Why is Network Marketing so bad?

[MrFancypants]

I stopped reading at "Kiyosaki."

[jba302]

I just recently lost a friend due to a MLM (I mean he's still alive, just refuses to talk to me anymore). He shills USANA supplements. The last straw was when he put up some apple-test. Cuts an apple in half, puts it in water with an usana prenatal supplement and some other pill, a couple of days later the usana apple is still the same color and the other one was purple-ish. Except he has no explanation for why either thing happened, just that one is better than the other (apparently apples mimic the human body somehow). I put up a bunch of articles about the reason for this and asked him for more information, and you would not believe the amount of outrage on a single facebook thread from all his cohorts. Apparently very few people are aware that oxidation causes an apple to turn brown and not purple in his group of salesmen. Or that a lot of vitamin c would do the same thing as his pill, at 10% of the usana pill price. Wish I would have kept the posts since he deleted it and removed me from his friend list.

[MrFancypants]

I just recently lost a friend due to a MLM (I mean he's still alive, just refuses to talk to me anymore). He shills USANA supplements. The last straw was when he put up some apple-test. Cuts an apple in half, puts it in water with an usana prenatal supplement and some other pill, a couple of days later the usana apple is still the same color and the other one was purple-ish. Except he has no explanation for why either thing happened, just that one is better than the other (apparently apples mimic the human body somehow). I put up a bunch of articles about the reason for this and asked him for more information, and you would not believe the amount of outrage on a single facebook thread from all his cohorts. Apparently very few people are aware that oxidation causes an apple to turn brown and not purple in his group of salesmen. Or that a lot of vitamin c would do the same thing as his pill, at 10% of the usana pill price. Wish I would have kept the posts since he deleted it and removed me from his friend list.

Recently I got into a similar spat with someone on Facebook about CrossFit, which isn't direct marketing but those who subscribe to it sure seem to do so with the same level of enthusiasm.  The pattern of that discussion was remarkably similar to what you just described...

CrossFitter: CrossFit has a lower injury rate than women's softball!
Me: Who do CrossFit businesses send injury reports to?  Where can I find the statistics on injury rates?
CrossFitter:  Hater!!!!

I don't even have an axe to grind with CrossFit.  As far as I'm concerned if it's what gets you off the couch for some real exercise, enjoy yourself.

[Fodder]

So I'm a 34yo woman, which means that I am basically surrounded by people trying to sell all sorts of network marketing stuff.  There's some that isn't so bad (like Jamberry, Pampered Chef or Epicure), but then there are things like Arbonne that I SWEAR uses the most obnoxious marketing possible.

I hit my breaking point shortly before Christmas and came up with this:

Twas the month before Christmas, and all through the land,
Network marketers were getting way out of hand.
The notifications were rolling in by the hour
And increasingly, I could feel my face grow more dour.

Under auspices of friendship and joy, the notes claim
While such ‘friends’ really seek nothing but fortune and fame.
“Come to my party, have wine and good cheer!
Now see this great product? Check out this great gear!”

“See?  Don’t you love it?” Then they proclaim,
“Come join my downline, come play the game.”
Your friends and your family become instant marks
Day by day, more annoyed with the unending remarks.

Come Arbonne and Scentsy and Stella and Dot.
Now Epicure and Jamberry, that hits the spot.
Avon, Herbalife, Amway, Mary Kay,
And Shaklee and Thirty-One.  They’ll save the day!

As the hundredth invitation came in, then I knew,
I had to do something to tell people, I’m through!
I value your friendship and value your time,
But this ongoing barrage says you don’t value mine.

So please, don’t doubt that I do wish you well.
But keep me off your list if you wish only to sell.
I don’t need your make-up, your candles, your rings.
I really don’t need to acquire more things.

I want to share laughs and joy and good cheer.
I want to make memories and drink lots of beer.
Let’s stop viewing our friends as prospects and buyers.
Do away with the pitches.  Away with the flyers.

Think of what’s really important this year
And spend time with your loved ones without being insincere.

I pissed off a few friends, but it was quite cathartic.

[swick]

So I'm a 34yo woman, which means that I am basically surrounded by people trying to sell all sorts of network marketing stuff.  There's some that isn't so bad (like Jamberry, Pampered Chef or Epicure), but then there are things like Arbonne that I SWEAR uses the most obnoxious marketing possible.

I hit my breaking point shortly before Christmas and came up with this:

Twas the month before Christmas, and all through the land,
Network marketers were getting way out of hand.
The notifications were rolling in by the hour
And increasingly, I could feel my face grow more dour.

Under auspices of friendship and joy, the notes claim
While such ‘friends’ really seek nothing but fortune and fame.
“Come to my party, have wine and good cheer!
Now see this great product? Check out this great gear!”

“See?  Don’t you love it?” Then they proclaim,
“Come join my downline, come play the game.”
Your friends and your family become instant marks
Day by day, more annoyed with the unending remarks.

Come Arbonne and Scentsy and Stella and Dot.
Now Epicure and Jamberry, that hits the spot.
Avon, Herbalife, Amway, Mary Kay,
And Shaklee and Thirty-One.  They’ll save the day!

As the hundredth invitation came in, then I knew,
I had to do something to tell people, I’m through!
I value your friendship and value your time,
But this ongoing barrage says you don’t value mine.

So please, don’t doubt that I do wish you well.
But keep me off your list if you wish only to sell.
I don’t need your make-up, your candles, your rings.
I really don’t need to acquire more things.

I want to share laughs and joy and good cheer.
I want to make memories and drink lots of beer.
Let’s stop viewing our friends as prospects and buyers.
Do away with the pitches.  Away with the flyers.

Think of what’s really important this year
And spend time with your loved ones without being insincere.

I pissed off a few friends, but it was quite cathartic.

This totally made my day! Going to borrow this as you have articulated exactly how I feel - in rhyme no less :D

[MrFancypants]

So I'm a 34yo woman, which means that I am basically surrounded by people trying to sell all sorts of network marketing stuff.  There's some that isn't so bad (like Jamberry, Pampered Chef or Epicure), but then there are things like Arbonne that I SWEAR uses the most obnoxious marketing possible.

I hit my breaking point shortly before Christmas and came up with this:

Twas the month before Christmas, and all through the land....

I pissed off a few friends, but it was quite cathartic.

Hopefully I just did too, thanks for that.

[justajane]

To me, there's something inherently distasteful about getting rich on the backs of the friends and acquaintances who you recruit to sell. Those of you describing how your wives do little work and pull in $500-1000 a month make me glad I've said no to every party or sales pitch over the years. Yuck.

Oh, and FYI. It's freaking annoying and slightly gross when you post a closeup of your most recent Jamberry manicure on Facebook, especially when it's clearly a sales pitch. Ain't nobody wanna see that.

[coppertop]

I tried MLM in my 20s ... it was a company selling decorative items. We had to go to 'sales meetings' which were really gatherings to sing Jesus songs.  And Jesus wants you to succeed at this business!  Praise Jesus!

Although I identify myself as a Christian, I can't imagine going to work and singing about Jesus while there.  It really turned me off.  I guess they did not recruit any Jews or Hindus or Wiccans.  "Non-Christians need not apply?"

[HazelStone]

So I'm a 34yo woman, which means that I am basically surrounded by people trying to sell all sorts of network marketing stuff.  There's some that isn't so bad (like Jamberry, Pampered Chef or Epicure), but then there are things like Arbonne that I SWEAR uses the most obnoxious marketing possible.

I hit my breaking point shortly before Christmas and came up with this:

Twas the month before Christmas, and all through the land,
Network marketers were getting way out of hand.
The notifications were rolling in by the hour
And increasingly, I could feel my face grow more dour.

Under auspices of friendship and joy, the notes claim
While such ‘friends’ really seek nothing but fortune and fame.
“Come to my party, have wine and good cheer!
Now see this great product? Check out this great gear!”

“See?  Don’t you love it?” Then they proclaim,
“Come join my downline, come play the game.”
Your friends and your family become instant marks
Day by day, more annoyed with the unending remarks.

Come Arbonne and Scentsy and Stella and Dot.
Now Epicure and Jamberry, that hits the spot.
Avon, Herbalife, Amway, Mary Kay,
And Shaklee and Thirty-One.  They’ll save the day!

As the hundredth invitation came in, then I knew,
I had to do something to tell people, I’m through!
I value your friendship and value your time,
But this ongoing barrage says you don’t value mine.

So please, don’t doubt that I do wish you well.
But keep me off your list if you wish only to sell.
I don’t need your make-up, your candles, your rings.
I really don’t need to acquire more things.

I want to share laughs and joy and good cheer.
I want to make memories and drink lots of beer.
Let’s stop viewing our friends as prospects and buyers.
Do away with the pitches.  Away with the flyers.

Think of what’s really important this year
And spend time with your loved ones without being insincere.

I pissed off a few friends, but it was quite cathartic.

I am so posting this at Christmastime! How would you like to be attributed?*

*Assuming this is original to you. Sincerely no offense meant. I just haven't Googled/Snopes-ed it, and am putting in the disclaimer...

[mm1970]

I don't really know - it depends.

As a sales method, it's not bad. Sell to people you know, right?

I've had many friends invite me to many parties.  Pampered Chef, Creative Memories, Some skincare lines (2 of them), a jewelry party, a clothing line (CAbi), essential oils. I'm also familiar with Beachbody.

So, it gives people the opportunity to earn a living doing something they like supporting something they believe in.  I don't think there is inherently anything wrong with that.  But you have to wonder about what it does to your family and friends.

- I use essential oils.  I'm not sure that they work too great for us.  I don't use many, but I have a friend who started using them and her kids went from ALWAYS sick to almost never.
- I don't wear jewelry.  Please don't invite me to jewelry parties.
- I used to do scrapbooks, but who does that anymore?  Not me.  It was fun when I did it.
- I don't wear makeup, so I don't want to be invited to skin care or makeup parties.  But I realize I'm not the typical girl.
- I didn't understand why a non-fashionable person like me was invited to a clothing/fashion party.  Then I thought - maybe they think I need it?  I bought an item or two, then it was an item or two a year for a few years or so.  They are not cheap.  HOWEVER, man I love the clothing.  Finally my clothing fits well, flatters my figure, and lasts. I have to say, it's pretty awesome.  That said, I have a decent wardrobe now, and don't need more.
- I don't do anything with my nails, but you know, lots of women do - so if they want to buy nail things instead of go to a salon, hey have at it.
- I am actually a Beachbody coach, but a "discount coach".  I have a few different workout programs that I love and use regularly.  They are awesome for when I cannot get to the gym, and I prefer to use the videos for things like weight training which bores me unless I am "following along".  I really have no desire to earn money at it but I know people who do.  And they are good at it.
- I actually like the Pampered chef cooking items and the ones I've purchased have lasted me a long time, but haven't bought anything in years.

Most of the stuff though, it just seems so much like conspicuous consumption and I want to avoid all that.  I wouldn't want to sell stuff to family and friends or take advantage of them.

[so.mpls]

The Times: "The Government investigation claims to have revealed that just 10% of Amway's agents in Britain make any profit, with less than one in ten selling a single item of the group's products."[29]

Eric Scheibeler, a high level "Emerald" Amway member: "UK Justice Norris found in 2008 that out of an IBO [Independent Business Owners] population of 33,000, 'only about 90 made sufficient incomes to cover the costs of actively building their business.' That's a 99.7 percent loss rate for investors."[30]

Newsweek: based on Mona Vie's own 2007 income disclosure statement "fewer than 1 percent qualified for commissions and of those, only 10 percent made more than $100 a week."[31]

Business Students Focus on Ethics: "In the USA, the average annual income from MLM for 90% MLM members is no more than US $5,000, which is far from being a sufficient means of making a living (San Lian Life Weekly 1998)"[32]

USA Today has had several articles:
"While earning potential varies by company and sales ability, DSA says the median annual income for those in direct sales is $2,400."[33]

In an October 15, 2010 article, it was stated that documents of a MLM called Fortune reveal that 30 percent of its representatives make no money and that 54 percent of the remaining 70 percent only make $93 a month. The article also states Fortune is under investigation by the Attorneys General of Texas, Kentucky, North Dakota, and North Carolina with Missouri, South Carolina, Illinois, and Florida following up complaints against the company.[34]

A February 10, 2011 article stated "It can be very difficult, if not impossible, for most individuals to make a lot of money through the direct sale of products to consumers. And big money is what recruiters often allude to in their pitches." [35]

"Roland Whitsell, a former business professor who spent 40 years researching and teaching the pitfalls of multilevel marketing": "You'd be hard-pressed to find anyone making over $1.50 an hour, (t)he primary product is opportunity. The strongest, most powerful motivational force today is false hope."[35]

[so.mpls]

I don't think there's much point arguing with the MLM supporters here, but I will say this to OP:

Even if you don't think you're being pushy - you are.  The sales method is set up to put the family/friends in high pressure situations even if the seller doesn't realize it.  My wife ocassionally buys some garbage from Arbonne or Stampin' Up because her close friends sell it.  Not because it's a good value.  She know's it's a mediocre product that you could find for 25% of the cost elsewhere.  And what's she going to say when her friend asks her how she likes the product?  "It's great!" because it's easier to lie than to hurt someone's feelings.  I'm guessing that's the situation a lot of your "clients" are in too. 

Here's a way to test it if you want - tell them your taking a break from selling for a few months.  Refer them to some poor sucker you've signed up in your downstream and see of they still buy the oils.  I'm guessing some will and most won't.

[Fodder]

So I'm a 34yo woman, which means that I am basically surrounded by people trying to sell all sorts of network marketing stuff.  There's some that isn't so bad (like Jamberry, Pampered Chef or Epicure), but then there are things like Arbonne that I SWEAR uses the most obnoxious marketing possible.

I hit my breaking point shortly before Christmas and came up with this:

Twas the month before Christmas, and all through the land,
Network marketers were getting way out of hand.
The notifications were rolling in by the hour
And increasingly, I could feel my face grow more dour.

Under auspices of friendship and joy, the notes claim
While such ‘friends’ really seek nothing but fortune and fame.
“Come to my party, have wine and good cheer!
Now see this great product? Check out this great gear!”

“See?  Don’t you love it?” Then they proclaim,
“Come join my downline, come play the game.”
Your friends and your family become instant marks
Day by day, more annoyed with the unending remarks.

Come Arbonne and Scentsy and Stella and Dot.
Now Epicure and Jamberry, that hits the spot.
Avon, Herbalife, Amway, Mary Kay,
And Shaklee and Thirty-One.  They’ll save the day!

As the hundredth invitation came in, then I knew,
I had to do something to tell people, I’m through!
I value your friendship and value your time,
But this ongoing barrage says you don’t value mine.

So please, don’t doubt that I do wish you well.
But keep me off your list if you wish only to sell.
I don’t need your make-up, your candles, your rings.
I really don’t need to acquire more things.

I want to share laughs and joy and good cheer.
I want to make memories and drink lots of beer.
Let’s stop viewing our friends as prospects and buyers.
Do away with the pitches.  Away with the flyers.

Think of what’s really important this year
And spend time with your loved ones without being insincere.

I pissed off a few friends, but it was quite cathartic.

I am so posting this at Christmastime! How would you like to be attributed?*

*Assuming this is original to you. Sincerely no offense meant. I just haven't Googled/Snopes-ed it, and am putting in the disclaimer...

No attribution necessary.  I did write it myself.  :)

[2527]

If a friend asks me to buy something from them and then leaves me alone when I say no, I don't hold it agains them.

[Joseph 1]

Network marketing is a business model that relies on a network of distributors to grow a business.
Network marketing typically involves using three basic types of systematic strategies to make money:
1) Lead Generation: To locate new prospects;
2)Recruiting: Adding customers and/or business partners to your network; and
3)Building and Management: Methods you use to train, motivate, and manage your recruits.

 http://www.josephponnou.com/network-marketing-tips/

[Bbqmustache]

I am involved in an MLM business, and so far (4+months into it) I am more than excited.  Ours are a service, and I head to another state in a bit over a week to enroll a business's employees and then train them to provide the services.   43 year old company, great endorsements.  Hard work required, and if you work hard, you will succeed.  Little recruiting for me.  This company does not pay for TV commercial, no radio commercials, no print ads.  Instead, they pay us commissions.  Great upline support, great system and fantastic "products".