Melaleuca scam or not?

Nimrod666 wrote: »

Very simple. Someone requested the information. I thought that was obvious. You are a very naive person. This is not a cult, it is a business exactly the same as any commission based business ie. sales, insurance, etc. I'm afraid it is people like you who are the fanatics and ignorant in the best sense of the word.

So you'd be prepared to answer questions on an open thread like this one then?

Absolutely. As long as they are not childish questions. This is business not a cult or a pyramid scheme. So those two things aside, yes, I will answer any questions.

Hi. Our top 3 selling products would be:

1. Melapower (laundry detergent) does 64 washes for €10.99.
2. Renew Intensive skin Therapy. For relieving Eczema, Psoriasis, Rosacea. etc. Clinically proven to be better than Eucerin. Family size is 537ml and costs €13.99
3. Melagel. This is a gel, similar to Vaseline but containing Tee Tree Oil (Melaleuca Oil). For cuts, scrapes etc. 12gm is €7.99

Melaleuca manufacture approx. 300 products which most households will purchase on a regular basis. They simply offer a safer alternative to most of their competition.

P&P is €7.50 regardless of amount of products ordered, they are shipped from Manchester. Delivery 2-3 days via An Post.

If a customer purchases before the 15th of any month the receive 14% cash rebate to their account, this usually offsets the shipping cost.

No you will not automatically receive these product on a monthly basis. Melaleuca is only for people that want to shop with them on a monthly basis. If you don't want to shop on a monthly basis then unfortunately Melaleuca is not for you.

Hi. If you go to http://ireland.melaleuca.com/wc/index.cfm?m=6

If you are not shopping every month you will not receive wholesale pricing. I simply say to people try it for 3 months and make up your own mind.

I have customers who have been shopping for over 4 years on a monthly basis.

I try and let the products do the work.....less work for me then.

Thanks

There's a lot of bad information on this topic all over the place.

I know the industry very well, but have nothing to do with Melaleuca. So there's nothing in it for me.

Melaleuca is a network marketing (NWM) or multi-level-marketing company. NWM is a self employment opportunity, and so there is almost always a cost to become a rep (usually covered by stock that can be sold on). Almost all NWM companies are members of the Direct Selling Association in the countries in which they operate, and follow guidelines set down by the association. This includes the requirement by a member to allow reps to return unused / unopened product to the company for a full refund (less a possible re-stocking charge).

Some companies in the industry don't like to promote the fact that they are NWM companies, as it has received a lot of bad press over the years. The industry has been around for over 50 years and there are about a dozen companies that turn over more than a billion dollars a year. You'll know some of the names. Tupperware ($2.16 billion - 2008) and Avon ($10.7 billion - 2008) are just two. The most popular sector is in personal care and what's known as Health & Wellness, although there are companies providing phone service, broadband and even cable TV (Tiscali is one of Europe's largest broadband providers and has a NWM arm). Other companies you may have heard of are Herbalife ($2.4 billion - 2008) and Mary Kay Cosmetics ($2.6 billion - 2008)

The industry has been prone to lots of hype through the years. This usually comes from over-eager distributors promising their friends that they'll make millions. There are also some pretty unscrupulous characters that get involved and while promising the sun, moon and stars, these are often the guys who take your money and you never hear from again. Having said that, there are unscrupulous people in all walks of life; you just need to look at banks, top executives of some large companies (Enron, Worldcom etc.) and others probably closer to home.

The industry offers the average person the opportunity to earn a good second income without affecting their current job, profession or business; with the potential to earn a very large income if one is willing to learn the skills required and put them into action. These skills are basically the skills that most business owners in "ordinary" business learn as they develop their business. The difference is that people who join a NWM company don't borrow large amounts of money, don't hold large amounts of stock, and don't employ staff.

If you pick any of the NWM companies I've mentioned and google search them with the word SCAM, you'll find dozens (if not hundreds) of web sites telling you exactly how bad they are. These are usually ex-reps who feel somehow disgruntled at their own failure to make a million a year. And in a way, who can blame them? They were more than likely duped by a friend or relative who promised they'd be "cruising the oceans of the world" within a couple of years, or were told "I'll build your business for you." More than likely they failed to do their own research, which I must add includes actually seeing how the business works, finding out what needs to be done and where one needs to concentrate one's efforts. Searching the internet for information is a good idea, but one must remember that the good and the bad will be up there and filtering all the information is pretty difficult.

Companies choose NWM as a way to market for various reasons. It's not necessarily cheaper for a company to get started, but the system does have some advantages. Most distributors will use the products of the company they represent. This gives guaranteed turnover for the company. The company sets the retail prices and pays commissions to the reps. No sales = no commissions. These commissions come from what is usually the advertising and marketing budget. So instead of paying Ad agencies, tv companies, newspaper companies etc. money up front to get their product known, they use the "word of mouth advertising" of the reps and pay the "Advertising" after the fact. Any of you who know how business works will see that this is probably a clever way to sell your goods.

As for scam? Well, I've already addressed how the industry is dragged down by unscrupulous characters, and people who feel they've been burnt love to retaliate. Almost every NWM company that's been around for more than 2 or 3 years is a solid reputable company. Many are even publicly listed on the world's stock exchanges. Donald Trump has recently lent his name to one and Warren Buffet owns one (He purchased Pampered Chef recently. That company was started in 1980 and primarily sells cookware, kitchenware, recipe books etc.). So while the industry has developed a bad rep over the years, this is primarily down to people making decisions based on the over-excited distributor sitting across the table from them, or the belief that somehow the business is guaranteed to make them rich without actually putting any effort in.

In 1987 I made over £40,000 in a NWM company while holding down a full time job that paid £150 a week at the time. I can point you to a guy who made over a million pounds in the five years to 1993. I can show you people who make over a million a year now. I can also show you people who earn quite modest incomes from their NWM business and others who earn nothing. Here's something to consider. Many people in jobs today would earn nothing from the effort they put in at work, if they were paid based on their productivity. Between personal phone calls and surfing the internet, the best part of many people's days are completely unproductive. NWM pays a person for the results they achieve. It also offers people the opportunity to develop a distribution network and earn a small percentage from every item sold. The bigger the network built, the more you'll earn. But it should be mentioned that I've yet to see a payment plan where the person who introduces a new rep earns more than that new rep from the efforts of that new rep.

As for pyramids? That's simply how it looks. You get 3 who get 3 etc., etc. It's the same as the church. It's the same as any large company. (Your boss doesn't do all the work, but he gets paid more than you do). The government is a pyramid. Schools operate a pyramid structure. Principal, teachers, students. I could go on all day.

Pyramid selling operations are illegal. Today they are disguised as gifting opportunities where you give your friend money and then recruit people to give you money. Any one of us could start one of those right now. There are no products involved, it's purely a money swapping "game". Anyone who gets involved in one of these things deserves to be ripped off. Asking people for money and providing nothing in return is basically begging. NWM is not a ponzi scheme or a pyramid operation.

My advice to the OP is to go along to the meeting you've been invited to. Don't make a decision on the night. Think about it later. Do some meaningful research.

There is an opportunity in NWM to develop an income in an economic climate where most people are losing income through unemployment, pay cuts, extra tax burdens. The irony is that a lot of people seem happy to moan about their situation while vegetating in front of Coronation Street, Eastenders, America's Next Top Model, X-Factor and other muck like Big Brother and I'm a Celebrity, instead of actually doing something to improve it.

Anyone interested in getting further information about the industry can PM me.

I would disagree about it being a pyramid scheme! the products are cleaning products which most people buy every week in their shopping! I just do my shopping with Melaleuca.
my understanding of "pyramid scheme" is that people are required to buy more than they would use and sell it on at a higher price to others - therefore the people at the top make all the money which is not how this works.
I feel that people are all too quick to believe the negative comments and not do proper research surely someone who is with the company is better able to answer questions than someone who googled melaleuca.

muboop1 wrote: »

to many new accounts promoting this idea...

?????????? do you mean "too many"

you know what that's your opinion and we are all entitled to that!
but you know everyone that's on here had to start somewhere, and it must have been something you had a strong opinion on to join up and post. Did you get attacked because you were a new account, and does it make my opinion any less valid??