FIGHT CLUB: MLM vs Real Actual Business – a Guest Post

This guest post was written by one of our supporters, who compared her real job with a real USA-based business to an MLM.   Thank you so much for talking the time to write this for us, Anonymous!

 

Why won’t forever living employ you?

 

I work for a multi-billion Dollar American company.

Forever living is a multi-billion dollar American company (allegedly)

My company manufactures consumer products, and my role is to sell those products to customers.

Forever living manufacturer consumer products, your role is to sell those products to customers.

In my company there are 50 people in the UK that have the same role as me.

In Forever Living there are over 14,000 people in the UK that have the same role as you.

I have a signed work contract that sets out my terms of my employment.

Forever living won’t give you a contract of employment.

I have to travel for my work; I’m given a company car, and a company credit card to pay for fuel.

When you sign up for forever living you don’t get a company car, they don’t pay for your fuel.

I need product samples to give to customers. I am given samples as and when I need, always free of charge.

Forever living doesn’t provide you with samples.

 

 


 

 

I get a monthly supply of my company’s products given to me for free. Sometimes I give these away  to friends and family, sometimes I use these products myself.  I can also choose not to take these free products and instead have the equivalent value added to my monthly pay.

 

Again, forever doesn’t give you any free products.

 

I need to be trained on my product line in order to sell these products to my customers. My company schedules training during the week, books for and pays for hotels and all expenses when I  am away from home, and also offers free online courses I can take to help improve my skills.

 

Forever living makes you pay for training days, holds these days during unsociable hours such asevenings and weekends, doesn’t pay for your travel, accommodation or food.

 

My work recognises that in order for me to be successful I need to have a good work life balance, so they give me flexible working hours, 25 days a year holiday, plus paid sick leave. I can also trade in a portion of my salary for additional holiday days should I so desire.

 

Forever living doesn’t employ you.  You don’t get holiday days or sick days.

 

My company provides me with monthly pension contributions and private healthcare cover.

 

Forever living does not give you monthly pension contributions or healthcare cover.

 

Whilst I travel to see clients my office is based from home.  My company pays me a small amount each month to cover my increased electricity costs.

 

Forever living doesn’t provide you with any contributions to help cover your costs.

 

In order to do my job I need a phone, laptop, tablet, printer and general office supplies. My company  provides these to me free of charge. If I run out of supplies I use my company credit card to buy more.

 

Forever living doesn’t give you any equipment to do your job. They won’t reimburse you for any costs.

 

My company pays me a monthly basic salary, even if I haven’t hit my bonus targets.

 

Forever living doesn’t pay you a basic salary.

 

Because I have a contractual agreement I am protected by law from unfair dismissal and discrimination.

 

Forever living does not provide you with a contract of employment; you have no legal rights that  employment law provides you.

 

I didn’t have to pay to join my company.

 

How much has it cost you to join forever living?

 

I work for a multi-billion dollar American company.

 

Forever Living is a multi-billion dollar American company.

 

So why won’t forever living employ you?

 

Forever living doesn’t employ you because you are the customer, not the employee, not the  business owner. They don’t want you to recruit people to join their business; they want to expand  their customer base.

 

The company I work for pays me and give me a multitude of real benefits because I provide value to  them over what I’m paid. It’s cost effective for them to employ me because of the return of  investment I will provide.

 

Forever living and any other MLM company’s route to market is a lot different. They don’t retail  their products in store, or online because this would involve them entering a saturated market, thus  having to incur large business costs such as marketing, paying salaries, product testing and cost them  further by having to have a reduced wholesale price so that stores can retail their products at the  appropriate market rate.

 

By making you buy their products just to join the company they can quickly and for a very low cost  create thousands of customers with an astronomically high lifetime value.  If you’re in an MLM it’s  very likely that you have a small customer base, if you have one at all, and you find it very hard to  sell large quantities of your stock. So to keep sales flowing they get you ‘recruit’ more people into joining the business. How are people recruited? Is it by way of entry exam, or qualification? No, they  have to buy £200 worth of forever living stock. Added to that you need to personally purchase £160  pounds of stock a month to stay part of the ‘business’ and you’re quickly your own best customer,  and for very little outlet cost forever living has made a large and substantial profit.

 

But, you may say, I earn commission of the sales that I make. I can work whatever hours I want. My  earnings are unlimited with Forever Living.

 

The reality? You might earn a couple of pounds from selling some aloe-vera gel. You can choose to  only try and sell that gel by posting on facebook between 10-11am every Tuesday, and you could  potentially sell a bottle of aloe-vera gel to every human being on this planet. The reality is that  selling is hard. Selling in a saturated market is hard. Selling a £20 bottle of aloe is hard. Without  taking into account the outlay of personally purchasing the products, the training, the fuel, postage  and other costs you stand to either make a very small amount of money  or, like 99.9% of people  that ‘join’ a multi-level marketing company, you will make nothing or lose money.

So, if you work for a multi-billion, cash rich, debt free company shouldn’t you expect a little more for  your time than a couple of quid for selling a bottle of aloe?

If you work for a multi-billion dollar, cash rich, debt free company, ask yourself what they’re providing you.

 Ask yourself how they became a multi-billion dollar company.

 

 

Ask yourself, why don’t forever living employ me?

Advertisements

2 thoughts on “FIGHT CLUB: MLM vs Real Actual Business – a Guest Post

  1. Excellent article- well done. I know people in MLM and don’t want to draw their attention to this for fear of being branded a ‘hater’ but everything you describe is true, which is very worrying for people who have signed up to this. Keep up the good work raising awareness of how these companies are preying on people trying to start their ‘own business’.

    Liked by 1 person

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s