Multi level marketing

  • Entrepreneurship

    The Controversy of Anti-MLM Education: Is It Anti-Women?

    Exploring the Intersection of Feminism and Anti-MLM Education: How Critiquing the MLM Industry is Challenging the Epitome of Hustle Culture.

    Multi-Level Marketing (MLM) companies have been controversial for years, with many people criticising their business practices and ethics. Recently, a movement against MLMs has gained momentum, with individuals and organisations speaking out against the dangers and deception of these companies. However, some argue that the anti-MLM movement is anti-women, as MLMs often target and employ women as their primary sales force. We are going to explore this intersection of feminism and anti-MLM education, and how critiques of the MLM industry are challenging the epitome of hustle culture. We will discuss the harmful effects of MLMs, why they disproportionately affect women, and why the anti-MLM movement is not anti-women, but rather a pro-consumer and pro-empowerment movement.

    You can check out Episode 41 – Is Anti MLM anti-women? – of The Slow Living Collective Podcast to hear me talk about my own experiences within Multi-level marketing, why hustle culture is a scourge on our society and mental wellbeing, and why being anti mlm is pro-women and not anti-women. Search for The Slow Living Collective podcast wherever you get your podcasts.

    Listen on Apple Podcasts | Listen on Spotify Podcasts

    As anti-MLM sentiment continues to grow on social media, some critics have accused the movement of being anti-women. These accusations have sparked heated debates online, with many arguing that MLMs disproportionately target and harm women. Others argue that anti-MLM education is counterproductive and does more harm than good. Today I want to explore the arguments on both sides and try to shed light on this controversial issue.

    What is an MLM?

    First, it’s important to understand what MLMs are and how they work. MLMs, or multi-level marketing companies, are businesses that recruit individuals to sell their products and recruit others to do the same. These companies often promote the idea of financial freedom and the ability to work from home, which can be appealing to stay-at-home mothers and other women looking for flexible work. However, the reality is that very few people actually make a significant income from MLMs, and the vast majority end up losing money. In fact, as per the FTC, 99.6% of people who enter into Multi level marketing will either not make or lose money. Meaning the “success” rate is just 0.4%.

    One of the primary arguments against MLMs is that they prey on vulnerable women, promising them financial independence and the ability to work from home while taking care of their families. These promises can be especially appealing to women who face barriers to traditional employment, such as discrimination or lack of affordable childcare. However, the reality is that MLMs often require significant upfront investment and a relentless focus on recruiting others, leaving little time for actual selling or family time.

    Is Anti MLM Anti-women?

    Critics of anti-MLM education argue that these campaigns are anti-women because they discourage women from pursuing entrepreneurship and financial independence. They argue that MLMs provide a valuable opportunity for women to earn money and gain business experience, and that the anti-MLM movement unfairly targets women who are simply trying to make a living. Additionally, some argue that anti-MLM education is classist and elitist, as it assumes that women are not capable of making informed decisions about their own finances and business ventures. But what about this: what if we started to think about Anti MLM education as the warning sign that the industry so desperately needs? When only 0.4% of people will ever make money (and that doesn’t necessarily mean that they are earning a livable wage) the lived experiences of those who have seen Multi level marketing from the inside should not be as downplayed as it is. For years anti MLM activists have been accused of being “jealous” or “haters” or even people who “weren’t successful” in an attempt to drown out the words being repeatedly spoken by people who had seen these companies from the inside. Even when people who found financial success have spoken out those in Multi level marketing have done their best to discredit their words. Why? It’s all part of the questionable tactics used to keep members within this structure.

    Proponents of anti-MLM education argue that MLMs are not a legitimate form of entrepreneurship and that they do more harm than good. They point to the fact that very few people actually make money from MLMs (remember: 99.6% of people will either not make or will lose money) and that the companies often use deceptive marketing tactics to recruit new members. Additionally, they argue that MLMs are often associated with cult-like behavior and can be emotionally and financially damaging to those involved.

    A way that MLM reps draw you into their company throughout the recruitment process is by using the earning an extra income theory. They say that their company is a great way to supplement your income and you can use the business to cover bills, pay your car payment, retire yourself from your 9-5, that it is the same as starting your own business (it isn’t) and you can start your own journey to financial freedom. The truth is that for more than 99% of people this is all unattainable as per a study from the FTC. The business structure itself cannot support it. For the minority (the 0.4% who will turn a profit, not be necessarily making a lot of money but turning a profit and not loosing money) the 99.6% will be loosing. The average income of someone in an MLM company is £0. Let’s just sit with that for a moment.

    Once you are in the company however, things look a little different. The tough love (which is usually top leaders yelling at people over video in the name of “getting fired up”) say that for the people who aren’t earning money yet this is part of business ownership and these things take time (they do in a traditional start up but that’s usually not what was promised to us in the recruitment process). You’re reminded that this is a business and you just need to work harder (gaslighting) and wait longer (designed to keep you in the MLM and not quit). 

    You are constantly reminded that this is normal for business owners – only you aren’t actually a small business owner when you’re an MLM rep, you’re an independent contractor for a billion dollar corporation.

    They don’t hide the stats either

    Most people in multi-level marketing aren’t making a profit, in fact, 99.6% are not making or losing money and the thing is, the companies themselves aren’t hiding this, the income disclosure statements are right there for everyone to see (except in FM World, who still after 15 years of business have no income disclosure statement – huge red flag). Across the multi level marketing industry as a whole, the average earnings of a distributor is £0. 

    Although these companies put this information right out there the manipulation tactics in these teams is so strong that you could smack people round the face with the income disclosure statement and the facts, and I include myself in this, and they will still be like “Well, my company is different”. But no company with a multi level marketing structure is any different, there might be some that are better or worse than others, but ultimately they are all predatory and unethical in their business model and practices. 

    How similar are MLM’s to cults?

    Multi-level marketing (MLM) is known for its cult-like behavior, where members are often indoctrinated into a particular way of thinking and behaving. The MLM structure encourages members to recruit others into the business and promises them the potential to earn significant income through sales and recruitment commissions. The constant pressure to recruit new members and make sales can lead to a toxic environment, where members are pushed to prioritise the success of the MLM over their own well-being. The MLM industry has been criticized for exploiting vulnerable individuals and perpetuating a culture of greed and materialism. They often create a culture of exclusivity and push a narrative that their business opportunity is the only way to achieve financial success and freedom. Members are often indoctrinated with a particular set of beliefs and values, and dissenting voices are typically silenced or ostracized. This type of behavior is not only harmful to individuals, but it can also create a toxic environment that perpetuates harmful gender roles and stereotypes.

    There is a lot of “fake it until you make it” philosophy within this structure. It was a lot of staying “plugged in” to the team pages, showing up to zooms, trainings, etc. There is also a lot of gaslighting in multi level marketing, telling people that their level of commitment to these things is what will see them success (it won’t) but phrases like you “show up to go up” and calling out the people who don’t show up.

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    The issue of whether anti-MLM education is anti-women is a complex one that requires a nuanced discussion. While some argue that MLMs provide a valuable opportunity for women to earn money and gain business experience, the reality is that very few people actually make a significant income from these companies (just that 0.4% and it’s questionable as to how many of this number are making a livable wage), and most end up losing money. Additionally, the deceptive marketing tactics used by MLMs can be harmful, and the emotional and financial toll on those involved can be significant.

    Anti-MLM education is pro-women because it seeks to expose and challenge the systemic exploitation and manipulation of women within the MLM industry. MLMs often specifically target women by using language that promises financial empowerment, personal growth, and flexibility. However, these promises are rarely fulfilled, and many women end up losing money, time, and their self-esteem. Anti-MLM education empowers women by providing them with information about the predatory nature of MLMs and the tactics they use to manipulate vulnerable individuals. By highlighting the dangers of MLMs and advocating for financial literacy and empowerment, anti-MLM education is pro-women and supports their well-being and autonomy.

    Ultimately, the decision to participate in an MLM is a personal one, but it is important to approach these opportunities with caution and to do thorough research before investing time and money. Overall though, if you want my opinion: It’s a no from me.

    MLM Resources

    FTC Resources on MLMs – https://www.consumer.ftc.gov/articles/multi-level-marketing-businesses-and-pyramid-schemes

    FTC – 99% failure rate in MLM’s

    Report a scam to the FTC – https://reportfraud.ftc.gov/

    FCA Resources on schemes – https://www.fca.org.uk/scamsmart/get-rich-quick-scams

    Action Fraud: Pyramid Scheme Fraud – https://www.actionfraud.police.uk/a-z-of-fraud/pyramid-scheme-fraud

    How MLMs And Cults Use The Same Mind Control Techniques

    How MLM’s use the BITE Model (a known cult tactic) – https://freedomofmind.com/multi-level-marketing-and-self-help-cult-groups-learn-the-warning-signs/

    How to leave an MLM

    Disclaimer

    Everything written & spoken here is for educational purposes and to spread awareness of my personal experience and opinion. My opinions don’t represent the company I partnered with, or any other network marketing or multi level marketing companies. They are my experiences and not facts. ⁣
    ⁣
    Copyright Disclaimer under section 107 of the Copyright Act 1976, allowance is made for “fair use” for purposes such as criticism, comment, news reporting, teaching, scholarship, education and research. Fair use is a use permitted by copyright statute that might otherwise be infringing. Non-profit, educational or personal use tips the balance in favor of fair use.

  • Entrepreneurship

    Why I joined (and left) It Works

    Today I am going to delve into my own experiences within a multi level marketing company, It Works, and look back, in hindsight, and explore what may have been some of the more problematic parts of the industry, and some of the red flags that I can see now but couldn’t really see at the time. I also want to delve into a common question: what led me to leave and how I stumbled on the anti MLM community.

    Check out my Youtube videos about my time in a multi level marketing company

    If you would prefer, I have two video’s on this very subject over on my Youtube channel, where I am slowly opening up and building a small anti MLM playlist there. I would love you to subscribe if this kind of content interests you. You can also check out my most recent podcast about multi level marketing or check out the shownotes.

    It Works Global

    Before we carry on be sure to check out my disclaimer* at the bottom of this post. I was part of It Works Global for over four years and I feel like I have a good indication of what the company, team and culture was like while I was there. I reached the rank of Ruby which as per the income disclosure statement when I joined was an income of around $500 per month, but in the more recent income disclosure shows that this has dropped to an average of around $350 per month. 

    My experience with It Works started when I came across someone on Instagram who was talking about her side business and all the things it was doing for her family or that it would be doing for her family in the future. I don’t know whether she followed me or I followed her, but knowing what I know now and how they train you to follow people and grow your network (so you can either sell to or recruit these people) I am going to go ahead and presume she followed me, but really I don’t have any clue. I was definitely at a more vulnerable time in my life where I could really have done with an extra income and was probably extremely susceptible to an MLM’s messaging. I was working full time in a job I didn’t love, I was studying for my Master’s degree and therefore my tuition, books and materials cost a fair amount and was a drain on the money I did have. I was also in a long distance relationship with my now-husband and so commuting to see each other every weekend was also costly. I was definitely attracted to the idea that I could earn an extra income around the other commitments in my life. 

    I reached out to her in late 2014 and she replied asking me to email her. I did, but as it happened the email bounced and I did nothing more about it for a while. It would have been great if that is where the story ended but it didn’t, and in February 2015 I replied to something she had shared again and this time I followed it through and ended up enrolling as a distributor. I truly thought she looked like she was having so much fun and I wanted in on that. Of course I now know that is what these MLM’s do, they sell a dream and a lifestyle to hook you in and for more than 99% of people this life will never happen, at least not through the MLM itself. This is how they lure people in to the business opportunity.

    When I was in the recruitment phase, that period of time where I was curious about the business, speaking to the person who would eventually become my enroller but I hadn’t yet joined the business, I tried to weigh up the pro’s and cons. I did a google search “reasons not to join It Works” and actually, at the time, nothing really came up. I have done the same search today and there is a lot more information about the company, along with the experiences of others too. I spoke to my now-husband about it and he trusted my judgement and I also spoke to my mum about it too. When I was discussing it with my mum something came up which I think is extremely problematic within MLM’s. I said to her that It Works was a faith based company, built on Christian values and because of that I felt confident, because surely a company with those values wouldn’t screw me over. I now know these companies use faith manipulation and it uses religion, God or whoever and whatever you believe in, to manipulate people into trusting the company to get people to join and to stay. It made me feel more confident in the company itself because of their values. 

    selective focus photography of two women s white and black tops
    Photo by Daria Shevtsova on Pexels.com

    I’ve joined!

    When I joined It Works it cost about £80, converted from dollars. For the most part while I was there it cost £99 and it is now between £130-£150ish. I put my joining fee on a credit card and although the company alludes to be helping people become debt free, there is to some extent (in my experience) and undercurrent amongst some reps to encourage people to join via debt, either a credit card, borrowing money or (at one point at least) getting people to use PayPal credit. 

    Once I signed up I was quickly added to a Facebook team page of all our immediate team (uplines, downlines, sidelines etc) where there was a massive outpouring of excitement when I was introduced on the team page. This was always the case when someone was welcomed onto the team page, and I now this is akin to the cult tactic of lovebombing, where participants shower new recruits in love. People would be leaving comments such as “You’re going to do amazing”, “can’t wait to see you run to the top”, “so excited for you” and “can’t wait to see your success” etc. These are people who have known you for about three seconds, they know absolutely nothing about you at this point. They don’t realise they are lovebombing you, they are completely unaware and are just following the way it has always been done. It was done when they started, they do it to you, then you do it to new recruits, and so the cycle continues. It encourages people to sink further into the group ideology. 

    This welcome made me feel amazing (which is its intention) and made me think “wow, maybe I have found the thing I have been looking for”, which looking back is the entire goal. 

    How I worked (and yes, some of it is problematic)

    There is a lot of “fake it until you make it” philosophy within this structure. I would predominantly use Instagram as my platform of choice when it came to my business, so it was a lot of sharing the products, being a product of the product, sharing the lifestyle of being a rep, adding people to grow my network and sometimes unfollowing people who didn’t follow me back. I was actively an It Works rep above everything else. 

    It was a lot of staying “plugged in” to the team pages, showing up to zooms, trainings, etc. There is a lot of gaslighting in multi level marketing, telling people that their level of commitment to these things is what will see them success (it won’t) but phrases like you “show up to go up” and calling out the people who don’t show up. It was always hard for me to show up, as most things were EST or CST ( 5-6 hours behind the time here in the UK) and almost always when I was asleep. I don’t know that anyone ever expected me to stay up but I rarely did because despite what MLM’s will tell you (that you should be working over sleeping) I always prioritise my health, wellness and sleep over absolutely everything. 

    It was very hard for me to stay plugged into a lot of what was going on and actually, in hindsight, I actually think that a lot of this really helped me because I was more of an outsider. I always felt as though some of the things that were trained we not right. I always used to say to myself and my husband “I don’t think that works for a UK audience” but actually what I think I was debating was actual red flags that were showing up in the business model. Things that really didn’t feel comfortable for me. Red flag after red flag, but only things I can see in hindsight. That definitely made me feel like I was disassociated with some of the more problematic parts of the training within the company/our team and I guess at least there is that and I felt like I can hold my head a little higher than I might have done had I been more of a part of these things. 

    However, I still recruited people into this problematic business model, albeit unknowingly, and ultimately involving them in a system that might lead them to either not making or losing money. 

    three women smiling
    Photo by Radomir Jordanovic on Pexels.com

    Get your mind right & all that personal development shiz

    As there is in most MLM’s, there was a strong focus on personal development within our It Works team and that if you weren’t seeing success it was because you needed to get your mind right. Gaslighting at it’s best and throwing the blame onto you instead of the business model which itself insures that most people fail. You were encouraged to do more personal development, to get your mind right, that you didn’t believe in it or yourself enough or that you weren’t working hard enough. 

    The problem isn’t people’s mindset or work ethic but a business model where more than 99.6% of people don’t succeed.

    Getting fired up

    Something I have spoken about before, is that on team pages, trainings, zooms etc, there would be times where top leaders within your team/uplines would come on and speak to you about a certain subject, usually forcefully, sometimes a bit shouty and all in the name of “getting fired up”. It seems actually more likely to be a frustrating release of a sticking point in their business, that maybe they felt frustrated with their downlines over. After all, most are blissfully unaware at just how problematic the business structure is.

    What was the focus?

    Within It Works I felt, at least on our team and in the company at large, that there was an equal focus on the products and what they did, but also on recruiting people into the opportunity too. I don’t really know, even in hindsight, if I feel like one was pushed more than the other. What I do know is that the products were very hard to sell, were very expensive for what they are, and also I did really like some of them I ultimately cannot support a company (any company) than is formulated as an MLM, whether has been or still is. I cannot put my money into a predatory business structure where more than 99% lose. As for the business opportunity, I feel that was an easier sell but again difficult because people who are interested are the people who need the extra income (that’s wholly problematic in itself in hindsight too, because these people are in a vulnerable position) but they don’t have the money to start, which ultimately does save them!

    Earning an “extra income”

    Most people in multi level marketing aren’t making a profit, in fact, 99.6% are not making or losing money and the thing is, the companies themselves aren’t hiding this, the income disclosure statements are right there for everyone to see (except in FM World, who still after 15 years of business have no income disclosure statement – huge red flag). Across the multi level marketing industry as a whole, the average earnings of a distributor is £0. 

    Although these companies put this information right out there the manipulation tactics in these teams is so strong that you could smack people round the face with the income disclosure statement and the facts, and I include myself in this, and they will still be like “Well, my company is different”. But no company with a multi level marketing structure is any different I’m afraid, there might be some that are better or worse than others, but ultimately they are all predatory and unethical in their business model and practises. 

    three women posing for photo
    Photo by Adrienn on Pexels.com

    How it works day to day, from the inside

    There is so much to unpick and it would take me forever to go through everything in a single video or blog post. But let’s unpick some of what goes on within It Works it here. 

    At the beginning of every month, everyone’s (and this is in every MLM) is reset to 0, everyone is the entry level rep/distributor, then as the month progresses and you run your own order, your customers orders come in (or run if they are autoshipments), your teams orders run, their customer orders come in or run etc all the volume adds up and you will start to increase your volume and possibly your rank. This is why there is such an end of month culture in MLM’s, because that is the last opportunity to rank up before the end of the month and everything is reset. 

    Something that has never sat right with me in It Works was their rank structure. You can see your current rank but you also have a lifetime rank, which is the highest rank you have achieved but bears no resemblance to where you are now. Effectively someone could tell you they are an Ambassador Diamond (the top rank in the company and earning life changing money) but actually they could have dropped rank and be earning nowhere close. It feels extremely unethical. Let’s also remember that most people are sitting at the bottom ranks of the company, in every MLM company.

    So why did I decide to leave It Works?

    Looking back there were times where I felt I was totally all in so I won’t do anyone the disservice of saying “oh, I always felt like something was off” but to some extent there was always a lot of questions, and I also felt that a lot of these were explained away to a minor extent. I feel like you were almost encouraged to stop thinking of them and just get on with things. 

    Sometimes when I was recruiting people and they were asking how much money they could make, I had that question in my mind, that I didn’t know whether I would achieve it and I didn’t know if they would either. I obviously believed and hoped, but I don’t know that I ever felt that confident in it looking back. I knew people who were making that money but I hadn’t seen it myself.

    They like to draw you in on this idea of time freedom, but once you’re in you find out that you’re required to work a lot more than anyone ever alluded to. While you do have your own free will, and I always thought to myself I worked more because I enjoyed it, but really working more is expected and encouraged. It isn’t just in the pockets of time in your day that distributors promise when they are trying to recruit you. It requires you turning into an MLM robot (ie, a hunbot), you talk only about your business, the products, what it has to offer, how it’s changing your life etc. You lose yourself and don’t even realise it. 

    One day, a new mum of a 6 week old baby I had down the outrageous thing (in MLM culture) and not worked since just before I went into labour. This is not the norm in a culture where you are encouraged to work through every single life event. Hello hustle culture. I was not about to do this, but one day when my baby was 6 weeks old I thought I would log onto the team page and see if there was anything I had missed. At this point I had no idea how I word work my business around my baby (in MLM culture they’ll call this “using my why as my excuse”). I saw a top leader on our It Works team was doing a Q&A and I casually asked a question (more to just ask one if I am honest, as I’d been mia for a few weeks) asking how people found the time to work when they were new mums, tired, feeding, being woken through the night. Well, the answer I got was that I should just work, pass my newborn baby to my husband, he should pick up the slack. I live in country where I get a years maternity leave and honestly I am still a bit shocked, but not surprised, that this is the culture. Being a new mama is full of new experiences, experiences that you will never get back. Don’t sell your soul to a company/team/upline that will rob you of those life experiences. It’s 1000% not worth it. 

    That didn’t sit right with me, being told that my newborn baby was basically getting in the way of my business a little bit and it would be best to get her out of the way. 

    And that was it for me. I was done.

    So I left It Works, I turned everything off and waited for my account to expire. In the meantime almost everyone I was friends with (the like minded community of inspiring women) blocked or unfriended me, or they certainly have done since I started sharing anti mlm content. See that’s what they do, they don’t want anyone like me infiltrating those who were friends who are still in the company. They don’t want people like me putting a doubt in peoples mind or getting them to question anything. It is the reason creators like me are dubbed as haters, people who weren’t successful or people who are just negative. They don’t want the truth to come out so calling us names or discrediting us is all they have. The problem is this: the facts are out there, they are glaringly obvious and staring us all in the face. The reports, the research, the income disclosure statements are all in the public domain. The countless stories of people who have been in mlms, even those who were in the top 1%. You can’t argue with facts so all they have is to try and discredit you. 

    MLM Resources

    FTC Resources on MLMs – https://www.consumer.ftc.gov/articles/multi-level-marketing-businesses-and-pyramid-schemes

    FTC – 99% failure rate in MLM’s

    Report a scam to the FTC – https://reportfraud.ftc.gov/#/

    FCA Resources on schemes – https://www.fca.org.uk/scamsmart/get-rich-quick-scams

    Action Fraud: Pyramid Scheme Fraud – https://www.actionfraud.police.uk/a-z-of-fraud/pyramid-scheme-fraud

    How MLMs And Cults Use The Same Mind Control Techniques

    How MLM’s use the BITE Model (a known cult tactic) – https://freedomofmind.com/multi-level-marketing-and-self-help-cult-groups-learn-the-warning-signs/

    How to leave an MLM

    *Disclaimer

    Everything written & spoken here is for educational purposes and to spread awareness of my personal experience and opinion. My opinions don’t represent the company I partnered with, or any other network marketing or multi level marketing companies. They are my experiences and not facts. ⁣

    Copyright Disclaimer under section 107 of the Copyright Act 1976, allowance is made for “fair use” for purposes such as criticism, comment, news reporting, teaching, scholarship, education and research. Fair use is a use permitted by copyright statute that might otherwise be infringing. Non-profit, educational or personal use tips the balance in favour of fair use.

  • Entrepreneurship, Simple Living

    The predatory nature of multi level marketing

    People asked, so today we are doing it, we’re going to delve into multi level marketing. If you follow me on Instagram then you will already know that I have recently started opening up and sharing my experience within a multi level marketing company, why I find them particularly problematic and how I hope my experiences, and the experiences of many, many others will help people realise what they are really like. 

    The predatory nature of multi level marketing

    Show notes

    Multi-level marketing companies are, in my opinion, and the opinion of many, extremely cult-like in their tactics. They prey on people, often people who are in a more vulnerable part of their life and encourage them to join a company where less than 1% of people will ever be successful.

    When this opportunity (and many others since) was presented to me, I was told I could work in the small pockets of time in my day and that, the implication being, that I could be successful (in fact anyone could) just by fitting it around my busy life. However, the opposite is true. Before you join an mlm you’ll be told how easy it is, how it can fit around your life, how you can fit it into the small pockets of time in your day. When you are on the inside you’ll hear that if you aren’t seeing success it is because you aren’t working hard enough, that the business works if you do, that it’s not easy. Now, like I have said before, I don’t think anyone expects a paycheck for doing nothing, and I know myself just how hard I worked and how “all in” I was. The lack of “success” wasn’t because I didn’t work hard enough, or because my “mind wasn’t right”, or that I wasn’t doing enough IPA’s (income-producing activities). Let’s be truthful about something for a moment – how much you work and your overall work ethic has absolutely nothing to do with whether you will be successful in an MLM. When you get into the business structure, luck and the size of the team you have recruited into your downline, however, does.

    These companies, in my opinion and in the opinion of many others, are very cult like in their tactics. They manipulate, control you mind to some extent, brain wash you and control so many aspects of your life. They also have a failure rate of more than 99% meaning that more than 99% of mlm reps will either not make or will loose money. Shocking I know – but the FTC undertook research of 350 MLMs and it concluded that more than 99% of participants will loose money. It also noted that the average income of someone in an MLM is £0.  

    MLMs are predatory, cult like organisations that promise mainly us women whatever we want to hear, tell us we can do it, control our minds and manipulate us into a system that will result in financial loss for more than 99% of people.

    multi level marketing

    Before I go

    I often get asked “why now?” when it comes to talking about multi-level marketing, and I guess the answer is multi-faceted. It took me a long time on the other side of multi-level marketing to understand about the business model, that I wasn’t a failure, that it wasn’t me, and also to feel strong enough to speak out.

    Those currently in multi-level marketing do spend a lot of time calling out anti MLM creators, as people who are just negative, haters, people who weren’t successful, question their work ethic and accuse them of being awful people who are focused on hating on individuals. It’s not easy at all to walk straight into that fire. When I first spoke out about my experience in a multi-level marketing company (which, by the way, is the common experience of most people) I immediately got a bit of hate. People talking about you, ranting at you, making videos about you isn’t the easiest to deal with let me tell you. Telling my story is incredibly uncomfortable as it is and to be met with this, has me questioning a lot whether it is really worth the hassle of sharing. If I don’t though, who will? I am extremely passionate about exposing this predatory business model, where 99% lose by it’s very nature. While it’s never easy and it’s never personal about those currently in MLM’s (I’ve been there, this isn’t about these people, I truly believe they are brain washed), I feel my story is important and if it can stop others falling for these predatory schemes then my work is done. I am passionate about exposing these businesses, the business model and helping others avoid them and the fallout that they cause, but I won’t be victim-blamed, gaslit, or silenced.

    MLM Resources

    FTC Resources on MLMs – https://www.consumer.ftc.gov/articles/multi-level-marketing-businesses-and-pyramid-schemes

    FTC – 99% failure rate in MLM’s

    Report a scam to the FTC – https://reportfraud.ftc.gov/#/

    FCA Resources on schemes – https://www.fca.org.uk/scamsmart/get-rich-quick-scams

    Action Fraud: Pyramid Scheme Fraud – https://www.actionfraud.police.uk/a-z-of-fraud/pyramid-scheme-fraud

    How MLMs And Cults Use The Same Mind Control Techniques

    How MLM’s use the BITE Model (a known cult tactic) – https://freedomofmind.com/multi-level-marketing-and-self-help-cult-groups-learn-the-warning-signs/

    How to leave an MLM

    Disclaimer

    Everything written & spoken here is for educational purposes and to spread awareness of my personal experience and opinion. My opinions don’t represent the company I partnered with, or any other network marketing or multi level marketing companies. They are my experiences and not facts. ⁣

    Copyright Disclaimer under section 107 of the Copyright Act 1976, allowance is made for “fair use” for purposes such as criticism, comment, news reporting, teaching, scholarship, education and research. Fair use is a use permitted by copyright statute that might otherwise be infringing. Non-profit, educational or personal use tips the balance in favour of fair use.

  • Entrepreneurship, Simple Living

    How Multi-level marketing (mlm) companies use the bait and switch method to hook you in

    We’ve all seen them, we’ve all been sent that “hey hun” message where the sender tells us that we would be great at what they do, some of us have even fallen for them. I fell for one, and through my Instagram platform, YouTube and here on my blog I want to shout louder about this predatory business model, embrace anti MLM advocacy and share just why these are businesses that should be avoided at all costs. Today I want to share with you the bait and switch methods used.

    Check out my MLM YouTube Video on the bait and switch method

    I have covered 6 top ways that Multi level marketing companies will manipulate you via the bait and switch method, so be sure to check that out. You can subscribe to my (new) channel to support me, the content I create and also to be first in line when I release new content. It is my goal to delve deeper into multi level marketing, the business structure and I hope through this anti mlm education I am able to save some people from falling prey to their predatory nature.

    grayscale and selective focus photography of three women bait and switch
    Photo by APG Graphics on Pexels.com

    What is multi level marketing?

    Multi level marketing is, network marketing, is direct selling (to some extent), is social selling. There are so many names for the same thing, but multi level marketing is a business structure where reps (ie, independent contractors) join a company (either for free or they pay to join) and sell the products and recruit others to do the same. It has been compared to a pyramid scheme in many instances, but it is a structure whereby you would earn through your own sales along with the sales and recruitment of your downline.

    Multi level marketing reps use attractive wording, phrases and ways in which they depict their life in order to pique your interest into the business model. You will often hear phrases such as “join my team”, “join this business” or that “this business is doing xyz for me”. The goal is to make you interested enough so that you enquire or even convince you to join.

    MLMs are manipulative and deceptive, one of the most deceptive business models that exists. They are known for their alleged cult-like tactics, their manipulation, mind control and bait and switch strategy. MLMs are a business opportunity that is designed for you to fail, with 99% of people not making money or turning a profit and the overwhelming majority running a deficit overall.

    What is the bait and switch method & how is it used in multi level marketing businesses?

    Bait and switch is a sales tactic, a way in which reps bait you into their MLM using some key phrases and wording by using specific claims about the business model and then switch these on their head once you have joined. I think you’ll be able to see just how deceptive these MLM businesses really are. 

    Bait and Switch One: “The business is so easy”

    I am going to start right here with one of the most common bait and switch tactics that can be seen in multi level marketing companies, that the business is “so easy” or that you can fit it into the “pockets of time in your day”. The implication here is that whether you are busy or not, whatever your life looks like and whatever time you have available that you can work your business in those moments, that it will be enough and you, like apparently many others, will be able to run a successful business. It can fit into your life and you can work when you have the time and that you will earn money doing so.

    When reps are trying to recruit you they will imply that regardless of this you will be able to make money, no matter what you can contribute to it. Now I don’t think anyone truly believes you don’t have to work and of course nothing comes without doing anything but the insinuation that it’s easy to do and easy to fit into a busy life is something that is common in mlm bait tactics. You have the freedom when and where you work (ie, those pockets of time in your day). You believe that you can fit this in here and there throughout your day. You are told you can be successful doing that so you believe it to be true.

    Then comes the switch, when you realise that it is not as easy as it has been made out to be and you’d maybe like to meet one of these people who apparently earnt all this money in just 30 minutes a day or less – because it is sounding pretty unbelievable at this point. The narrative then changes to “that this business isn’t easy”, it takes a lot of time and effort if you want to make any money. 

    You realise quickly that making money isn’t easy and working in the pockets of time isn’t enough to see the income that you were promised. 

    The response is usually that “the business works if you do” (I mean it doesn’t, because it doesn’t work for more than 99% of people wo join) but in multi level marketing there is a blame culture. If you aren’t seeing results it’s your fault, it’s because you aren’t working hard enough (even when you are) and that you need to treat it like a full time job (even though you were told you could do it in 30 mins a day). 

    The fact of the matter is, how much you work and your overall work ethic has absolutely nothing to do with whether you will be successful in an MLM. When you get into the business structure, luck and the size of the team you have recruited into your downline however does.

    Bait and Switch Two: Like minded besties

    You will often hear your friends in an MLM refer to the supportive community, their new best friends, like minded people and couldn’t speak more highly of the people in their MLM with them.

    Before you join you will hear MLM reps countlessly recall how incredible their community is within their MLM, their team and how these men and women (predominantly women) are the most amazing group of people they have ever met. They are so grateful to have stumbled upon this like minded group of people who are so supportive of their dreams. It is a great bait tactic because in a world where we are more and more separated from our communities and as mothers, our village, we crave this kind of connection, community and friendship. This longing for community is how many reps prey on people while recruiting.

    When you join an MLM the lovebombing, a classic emotion control cult (and abuse) tactic to keep you loyal and illicit postive emotions. These people (who know nothing about you yet) will tell you how successful you will be, how excited they are and things like they can’t wait to run to the top of the company together. This overwhelm of emotion makes you believe it is true too. This is the start of the road to emotional manipulation.

    However, the switch is that these relationships are transactional (for those you are making money for in your upline) and conditional (based on whether you stay in the company). Once you realise you aren’t making money and want to leave sometimes its the idea that you will lose these friendships that keeps you in longer than necessary. Once you leave an MLM those still involved, that were your community and your best friends will often shun you, block you or unfollow you. It happened to me, one of my “best friends” in the business, and also my upline, cut me out entirely when I left and started talking about the predatory nature of these businesses. When you aren’t part of an MLM you aren’t worth anything to them anymore and there is no need for them to continue being your friend, because you no longer serve a purpose. This is because these were never true friendships in the first place and were truly transactional.

    MLM’s also actively encourage you to cut out people in your real life who don’t support your business, because you don’t need to surround yourself with negativity. This cult like tactic, of cutting you off from love ones is a form of manipulation and control that encourages you to only be a part of the MLM community and encourages avoidance of anyone who believes in something different than you do, enabling you to exist solely in an echo chamber of fellow mlm members who all think, do and exist the same as you, thus sinking participants deeper into the groupthink ideology.

    women standing near river
    Photo by THIS IS ZUN on Pexels.com

    Bait and Switch Three: No quotas (but there is really)

    Another bait and switch tactic within mlm companies is the no quotas, fees, requirements spiel. That you can decide what to spend and nothing is compulsory. When you are being recruited into an MLM the reps will often serve you with information such as it’s free to start (in some companies) and will go on to tell you that there are no quotas to hit, no fees, no requirements and what you spend on your business is completely up to you. While this isn’t untrue because these things aren’t technically compulsory, they are hidden and some end up being fairly essential if you want to run your business and make money. This is so manipulative.

    The switch is this: many companies have many associated costs that are required even if they are technically optional. This might be a personal volume level to achieve (personal volume is often orders you make and in some companies the orders of customers you enroll). Some companies require you to place a monthly order of personal volume to stay active or to qualify to be paid commissions. In fact in most companies there is a requirement for you to reach in some form (whether that be through customer or personal orders) for you to qualify for your own commissions. To put this simply, if I earn £100 in commissions, but I don’t fulfil the requirements to get me that commission (whatever they may be in that specific company) then I won’t get paid. I will have done the work but I won’t get paid. Where in any other business model is this legal?

    You’ll also find that a common phrasing before you join is that “we don’t hold inventory” as a way to explain that you won’t have to purchase unnecessary product in the hope you might sell it. Many mlm companies now are structured that customers can order via a website (that you might have to pay a monthly fee for – I had to pay £20 a month for mine in my company) and the company will take care of the orders, shipping, and returns and reps don’t need to have anything on hand. Once you’ve joined you will frequently hear that you need to be a “product of the product” meaning you will need to purchase products from the company to use to entice people in. This ends up with many reps being overloaded with inventory that they are unable to shift. This leads to the question – who are the real customers of these MLMs? I believe that for the most part retail customers make up a far smaller amount than the reps do, leaving reps as the true customers of the company. 

    Despite being told you won’t need to spend anything, and while nothing is compulsory it is still going to be required if you wish to earn any income at all, or stay active or rank up. There are all kinds of loopholes which are going to require you to spend money you more than likely won’t be making back. 

    Bait and Switch Four: You don’t need a big network (errr you actually do)

    The next tactic rolles nicely into something you have to do a lot when you are a rep for an mlm: overcoming objections. Overcoming objections is something that is really common in MLM’s, for every objection that people have MLM reps are trained to overcome them, encouraging them to move these objections aside and forge ahead. Some reps will even term these as excuses. Team pages are filled with scripts to help you overcome common objections with ease. MLM reps soon build this into part of their reportoire.

    A common objection for those being recruited is that they don’t know enough people, that they don’t have a large social media following and they are worried that they won’t have people to sell too. Don’t worry guys, selling is such a small part because the main focus will always be on recruitment in these business models. Through the bait process, or the recruitment process, current reps will overcome these objections by saying that you don’t need a lot of friends or you don’t need a large following, or that when they started they only had 100 followers, or Ashley didn’t even have an account, anyone can do a business like this and they will train you and give you all the tools you need for success.

    The switch is that the opposite is true, reaching out to friends and family is a common tactic when it comes to hitting rank or promotions (they encourage you to reach out to people who will always support you no matter what, to help you with an order if you need volume to rank up). Also, you aren’t magically going to have people exist that want to try the products or join the business, it is hard enough getting people who trust you somewhat.

    What they really mean is that they are going to provide you with a number of spammy ways to grow your network. You will need to constantly be adding to your instagram or facebook network, adding people, growing your numbers, so that you can eventually have more people to sell to and recruit. It’s about reaching out to people who have never shown an interest in the company at all, or the products (thankfully I didn’t do this – I would at least only message people who had responded on a poll – although most didn’t mean to so I am sure it felt more spammy to them). It’s the reason we all get those “hey hun” messages, as some teams still train people to cold message people, the modern day equivalent of cold calling. They bait you in telling you you don’t need a big following and the switch it to “actually you do, here are some spammy ways to get it”.

    close up photography of woman sitting beside table while using macbook
    Photo by Andrew Neel on Pexels.com

    Bait and Switch Five: The free (but not really free) car

    This bait and switch tactic is one of the shadiest parts of mlms. I am sure you have all seen them, the free car rewards that are often shared on social media by MLM reps. They claim various things, like a free car or a car paid for by their company, but the reality is very different. 

    In my MLM this wasn’t a thing, so I am going on research and reports from other MLM companies. This tactic is one of the shadier parts of these MLM companies. In most instances the car is your own car, it’s not bought outright by the company and gifted to you, it is in fact a car loan, in your name. That’s right, the company encourages you to take out a loan that they actually might not financially contribute too for long. The car payment is usually acquired when you reach a certain rank and will be for an extra payment (which might not cover the entire monthly payment) towards the car. If you drop below that rank you lose access to this additional payment, leaving you responsible for paying that debt. 

    Bait and Switch Six: Time Freedom

    This is something that I am sure we have all heard an mlm rep say once, or a thousand times, that they have “time freedom” or “freedom of time”. The bait part of this tactic, to draw you in tells you things like this company will give you time freedom, you can “own your own time”, you can spend more time with your family, with your children, be a stay at home mum if that is your wish, time to travel. Whatever it is you would like more time to do.

    The switch, ie the reality, is that you will have to work constantly to even a hope of potentially making any money. You will be told you can work anywhere but the reality is that you will have to, again if you want a chance of making money. You will be expected to work all the time, any time, any place, at any event and on any holiday. You don’t get time off because if you take time off, firstly it’s looked down on as if you aren’t a hard worker (always gaslighting you over your work ethic these mlms), but also the whole thing you’ve built could crumble. However, because you can work from anywhere you will actually be expected to work from anywhere. 

    You’ll hear: “I am so grateful to my business because it means I don’t have to take time off”. People work on their holidays, during emergencies, in hospitals, during inductions for having their babies, through significant life events and through every event that they probably should take time off for. They’ll tell you its because they want to but really it’s because they have been conditioned into believing they have to or have to want to. And they really do, or the whole thing falls apart or they will earn less than nothing.

    If that wasn’t gross enough you are expected to take personal situations and turn them around and use it as why you are so thankful for your business, to try and profit off of these things. They encourage you to talk about how your business allows you to work through these difficult times. These are the parts I truly hate MLMs for. They manipulate their participants into doing these things, that they will look back on one day and feel so uncomfortable with.

    photo of person taking picture of fruits
    Photo by RF._.studio on Pexels.com

    Bait and Switch Seven: Financial Freedom

    A way that MLM reps draw you into their company throughout the recruitment process is by using the earning an extra income theory. They say that their company is a great way to supplement your income and you can use the business to cover bills, pay your car payment, retire yourself from your 9-5, that it is the same as starting your own business (it isn’t) and you can start your own journey to financial freedom. The truth is that for more than 99% of people this is all unattainable as per a study from the FTC. The business structure itself cannot support it. For the minority (the 0.4% who will turn a profit, not be necessarily making a lot of money but turning a profit and not loosing money) the 99.6% will be loosing. The average income of someone in an MLM company is £0. Let’s just sit with that for a moment.

    The switch comes again, once you are in the company. The tough love (which is usually top leaders yelling at people over video in the name of “getting fired up”) that say that for the people who aren’t earning money yet this is part of business ownership and these things take time (they do in a traditional start up but that’s usually not what was promised to us in the recruitment process). You’re reminded that this is a business and you just need to work harder (gaslighting) and wait longer (designed to keep you in the MLM and not quit). 

    You are constantly reminded that this is normal for business owners – only you aren’t actually a small business owner when you’re an MLM rep, you’re an independent contractor for a billion dollar corporation.

    Bait and Switch Eight: Own your own business & be your own CEO

    To reiterate the above, you aren’t actually a small business owner when you’re an MLM rep, you’re an independent contractor for a billion dollar corporation. 

    Reps will use phrases such as “owning your own business” or refer to you as being the CEO. The switch is that that isn’t the case at all, you aren’t the CEO of anything. You aren’t even your own boss. You have no control over anything that the company does, brands or sells. You have to abide by the company rules in every aspect. I actually got pulled up by compliance once I had officially left because I sold my surplus product (see: holding inventory above lol) on ebay and this is forbidden by almost all, if not every single one, of multi level marketing companies. It can result in you being terminated from the company. As it was I had already finished and had no intention of returning + I made a tidy sum of money.

    If you can be terminated then you aren’t your own boss.

    woman lying and typing on laptop
    Photo by Kaboompics .com on Pexels.com

    Bait and Switch Nine: But I’m not a salesperson

    Another common tactic used in the bait and switch method is claims such as “these products are the best”, “they sell themselves” and common objections about not being a salesperson. Remember above where we mentioned that mlm reps spend a lot of time and have a lot of scripts all about overcoming peoples objections and convincing people to join.

    Not being a salesperson is a common worry for people being recruited into an MLM. People aren’t inherently convinced on sales jobs and don’t think they will be able to do it, and I think this is fair. We’re not all salespeople and I think it’s ridiculous to think that we are. This is almost always met with wording such as “I’m not a salesperson either, but this isn’t sales, it’s just sharing products that you love”. MLM reps will almost always fall into comparing it to sharing your starbucks drink on social media, it’s a common shame tactic that they are telling you that you share your starbucks drinks and they get paid (Starbucks don’t actually get paid everytime a photo of their drinks are posted on social media – so actually maybe the reps are right because they don’t get paid for sharing their products either). The main point though is that we don’t have to monetise our entire lives, if you want to share something on social media have at it, and don’t let anyone in an mlm shame you for not getting paid to do it, chances are they aren’t getting paid either.

    It is also 100% a sales job, whether that is selling the products or trying to sell people on the business opportunity and a life that doesn’t exist.

    Another common tactic within this subject is that the products just “sell themselves”. The switch, once you’re on the inside is that they really don’t, you have to constantly message people, sometimes cold message people, if your MLM trains that way. There is an end of the month culture where people are scrambling to get orders, rank up and do anything to claw in as much final volume as possible. This is because the end of the month is when people hit final ranks, at the beginning of the month every rep is reset to 0 and their volume and rank only increases when orders run, reps run their monthly orders, you enroll new customers etc. 

    Ten: Let’s talk about the “uncapped earning potential”

    Ok, let’s do it, let’s discuss that “uncapped earning potential. When you’re in the recruitment phase reps will tell you that there is an uncapped earning potential or that people can rank up over their enroller and that there is a seat at the table for everyone. These people are usually not making money either it is worth noting.

    The switch is that you need to rely on others to make money, you aren’t in charge of how much money you make and you need to work 24/7 and encourage all your downline to do the same, keep recruiting and selling the products just to try and break even with your paycheck. If you are lucky. While it might be “uncapped” as in nobody ever knows what they are making, if the business structure supported and more people were making money the 0.4% would more than likely be earning less. They don’t want that now, do they?

    And as for earning more or ranking up over your enroller (not sure why you’d care about this other than to try and desperately prove its not a pyramid – it proves nothing btw) it is possible, but so is pigs evolving into having wings and flying. It could happen but it probably won’t. 

    Conclusion

    These are just some of the bait and switch tactics, along with all the usual predatory or cult like tactics these multi level marketing companies use to convince you to join. The truth however is far from what we see offered by reps in the recruitment. You might be asking yourself why people stay, knowing all this. But the problem is the mind control, the manipulation and the cult like tactics that take place with these companies mean that many aren’t aware until they are on the other side, like I and many others are.

    The goal with anti mlm education is obviously to help people trapped in mlms if possible, however thats not always possible. However if it can help just one person not fall for this predatory system then that is good enough for me.

    Everything written & spoken here is for educational purposes and to spread awareness of my personal experience and opinion. My opinions don’t represent the company I partnered with, or any other network marketing or multi level marketing companies. They are my experiences and not facts. ⁣
    ⁣
    Copyright Disclaimer under section 107 of the Copyright Act 1976, allowance is made for “fair use” for purposes such as criticism, comment, news reporting, teaching, scholarship, education and research. Fair use is a use permitted by copyright statute that might otherwise be infringing. Non-profit, educational or personal use tips the balance in favor of fair use.