Hi, Today I am looking at Plexus Weight Loss. This multi level marketing scheme has been in operation since 2008. It has survived some dodgy product releases, and undergone a corporate restructure.
In 2013 the Australian Therapeutic Goods Administration banned Plexus Slim Accelerator capsules and the Plexus 3 day trial pack. Declaring them illegal and advising consumers that:
- They contain the undeclared banned chemical 1,3-dimethylamylamine (DMAA)
- Consumers are advised that DMAA is listed in Appendix C of the Standard for the Uniform Scheduling of Medicines and Poisons (SUSMP). Substances within Appendix C are of such danger to health as to warrant prohibition of sale, supply and use.
- Risks associated with its use include high blood pressure, psychiatric disorders, bleeding in the brain and stroke.
You can see their full decision here.
Canada and Amazon also banned these products.
Plexus Worldwide Company Information.
- Founder and President of Plexus International Alfred Petterson.
- Founder and CEO of Plexus. Tarl Robinson.
- President of Plexus: Alec Clark. originally from Utah ( home of the mlm), he joined Plexus in 2011 as Chief Marketing Officer and became a co-owner in 2012.
- In 2013 Alec Clark was part of the corporate restructuring team and re-founding of the company to Plexus Worldwide LLC. He was named president in 2016.
- Business Model: Weight Loss.
- Revenue for 2020 was $509 million
- Employees : 115 (est.) Corporate employees.
- Cost to Join: $39.95 plus a welcome pack.
- Operates in the USA, Canada, Australia and Mexico.
- Ranked No. 28 on the global list of direct selling companies by Direct Selling News.
Foundation of Plexus Worldwide
Plexus began with one product. A breast screen kit to help women screen themselves for breast cancer. The owner at that time had knocked back Alfred Petterson’s approaches to add a breast cream product he was selling to help boost their sales.
A few months later the owner of Plexus was diagnosed with a life threatening illness and offered to sell the company to Pettersen.
Pettersen need an investor and soon after he teamed up with Tarl Robinson. In 2008 the deal was finalized but they needed more than one product. After convincing a couple of product formulators (who had walked into their office one day trying to sell a weight loss formula they had made), to make the product in powered form , Plexus began a new life as a weight loss company.
Both Pettersen and Robinson had experience in direct selling. Pettersen had been involved in direct selling almost continuously for about 15 years. Both knew what it was like being distributors so they set about changing the compensation plan, to the one used today.
Plexus Weight Loss Stories
The majority of people using plexus products recently (in the last 2 years), so far as I can discover are happy with them although many do claim they are expensive. The majority of complaints are from people who signed up to become distributors, but decided to leave.
The complaints are mostly about credit card charges and receiving product they no longer want. The two products that have caused the most trouble are the Plexus slim accelerator capsules and the Plexus 3 day trial pack., as mentioned above.
Canada also issued warnings about these two products as did California. These products have since been reformulated, and I have not found any warnings issued to Plexus since 2014.
The ABC’s Chief Health and Medical Editor, Dr. Richard Besser, about Plexus in 2013.
“When it comes to taking supplements for weight loss or anything else, It’s really the wild wild west. You don’t really know what you’re getting. The reason these products are so effective is that everyone will try one. It will work for a little bit because when you’re taking it, you’re not eating as many calories. That’s usually part of the plan. It’s something that’s not sustainable. And the weight comes back and then everyone’s looking for the next product,” Dr. Besser said.
Still, not all complaints are about recurring charges. Over on Amazon where plexus has a 67%, 5-star rating out of 567 buyers. Some of the complaints in the reviews about the Plexus Slim Pink Drink include:
Others are about the pricing, which like all MLM products, in any mlm company, is at the high end of the pricing spectrum.
Recently there have also been claims by reps that plexus products can prevent covid! So obviously there is a lot of desperate hard selling going on.
The Plexus MLM Compensation Plan.
This is another one that uses “shiny rocks” as a pay scale. Silver, Gold, Ruby, Emerald, Sapphire, and Diamond.
Silver is the lowest and Diamond is the most lucrative. To get to these levels you must first be an Ambassador, then a senior ambassador, silver ambassador, senior silver, etc.
The Top 1% of Ambassadors made an average of $44,424 annually; 50% of the Top 1% made more than $19,161.
The Top 10% of Ambassadors made an average of $6,243 annually; 50% of the Top 10% made more than $1,360.
In 2019, an average of 13% of all Ambassadors enrolled at least 1 active Ambassadors and earned income (excluding retail profits).
The average earnings of all Ambassadors were $677.99.
Unless you have an established group of like-minded friends you will find this (or any other MLM), hard to gain sustainable traction, where you are making consistent money month after month.
As you will see in the compensation plan, it all comes down to recurring orders.
As I have shown above, the majority of complaints about Plexus Worldwide (80%), are from people disputing charges for stuff they no longer want.
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Options other than MLM
If you have been looking around the web checking out ways to boost your income and let’s face it, who isn’t these days?
There are plenty of better options than MLM. Ones that won’t have friends and relatives not answering their phones when they see your number or making out they are not at home when dropping by.
While weight loss products may be enticing as a good earner, the reality is MLM fails most of its devotees miserably.
Check out the page at this link for a small list of articles with relevant information on different opportunities to take advantage of.
Some which can easily build a sustainable passive online income, or kick-start a home-based business not based on MLM.
Until next time…