WHY MLMS ARE PREDATORY
Today’s anti MLM Monday is going to go over why MLMs are predatory. In addition we will go over how they target people at their most vulnerable. The example that has been widely spoken about over the past year has been about the pandemic. Back in March of 2020, I wrote an anti MLM post going over how MLMs have taken advantage of the pandemic. In that post, I shared some examples of social media posts from MLM reps. However, since I wrote that post, quite a number of MLM companies had warning letters sent to them. The first round was sent on April 24th, 2020, and the second round was sent on June 5th, 2020. The letters that were sent were due to deceptive income and health claims. Some of the MLMs that were on the list of of warning letters were the following:
FTC Warning Letters for Both Health and Earnings Claims
- Arbonne
- doTERRA
- Isagenix
- Juice Plus+
- Modere
- Pruvit
- Total Life Changes
- Tranont
FTC Warning Letters for Earnings Claims
- IDLife
- It Works
- Melaleuca
- Rodan & Fields
FTC Warning Letters for Health Claims
- Plexus
- Vivri USA
- Youngevity
- Zurvita
Related: How MLMs used the pandemic to sell their products and “business opportunity.”
THIS WAS HAPPENING LONG BEFORE THE PANDEMIC
While plenty of people (myself included) have called out these companies and social media posts, this was happening long before the pandemic. There is a reason why MLMs have been called predatory for so long. They target potential customers and recruits at their most vulnerable. Recently I reacted to an MLM rep (that particular video starts at the 16 minute mark) who is in recovery and is using that in her pitch.
A MONAT REP TARGETED ME FOR MY HAIR THINNING
A great example is a post that I wrote back in June of this year. I had been targeted by a Monat rep for my hair thinning, which as y’all know now if you’ve been following this blog for the past few weeks, it was due to the pregnancy. At the time that I posted about my hair thinning, I didn’t announce the pregnancy yet, so I was just saying it was due to some health issues. As you can see from the above message, that’s what I received on a lovely Friday night.
I was truly upset and I didn’t respond right away because I wanted to really think about what I wanted to say. If you read the post, I went over the entire conversation. Long story short, after giving her facts and a piece of my mind (professionally, not aggressively), she dirty deleted her message. I ended up reporting her to the FTC and the Florida Attorney General. That post goes over how to do that as well. After reading that message though, I can’t see how anyone wouldn’t agree that MLMs are predatory.
Related: A Monat rep targeted me for my hair loss & how to report.
USANA REP TARGETING AN ENDOMETRIOSIS GROUP
Someone that I know who suffers from endometriosis sent me the above screenshot. She’s part of this endo group because it’s supposed to be a support group. My friend was able to find out it was an Usana rep by looking through her profile, but notice how vague she is in this post? Notice how this woman talks about all of the issues she had prior, but never once mentions the products or company she works for. This is a typical tactic these reps use. A topic I want to go over on this blog is how to spot an MLM from a mile away, this is one way. What is frustrating about this, is the rep is targeting the people of this support group. This is one of many reasons why MLMs are predatory.
This rep (whether she’s doing this knowing she’s predatory or not) is preying on the vulnerable. Because this is a support group, there are going to be people at all stages in their journey. There will be those just joining the group who are looking for last resorts, and there will be those who have been dealing with this for a long time. It’s predatory to go into these support groups to either find customers or recruit people.
When I was in Beachbody, we were told to go into Facebook groups of our favorite things or support groups for our medical struggles if we had any, to find like minded people to connect with and build rapport with. I know I’ve said this in previous posts, but how can you live like this? How can you willingly build rapport with people who are struggling knowing you’re going to eventually pitch them?
It’s gross and predatory.
Related: Are you unfamiliar with the anti MLM movement or the MLM industry? Read this.
PLEXUS REP MAKING MASSIVE HEALTH CLAIMS TO MARKET THE “BIZ”
I made the above video a LONG time ago, so please try not to judge. This was before I knew how to put videos up on the screen as I react to them. However, it is an important video to watch, or in this case listen to. The audio of the rep is so problematic because she talks about every single medical issue she’s ever had and how Plexus cured everything. It’s so dangerous to make claims like these. When you see or hear these, you have to report the reps to the FTC. These types of claims can be fatal for some. When I did my Nuskin deep dive, I did mention a woman who ended up passing away because instead of seeing a doctor she kept taking her Nuskin supplements to “cure” her sickness. Sadly, she didn’t make it.
The Plexus rep in the video above is targeting people who suffer from the same medical illnesses as she does. Whether that be to recruit them or have them as a customer. Although, most MLM reps have the motive of creating a customer that they can recruit because you make the big bucks when you recruit. Look at any MLM compensation plan and it’s blatantly obvious that most of the money is made in recruiting. This is not attraction marketing as these reps say, it’s predatory marketing. You are preying on people when they’re weak and looking for that last resort.
Related: Why it’s important to understand the BITE Model when researching MLMs.
TARGETING PEOPLE WITH FINANCIAL STRUGGLES
In the above video, the rep is talking about her “why.” She mentions her financial situation prior to the MLM. However, pay close attention because while she says she’s achieved so much because of the MLM, she did start off by saying her 9-5 helped her get out of the rut she was in. I have an entire playlist dedicated to anti MLM reaction videos to these types of marketing tactics.
If you don’t have time to watch it right now, the rep talks about how she used to live in a trailer, was on government assistance, and could barely take care of her children. She did have to ask her family for money. The rep started a 9-5 which helped her at least pay the bills, but of course, she credits a lot of what she has to her MLM job. However, her husband also works, and we don’t know how much he’s bringing home, so it could be covering most of the bills.
This rep telling her story is a way to tug at your heart strings. It’s a way to be relatable to others in the same position. I was targeted for my financial situation with Mary Kay. I was promised the dream of being able to pay off my student loan debt and credit card debt. Guess what? It actually worked on me. I was so desperate to have financial freedom that I would do anything to get myself back on my feet.
Related: How MLMs ruin relationships and friendships.
LEAVE MOMS ALONE
MLM companies love to target moms. It doesn’t matter if you’re a stay at home mom, or a mom who works and puts her child/children in daycare. They will find a way to guilt trip you into becoming an MLM rep. Sometimes you’ll even see mom shaming happening which really bothers me. Most moms are trying to do the best they can with what they have.
The last thing they need is some stranger on the internet shaming them. MLM companies put on this facade that you’ll be able to stay home with your kids and build a better life for them. When in reality, you’ll probably be working even more than you were before. You may be home with your kids, but you may not be present. Every interaction you have with a teacher or another parent is a possible recruit or customer. Your life will revolve around the MLM.
In my opinion, it’s predatory to target moms. It’s hard enough being a mom and making sure everyone is taken care of. To add to that stress by joining an MLM, is completely unnecessary.
Related: My response to an article stating anti MLMers are privileged.
https://www.instagram.com/p/CRO-ZRJHf-b/
MORE TESTIMONIALS
If you’re looking for more testimonials of real people who have been targeted, the above Instagram post from antimlmbossbabe has some. Towards the end of the caption where it says “I personally wouldn’t call someone in an MLM a predator but I would say they are acting predatory” is something I agree with. MLMs encourage the predatory behavior. There are so many other ways these companies target the vulnerable such as talking about the sisterhood or the community, which is why I whole heartedly believe MLMs are predatory. I’ve even heard of college students dropping out of college for their MLM.
Related: Why I’m anti MLM and not anti Hun.
HAVE YOU EVER HEARD AN MLM REP TELL THEIR WHY WITHOUT A SOB/RAGS TO RICHES STORY?
This is a legitimate question to ask. Have you ever seen or heard an MLM rep say they joined an MLM even though they were in a great financial spot? I have not. There is always a rags to riches story associated with these reps. Being relatable is very on brand for these MLM companies. It’s just a way to speak to those in a vulnerable state. The only time I can think someone would join without being in a vulnerable spot is for research purposes.
Related: How I paid off my credit card debt WITHOUT an MLM.
WHY IT’S IMPORTANT TO REPORT THESE REPS AND COMPANIES
If you see any kind of income or health claims, you need to report these predatory tactics. This post of mine explains how to do that. The only way we can try and get it to stop is if we report. The FTC does not have a team that is policing the internet for every single MLM company. There are also politics involved when it comes to government entities, I mean look at Amway for example. Or the DSA. In my opinion, not everyone is going to side with the anti MLM movement, which is why if we report it enough, we may be able to get someone’s attention. At the end of the day, MLMs are predatory.
Related: My first anti MLM post ever.
Disclaimer: This is all based on my opinion and research I have done. Please do your own research and fact checking. Section 107 of the Copyright Act provides the statutory framework for determining whether something is a fair use and identifies certain types of uses—such as criticism, comment, news reporting, teaching, scholarship, and research—as examples of activities that may qualify as fair use. Second Disclaimer: Anything said in this video is for entertainment purposes, and my opinions.