Coffee Time. Click on the picture if you would like to buy one.
Which were the MLMs that Boomed During Covid?
- Health and Wellness: The top 10.
- Sex Toy and lingerie MLMs. (5 of the better ones).
- Crypto. A look at 3 of them. Scams abound.
- Jewelry. A hard field. I take a look at 4 of them: A couple are dubious.
- And a special mention of Tupperware and Juenese
Unfortunately, I can’t see any that made mind-boggling amounts of money for their participants.
Dud products stored in the garage that cost way more than they should.
Poor backup service, and of course pyramid schemes.
Compared to some businesses, like canned oxygen suppliers, MLMs were a bit hit-and-miss.
Health and Wellness:
From weight loss teas, and essential oils, to cooking utensils.
Health and wellness did well for some people during the covid pandemic.
I did a post a while back looking at Pampered Chef.
This is one of the biggest in the health and wellness arena and is owned by Berkshire Hathaway.
My conclusion was that “not everything that shines is a well-made frying pan“.
Weight loss teas have been around since before Adam was a boy.
But there are hundreds of other weight loss recipes, coffee, and exotic formulas around in health and wellness MLMs.
1. Health and Wellness The top 10.
1. Amway’s Total turnover $8.9 Billion for 2021.
Of the 62% of participants in Amway who sold something in the USA.
The Top 1% earned $87,901 (average) and $55,264 (median)
• The Top 10% earned $14,537 (average) and $4,645 (median)
• The Top 50% earned $3,414 (average) and $631 (median)
Full Amway Income disclosure here.
2.Herbalife. After tax income of $5.8 billion for 2021. Up 7.7% from 2020.
First-year Distributors ( 30,000 or so), about 50% of these earned $201.00 in 7 months or more, but less than $1,246.00 a month in 2020)
The top 1% (about 300), earnt nearly $6,000 a month.
Full Herbalife Income disclosure here.
3. Infinitus. Revenue for this Chinese herbal company has actually fallen from $4.1 billion in 2019 to $3.9billion in 2021.
All I can find regarding some sort of income disclosure from Inifinitus is one on the Canadian site which says simply, that…
A Typical Participant in the Canadian Plan is expected to earn between Cdn $49 and $964 annually.
4. Melalecua. Estimated at around $2.7billion total for 2021.
About one out of ten customers (10%) decide to start their own Melaleuca business and eventually achieve Director status, which is considered the first step to becoming a business builder.
Income for those with about 8 in their downline is between $274.00 and $2,116.00 per month.
To become a Melaleuca distributor you need to be referred by another member.
You can see a full breakdown of Melaleuca’s income disclosure here
5. Nu Skin. Total income for 2021 was $2.7billion up 11% from 2019.
On a monthly basis, an average of 21.84% of U.S. Active Brand Affiliates earned a sales compensation payment.
In 2021, the average monthly sales compensation paid to U.S. Brand Affiliates who earned a sales compensation payment was $947.61.
You can see Nu Skin’s full Income Disclosure here.
6. Young Living. Total revenue for 2020 was US $2.2billion.
2021 figures are inconsistent, but one I have seen does give a World wide estimate of $5.5 billion.
Earnings for all brand partners on average is $283.00
You can see a full Income Disclosure report here.
7. Forever Living Products. Estimated at US$ 4 billion World Wide.
This company has been around since 1978 and has a presence in over 165 countries.
Over the years it has had its share of court cases with the US and multiple foreign governments filing charges against it. England, Hungry, and Japan to name a few.
According to their Income Disclosure, 88.6% of purchasers globally did not receive any meaningful compensation or earnings.
Apparently, it has 9.3 million distributors.
This suggests that less than 12% (of those 9.3 million distributors), are actively involved in recruiting, as well as selling Forever Living’s products.
Of those, 69% of this group earned an average of $105 per month ($1,263 annualized), and
30% earned an average of $1,493 per month ($17,916 annualized) in bonus earnings
You can see the Forever Living Income Disclosure here.
8. DoTerra. Total revenue in 2021 was US$2 billion. I am guessing that is World wide income. Up from $1.834billion in 2020.
If you read all the glossy pages DoTerra puts out then you could be forgiven for thinking it is a Not for Profit organization.
You can see a review and their income disclosure here.
9. Atomy. Revenue for 2021 was US $1.84 billion. Up $320 million on 2020 figures.
With a claimed membership of 16 million in 2021 this South Korean cosmetics company claimed that 2021 was the first time sales outside of South Korea exceeded domestic sales.
One of the reasons for that increase is that the company made a quick transition to web based promotion which gave it worldwide access.
No income disclosure is available, and the compensation plan looks complicated.
If you have not heard of Atomy, think of Ginseng, Noni juice, Himalayan Pink Salt, and other exotic health and wellness products.
You can see their compensation plan here.
10. Optavia-Medifast. Revenue for 2021 was US$1.526billion. A massive 63.2% increase from the 2020 results.
For a weight loss MLM, Optavia has done very well and looks like it will continue to do well, with increases in earnings tipped for 2022 and beyond.
However, it is not without its dramas having been fined $3.7 million back in 2012 by the FTC for false advertising.
It has also come under fire for using Soy based products.
Optavia’s income disclosure shows that about 20% of its members are happy to just buy the product without becoming involved in the marketing of the product.
The full income disclosure is available here.
2. Sex Toys and Lingerie MLMs.
While brick and mortar businesses were closing during the covid pandemic.
Sex toy MLMs were busy signing up new members and distributors.
Adult toy makers from countries including Denmark, Singapore, Colombia, and New Zealand said sales were booming during 2020-21.
The Better Sex Toy and lingerie MLMs reported increased sales and memberships during covid lockdowns.
“The last week has been crazy. We have increased the sale by approximately 100% in all Scandinavian countries. So I think it’s because now we are used to the new normal and now we need to have a bit more fun actually in our lives.”Mathilde Mackowski, co-owner of Danish company Sinful. Reuters
Of course, none of that would compare with Amazon sales.
Still many MLMs source products through companies like Sinful and some MLMs even have in-house design studios for new creations.
These days sex toys come in all sorts of configurations, from the old-style basic dildos to hi-tech sex machines.
So there are lots of product opportunities.
The Top Sex Toy MLMs (In no particular order).
1. Pure Romance: This is by far the biggest and most popular, and ranks at about number 50 among the top direct-selling companies with a turnover of around $350million in 2020. Up from $237million in 2018.
Like many MLMs, they were quick to transition to online sales to comply with social distancing laws. Although pure romance does not give out specific figures.
It is estimated that of the $350 million, about $250million of sales were made online during 2020.
You can see their income disclosure here.
2. Bedroom Kandi: Perhaps considered a minnow in the MLM sphere with 2021 turnover of a mere $12.2 million, it has its own in-house designers for many of its intimate and cosmetic products. It does not sell Lingerie.
Bedroom Kandi has plenty of supporters.
I think sex toys can be a good side hustle. Kandi Burress from Real Housewives of Atlanta is doing well and her product line is legit. This is an MLM opportunity i would get involved in.Randall Magwood.
You can see the Bedroom Kandi compensation plan here
3. Ann Summers: This United Kingdom company was one of the original companies to sell sex toys. Only adding an MLM income stream to the business after they had set up brick and mortar stores.
Its 2021 revenue was $180 million, so it seems that no matter what restrictions are in place this company always makes money.
As well as retail stores, Ann Summers offers Franchises, Affiliate sites, MLM parties, and web-based sales.
From what I have been able to see they have a very simplified compensation plan which can be seen here.
4. Lovewinx: Is another player using the MLM model in this niche. Again not what you would call a large company with a turnover estimated at $ 14 million.
It has had its fair share of dramas over the years but still, has managed to survive, and even thrive during the covid pandemic.
Its compensation plan can be seen here.
5. Athenas Home Parties: This MLM has revenue of around $21million per annum, and is quite popular with university students (apparently).
It has been around since 1998 and there is nothing I can find anywhere giving it a bad rap.
It has an either-or option. Become a reseller or sell using the MLM model.
You can see more on Athena’s home parties here.
3. Crypto MLMs.
Wherever you look it is hard to get a valuation on any Crypto mlms.
Obviously, the people who were putting money into cryptos were doing it through exchanges rather than becoming part of an MLM.
But there are crypto MLMs in mining crypto and trading crypto.
1. Dagcoin: I consider this MLM a joke. Really I do, it comes across as nothing but a scam. Please stay away from it.
You can read an in-depth article about it here.
2. iCoin Pro: This is a legitimate MLM, but the MLM part is only an add-on to its main program, which is selling a trading method.
If you are making money using their trading program, you can earn a little extra by convincing one of your friends to become involved.
To see more on IcoinPro click here.
3. iHub Global: This is a relative newcomer to crypto coin mining, and is operated by some of the most “colorful” characters who have ever been involved with multi-level marketing.
I don’t promote Crypto ( I don’t like it), but I do try and research all MLMs well.
However, with iHub Global one reader picked me up on some of the iHub Global ads I had displayed in the article and left this comment.
“Am I correct that the costs are basically $39. + $18. / month = $57. a month? If the average person makes $125. when the coin was at $40. (Per the ad you posted above) & NOW HELIUM COIN IS AT $20, then the average person will make $5. a month!!
AND THAT DOESN’T INCLUDE THE INCREASED COST OF YOUR ELECTRIC BILL!! Looks like you need to update this review if you’re trying to be honest. THX, and your reviews are really good. Thanks for your hard work.”Matt Berman.
You can see that article here
Crypto, I think is much like a Pyramid scheme, where the buyer needs to find a greater fool to sell to.
Many people start their own jewelry online stores on platforms like Shopify. Then using Shopify’s apps they can then set up an affiliate or MLM program. But the competition is hot both online and off. Let/s take a look at paparazzi-type jewelry MLMs in Jewelry.
1. Belle and Bling: A Paparazzi type Jewelry business that somehow manages to stay in business.
I have no details on revenue, but it has about 640 products in 10 collection sets.
It receives a lot of publicity for not being a good business. But you will find that is a common theme across many paparazzi jewelry businesses.
I would not recommend becoming involved in any paparazzi jewelry MLMs.
You can see more on Belle and Blings compensation package here
2. Avon: When it comes to MLMs this is one of the top MLM companies. It has been around for more than a century. Its branding is easily recognized. Everyone knows it is an MLM. Its revenue for 2021 was $3.4billion.
10 or 11 years ago Avon had revenues up around the $9 billion mark. This may have had something to do with the 2008 “recession”. Since then its revenues have fallen away and in 2020 and 2021 they were below its 2019 revenues.
Avon like Tupperware has a high turnover of consultants.
In 2020 Avon was taken over by the Brazilian company Natura&Co.
Although not as large as their cosmetics sales, Avon does sell jewelry.
As can be expected its jewelry quality is better than most jewelry MLMs.
Avon doesn’t have an income disclosure available.
3. Cabi: This actually a high-end clothing MLM that sells jewelry to complement their clothing. Estimated revenue in 2021 was $236million, up from $225million in 2019.
This one will cost you anywhere between $2,570 and $4,000 to get started.
You earn between 25 and 33% on everything you sell, plus an additional 2-8% on what your team members sell.
The matrix only goes down 4 levels.
A look at their income disclosure was interesting. You can see it here
4. Fifth Avenue Collection: Fifth Avenue Collection has risen from being a small family business to a social selling success story with a business that is spread across Canada, the USA, Australia, Hong Kong, and South Africa. Yearly Revenue is estimated at over $400million.
It features high-end jewelry at reasonable prices. Starter kits range from $99.00 – $1500.00
Like all MLMs, they say the more effort you put into it the more you get out of it.
They have no income disclosure, and to see the MLM compensation plan you can contact them here.
5. Special mention of Tupperware and Juenesse.
I am mentioning these two because.
- To show that MLMs are hard work for little return. And…
- A lot of MLMs can leave you and your reputation in tatters.
Tupperware: Earnings have been falling. It is easy to blame covid and the social distancing rules, but I don’t believe this is relevant to Tupperware. Revenue has dropped to $1.58 billion in 2021, down from $1.79 billion in 2019 and $2.06 billion in 2018.
Although Tupperware has good products, it has one of the highest turnovers of consultants of any of the major multi-level marketing companies.
Check out this earnings data. You will see some wild fluctuations in earnings that reflect this.
As well, in their income disclosure, you will see that 99% of consultants make less than $10,000 a year, and that is before expenses.
That may be fine with a lot of people who only want a side income (for many it is ideal).
But broken down further, as you can see in the graph, only a small number of the 1% make enough to call it a full-time income.
This is not confined to Tupperware, Avon or any other multi-level marketing scheme. It is common across the whole multi-marketing industry.
Some MLMs give the industry a bad name.
Let’s take a look at Jeunesse.
Jeunesse: This health and wellness multi-level marketing company claimed that it had increased its revenue by $600 million in one year.
I try to be careful with my words, and not call something a scam, even if there are red flags popping up all over the place.
But this one made my list of the 7 worst MLMs.
The health and wellness market is rife with companies making all sorts of false claims.
You can see more on Jeunesse here.
Do your due diligence before you become involved in an MLM.
Many of the claims made by MLM are little more than a pipe dream.
During hard times it is normal for MLMs to have a boost in memberships with people looking at ways to earn a few bucks.
Thanks for reading.
P.S. There are others obviously
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