right off the bat, A.L. Williams knew that his salespeople would be the lifeblood of his company, and he places a huge emphasis on “pushing up” his employees by holding weekly video conferences with them and speaking to each one of his hundreds of thousands of agents personally.

It shows, too. Their employee reviews on Indeed are extensive, and with 1.3k reviews, they still manage to maintain a 4-star rating. [13]

Products

Primerica’s life insurance and financial services products include:

  • Term Life Insurance
  • Mutual Funds
  • Segregated Funds
  • Annuities
  • Manages Accounts
  • Long Term Care Insurance
  • Legal Services
  • Auto Insurance
  • Homeowners Insurance
  • Credit Monitoring
  • Debt Management Plans

I won’t bore you with the financial details of each and every product, but I will talk a little about some of their more popular products.

Term Life Insurance

This is the product they’re most known for. Their term life insurance plans are reasonably affordable, and they were given an A+ superior rating by A.M. Best, a rating only the top 15% of life insurance companies achieved. [14]

In 2015, they paid out a total of $1.2 billion in death claims, and 92% of their claims were paid within 14 days. [15]

The biggest complaint most people have about life insurance companies is that they find ways of not paying after your loved one dies, so the fact that they pay their claims on time and with reliability is a huge strength. There have only been a few cases of this not happening, so it’s definitely not the norm (see lawsuits in the FAQ above).

One of the big drawbacks here is the fact that they use network marketing, so their Agents have a high turnover rate. As a customer, instead of working with the same person for years, (someone who has likely built a career in life insurance), you could be working with a life insurance newbie who’s going to quit in 6 months.

Compensation Plan

There’s a $99 cost to join — more and more, it’s looking like this is the standard price for start-up kits at newer MLMs (see: Monat or Paparazzi).

You don’t get any product, obviously (no physical product to be had), but it does pay for state insurance and financial services exams that you may need to take as well as your license to sell life insurance.

They highly encourage you to pay an extra $28/month for access to their online tools.

Commission is 25% on all financial services sales, which is kind of low, but not bad considering that the product is recurring monthly as long as customers don’t cancel their policy.

Your commission can jump all the way up to 70% if you can advance your rank quickly enough, and you also get 10% overrides on your personal recruits.

You’re highly encouraged to start with a “warm market” — a list of friends and family you want to sell to. First red flag. MLM destroys friendships, no joke. You don’t want to be THAT guy who’s trying to make a dollar off your cousin.

What’s even worse, though, is when you run out of “warm market” friends to listen to your sales pitch and you have to hit up your “cold market” — aka walk up to random strangers and ask them to buy your life insurance. Sound like fun?

To most people, it doesn’t. That’s probably why the average Primerica rep only makes barely over $5,000 in annual income. Literally below the poverty line. [16]

Also wayyyyyyy less than what you can make working for a traditional life insurance company (average salary at State Farm, for example, is $32,000). [17]

Recap

So the company is legit, and their life insurance seems to be some of the best on the market.

Primerica’s also got a great corporate culture and a solid mission.

But the direct selling structure is their fatal flaw: it’s just not possible for over 99% of the people who buy into MLM to make good money and avoid alienating their friends.

It’s just not a strategy that works for anyone but the top .001%.

If it really is the products that intrigue you, and you want to give it a shot, going with a company that has been in the game a while isn’t a bad way to go.

But if it’s just the income opportunity you’re after, you might just be wasting your time.

Look, not a hater of Primerica but I’ve been involved with network marketing for over ten years so I know what to look for when you consider a new opportunity.

After reviewing 200+ business opportunities and systems out there, here is the one I would recommend:

Click here for my #1 recommendation



from MLM Companies

Friday, October 19, 2018

Q Sciences: Legit mental health treatment or total scam? [Review]

q-sciencesQ Sciences is a wellness MLM that has a pretty solid mission: to bring happiness to as many people as possible.

Their flagship product is a miracle pill meant to deliver on that promise.

Except this nutritional supplement doesn’t give you 6-pack abs or make you look 30 years younger (hint: Modere, Isagenix, or TruVision). This one supposedly cures mental illness.

They know better, of course. But that doesn’t erase the gray cloud hanging over them after some distributors made wildly unrealistic promises.

Are their products true scientific boons, or are they just another placebo effect? We’ll let you be the judge.

FAQ

1. What does Q Sciences sell? Q Sciences provides products that work together to help you live a “quintessential life.” That includes nutrition, sports nutrition, weight loss, and skin care.

2. What are Q Sciences’ most popular products? Q Sciences’ Q96 Micronutrients is their flagship product. It improves brain function, boosts mood, and supports the central nervous system. It’s also validated by 41 researchers, 16 universities in four countries, 26 journal publications, and 25 million sales. How’s that for scientific? Unfortunately, this is the product that’s been pitched as a replacement for mental health prescriptions. Ouch! It’s going to be hard to live that down!

Also popular is REV Q Sport, an energy drink that provides natural, time-released caffeine, for a physical and mental boost with no crash.

3. How much does it cost to join Q Sciences? You’ll spend $79.95 to start your business with Q Sciences. It’s recommended that you also buy a launching kit, which costs $560.

4. Is Q Sciences a scam? No, Q Sciences is a legitimate business selling real products.

5. What is Q Sciences’ BBB rating? D+

6. How long has Q Sciences been in business? Since 2012

7. What is Q Sciences’ revenue? $5 million is our best guess based on the numbers we’ve seen. There haven’t been many updates on the company since 2016.

8. How many Q Sciences distributors are there? No numbers have been published.

9. What lawsuits have been filed? In 2015, Nadia Tarazi sued Q Sciences for breach of fiduciary duties and unfair and deceptive business practices. It was dismissed in part in 2017. [1, 2] Also in 2015, Q Sciences filed a suit against Naturesmax for trademark infringement, then dismissed in 2016. [3]

10. Comparable companies: Shaklee, LifeVantage

So should you get involved?

I’m not saying it would be impossible to make money with Q Sciences, but there are certainly better options out there…

Click here for my #1 recommendation

Either way, here’s the full review on Q Sciences.

Overview

Q Sciences was founded in 2012 in Pleasant Grove, Utah, by Daren Hogge, an industry vet with over 30 years of history in direct sales.

He actually came out of retirement to start Q Sciences. He decided to work with Mark Wilson because he was so impressed by the results of a product Wilson was creating up in Canada. The product was alleviating stress in great numbers, especially in children, and had been doing well in Canada for 17 years.

After discussing, Wilson agreed to give Hogge exclusive rights to market the product through direct sales, and Q Sciences was born.

The company easily surpassed their first-year growth projections by a huge margin, doubling their sales in their second quarter of 2013. They almost doubled their distributor numbers as well. [4]

They continued to double their revenue every year the first few years they were in business. We can’t be sure that growth rate has been maintained. No new information has been published.

Q Sciences has a 4-to-1 customer to salesforce ratio. Their product sales speak for themselves, independent of their recruitment practices, which is rare in MLM.

Apart from that, customer retention at Q Sciences is 65% — almost unheard of in direct sales.

After just a few short years in business, Q Sciences started going global. They now market their products in Canada, Japan, Korea, the Netherlands, Denmark, and Germany. Wilson plans to open up in 20-25 countries in the next 5 years, and 50 within the next 10 years. Their first stop? Soon they’ll be expanding to Mexico as well as Central and South America (watch out Omnilife). [5]

Last we saw, their global revenue sat at a humble $5 million, with only 50 full-time employees. While they’re still small, their customer retention rate and strong product sales might be enough to help them grow.

However, bad press might put a stopper on that growth. A couple of years ago, Salt Lake City Weekly released a story about Q Sciences that didn’t exactly show them in the best light.

In 2013, at an event held by the National Alliance on Mental Illness, distributors were present and telling any attendee they could get their hands on about a “miracle vitamin” that cures everything from schizophrenia and bipolar to ADHD, OCD, autism, and depression — in their words “any mental illness” can be treated with this all-natural vitamin.

Not only is this illegal (vitamins cannot be legally marketed as drugs that treat mental illness according to the FDA), but it’s also extremely dangerous. Convincing mentally ill people to abandon their medication can cause them to slip into crisis mode or even become suicidal.

Although this is actually against Q Sciences policy and the CEO spoke out against her sales tactics, this is common behavior for distributors in these kinds of MLMs, and it’s a big reason why they’ve gotten such a bad name. [6]

Products

Their products are certainly well-researched… by MLM standards.

They’ve got over 20 studies backing the formula of their flagship product now, but not all studies are created equal. According to Ellois Bailey, a mental health nurse practitioner at University of Utah Health Care, the studies that Q Sciences uses aren’t randomized and controlled. Also, they aren’t exactly conclusive in supporting claims that the supplement can actually improve mental illness conditions, although she does believe nutrition is a huge part of mental health. [7]

The flagship product is EMPowerplus Q96, a micronutrient brain supplement that improves mental health. Wilson originally designed this product with his children in mind, both of whom were diagnosed with bipolar at a young age. He didn’t want them taking large quantities of pharmaceutical drugs, especially when those same drugs hadn’t helped their mother and Wilson’s wife, who had committed suicide because of her bipolar disorder. So, he developed an all-natural nutritional supplement that could improve his children’s condition.

The formula consists of 36 vitamins and minerals, and it’s backed by over $25 million in independent research and 25 published university studies. [8]

QBiotics came next and helped really push the company upward. This is a patent-protected probiotic with controlled release. It comes in a form suitable for pet consumption as well, called QPets. [9]

Their other nutritional products include Q Omegas, an essential omega-3 fatty acids supplement; Q Amino Acids; Q Prime for the microvascular system; Q B12; Q Biotics; Q Cleanse; Q Fiber; Q Focus; Q Max multivitamins; Q Max Berries; Q Metabolic Boost; Q Prime; Q Sport; Q Vitalize for men and for women; Q Sprays, oral sprays that helps fight illness, including Boost, C+, B12, D3, Relief, and Sleep; and food bars eQuivalent Chocolate and eQuivalent Vanilla.

Diet and Weight-loss products include Q Trim, a kit of everything in this category. Individual products include Q Sport, an energy drink; eQuivalent Chocolate and Vanilla, which are food bars; Q Fiber; and the spray Q Boost.

Q Sciences’ skin care includes a cleanser, mask, lift serum, day cream, night cream, and restore cream.

Compensation Plan

It only costs $79.95 to join as an Independent Business Owner, which is below average. However, this basic kit includes no full product, just some marketing materials, a back office, and a small sample box.

To start off with any product, you have to buy their business acceleration kit, which costs $560. Damn.

It does come with a ton of product, though, but that’s only useful if you can sell it.

According to their Qx eXponential Infinity Plan, there are tons of ways to earn. [10]

Retail Sales Profit

You get paid weekly on the difference between your wholesale cost and the retail price at which you sell your product. You need to sell 100 PV per month to qualify for any compensation though.

Team of 3 Bonus

If you can maintain at least 3 personally sponsored recruits whose monthly volume totals 500 PV or more, you get a $50 bonus each month.

Quick Start Bonus

You can qualify for this bonus within your first 30 days if you hit 40 PV or more.

Unilevel Commissions

You get a monthly commission on sales from your downline, as long as your recruits stay active. Commission is 5% on your first 5 levels and 1-4% on levels 5-10. You have to move up in rank to access higher levels.

Global Leadership Bonus

They also offer a Power 30 bonus pool, a customer sales bonus, an elite bonus, a bronze bonus, a car bonus, and a generational matching bonus.

Bonuses galore.

Recap

The compensation plan really isn’t bad. And although there are some shady issues and bad press surrounding the product, it seems to be mostly well-liked by customers, as long as it’s marketed ethically.

I’m actually concerned about the fact that they have 4 times more customers than they do IBOs. While you don’t want an MLM to focus so hard on recruitment that their product demand is completely inflated and made up solely by distributors, it looks like Q Sciences is having some serious trouble on the recruitment end of things.

Perhaps this product was better off when it was being marketed through regular sales methods.

As I’ve shown throughout this review, I’m far from a Q Sciences hater. Products seem legit with a ton of research behind them.

But when it comes to income streams, slinging health supplements isn’t nearly as sustainable as other options out there.

I’ve been involved with network marketing for over ten years so I know what to look for when you consider a new opportunity.

After reviewing 200+ business opportunities and systems out there, here is the one I would recommend:

Click here for my #1 recommendation



from MLM Companies

Wednesday, October 10, 2018

Rain International: Seems Legit but Expect Some Growing Pains [Review]

rainYou know that awkward stage that preteens and teens go through?

Physically, they’re maturing, but they don’t have life figured out yet, so they make a lot of mistakes.

That may be the case for this MLM…

Rain is a nutritional MLM company that offers health supplements derived from plant seeds.

They claim to be the “original creator of seed-based nutrition.” That’s possible, but it’s not rocket science, either. Can there really be a “first”?

Their signature products are based on the black cumin seed, among others, and they claim that seeds pack significantly more power than any other part of a plant.

Is it a good MLM to join? Keep reading to find out.

FAQ

1. What does Rain sell? Rain sells seed-based, liquid nutritional supplements, and skincare products. Rain calls their products “category-creating,” meaning no one else produces supplements derived solely from seeds.

2. What are Rain’s most popular products? One of Rain’s most popular products is Soul, the original, seed-based product. This is two ounces of condensed nutrition with essential nutrients from black cumin seed, black raspberry seed, chardonnay grape seed, and D-ribose to recover and fight off environmental threats. Another popular option is Core, a replacement for your wheatgrass shots and green smoothies, designed to give your body the benefits it should be getting from daily greens.

3. How much does it cost to join Rain? The least you can spend to become a Rain distributor is $104.95. For that, you get a Virtual Business Kit ($39.95) and sign up as a recurring customer of Soul ($65) or Core ($73). Of course, you can make a bigger investment — probably with the promise of getting your business started off right — by getting a Soul Basic ($104.95), Soul Builder ($299), Launch Basic ($315), Soul Pro ($689), Launch Pro ($1,249), or Soul Elite ($1,320) package. With the larger packages, you get a Success Kit instead of just a Business Kit.

4. Is Rain a scam? No, Rain is a legitimate supplement business. It’s certified as a pharmaceutical-grade manufacturer and for its good manufacturing practice. It’s certified drug-free and GMO-free. Unlike many other MLMs today, though, you can’t buy their products online. You can only get them from a distributor.

5. What is Rain’s BBB rating? A+

6. How long has Rain been in business? Since 2011

7. What is Rain’s revenue? $4.7 million

8. How many Rain distributors are there? 10,075

9. What lawsuits have been filed? We didn’t see any lawsuits online.

10. Comparable companies: Shaklee, Trevo, Purium

So it turns out they actually have a pretty unique angle as a nutrition MLM…Should you get involved?

Product-wise these guys might be legit, but if it’s just the income opportunity that excites you there are better options out there…

Click here for my #1 recommendation

Either way, here’s the full review on Rain (the company).

Overview

Rain opened shop in 2009 in Utah as Rain Nutrition. By 2011, they were already acquired by Rain International. Now operating very strongly in the European Union, with operations in 10 EU countries and hopes to expand even more.

By 2016, they really got into their stride. The month of January doubled their sales, and by February they were already breaking records operating very strongly in the European Union, with operations in 10 EU countries and hopes to expand even further. [1]

Their Founder and President is Byron Belka, and though he’s done well for himself in network marketing, he’s not quite as experienced as some. Although he was a top-level distributor for a long time at other MLMs, this company is his first attempt at executive level positions within MLM. He’s a youngster, but sometimes that’s what a company needs.

Belka was a network marketing prodigy who was already hitting top commission levels with his first MLM at the age of 28. He’s been at the top ever since, and after more than a decade of experience, he’s created his own MLM.

Apparently, according to a press release during the merger, Byron Belka actually started out as the company’s Executive Vice President. He must have moved up to President at some point, but why he is credited as a Founder is unclear. [2]

Their products are endorsed by a legit doctor, Bradford Weeks M.D., who does webinars online about the benefits of their SOUL supplement and writes a blog about the power of black cumin seed.

That being said, the guy has been charged with misconduct so many times that he was suspended for five years and almost lost his medical license.

Most of his charges involve inappropriately prescribing drugs, including prescribing HGH for the wrong disorders, and even misdiagnosing people with growth hormone deficiency so that he could prescribe them this product. The product was something he offered patients through the internet, and it sounded suspiciously like a network marketing scheme. [3]

Products

Their products are all based on “seed nutrition,” which claims that by getting to the core of the fruit, they’re offering a higher concentration of antioxidants and increased nutritional power.

Product lines have some cool names too, like Soul, Core, and Fused.

Here’s what they mean…

SOUL is a unique nutritional supplement designed to restore health, and it is also their flagship product. It includes black cumin seed, black raspberry seed, chardonnay grape seed, and D-ribose extracted through a cold press process that prevents damage to the nutritional value of the seeds by avoiding chemicals and high heat.

The product claims to be anti-aging, anti-inflammatory, and anti-oxidant. It has been tested by Brunswick Labs, an independent research unit serving the nutraceutical industry. However, none of their claims have been supported by the FDA, of course.

CORE is the second product they introduced, and it’s designed to cleanse. It’s a nutritional supplement that works together with SOUL (smart, now you have to buy two products). It includes a long list of exotic ingredients like black cumin seed, milk thistle, dandelion, and kale. The product improves health on all kinds of levels, including eliminating toxins, balancing pH levels, and increasing immunity.

FORM is their third product, a protein supplement that combines with CORE and SOUL to create a 3-tier complete health system, which is just a fancy way of saying that now you have to buy three products per month. FORM is designed to build health and strength by burning fat, suppressing appetite, and build muscle.

FORM is supposedly the most concentrated protein supplement available on the market due to the fact that it uses seeds rather than plant protein, which are 20 times more potent. [4]

Other products include FUSED, artisan coffee infused with seed oil, and REVRI, a line of seed-based skincare products.

All of their products are non-GMO, vegan, and gluten-free.

Compensation Plan

In order to qualify for a commission, distributors must maintain a minimum of 50 CV every month… hellooo auto-ship. If you want to maximize your potential earnings, you need to earn 200 CV every month. One box of Soul just gives you 50 CV, so you’ll need to hustle to reach 200 CV.

Like most MLMs, they’re not very transparent about the opportunity to become “partner” or about their binary compensation plan. You can’t get information regarding the cost to join unless you enter the person who referred you.

However, there are 7 ways to earn with Rain:

  1. Retail Commission is 30%.
  2. First Order Bonus of up to 50% on the first orders of your direct recruits.
  3. First Order Bonus Match of 10% on people your direct recruits enlist.
  4. Executive Leadership Bonus of 1.5% of Rain’s commissionable volume if you maintain an executive leader rank.
  5. Team Commissions of 10% on a binary commission structure.
  6. Lifestyle Bonus ranges from $100 to $1,000 for every week you maintain a top achiever rank.
  7. Generation Match Bonus gets you paid on your team member’s commission checks up to 7 generations deep. It’s the biggest earner for most of their higher level members.

So, their compensation plan is about as standard as it gets (see: Sisel, Vasayo, or Pure Haven Essentials). The commission is a little low (35% would be closer to average), but the commissions you make on recruitment are pretty good.

After some digging, I was able to figure out how much it costs to join…and now I understand why they try to hide it. Joining up is not cheap!

There are several package options, and of course, the more expensive ones allow for more earning potential. While you aren’t necessarily at an advantage if you order the package that includes 6 months of autoship, having 3 business centers instead of 1 does significantly increase your earning potential.

You can get a Virtual Business Kit and sign up as a recurring Soul or Core customer to get in, but you may not be fully active with just that. Here are your other “first order” options:

Soul Basic gives you 50 CV and 1 business center: $104.95

Soul Builder gives you 100 CV and 1 business center: $299

Launch Basic gives you 150 CV and 1 business center: $315

Soul Pro gives you 300 Cv and 3 business centers: $689

Launch Pro gives you 700 CV and 3 business centers: $1,249

Soul Elite gives you 900 CV, 3 business centers, and 7 months of qualification: $1,320

Confusing, right? Better hope you have a good referrer who can help you navigate your options.

 

Recap

Overall, not a bad company at all. Even if their products might be a little iffy, at least they’ve got a decent compensation plan.

That being said, even the best compensation plans in nutritional MLMs aren’t the most sustainable income opportunities.

If it’s something you want to join because you believe in the products and you have a decent method of getting customers, it might not be a bad company to go with. Just don’t expect to quit your 9-to-5 overnight.

Look, I’ve been involved with network marketing for over ten years so I know what to look for when you consider a new opportunity.

After reviewing 200+ business opportunities and systems out there, here is the one I would recommend:

Click here for my #1 recommendation



from MLM Companies

Rodan + Fields: #1 Skincare but Not Your #1 Source for Getting Rich [Review]

rodanFor feminist empowerment, there’s no better story than Dr. Katie Rodan and Dr. Kathy Fields.

Breaking out of a male-dominated field, they turned the skincare industry on its head, now boasting the #1 skincare line in the US.

They’re breaking every glass ceiling they hit…

But are their consultants seeing as much success? That’s the question.

Rodan + Fields is a billion-dollar skincare MLM brand based in San Francisco and founded by two dermatologist entrepreneurs who call themselves “wrinkle warriors.”

Drs. Fields and Rodan are hardly strangers to the money-making game when it comes to skincare.

In fact, they’re basically dermatology celebrities, heroes to every awkward, acne-ridden pre-teen who was ever called “pizza face.” Ever heard of Proactiv? That’s them. Keep reading to learn how Proactiv transformed into Rodan + Fields and became the top skincare in the country.

FAQ

1. What does Rodan + Fields sell? R+F sells skincare, cosmetic solutions, and skincare support such as vitamins, supplements, and sunscreens.

2. What are Rodan + Fields’s most popular products? R+F’s flagship product focused on acne, but they sold the rights to Proactiv to Guthy-Renker, so they no longer sell that formula. When creating Rodan + Fields, they turned their attention to antiaging. The Redefine line of skincare promises noticeably smoother, younger-looking skin in three simple steps. That said, they sell skincare that solves other major skin issues as well: Redefine, Unblemish, and Soothe.

3. How much does it cost to join Rodan + Fields? To become a consultant, the only purchase that’s required is the $45 Business Portfolio.

4. Is Rodan + Fields a scam? No, Rodan + Fields is a legitimate business selling high-quality skincare formulated by Stanford-trained dermatologists. They’re #16 on DSN’s 2018 Global 100 list of the top revenue-generating direct selling companies in the world. It’s also been featured in PopSugar, Essence, Forbes, and Bazaar. In 2017 and 2018, R+F was ranked the No. 1 skincare brand in North America by Euromonitor.

5. What is Rodan + Fields’s BBB rating? A+

6. How long has Rodan + Fields been in business? The brand was created in 2002. In 2007, frustrated with the low sales in department stores, they chose social commerce as their business model.

7. What is Rodan + Fields’s revenue? $1.5 billion

8. How many Rodan + Fields distributors are there? 200,000+

9. What lawsuits have been filed? In 2018, a class-action lawsuit was filed against Rodan + Fields for violating state consumer protection laws and engaging in fraudulent and unfair marketing of its Lash Boost eye serum, which didn’t disclose its use of an eye medication or its side effects. [1] In 2018, R+F sued Proctor and Gamble for attempting to stifle its truthful advertising of a product. [2] In 2014, R+F filed a claim against Ebay for information on sellers of their products without a contractual relationship with Rodan + Fields. [3]

10. Comparable companies: Mary KayNu Skin

So should you get involved?

As far as products go, this company is definitely solid. But as far as the income opportunity goes, there are still better options out there…

Click here for my #1 recommendation

Either way, here’s the full review on Rodan + Fields.

Overview

Before launching the wildly successful skincare MLM, Rodan + Fields, in 2002, the founders created Proactiv in 1995.

Yep, that Proactiv… the acne-busting product you saw on television all the time, but also the product that actually worked. It became one of the best-selling informercial products of all time. [4]

But that was only their first billion-dollar company. Their latest venture into MLM has been arguably just as successful — and it’s well on its way to hitting the big bill in revenue. [5]

Their net revenue in 2017 was $1.5 billion, and they’re projecting double-digit growth for the next five years. [6] They’re now considered the #1 skincare brand in the U.S. [7]

In 2015, R+F began their global expansion plans, with their first international launch into Canada. It may seem a little late in the game to finally start opening up international operations after they’ve been in business for over a decade, but I like that they’re moving slowly and thoughtfully.

They created a sustainable empire in the U.S. before branching out. Too many MLMs jump the gun and expand into 20 different countries in their first 5 years before they’ve even achieved any revenue to support their growth. [8]

A big reason for their success is their expertise. Lots of MLMs claim to be backed or started by “doctors,” but a little research into their history shows that these “doctors” aren’t fully licensed. These women are no quacks. Not only are they legitimate dermatologists who trained at Stanford, they still maintain their practice, spending two days a week treating patients. They are so good at what they do, they’ve got a waitlist that’s two years long. [9]

Products

Unlike so many successful MLMs that rely on distributor membership fees and autoship orders to create their revenue (hint: Monat and Neways), Rodan + Fields clearly has a product that does well and supports most of their income.

These dermatologist-created skincare products come in a variety of different formats, ranging from products that help with wrinkles to sun damage to acne to irritation. A lot of their products are fragrance-free, and none include toxic chemicals. Much like their Proactiv products, the Rodan + Fields product lines tend to come in three-step processes, so you buy a package kit with all three steps.

Redefine

Redefine is their line of preventative anti-aging skincare products formulated to reduce the appearance of lines, pores, and loss of firmness.

Reverse

Reverse is their line of age reversal skincare products formulated to reduce brown spots, dullness, and discoloration.

Unblemish

Unblemish is their skincare regimen for acne treatment. It includes 4 steps – the wash, the toner, the treatment, and the lotion.

Soothe

Soothe is their skincare line designed for sensitive skin. It helps you cleanse your skin and maintain an even complexion, but it uses ingredients that are specifically developed for people with sensitive and irritated skin.

Overall, their three-step kits range from $190 to around $350, depending on how many products you want to include. That’s not cheap, especially since these kits tend to last around 60-days if you use them as directed.

The price may be a little steep for someone just looking to develop a skincare routine, but if it actually cures serious acne, I know a lot of people with very bad skin would be willing to pay that much.

Compensation Plan

It’s pretty cheap to join up as a consultant, and there are no inventory requirements, so it’s a pretty low-risk investment if joining Rodan + Fields is something that interests you.

You’ll need to purchase a business portfolio, which costs $45. You get your own consultant website, business tools, training, marketing materials, and product information. You can also purchase a business kit complete with lots of product and samples, but it’s not required. The lower tier kit costs $695, and the higher tier kit costs $995.

Rodan + Fields has a hybrid compensation plan that offers 25% commission on personal sales. That’s not a great commission rate, but you can also earn up to 15% on the sales of your personal recruits, as well as 5% commission on sales of your downline, up to five generations deep.

While it’s not the best compensation plan in the game, it’s decent, and you are selling a product from a trusted and established company. They’ve also got various fast-start bonuses, car bonuses, and exotic trips.

Recap

Rodan + Fields have definitely made a name for themselves, and it doesn’t sound like they’re stopping anytime soon. If you want stability in MLM, this is about as close as you’ll get outside of direct sales legends like Avon or Mary Kay.

That being said, their compensation plan is nothing impressive. The earning power just isn’t there for most people, even if the products are great.

In 2015, the average consultant made only $3,182 in annual income according to their company disclosure statement. For newer consultants, that figure was as low as $790. In an entire year. A babysitter can make more money than that in a few weeks. [10]

It may be a respectable company, and the founders may be some of the hottest in the direct sales game right now, but that doesn’t mean you’re going to be hitting it big.

Look, I’ve been involved with network marketing for over ten years so I know what to look for when you consider a new opportunity.

After reviewing 200+ business opportunities and systems out there, here is the one I would recommend:

Click here for my #1 recommendation



from MLM Companies

Scentsy: Delicious Scents but the Opportunity is Questionable [Review]

scentsySome businesses are able to ride a trend, cashing in as long as the wave lasts.

Scentsy is one of them…

As scented candles and scented bath products were becoming all the rage, so was the news that candles weren’t such a good idea.

Enter Scentsy, the popular network marketing company that sells scented, flameless “candles.”

Candles are HOT right now. Scentsy’s wickless scents and warmers may only be warm, but they’re gaining some serious heat. Keep reading to see if this opportunity is right for you.

FAQ

1. What does Scentsy sell? Scentsy sells wickless candles and scented fragrance wax for electric candle warmers, diffusers and scented natural oils, laundry liquid and household cleaners, and body care.

2. What are Scentsy’s most popular products? Scentsy’s most popular products are their flagship electric candle warmers. They come in a wide range of styles, from casual to elegant, to fit every decor and appeal to every personality.

3. How much does it cost to join Scentsy? For $99, you’ll get everything you need to get started as a Scentsy consultant: a warmer, 80+ scent testers, 3 months of your personal website free ($10/month after that), product samples, business tools, and a gift for joining.

4. Is Scentsy a scam? No, Scentsy is a legitimate business. In 2018, it was #35 on Forbes‘ Midsize Employers list and #9 in Direct Selling News’ Best Places to Work in Direct Selling. It’s also #44 on the 2018 DSN Global 100, a list of the top revenue-generating direct selling companies in the world, and the 2018 DSA Top 20, a list of member companies with the top net sales in the US.

5. What is Scentsy’s BBB rating? A+

6. How long has Scentsy been in business? Since 2004

7. What is Scentsy’s revenue? $468 million

8. How many Scentsy distributors are there? 120,000 consultants in 11 countries

9. What lawsuits have been filed? In 2009, Scentsy sued Performance Manufacturing for violating their nondisclosure agreement. [1] In 2012, Scentsy was sued by Primary Children’s Medica for copyright infringement over their use of the term “Festival of Trees.” [2] In 2012, Eva Marosvari sued Scentsy for theft of intellectual property after they refused to pay her for her work coming up with the product line, Scentsy Buddies. [3] In 2013, Scentsy sued Harmony Brands for copyright infringement of one of their warmer’s designs. Harmony was awarded $396,207.50 for legal fees and costs. [4, 5] In 2013, Scentsy sued American Hero Clothing and Accessories for trademark infringement and unfair competition. [6]

10. Comparable companies: Stella & Dot, Thirty-One Gifts, Touchstone Crystal

People love home scents and are willing to spend ridiculous amounts of money on them and Scentsy, in particular, has grown a lot in the last few years. So should you join up with them?

Product-wise, this company is legit. Business opportunity-wise, there are still better options out there to make a sustainable passive income…

Click here for my #1 recommendation

Either way, here’s the full review on Scentsy.

Overview

Scented candles have been around forever, so what’s the big deal?

It’s hard to corner the candle market as an MLM because you can buy candles at just about any store in the world. So Scentsy came up with something new: flameless home scents that aren’t a fire hazard and don’t fill your home with carbon dioxide. Customers can enjoy the same air-freshening scents — but instead of a candle, they use scented wax and electric warmers.

It was a smart idea…

Scentsy leveraged the dangers of candles, convincing people their beloved candles aren’t safe (they release carcinogens, they’re a fire hazard, etc). Then, when the customer was adequately freaked out, they presented a product that’s safer and smells even better than burning that pumpkin spice mason jar candle.

This approach has definitely brought them hype, but is it bringing them enough money?

Founded by husband and wife team Orville and Heidi Thompson in 2004, Scentsy is one of the trendiest MLMs in the candle scene. It’s also a winner in the home party space (much like Pampered Chef and Mary Kay)

They started out operating from Orville’s ranch in Idaho, but upgraded to a 603,000 square foot campus in a matter of years. Orville had always been an entrepreneur at heart, foregoing a corporate career and an academic future in exchange for developing and selling a unique car wax formula that supported his family for years. [7]

He then started a company, Event Sales, that become one of the largest fair, show, and mall kiosk companies in the U.S. But then, in 2003, he invested in a car wax informercial that failed, and he and his family found themselves $700,000 in debt. At one of his shows, he ran into two women selling wickless candles and was intrigued. Both he and his wife loved the products, bought the company, and the rest is history. [8]

These kinds of extreme failure-turned-success stories are rampant in MLM. They come off as very genuine and honest, but there’s definitely a hidden motive, which is why I’m not a big fan of them.

These MLMs are trying to appeal to people who feel like they’ve hit rock bottom or don’t have many financial options and are willing to take an entrepreneurial risk. The truth about MLM, though, is that it’s very, very risky, and most of these people will never see a decent paycheck.

But either way, the company is doing well for themselves. In 2010, Inc. named Scentsy “America’s fastest-growing consumer products company” and ranked them 19th on the Inc. 500 list. [9]

By 2012, they were a multi-million dollar business. They opened up a new company, Velata, a fondue MLM, that had over 200,000 distributors worldwide. They were huge. [10] But not for long. Velata has since then announced they’re going out of business, and Scentsy has also closed the doors on their other subsidiary, Grace Adele. [11]

Really makes me question the staying power of Scentsy.

Products

Scentsy sells wickless candles — scented wax with warmers that diffuse the scent without you having to light a candle. They also sell room sprays, clothing conditioners, counter cleaners, and even hand creams. Basically, every kind of scented product you can imagine other than candles, all based on their signature scents.

Their scents include everything from floral to woody to fruity to seasonal scents, and they do smell pretty delicious. There’s a huge variety.

They’ve also got over a hundred different warmers to choose from, and the designs are lovely. They’re all around $30-60, with some smaller plug-ins as low as $20.

Essential aroma diffusers are another option, although they’re a little spendier. Those are anywhere from $50-130.

Overall, their products are great, and they’re pretty decently priced as well.

Compensation Plan

The startup kit for Scentsy isn’t cheap at $99, but that is starting to become standard in these kinds of MLMs.

After three months, you have to start paying for your distributor website too, which is $10 per month.

Compensation:

  • Retail profit is 20%, which is a little below average, but it bumps up to 25% once you’ve sold $1,000 PRSV
  • Group wholesale volume commission is 2% on each Active Frontline Consultants you recruit and another 2% in bonuses
  • Increasing ranks get you higher team commission rates

While it’s not the sexiest compensation plans in MLM, it’s clear that the company is very product-driven. You’re not being forced to make all your money off recruiting, which means there’s probably no threat of them coming under legal fire or getting shut down by the SEC.

Now you’re ready to go invite all your friends to a candle sniffing party!

While that doesn’t sound like great fun, the owner claims that the joy he witnessed in his wife and her friends when they were sitting around a table at home smelling candles and chatting about scent memory was what inspired him to start Scentsy in the first place.

Still, you know how I feel about in-home parties. They’re just not effective, and they alienate your friends.

What’s more, independent distributors rely almost completely on Facebook to sell their product, as you’ve probably noticed if you have any Scentsy reps on your friends list (chances are, you deleted them a while ago).

Recap

The product is super popular. Who doesn’t love candles?

And apparently, people love flameless scented candles even more than your run-of-the-mill Yankee Candle. Scentsy is definitely cashing in on the hype.

That being said, the compensation plan is underwhelming. And it’s troubling that they’ve had to close both of their subsidiary companies recently.

But the real kicker here is the in-home parties. It’s just not a sustainable model for hitting it big. You can’t get rich off of begging your Facebook friends to come over to your house and buy your candles.

Look, I’ve been involved with network marketing for over ten years so I know what to look for when you consider a new opportunity.

After reviewing 200+ business opportunities and systems out there, here is the one I would recommend:

Click here for my #1 recommendation



from MLM Companies

Tuesday, October 9, 2018

Seacret Direct: Miraculous Mud May Not Be Enough for this MLM [Review]

seacretWe go to the spa for miraculous products like mud packs and salt scrubs…

But with this MLM, you’ll get all of that at home.

Trouble is, you won’t save a dime doing it yourself.

Seacret Direct is a popular skincare network marketing company that was started in a mall kiosk in 2005.

You know those salespeople at mall kiosks who hound you every time you walk by practically begging you to let them scrub your hand with their miracle hand cream so that you, too, can experience the skincare wonders of the Dead Sea?

Welcome to Seacret Direct. They’re blowing the roof off of skincare MLMs, positioning their products as elite, spa-day products you need to feel good about yourself.

FAQ

1. What does Seacret Direct sell? Seacret Direct sells skincare made of Dead Sea minerals and the latest scientific technologies in skincare. They also sell nutrition products, beauty products, and hair care.

2. What are Seacret Direct’s most popular products? Seacret’s most popular products contain minerals from the Dead Sea, such as their M4 Mineral-Rich Magnetic Mud Mask and their Dead Sea Bath Salt. The Mud Mask pulls dirt and impurities away from your skill while leaving all the essential oils on your skin. The Bath Salt turns your bath into a relaxing spa experience that relaxes your muscles and rejuvenates your skin.

3. How much does it cost to join Seacret Direct? Join Seacret Direct and you become a Seacret Agent. Who doesn’t want that? To join, you’ll put out a $49 registration fee (which doesn’t make you active). To be active, you must close each week with 200 PV, have 4 active customers, or place a 35 BV order every 4 weeks. When you register, if you pay an additional $50 (for a total of $99), you’ll upgrade to the 5-in-5 Agent Kit. The compensation plan doesn’t explain the benefits of upgrading. Also, be aware, you’ll pay an annual fee of $49, due on the anniversary date of enrollment.

4. Is Seacret Direct a scam? No, it’s a legitimate business.

5. What is Seacret Direct’s BBB rating? A+

6. How long has Seacret Direct been in business? They became a direct selling company in 2011. Prior to that, they operated out of kiosks in malls across the country.

7. What is Seacret Direct’s revenue? $200 million

8. How many Seacret Direct distributors are there? 60,000

9. What lawsuits have been filed? In 2016, Seacret Spa sued Michelle Lee, defending its application for trademark. It was denied for being too similar to the deodorant, Secret. [1] In 2018, Khai Huynh, a Seacret Direct agent, sued Christina Nguyen, who runs a charity. He held a fundraising dinner, which was more successful than he expected, and failed to deliver all the donations. Nguyen accused him of misapplying the donations, and Khai sought relief in the Texas courts. [2, 3]

10. Comparable companies: Mary Kay, Nu Skin,

So should you get involved?

As far as the products go, the company seems legit. At least they’re doing something different.

But if it’s just the income opportunity that excites you, there are better options out there…

Click here for my #1 recommendation

Either way, here’s the full review on Seacret Direct.

Overview

Seacret may have started out as a mall kiosk — the only thing more annoying than MLM — but it worked for them. They pretty much started the Dead Sea craze in skincare and cosmetics back in 2005 when they opened shop in Phoenix, AZ.

Seacret Direct was founded and run by two brothers, Izhak Ben Shabat and Mordechai Ben Shabat. They’re really the quintessential American Dream story.

The brothers originally immigrated to the United States from Israel in 2000 for medical school, but, inspired by the entrepreneurial spirit of the U.S., they started dreaming about having their own company instead. The brothers tried everything from an ice cream truck to mall kiosks that sell children’s toys during the holidays that grossed over $4 million. [4]

But they really struck gold when they started selling their Dead Sea products, inspired by their homeland, in mall kiosks.

Within only 5 years they were global, with hundreds of outlets in almost 20 countries and were pushing over $500 million in sales since launch. [5] Some of their biggest markets are outside of the U.S. in places like Australia and Korea. [6]

Now they’re #72 on the Direct Selling News 2018 Global 100 List. [7] They’ve got an A+ rating with the BBB and 4.34 out of 5 stars for customer reviews, and they’ve been featured in Business Wire and Business2Community for their innovative marketing techniques. [8] [9]

Like any MLM, they have a few potentially fatal flaws. One of their biggest appears to be their management style and corporate culture. They’ve got a 2.1 employee rating on Glass Door and some of the worst employee reviews I’ve seen from people who worked at corporate.

According to reviews, former employees seem to agree that the upper-level management running the company is made up of people who are inexperienced, unrealistic, mean, unethical, and even abusive. One former employee goes so far as to recommend working there only “if you want to see what PTSD feels like.” [10]

Products

If it’s an MLM, it’s got to have a gimmicky ingredient from some far off land (hint: Monat or Senegence).

With Seacret Direct, it’s about as exotic and legendary as it gets: The Dead Sea.

According to the company, the Dead Sea contains 26 essential minerals, and 12 of those minerals don’t exist in any other ocean in the world. These 12 minerals provide benefits for relaxation, skin nourishment, and healing in ways that no other minerals can. [11]

They’ve got a whole drugstore worth of Dead Sea skincare products, from cleansers and exfoliators to moisturizers and nail products to masks and hand creams. Their skincare lines include…

Facial Solutions

Their line of facial care products includes facial soap and face wash, CC creams and cosmetic products, makeup remover, eye creams, and mud masks. They range from $17 for a bar of mud soap to a whopping $240 for a “mineral-rich magnetic mud mask.”

Body Solutions

This is their line of body care products, including body lotions, soaps, foot and hand creams, salt scrubs, and mud therapy products. The body products range from around $16-$50.

Age-Defying

Their line of age-defying products includes anti-aging serums, eye creams, and face masks. They range all the way up to $315.

Re-Cover

The Re-Cover line is only available in Canada, but according to Seacret Direct, it’s so popular that the delivery is backed up at least 14 days at all times. They claim that the product literally unfolds the wrinkles in your skin.

Compensation Plan

The starter kit is $49, which is reasonably affordable. Reps get 30% commission on personal sales, on average, which is less than more established MLMs like Arbonne (35%). [12]

Seacret Direct runs on a binary compensation plan and offers reps 5 ways to earn cash.

Retail Sales

Commission on personal sales ranges from 30%-150%, according to them, but basically, your commission rate is 30%. A little below average.

Preferred Customer Program

Preferred customers get a discount for ordering on monthly auto-ship, and distributors get 25% of their monthly auto-ship orders which means… passive residual income, every money chaser’s dream. This is the honeypot when it comes to the compensation plan, but landing preferred customers is not easy. Especially when their products are overpriced.

Team Commission

Team commission is the other big ticket item here. You can earn 10-15% on your lesser leg, or even more if you move up high enough in rank.

Leadership Check Match Bonus

This is the holy grail of all bonuses. It’s not easy to get, but if you hit it, you’ve hit the jackpot. If you become a Bronze Director, you get a percentage (up to 20%) of every other Bronze Director’s check in your downline sent to your bankroll.

Performance Bonus

These are your typical car bonuses, lifestyle bonuses, and rank advancement bonuses.

Recap

Overall, this is a pretty solid company. They’ve managed to really skyrocket their growth in just over a decade, and they seem to be here to stay.

Their products, while overpriced, are well-reviewed and established. Their commission rates are mediocre but they offer some really great bonuses.

That being said, those really great bonuses are only for the very, very special few who manage to get to the top.

Like most MLMs, there’s money to be made, but 99.9% of the people working here aren’t seeing it.

Look, I’ve been involved with network marketing for over ten years so I know what to look for when you consider a new opportunity.

After reviewing 200+ business opportunities and systems out there, here is the one I would recommend:

Click here for my #1 recommendation



from MLM Companies

Shaklee: Unusual Commitment to Natural Health, but Does It Pay? [Review]

Shaklee is a popular wellness MLM company that has been around forever.

Nutrition MLMs with their magic berries and mystical herbs may be a dime a dozen now, but Shaklee is the Godfather when it comes to hustling supplements and shakes.

Based in Pleasanton, California, they opened shop way back in 1956. They’ve now got an annual revenue of $844 million and international operations in Canada, Japan, Malaysia, Mexico, Taiwan, China, and Indonesia.

They’re well on their way to joining giants like Mary Kay and Amway in the $1 billion club. [1]

FAQ

1. What does Shaklee sell? Shaklee sells natural nutrition supplements, weight-management products, beauty products, and household products.

2. What are Shaklee’s most popular products? The high-potency multivitamin, Vita-Lea, is one of Shaklee’s flagship products. It supports optimal health, including the heart, bones and joints, energy, and healthy skin, hair, and nails. Another flagship product is Basic H2 Organic Super Cleaning Concentrate. This all-purpose cleaning concentrate is a 2008 winner of the PTPA Award for being non-toxic, natural, and superconcentrated, with biodegradable surfactants and no phosphates. Also popular is the Shaklee 180, a clinically proven program with meal replacements, support, and tools to help you lose weight and keep it off. It includes the meal-in-a-bar, snack bar, snack crisps, and energizing tea.

3. How much does it cost to join Shaklee? To become a qualified distributor, you need to buy a Distributor Welcome Kit + Success Pack. The Welcome kit is $49.95 and includes 3 months of access to a personal website and digital tools that will train you and encourage you. Success Packs range from $298 to $1,000. While this is pricey, you do save 30% off SRP and earn full PV. Be aware, the company recommends buying three packs to start your business with, which is going to be a big investment to start your business.

4. Is Shaklee a scam? No, Shaklee is a legitimate business that genuinely believes in its mission to live in harmony with Nature. The compensation package rewards you for sales more than for recruiting, which is rare among MLMs. Add to that: It ranks #10 on the Direct Selling News Top 50 list of MLM companies for 2015. According to Daniel Esty, Yale professor and co-author of Green to Gold, no other company is “doing more to make environmental stewardship part of its core business and its commitment to the public.” [2] In 2007, it was recognized for being the first company in the world to be Climate Neutral, certified to totally offset its CO2 emission to achieve a net zero impact on the environment. [3]

5. What is Shaklee’s BBB rating? A+

6. How long has Shaklee been in business? Since 1956

7. What is Shaklee’s revenue? $844 million in 2014

8. How many Shaklee distributors are there? 1.25 million

9. What lawsuits have been filed? In 1978, the company sued former distributors for defaming the products and interfering with business relationships after signing on with a rival company.  In 1981, Shaklee won the lawsuit but was awarded a judgment too small to cover the company’s legal fees. In that case, it was discovered that Shaklee learned in 1973 their alfalfa tablets were tainted with salmonella bacteria — but didn’t discontinue them until 1977, after trying to treat the alfalfa with a fumigant that was suspected of being carcinogenic. [4] In 1974, Shaklee signed a consent pact with the FTC, stating it would not fix prices or engage in other anticompetitive practices. [5] In 1982, the FTC asked to be given access to records of a case that involved Shaklee and two former distributors. Shaklee opposed the bid, calling it a “fishing expedition.” [6] In 2013, Elizabeth Dopf, her fiance, and the group Shaklee Victims United, received legal warning from Shaklee Corporation to cease their defamatory tirade. Dopf responded by suing Shaklee for being a pyramid scheme. [7] In 2014, a high-ranking Shaklee distributor was arrested for stealing $6 million in investments from friends and Shaklee business associates. [8] In 2016, Shaklee was accused of trademark infringement for its Healthprint product. [9]

10. Comparable companies: Herbalife, Amway, Isagenix

So should you get involved?

I’m not saying it would be impossible to make money with Shaklee, but there are certainly more sustainable income opportunities out there…

Click here for my #1 recommendation

Either way, here’s the full review on Shaklee.

Overview

Shaklee is one of the oldest and most respected MLMs out there. They were green before it was cool to care. And they seem to be more committed to their mission of health than they are to ranking in Top 100 lists or recruiting more distributors.

The Shaklee formula, “Shaklee’s Vitalized Minerals,” was actually founded way back in 1915 by Forrest C. Shaklee. It wasn’t until 1956 that he formed Shaklee Corporation with his two sons, redeveloped some nutritional supplements, and started to market them via direct selling.

Over the years, they’ve changed ownership many times. They were a public company traded on the New York Stock Exchange for a good while, during which Shaklee changing hands every few years. Now, they are a private company owned by American billionaire Roger Barnett, who purchased the company in 2004 for $310 million. [10]

They’ve even snagged a real industry vet with over two decades of experience in MLM as their new President. Heather Chastain has not only been a very successful VP and Chief Sales Officer at another MLM, but she also has an impeccable record serving as the Chair of the Direct Selling Association’s Ethics Committee. [11]

Of course, like any big MLM, they are not without their scandals. They’ve butted heads repeatedly with the FTC and been accused of being a pyramid scheme and making false claims multiple times. (See lawsuits above.)

Products

Nutritional products are almost always a little shady, but overall, Shaklee has some of the most established and trusted products in the industry. They’ve sold to NASA (they created Astroade, a rehydration product for astronauts). That’s about as legit as it gets. [12]

They’ve got a reputation for being one of the greenest, most eco-friendly nutrition companies out there, and it’s not without reason. They were the first company to officially offset their own carbon footprint, making them completely carbon neutral, and they’ve won numerous awards for sustainable business practices and green design. [13]

Shaklee started with nutrition and weight management, but they’ve also been rocking beauty and home products for quite a while.

Healthy Nutrition

Their nutritional supplements include a range of products that offer extra essential vitamins, minerals, and proteins for everyday consumption. They help with everything from aging to heart health to digestion support to cleansing.

Healthy Solutions

This product line is geared toward addressing specific health concerns. They offer a SmartHeart blood pressure regimen, a MindWorks supplement designed to increase brain function, Vivix, an anti-aging solution, and supplements to help with everything from liver function to joint pain to immunity.

Healthy Weight

Their weight management products include bars, shakes, teas, smoothies, and supplements. They’re designed to promote fat burning and muscle growth as well as suppress hunger and boost energy.

Healthy Beauty

Shaklee’s beauty products include body, skin, and hair care products that are all natural and designed to nourish your skin and promote healthy hair.

Healthy Home

Shaklee’s home products include household cleaners, kitchen cleaning, and laundry products. All of their home products are green and eco-friendly.

Compensation Plan

Shaklee offers three different levels at which you can join their business opportunity.

Member: $19.95

This is less of a distributor level and more of a “premium customer” type level. Unlike many MLMs, which require premium customers to be on monthly autoship, Shaklee only requires a one-time fee of $19.95 for you to receive a 15-25% discount on all products. It’s a pretty good deal.

Distributor: $49.95

To become a distributor (aka Business Builder) and start qualifying for bonuses and downline commission, you need to pay $49.95 and maintain a minimum of 100 monthly PV. This start-up fee is pretty standard (see: Norwex).

Shaklee Business Leader

When you reach more than 2,000 PV, you become a Director. Your bonus goes up, and you’re eligible to qualify for the New Directors Conference in San Francisco.

Senior Director

Ad your team grows, and you begin to lead other Directors and business leaders, you become a Senior Director or higher. That’s when you begin to make a decent side income.

 

Their compensation plan offers 8 ways to earn.

  1. Success Bonuses offer 25 when you sign up 3 preferred members in 3 months and $50 each time you sign up a preferred distributor. Sign up 3 distributors and earn an extra $150.
  2. Price Differential is your personal commission. You make retail profit on the difference between your distributor discount (15-25%) and retail pricing.
  3. Personal Group Bonuses are monthly bonuses offered each time your group of recruits and customers generates a certain volume of product sales.
  4. FastTRACK Bonuses, an incentive program to reward New Leaders for achieving rapid growth.
  5. Incentives get you lifestyle rewards such as luxury vacations and other prizes.
  6. Car Bonuses are offered when your team hits 3,000 in Personal Group Volume and you’ve personally promoted a First Generation Director. Car Bonuses are only valid for up to 3 years.
  7. Leadership Bonuses kick in once you’ve hit Director level.
  8. Infinity Bonuses get as high as 8% on the volume of all Leaders in your organization to infinity.

Recap

Shaklee is, without question, one of the MLM giants. They have their controversies, like everyone in this industry, but they’re definitely not a scam. Their products are well-established and reputable.

That being said, the compensation plan at Shaklee is nothing special. While there’s certainly room to earn, the chance of you becoming a millionaire is very, very slim.

They’ve created more millionaires than most MLMs though — 2,000, last we’ve seen. [14]

But they’ve also got over 750,000 members and distributors. [15]

Do you got it in you to outshine the top .03%?

Like I’ve shown throughout the review, I’m not a Shaklee hater at all. In fact, I think the company has done many things well. But to build a passive income stream, I don’t think this is the best opportunity.

I’ve been involved with network marketing for over ten years so I know what to look for when you consider a new opportunity.

After reviewing 200+ business opportunities and systems out there, here is the one I would recommend:

Click here for my #1 recommendation



from MLM Companies