Herbalife Independent Distributor
  • Long-Term Earning Potential
    (2.5)
  • Value for Money
    (2.5)
  • Training Quality
    (2.5)
  • Features
    (2.5)
  • Support
    (2.5)
  • Short-Term Earning Potential
    (2)
Overall
2.4
Comments Rating 0 (0 reviews)

Summary

Herbalife is a multi-level marketing (MLM) company that develops and sells their own branded dietary supplements and products.

As a Herbalife Independent Distributor, you can potentially make money selling products to non-members or to other members that you recruit into your ‘downline’.

The Herbalife 2017 Income Disclosure Statement for the UK reveals that 95.2% of Sales Leaders make less than the national minimum wage.

Although Herbalife is not a scam or a pyramid scheme, they were sued by the FTC for $200 million and were forced to change their business model.

Personally, I do not recommend becoming a Herbalife Independent Distributor.

Simply because it’s so hard to make money with an MLM company – unless you’re near the ‘top’ of the ‘pyramid’.

Pros

  • Huge earning potential at the ‘higher’ levels.

Cons

  • Most people will fail to make money with MLM.
  • Difficult to resell products for a profit.
  • Relies heavily on recruiting others.
  • Potential to alienate friends and family.
  • Upfront costs.
Name:Herbalife
Website:https://www.herbalife.co.uk/
Platform:Independent
Type:Home business – MLM
Price:Various
Trial?N/A
Money-Back Guarantee?N/A
Rating:2.4 / 5
Recommended?Only for MLM enthusiasts
How to Join?Apply on website


Before I started using the internet to make all of my money online.

I used to work in a gym.

And quite often, I would have both customers and colleagues try to sell me Herbalife products.

With some bold individuals even asking me to ‘get on board’ as an independent Herbalife distributor.

I always said ‘no’.

And I never bought any of the products.

So what makes me qualified to write this Herbalife independent distributor review?

Well, I do know a fair bit about how pyramid scheme scams, multi-level marketing (MLM) and online ‘business opportunities’ work.

So, if you’re thinking about becoming a Herbalife distributor.

You might want to read on.

What is Herbalife?

Herbalife is a multi-level marketing (MLM) company that develops and sells their own branded dietary supplements and products.

The company was founded in 1980 by Mark Hughes – who passed away in May 2000.

Rich Goudis is currently the CEO.

What is Multi-Level Marketing (MLM)?

Multi-level marketing (MLM) is a business strategy where revenue is generate not only from the sales that you make.

But also from the sales made by others who you recruit as part of your ‘downline’.

This video visualises the process and explains the difference between MLMs and pyramid schemes:

Video credit: Jared Tolliver

Is Herbalife a Scam?

No.

MLM is a legal business model.

However, it’s not without its controversy.

The structure of MLMs typically means that the only people really making any money are those at the top.

Whilst the vast majority of the newer ‘recruits’ at the base of the downline make relatively very little money.

Or nothing at all.

How Do You Make Money With Herbalife?

There are chiefly two ways to make money with Herbalife:

  • Buying products at a discount and reselling them to non-members;
  • Multi-level compensation – selling products to your downline.


According to Herbalife, you’ll not be paid for recruiting (‘sponsoring’) new members.

But you will make money from selling products to your downline – for either their own consumption or to sell on to others.

Source: Herbalife’s 2017 Income Disclosure Statement for the UK.

The Reality of Making Money With Herbalife

Furthermore, according to Herbalife’s somewhat confusing Compensation Plan.

There are actually 6 ‘ways’ to make money as a Herbalife Independent Distributor:

  • Retail Profit;
  • Wholesale Profit;
  • Royalty Overrides;
  • Monthly Production Bonus;
  • Annual Bonus (Mark Hughes Bonus);
  • Promotions.


However, from all of the reports that I’ve read.

The only real way that you’re actually going to make money as a Herbalife distributor is if you recruit a lot of people into your downline.

3 Worrying Facts About Becoming a Herbalife Distributor

Still interested in becoming an Independent Herbalife Distributor?

Then here are three more things that you should keep in mind.

1: 95.2% of Sales Leaders Make Less than the UK National Minimum Wage

Remember how I said that the structure of MLMs only favour those that the top?

Well, this is clearly evident when you look at Herbalife’s 2017 Income Disclosure Statement for the UK.

80.9% of Single-Level members purchase Herbalife’s products at a discounted price for their own use.

Which also allows them to potentially make a profit by reselling those products to non-members.

8.4% of Herbalife members are Non-Sales Leaders with a downline.

Whose average payment was just £46 for the year.

Of the 10.7% of members that are classified as Sales Leaders with a downline.

95.2% earned less than £10,000 on average for the year on their commissions, royalties and bonuses paid to them by Herbalife.

With 14.6% earning NOTHING at all:


Image source: Herbalife 2017 Income Disclosure Statement

This is significantly below the approximate yearly minimum wage of £15,269 in the UK.

Source: ONS.gov.uk

The income report clearly shows that the top 1% of Sales Leaders earn more than everyone else’s earnings combined.

2: Sued for ‘Misleading Money-Making Claims’

Herbalife was sued by the FTC for $200 million in 2017.

The lawsuit alleged that Herbalife was misleading consumers into thinking that they could earn a substantial amount of money exclusively from the sale of the company’s products.

When in reality, the bulk of the money was being made by a select few of the high-level distributors.

Herbalife was allowed to continue trading providing that they restructured their business model to de-emphasise ‘recruitment’.

Source: FTC.gov

And despite now operating via a legit business model.

Herbalife is still often seen as being a ‘scam’ or a ‘pyramid scheme’.

This perception may impact your ability to recruit others as a distributor.

3: It Can Be Difficult to Resell For a Profit

I’ve never used any of Herbalife’s products.

So, I can’t comment on their quality.

But apparently:

‘Herbalife’s products are overpriced versions of similar products available at health and wellness stores at a fraction of the cost…’


Potentially making it very difficult to sell your stock for a profit.

Source: FactsAboutHerbalife.com

Herbalife Distributor User Reviews

When I Googled ‘Herbalife independent distributor reviews’.

I was quite surprised to see a lot of 5 star reviews.

However, when I delved into the comments section on this post.

I saw some worrying user feedback such as this:

Herbalife Bad Experience User Review


Image source: Finance-Guy.net

Conclusion: Should You Become a Herbalife Independent Distributor?

Ultimately – it’s up to you.

But in my opinion?

I don’t think it’s a wise move.

Because the Income Disclosure Statement is objective proof that most people fail to make any meaningful amount of money as a Herbalife Independent Distributor.

Plus, I’d hate to be ‘that guy’ who’s constantly trying to hard-sell friends and family for a quick buck.

But if you do have any Herbalife success stories of your own.

Please do share them in the comments section at the end of the post.

Affiliate Marketing – A Legit Alternative to MLM

Regardless of the company.

I’m not really a fan of the MLM business model as a whole.

And not just because the framework is skewed to favour those at the top.

But also because your success is somewhat dependent on the performance of others.

Affiliate marketing isn’t like that.

Because there are no ‘downlines’.

And you can promote the products of a whole range of different companies.

Without being forced into buying any stock.

Plus, you’re actually in with a real chance of making some money.

For example, I was able to make more than $10,000 in one year from one of my affiliate websites in 2017:

Clickbank Affiliate Earnings 2017


Yes, there was a fair bit of work in the beginning.

But eventually, I was able to leave this website alone to make money whilst I moved on to other projects.

And the best bit?

You can get started with affiliate marketing for FREE.

Click the button below to subscribe to my free email course.

And I’ll show you how to get started right away.

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