Results for - The Truth About MLMs

1,913 voters participated in this survey

MLM companies try to convince their distributors that there is unlimited potential income selling their products, and lure them with promises of "free" cars and fancy vacations and early retirement. (These promises are virtually impossible to achieve.) The products are always extremely overpriced compared to their retail counterparts, and always claim nearly magical results. The business model relies are constant recruiting of your "team", who will also sell the product, and you will receive commission off of their sales too. It is commonly known as a pyramid scheme. The business model is always mathematically unsustainable. You are supposed to recruit a certain number of people, then they recruit that number under them, etc. It seems to make sense until you consider that you are literally recruiting your own competition, and that it only takes 10 or so "levels" until the number required to sustain sales exceeds the population of the Earth. You also are required to purchase several hundred dollars worth every month in order to keep your "commissions", and pay for your own parties/conventions/etc. Factoring in expenses, almost 100% of distributors lose money. The only way to make money is to be at the top, and for your "team" (to whom you promised big things) to LOSE money. The people at the top are taking advantage of those below them, whom they promised success. The FTC and Consumer Fraud agencies warn heavily against joining MLMs. (If anyone has actually been able to retire early from only selling MLM products, PLEASE let us know in the comments, we would love to hear your story.) Read the facts, from multiple sources, here: http://www.consumerfraudreporting.org/MLM_pyramid.php http://k0lee.com/2008/02/the-mathematics-of-mlms/ http://www.pinktruth.com/mary-kay-facts/myth-of-mlm-income-opportunity-99-lose-money-in-mlm/ https://timelessvie.wordpress.com/you-are-going-to-lose-money-in-an-mlm-foreverliving-juiceplus-herbalife-itworks-younique/

1. Are you familiar with the "business model" of MLMs? These are companies like Amway, NuSkin, MonaVie, Rodan + Fields, Scentsy, Jamberry, Younique, etc.

Yes
47%
901 votes
No
53%
1,012 votes

2. Are you aware that over 97% of MLM distributors LOSE money? (Most MLM companies hover at the 99.5% mark. You literally have a better chance at making money by going to Vegas and putting all your money on one roulette spin).

Yes
30%
583 votes
No
52%
992 votes
Undecided
18%
338 votes

3. Are you, or is anyone you are closed to, involved in an MLM?

Yes
13%
246 votes
No
75%
1,435 votes
Undecided
12%
232 votes

4. If you are involved, would you reconsider your involvement after learning the facts?

Yes
9%
180 votes
No
24%
464 votes
Undecided
7%
133 votes
Not Applicable
59%
1,136 votes
02/26/2016 Business 1913 42 Anonymous

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