I appreciate this comment. I’m a doTERRA gal. When I signed up I said I’d never sell. I just wanted to buy and use the oils. Then because of my love for them, people started coming to me for education and asking where they could get oils. So now I sell them. I’m not a sales person. I can’t bug my friends about stuff. But I’m growing this business because I truly believe in the products and use them every single day. I may not ever become rich from this and that’s OK with me. I won’t consider it a failure. Every person I help is a success in my book! 

On a side note, I started using doTERRA about five years ago and love the oils! I didn’t join them to sell, or make money. I just wanted to raise awareness in what they could do and help with for individuals and families, as they did me and mine. In fact, many of my friends are now distributors (not under me). Lost opportunities? Not at all, in my book. More power to them! Back to R + F, and a little more insight from you would certainly scratch an itch. 

Pyramid schemes are not a simply exchange of money… MLMs with products can be illegal pyramid schemes. One example of an MLM – pyramid scheme with products that got shut down by FTC is JewelWay: http://www.ftc.gov/opa/1997/11/jewel-2.shtm. The FTC says nothing about product being reasonably priced. That’s a slippery slope when people will pay thousands for a fashionable handbag.

Hi Jeremy great article. Here’s my take for what it is worth,after working 50 years for the bank making not so much money,having to accommodate there time schedule ,negotiated vacations and seeing very few people advance to 6 figure incomes,I’m somewhat intrigued by the idea of using my retirement years looking at mlm as a part time endeavour . Obviously I put a lot of blood sweat and tears into my previous job,so I’m not expecting to make my millions in a couple years in mlm, but I like the (do it in your own time) idea. If I find a product I like and would use anyway why not? I also like the idea that the potential is there biased on your own efforts. Am I wrong What do you think? 

We are committed to providing quality prospects for your business at the highest level of reliability and integrity! Customer satisfaction is extremely important to us, which is why you can contact live support either by phone or online, whichever is more convenient to you. We are number one in customer satisfaction because we want you to succeed! It's as simple as that!
There is nothing new about people failing; yes, they fail – at lots of things. We could spend months trying to discover why people fail in their marriages, school, jobs, etc. Do I have compassion and feel for them when they can’t make it work. Yes, of course! But I can’t jump into their bodies and make choices and live their life for them. It’s their choice – quit or find a way to keep going. MLM is a business and not everyone will succeed. Will I make money from my HARD EARNED customer base? Yes! Do I feel bad because I make a commission. No! EVERY business owner makes money off their employees – other wise they would not be in business. Do Brick and Morter Business Owners feel bad that they are making millions and they are paying their employees minimum wage??? Of Course Not. That is just the nature of business. So why are you feeling “bad” that you made money? Did you tell your recruits that they could do what you did to make money ? You see, there is a difference in selling a product to a customer and telling a person they can “get rich quick” and do nothing to get there. Those people will fail every time when they listen to such lies. hoilictictouch.com Get Oiled!
"Your leads scored where others flopped! I purchased phone verified leads for Texas region. This, after I purchased similar leads from another leads provider, which resulted in money-down-the drain. At one point, I entertained thoughts of completely dumping my home based business and go for some traditional business. But instinctively, I decided to give it one more try and fortunately, I found businessopportunityleads.org. The first impression was not a great one, as the website contained all the similar promised. My concern was if your company delivers on these promises. Delivered it did! And that too within no time. As soon as I signed up, my inbox started ringing with real time leads as well as double opt-in leads. A little tweaking in my marketing material was all I needed to turn those fantastic leads into actual sales. A big THANK YOU!!!"
The formula of future business growth is based on the idea that people don't just want to retire in a traditional format. They crave knowledge and want to feel relevant.  They want to improve their own transition and feel compelled to help others avoid the pain and pitfalls they have experienced.  They desire a supportive community where their opinion counts and they can openly ask personal, business or other questions.  They’re interested in hearing and exploring new ideas and need ways to make new connections through face-to-face interactions.
Remember, however, that a percentage of something is better than one hundred percent of zero sales – so it is a good idea to network with more experienced marketers. Take advantage of the expertise and training that they offer, and use their resources to build your business. One you are ready, you can always bring in new people, and even share leads with them – building your downline so that they will supply you with a good residual income.
Although emphasis is always made on the potential of success and the positive life change that "might" or "could" (not "will" or "can") result, it is only in otherwise difficult to find disclosure statements (or at the very least, difficult to read and interpret disclosure statements), that MLM participants are given fine print disclaimers that they as participants should not rely on the earning results of other participants in the highest levels of the MLM participant pyramid as an indication of what they should expect to earn. MLMs very rarely emphasize the extreme likelihood of failure, or the extreme likelihood of financial loss, from participation in MLM. MLMs are also seldom forthcoming about the fact that any significant success of the few individuals at the top of the MLM participant pyramid is in fact dependant on the continued financial loss and failure of all other participants below them in the MLM pyramid.
I have had a lot of people ask me about buying opportunity leads so I decided to team up with Responsive Data that is the top supplier of real time leads in our industry. Their services are used by people like Ray and Ferny, Todd Falcone, Ted Nuyten and more. If you are serious about buying leads or want to get better on the phone, visit my brand new page where you can buy leads today – Business Opportunity Leads Store
I was at “Sweetness Bakery and Cafe” the other day to order a hot chocolate with a friend. The barista asked me if I wanted half & half, whole milk, soy, rice, or hemp milk. I had never tasted hemp milk before. And I remembered the transition soy went through when manufacturers started sweetening soy up. So, I decided to try hemp since I figured it was sweet enough or the cafe wouldn’t suggest it. And Oh My God! It was the best cup of hot chocolate EVER! And I was amazed at what can be done with hemp.

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.

In just 30 years, Melaleuca has grown from a little startup in rural Idaho to a billion-dollar enterprise doing business in 19 countries around the globe. It has become one of the largest catalog and online wellness retailers in North America. And it is the largest manufacturer of consumer packaged goods in the Northwest. Today, more than a million customers shop with Melaleuca every month.
Don’t just focus on the glowing reviews from distributors who are making $50,000 per month. You should also pay close attention to those people who never made any money and gave up after a few short months. Why did they give up? What are the common complaints from unsuccessful distributors? Answer these questions to gain insights into the MLM you’re considering.
The formula of future business growth is based on the idea that people don't just want to retire in a traditional format. They crave knowledge and want to feel relevant.  They want to improve their own transition and feel compelled to help others avoid the pain and pitfalls they have experienced.  They desire a supportive community where their opinion counts and they can openly ask personal, business or other questions.  They’re interested in hearing and exploring new ideas and need ways to make new connections through face-to-face interactions.
Fll-Inc can handle the pre-qualification of Business Opportunity Leads. This can be accomplished by gaining information from the leads about what their needs and goals may be. All of the leads are followed up with and examined carefully to ensure that they are suitable Business Opportunity Leads and that they will be able to provide the level of success or results that are desired. 

Kathleen, you are right about the “direct sales” thing. They use it because MLM has the well-deserved bad connotation with pyramid schemes. I try to explain to people that true direct selling would be something like Ebay… there’s no inherent multi-level commissions implied by the term “direct sales.” It almost reminds of calling an illegal dog fight a “recreational gaming event.” It may be true, but is far from an accurate description.


Great article and you nailed it regarding purchasing leads. I tried a few times talking with various people over the phone but none committed. I often wonder how the greats like Dexter Yager and Bill Britt (both amway reps) built their businesses to such a large magnitude without the use of social media. I certainly believe social media has made building network marketing businesses much easier than back in the day.
For the distribution of goods after manufacturing, the product has to go through the distributor, wholesaler and finally the retailer before reaching the hands of the consumer. A MLM company shorten the supply chain shorter by directly selling to consumers. A claim they say helps to save cost for consumers. Speaking about cost savings, find out the best rate using our  home loan comparison and  personal loan comparison  tool
Many MLM companies do generate billions of dollars in annual revenue and hundreds of millions of dollars in annual profit. However, the profits of the MLM company are accrued at the detriment to the majority of the company's constituent workforce (the MLM participants). Only some of said profit is then significantly shared with individual participants at the top of the MLM distributorship pyramid. The earnings of those top few participants is emphasized and championed at company seminars and conferences, thus creating an illusion of how one can potentially become financially successful if they become a participants in the MLM. This is then advertised by the MLM company to recruit more distributors to participate in the MLM with a false anticipation of earning margins which are in reality merely theoretical and statistically improbable.[14]
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. 🙂

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).
MLMs are designed to make profit for the owners/shareholders of the company, and a few individual participants at the top levels of the MLM pyramid of participants. According to the U.S. Federal Trade Commission (FTC), some MLM companies already constitute illegal pyramid schemes even by the narrower existing legislation, exploiting members of the organization.[21] There have been calls in various countries to broaden existing anti-pyramid scheme legislation to include MLMs, or to enact specific anti-MLM legislation to make all MLMs illegal in parallel to pyramid schemes, as has already been done in some jurisdictions.[citation needed]
I think when you made comments about a company you should have kept them neutral or not only commented part of a story. Ambit did have a lawsuit, but it also has several JD Power awards, A+BBB, and many other accolades. I don’t know details of the suit, it may have been 100% justified, but I do know lawsuits are not always justified. Sometimes people are looking to make a buck
Instead of focusing on just the product, the MLM distributor wants you to buy the product and become a distributor.  You will usually be invited to come to a conference at a local hotel where the higher level distributors (sometimes called diamonds) come in to pitch the product and get everyone emotionally excited about where this magnificent new business can take them.
×