Spyski

Multi-Level Marketing

Chances are you've most likely heard of your friends, co-workers, family members, or even yourself falling into the MLM scheme of things.

 

So, what is it?

 

MLM” stands for “Multi-Level Marketing.” This is a type of company that recruits average joes and janes as salespeople for their products while simultaneously deeming them recruiters of more salespeople like themselves. The neverending loop of recruiters-recruiting-recruiters is incentivized by the fact that salespeople earn commissions on any sales made by people “beneath” them (people they helped sign up with the company).

 

These beauty MLM companies include: Mary Kay, Avon, Nerium, Nu Skin, and the list goes on to non-beauty related products such as Scentsy, Pampered Chef, Herbalife, etc.

 

I have some questions that need further explaining:

1.) For MLM cosmetics: Do these products ACTUALLY work and most importantly are they good for your skin?

 

2.) If you're a consultant for a MLM company, has it put food on the table for your family OR is it just some extra cash in the pocket?

 

3.) What's the "good vs bad" about these companies? I know there's bad, don't try to sell me over on just the "goods" please. Give an honest review if you have the knowledge behind the product and the company.

 

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mychoi

Re: Multi-Level Marketing

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My mom used to be hardcore into selling for amway. Not so much anymore, but still a part of it. She didn't see it, but I definitely saw that she was drawn in hard by the money-making idea of it and she would spend hundreds of dollars on it and recruited hard.  it was a lot of money that didn't need to be spent, because on top of supplements under the brand 'nutrilife', amway also sells a full line of makeup under the brand 'artistry' and other brands of home and health products.  I'm not going to lie, the quality of the products are pretty great. I really like everything (except for the toilet paper. That stuff is like one ply Kleenex) and I say that in present tense because she still buys from them and there really isn't any fault in quality (except of course, the toilet paper).  Their makeup is high quality and works very well.  So I say, the products under Amway are really good But the MLM scheme is bad. the dreams of making people rich eat away their money and they wonder why they're not really getting anywhere. My mom wouldn't be able to support us alone on that- It's not a steady income. 

dollface131313

Re: Multi-Level Marketing

i was recently interested in trying to become a motives seller , i found them through some of my fav muas on IG and the quality looks much better then mary kay and avon also for a younger crowd. You don't have to buy stock and they say they help you find people online so you don't have to do many parties . here's my issues the big makeup kit is $400 plus $20-25 a month membership fee which is way to much for me to drop without a guarantee i would make that money back .you also have to try and recruit people to work as part of your group or whatever so its really hard to find anyone whos currently selling it to give you their honest opinion on if they are making money because once they see your interest they want to recruit you so will tell you anything you want to hear 

Winter

Re: Multi-Level Marketing

That's quit of bit of money they want you to dish out right away. I'd be hesitant too!

infinitise

Re: Multi-Level Marketing

I was never a consultant, but I somehow got drawn into herbalife.

this sounds crazy but saw it in Korean TV show, searched it online, and saw that my fav boyband also uses it. 

-_-... 

I somehow was able to get in contact with one of the consultant and she made an account for me that gives 35% discount on every purchase. (because I don't live in Korea, she couldn't sell it to me directly and created an account for me under her's) 

From what she told me, (she tried to convince me to continue using the product, recruit people, gather points and eventually get to supervisor position (the position she was in)) when she buys something, its 50% off retail. so when she sells it to her clients if they live in Korea, she makes 50% of every purchase. 

for me, everytime I buy something (since I get 35% off), she earns 15% of it. 

 

I think you'd be surprised how much they make.. especially in a society that "thin" is the trend. 

she convinces and makes people buy not only the original pack (protein, meal replacement, and fiber), but a whole lot of supplement which is supposed to help maintain electrolytes stable while you lose weight very fast.. easily a $1000 per month per person, more if they decide that they want aloe and herbal tea (which is said to burn 100 calories just by drinking) 

 

I honestly can't think of anything positive about it.. other than the fact that you get someone who knows all about the stuff fitting your needs. they also monitor your process and gives advice whenever you need it.. 

 

I know this is not cosmetics, but its one of the multi level marketing brand.. 

and no it doesn't work.. it's just cheap, sh**ty ingredients and chemicals.. people lose weight temporarily because obviously they tell you to live off meal replacements that is 90 calories (plus protein and fibre which isn't much).. 

DTalksAll

Re: Multi-Level Marketing

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Just an FYI, Herbalife started in the US... it was founded in California. No need to go through someone in Korea to get it :smileywink: 

Winter

Re: Multi-Level Marketing

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I'll answer the questions for doterra:

1. The essential oils work for me and my family. For instance I use peppermint oil on my toddler when she has a fever. It's way better than feeding her a bunch of Tylenol on an empty stomach. I also use lavender oil in my mascara to keep it from growing any type of bacteria inside the tube. So yes, the doterra essential oils do work for me!

 

2. I am a consultant, but I don't actually sell it. I just buy products at a 25% off for my own personal consumption.

but like I said in a previous pos my friend who is above me has been doing it for about 6 months makes about 3000.00 a month. 

 

3. I think the bad thing about doterra is that they do try to sell the whole "make money" thing. But the GOOD thing is that they don't push it. They don't require minimum monthly purchases or minimum monthly sales. They offer a loyalty rewards program so you get points for all your orders you make and then are able to cash them in for free products. They also offer free products every month. And the best thing for me is that all the oils are tested rigorously to be the purest therapeutic grade oils available. 

YouAreAlways

Re: Multi-Level Marketing

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Yes! I forgot to address monthly quotas! 

YouAreAlways

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OH! ALSO check what it costs to SUBMIT a party. Places like Norwex, Partylite ect is FREE. HOWEVER, Tupperware they CHARGE you to enter and order. In fact its 3% so they say you make 25% but every time you put in an order they take off 3% so your only making 22%. Its insanity. 

YouAreAlways

Re: Multi-Level Marketing

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I forgot, also ALWAYS know what the monthly quotas are!

 

Norwex has 0!

 

The only requirement is that you sell 325$ in 12 months. OR else you have to pay 20$ to re sign up. 

YouAreAlways

Re: Multi-Level Marketing

I will go ahead anyway and answer the two that apply to me.

 

 

 

2.) I sell a product called Norwex. It is all natural cleaning supplies. And YES it honestly does pay way more than I thought I would be making. Of course it ALL depends on what you are selling as they are all commission based. 

 

 

3.) What is GOOD about Norwex. It is trendy right now. All natural, getting rid of chemicals is very "in" right now so it is popular and everyone is interested.

 

The start up cost was UNDER $100.

 

NO INVENTORY

 

Online, phone, person to person help.

 

I can personally use ALL the products and say for myself I KNOW they WORK.  

 

I do NOT make money off of just one person, and the money I make is not a lot.

 

So what I am trying to say is.

 

Never pay more than 100$ for start up fees. There is no reason for it to be that much. If it IS that much it is because they NEED your money now, and want you very much invested, so that you try and try and stick it out even though you are not making money.

 

100$ is a bit, but its not an INVESTMENT. So you dont feel bad if you need to walk away if it is not working for you.

 

NEVER sign up for something that requires you to KEEP inventory. Make up and all that stuff goes bad, and is temperamental to the conditions. Things like tupperware, or for me cleaning supplies, are all things I can use at home and be taking advantage of and then pack up to take to the party. And you dont need EVERY product. With make up..You kind of need ALL the shades you know ect. 

 

You wont sell items very well that you cant talk about very well. So of course the more you can say, and the more personal you are the better things will sell. I can tell you that my moms dog really loves this item, but if I can tell you and look you in the eye that I LOVE this item, it goes alot further. 

 

A get rich quick to me, is when YOU NEED to sign MORE MORE MORE people up to make your money.

With norwex I make 35% on everything. BUT if I sign up 3 people I then make 3% on all their sales. So really those people that I sign up are people already buying the product, so I am basically LOOSING 32% on signing them up. Does that make sense? I am not getting richer sitting on my **bleep** off of people, that is what I think a GRQ is.

 

I feel like I am rambling and not sure if I am making sense anymore. However feel free to PM me and I can tell you much more. 

YouAreAlways

Re: Multi-Level Marketing

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Are you only interested in the answers if it is for cosmetics? I do MLM but for an all natural cleaning supply's. 

Winter

Re: Multi-Level Marketing

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What company has all natural cleaning supplies? 

DTalksAll

Re: Multi-Level Marketing

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Honest also has natural cleaning supplies. 

Winter

Re: Multi-Level Marketing

Is honest jessica Albas brand? 

hackneyfl

Re: Multi-Level Marketing

Yes! I use a ton of her line and love it!

YouAreAlways

Re: Multi-Level Marketing

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Norwex. 

bfuller

Re: Multi-Level Marketing

Okay I hope I can break this down so that anyone interested will know:

 

I was a "consultant" for a cosmetics company (I won't give the name but all are pretty similarly formatted.)

When you "join", typically you are required to shell out a minimum amount (mine was $400 - $450 at the time) for the starter kit that gives you some essential items to begin your sales "business" with (i.e. a few popular cosmetics items, some applicators, business brochures, some marketing "how to" materials, etc.).

Once you receive the kit, you begin to set up "parties" to demonstrate and show your goods.  The more people you get interested, the better... since people are social spenders - if one person is buying, many times it results in a chain-reaction that prompts others to buy too.

You put in their orders with your money, unless you've stocked enough product to fulfill clients orders - then make your deliveries once the merchandise arrives and pray everyone still wants what they ordered if they haven't paid yet.

*Important Note:  these companies total your order, then add a (usually ridiculous) shipping charge, THEN charge your state's tax rate (which IMO is wrong since the tax should be charged before the shipping charge).  And some companies will even charge a processing fee.

 

Booking parties was key but with the varied schedules for people, it was extremely difficult and most parties wound up being weekend gigs rather than a full-time "business".... and some of those parties were out of town and a few hours drive.

 

To maintain your "consultant" status, you had to put in a minimum order every 3 months.  So if you had a few close friends who only needed an eyeliner and lipstick, it might not be worth it.  Since I liked some of the products I marketed, it wasn't hard to keep my consultant status for the first year.  Afterward, I had so much product that I would make gift baskets and offer as purchase incentives.

 

1.  Can it be successful?  Absolutely.  For those who work constantly to build steady and loyal clients, it can be pretty lucrative.  But for most, it usually isn't because hard-selling is extremely difficult and results in more "no"s than "yes"s.  (Think door-to-door sales.)  In my experience, more aggressive consultants who refuse to take no for an answer are the ones who succeed enough to put food on the table and have leftovers to spare.  For the rest of us, it's more like hit & miss and any "cash in pocket" monies will go toward maintaining consultant status.

 

2.  Do the products work?  Well, as with anything, it's trial and error.  Some do, some don't.  The cosmetics company I was with had blush and eye shadow colors that were to-die-for, and their skincare line was decent.  But their mascara sucked and their fragrances were just okay.  Since they didn't offer minerals at the time when I was a consultant, I couldn't attest to their foundation formulations but their color lineup was widely varied enough to sell to most ethnicities.  There will be products some of your clients rave over that others may never be able to appreciate and vice-versa.

 

3.  Good versus bad?  There are pros and cons to most everything and this is no different.

Pros - you get to meet a lot of terrific people when you're marketing a specific group of products to people you would never get to know otherwise; you have the freedom and flexibility of keeping your hours to full-time/part-time/seasonal or whatever; except for yourself, you have no supervisor or boss to answer to;

Cons - initial startup fees and fees to maintain consultant status; working around client schedules for group parties that may/may not result in ordering; very time-consuming and slow process when trying to build a loyal and large clientele base that make for successful ordering.

 

It was the same with another company I had "joined" that hyped All-Natural Products ranging from body to home care to health vitamins.  Same principal, just different products.  And I only joined it to purchase products on a personal level instead of becoming a "consultant".

 

Hope this helped.  :smileyhappy:

Winter

Re: Multi-Level Marketing

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400-450.00 for start up?! That's so much! I couldnt justify that unless it was for my own consumption! Lol! 

BrennaBombshell

Re: Multi-Level Marketing

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One of my friends does the ItWorks! Body wraps. They also have tons of other products as well. She sent me a wrap to do a blog review on, and while it (obviously) didn't make me drop pounds, it did seriously reduce my stretch marks (for a few weeks, at least). She doesn't make enough to live off of, but she does make enough for fun money, so she can buy the little extras she wants. And she swears by a lot of their products. And not in a "please buy my stuff" way, but as a "we've been friends for 10 years, so you can trust that I wouldn't lie to you" way. She really believes in her products, which makes me feel it may not be a bunch of fruity hooplah. I do want to try some of their other things too.

Urbie

Re: Multi-Level Marketing

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Interesting!  I was under the impression that was a pyramid scam situation from watching a fb friend's experience with it- good to know the product actually works!!

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