Thank you for your article. I am also with doterra and I never in my life thought I would do something like this. The reason I started was because of health issues that led me to the oils. I have been an RN for 23 years and I feel more free and excited to share about health than ever. If you are going into something to get rich quick, I think that is the wrong attitude. I think most of my fellow doterra wellness advocates, have come to the same realization as me. I believe most of us started out trying to help ourselves and our families. I left my nursing job of 17 years in Feb, not because I am making enough money to replace my past income, but because I truly love helping others and I love the company and what it stands for. I can’t argue about MLM’s because I truly don’t care about that side of it. Maybe I am wrong to think that way. I hope that this ride doesn’t end anytime soon because the difference that doterra is making in my life, and the lives of those around me, is amazing. Thank you again for your information and your viewpoint.
However, as aforementioned, you may know people that sell products from Mary Kay, Avon, Advocare, Tupperware and the like (see more companies in our Featured Home Businesses section). You know people who sell these types of products because they believe in the products and the companies that stand behind them. These companies empower those who sell their products to actually establish their own businesses, selling the products. This is very attractive to many entrepreneurial-minded people who do not want to have a boss watching over them but also want some pre-established structure and support. Most MLM organizations provide a very robust infrastructure and great training as well as impeccable rewards (hello free cars and trips!).
Multi-level marketing (MLM), also called pyramid selling, network marketing, and referral marketing, is a marketing strategy for the sale of products or services where the revenue of the MLM company is derived from a non-salaried workforce selling the company's products/services, while the earnings of the participants are derived from a pyramid-shaped or binary compensation commission system.
Also called pyramid selling or network marketing, multi-level marketing companies grow revenue by hiring and recruiting non-salaried employees referred to as distributors, influencers, consultants, salespeople, or promoters (among other names). In other words, employees generally receive compensation from performance through a pyramid-shaped compensation system.
Multi-level marketing is a strategy some direct-sales companies use to encourage their existing distributors to recruit new distributors by paying the existing distributors a percentage of their recruits' sales. The recruits are the distributor's "downline." All distributors also make money through direct sales of products to customers. Amway is an example of a well-known direct-sales company that uses multi-level marketing.
They’re sliding, though. Revenue is falling in North America and their sales force is shrinking. Revenue slid 19% in 2013 and 7% in Mexico. Skip ahead to July 2015 and revenue is still spiraling downward, with a 17% drop (5). Analysts blame Avon’s failure to maintain a strong identity for its products as well as the strong dollar. Lesson: Always re-create yourself.
Ever been confused about how a “home business” works? Of course you have, many of us have. Most people have heard the term MLM (Multi-Level Marketing) and usually at the end of that the word, “scheme” is added – giving the whole business model a bad name. Well…let’s change your negative perception and tell you how your Great Aunt Joan, actually earned that pink Cadillac from Mary Kay ! It’s brilliant really…
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In a similar fashion, when you eliminate money from the network marketing industry, a new perspective emerges. Personally speaking, I love talking with people who are in this industry because they are always reading, posting, and sharing something inspirational. They have goals, a dream board, and are generally using the products that they are selling to improve the way they look and feel.
Everyday, people get sucked into the lure of MLMs (“multi-level marketing” or “network marketing”) and I can’t stress enough the need to stay far, far away from them. These include Herbalife, Arbonne, LuLaRoe, Younique, Rodan + Fields, and Amway among many others. I understand the need for flexibility, especially if you are a full-time student or are raising young children. Believe me, I also understand getting a job that allows you to create your own schedule and work remotely takes Hunger Games level competition. I am always surprised when I see college educated women sucked into these things. But it’s telling about other issues, like childcare, maternity leave and corporate culture in the US. MLMs are pyramid schemes, and are extremely predatory because the only way to make any money is to sign up more and more people under you which will just ruin your social relationships and make you a pariah where it matters most: your friends and family members.
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Mindy reports that, "From day one, I failed to acknowledge the biggest sign that something wasn't right – my gut. I felt unsettled from the moment I walked into my so-called interview to the moment I no longer had ties with the company. In further hindsight, the other representatives also displayed unease." The lesson here is to not dismiss your intuition. If it doesn't feel right, scam or not, it's not for you. If you feel coerced or conned, then it's definitely not for you.
It seems to me that in your assessment of the top 25 MLM that you had a preference for one essential oil company (Young Living) over the other (doTERRA) which outranked YL. You give a glowing review of YL and state that they “set the standard” & are a “solid pick”. While you seem to question why people could possibly like doTERRA with comments like “Users swear by the oils, and for whatever reason, people (and not just people in Utah) are strangely passionate about telling their friends about them.” For “whatever reason”??? “Strangely passionate”??? You come across as bias. You also incorrectly state that YL set the standard for quality, while they may have been the first legit EO Co. they didn’t set the standard. Infact their lack of wanting to find the purest most potent EO available (which comes from the country the plants are indigenous to) and having strict testing to ensure the purity and potency is why doTERRA was founded, doTERRA set the standard because YL didn’t want to. And that is why doTERRA is the #1 EO company and why Young Living is not. Not to mention how well doTERRA takes care of the suppliers through Co-Impacting and how they’re improving their lives through The Healing Hands Foundation. The foundation builds wells, schools, provides personal care products as well as many other things. doTERRA is changing lives for the better all around the world so that is one of the “reasons” we’re “strangely passionate” about spreading the good news of doTERRA essential oils. Not only are doTERRA EO more potent and purer making the the “solid pick” they are literally saving peoples lives.
They have the stay-at-home-mother meets women entrepreneur mixture working for them. What does that even mean? Means they have the practicality side of the company that is off the product and they have the sales, entrepreneur people them promoting it, too. Anyone who follows MLM knows its usually too “product practical” (see: Tupperware, Cutco) or too “opportunity-centric” (see: Herbalife).
I recently spoke with San Diego based, Vicki Martin, about her experience with Rodan + Fields. Here's her take on her home business and why the opportunity was so appealing for her and her family, "The decision to join Rodan + Fields Dermatologists came easily. Since 2008 the construction industry [which I was previously in] has been hit hard by our economic downturn and my income has been greatly affected. We were working harder for less like many of our friends. Being part of Rodan + Fields Dermatologists is allowing me to work with highly educated people who share a passion for business and for teamwork. Building a recurring, residual income that grows month over month is going to give my husband and I the peace of mind and financial freedom that is so vitally important to our future. My skin looks better than ever. And, I get to work my job around the rest of my life instead of the other way around."
Carl Rehnborg is credited as having started the multi-level marketing industry back in the 1930s. After learning about the benefits of dietary supplements in China, Rehnborg came back to the United States and started a company called The California Vitamin Company, which was later rebranded to Nutrilite. Six years after that rebranding, Rehnborg reorganized the company’s structure and the way it sold products into what we know as MLM today.
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To put these statistics into context, John compared them with the failure rates for traditional small businesses using the Small Business Administration’s statistics for 2008. And he discovered that 44% of small businesses survive at least four years, 31% at least seven years, and 39% are profitable over the life of their business. In 10 years only 64% of small businesses fail.
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Create a website. Be sure to check the policies of the company you're working with to see what they allow regarding websites. Many MLM companies offer you your own website or a page on their website, and others allow you to make your own. If you can, you should create your own website, because you should try to differentiate yourself from your competitors. If you're not allowed to make a website directly about your business, then make one covering a topic related to your business. For example, if you sell health and wellness products, then start a health and wellness website or blog. You can hire someone to design and build a site for you, or you can use a platform like Squarespace, Wix, Wordpress, or HubSpot to build your own.
I believe the ones that don’t make it in the industry (if they chose a good one) don’t give it enough time (like you said they quit before a year is up) and commitment to doing what it takes to grow. I don’t spam FB and only 2 family members order product but I have at least 100+ home school moms making >$2000/mth. Some team members make more, some less. It’s what they put into it (business wise not monetary)
So the bigger your network, the larger will be the sales thus big commissions every week or month. Best part is passive income/residual income. Once you have a big team you get commission from sale made by people u dont even know because they were referred by some 100th guy but u still make money for that sale although your effort was nothing in it. It may sound easy but creating and training your network takes a lot of time and efforts. THIS IS NOT A GET RICH QUICK SCHEME !! But if you work hard you can earn money in short period of time u would never earn in jobs.
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Hi JP, Your assessment of Melaleuca stating… “When you hit over a billy in annual sales, that’s reason enough to be on the shortlist. On top of that, they’ve been in the MLM game for over two decades, and they’re now the “largest online wellness shopping club” (basically just sounds like a fancy way of saying they sell a lot of miracle diet pills).” is VERY misleading and inaccurate. They offer “far more” products and services than weight control supplements. I have been a “customer” only of Melaleuca for over 20 years and can attest to the superb quality of their products. Please get your facts correct before posting inaccurate information. 🙂
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Much has been made of the personal, or internal, consumption issue in recent years. In fact, the amount of internal consumption in any multi-level compensation business does not determine whether or not the FTC will consider the plan a pyramid scheme. The critical question for the FTC is whether the revenues that primarily support the commissions paid to all participants are generated from purchases of goods and services that are not simply incidental to the purchase of the right to participate in a money-making venture.
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I enjoyed this post and spent too many hours reading all your other posts and watching your videos. You have some excellent real life experiences to share and glad I found this blog. My wife and I are with It Works Global (She started it and I came on board later). I was curious why they didn’t make your list? Do you think blogging would work with this type MLM? I have only had success using Instagram and Facebook. The MLM model is not something I like but it is what is I guess. My wife joined to get a discount on wraps and now this insane looking chart pays the bills. I want to take it further just keep searching for a good way to do so. Maybe blogging is the answer? Thank you. for your time. Mike
The Federal Trade Commission issued a decision, In re Amway Corp., in 1979 in which it indicated that multi-level marketing was not illegal per se in the United States. However, Amway was found guilty of price fixing (by effectively requiring "independent" distributors to sell at the same fixed price) and making exaggerated income claims. The FTC advises that multi-level marketing organizations with greater incentives for recruitment than product sales are to be viewed skeptically. The FTC also warns that the practice of getting commissions from recruiting new members is outlawed in most states as "pyramiding".
look if you go and search top MLM businesses, no matter what link you click on, the number one company is amway. Why everyone goes with different companies i don’t get it, check it out compare to mary kay. Here’s the thing though, I contract with amway, but my organization is worldwide. Mentorship organization. I feel which ever MLM business you choose, join a mentorship organization that is in that business. The reason why amway is number one is because of worldwide. it’s only 10% of everyone that is in amway, yet 90% of the 6 and 7 figure earners are part of worldwide…why? because they broken down the company and know exactly how to succeed and retire quicker than someone who tries amway on their own or joins another mentorship company. what’s the success rate? to those who do what others have done 100%. So at the end of the day, consider all of this. With amway and worldwide, it doesn’t matter how old you are, where you come from, ANYONE can do it. Mary Kay is a female company, good luck getting a bunch of single dudes to make it with that.
MLM has stretched its sticky fingers out into just about every product market out there, so it’s kinda hard to do something new nowadays. But Jamberry Nails did it. Their adhesive, custom nail designs BLEW UP when they hit the direct sales floor. They built up an army of over 100,000 consultants in the time it takes most people to get a mediocre pay raise at their 9-5.
I purchased yalls program. Going through the modules a second time. I have to focus on using Twitter platform not FakeBook who doesn’t like my business apparently. Wasted $15k in 2017 and they put me in FakeBook Jail. For what? Who knows. They have robots for employees not real people. Anyways done with my rant. The modules are great. Very well laid out.
Before launching Omnilife and becoming a billionaire, Jorge Vergara sold street tacos in Mexico, smuggled Herbalife supplements into Mexico, and sweet talked the Mexican government into changing their regulations in the nutritional products sector. This guy could make a movie about his life and it would probably win an Academy Award (he’s actually a major film producer on the side, casual).