A Worldwide Crisis Isn’t the Time to Push Your MLM Skincare, Karen.
Your MLM Isn't Solving Anything in a Worldwide Crisis, Karen.
3 Reasons NOT to Start with an MLM in 2020
99.9999% of the time, I ignore the idiots of the internet. But today, I couldn’t help myself. In a Facebook group I’m in, a woman described her situation as a teacher who just lost her food service job. She’s also looking to move away from teaching (approx $50K per year salary according to her) and was asking for advice on a path to pursue and asap. That’s the high level version, she gave more details. And almost immediately, I saw a wave of “hey girl, join my team! We sell *blank*…..“…… Keep in mind this woman directly stated the job/path would need to make around that $50K mark. I selected one comment to respond to. It was a Rodan and Fields (R + F) consultant. I simply asked her, “How many R + F Consultants make $50,000 in profit per year?”
Her response first started off with, “Hey, you never know!……” and went into a mini rant about how much she personally loves it. I responded with a direct link to Rodan and Fields’ 2018 Income statement. You can Google it yourself, but here’s an image below. My response to her was “I’ll help you (and any others who are interested) out: the top 1% earned $29,056+…the TOP 1%….the top 50%, HALF earned $598 annually. Please stop wasting her and everyone else’s time.” And I left it at that.
note: I went back to screenshot these comments, but by the time I’ve typed this far the R + F consultant deleted her comment/the thread. So maybe I got her to think too (which would be GREAT!)
Was it snarky? I mean, maybe a little with the typing, but the numbers don’t lie, and these are directly from the company! No matter how much “fun” you might be having, this isn’t a legitimate solution to anyone’s employment problem right now.
Here are three reasons why…..
1. No viable target market. Because even if you DID opt to start an MLM venture……who would you be selling to? The people you know who are also on edge with everything financial going on? Your friends & family will NOT be amused right now. While your friends & family may want to support you, it’s not the time for many to spend extra. Not to mention, you are confined to show these products off online only, where there are literally millions of other options.
2. Startup costs – Most MLM’s require SOME sort of investment. Whether it’s a small investment like a “starter kit” or a large investment like inventory, there aren’t many examples of MLM’s/”direct sales” that allow the user to truly start from $0. And if they do…..that means your consultant most likely hasn’t tried the product they are selling!
3. Selling / Payment timeline – Even if you opt for the starter kit, show the products off to those you know…AND make a sale, how long does it take to receive a commission check? The short answer: too long.
So please, save your advice unless it’s legitimate. *end rant*
*Karen was not the name of the woman involved.
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Hi, my name is Rachel Smith. I’m a personal finance nerd, Aldi connoissuer, book lover, yoga enthusiast, and budgeting wiz. I was born and raised in Anchorage, Alaska but currently call Michigan home. I want to help people with their finances and eating healthy on a tight budget (no matter what your cost-of-living area is!)