I left the multi-level marketing industry over a year ago and it was a huge step for me as I was in direct sales for over fourteen years. I was ashamed for quite some time that I had lost so much money and even relationships being apart of the industry some call predatory. My story is not nearly as pitiful and horrific as others; and for that I am grateful.
This is my personal story and opinion. Not everyone has or will have the same experience as I did. I would say the pros were I would do tasks such as public speaking, marketing and advertising better. I enjoyed sales and all things entrepreneurship; so that is what helped keep me addicted to these companies many would consider pyramid schemes.
Meeting end of the month goals or purchasing items before they were out of stock gave me some excitement and rush obviously. I worked extra jobs doing promotional modeling and babysitting to support my "business" basically without realizing it. Anything I earned from side gigs would go back to the multi-level marketing companies.
Majority of the companies did not pay me much of a percentage. Two I were with only started out at fifty-percent profit. It was not seeming like our own business if consultants or distributors could be let go anytime and had no say over policies. Some would even suggest certain attire be worn or constantly represented themselves as a faith based organization.
Faith is great but I later realized it is not okay to push your beliefs on others, guilt them into thinking God brought the business in your life to join for prosperity and happiness or whatever else they would say. Yes; many companies have people go open credit cards and tell them to just take a risk and God put this opportunity in their lives for a reason. I never fell for the religious stuff since my religion and lifestyle does not want you owing any man, getting into debt and all that.
Conventions, vendor show costs, shipping, gas, national trainings, annual fees and personal sales to stay active was expensive. I was constantly promoting my business both online and offline. I would give cards, samples, ship information, recruit new team members to join the business and tell everyone I came in contact about what I was selling.
Lots of consultants from companies spam and cold-message people. I preferred meeting people at in-home parties or exhibitor shows. The items I sold that were cash and carry tended to do better at events and parties but you have to still consider gas, wear and tear on your vehicle, hauling totes, finding a babysitter and the fee for a booth. Consultants often were pretty saturated in areas I have lived so they would really compete for the trade show spaces.
When one company did not work out or went out of business; I would get recruited for another or search one that seemed a better fit. Several that I paid to join, spent money on merchandise to advertise and built a team with; would go bankrupt or close their doors without warning the consultants. Some would be bought out by even bigger MLM’s; which stands for multi-level marketing.
Eventually I just went inactive with my last company so did not do a post on social media or announcement to my former customers or team members. The embarrassment and shame took months to recover from. I was left with inventory, demo items, catalogs, bags, t-shirts, order forms, business cards and old training groups to remind me of how I wasted over a decade of my life. And so much money.
I bet companies make a ton selling merchandise, training tickets and yearly fees. They of course have high prices often to pay their reps, themselves and for the product packaging and such. Now it feels amazing to not just feel obligated to purchase from brands I sell only; which I used to do. If anything could be purchased from a mlm company; I would buy from there instead.
Distributors from other companies and I would swap sales to help reach sales goals or to “help each other out.” Some companies prohibited it actually when they found out consultants would do that. For example I could purchase fifty dollars worth of jewelry from someone and they’d buy the same amount of products from me. It was called an order swap and I was in large groups just for that.
These multi-level marketing companies make a huge amount of from their actual employees and consultants purchases. My profits just did not add up to how much it cost to remain an active consultant. I was an easy target for those wanting to grow their teams; otherwise known as downlines in mlm business models. I was a military wife at one time and a stay at home mom.
Trainings from companies seemed all similar. Even the websites were very similar. I was not making much money at all; I kept trying really hard. I would eventually feel awful when team members would trust me to join a business they’ll get their investment back on; then not make a dime. I would give home parties and events to team members to help them. I would do my own team calls to help keep them educated on the latest company updates and selling tips.
