- Compensation Plan
- Start Up Costs
- Product Quality
- Distributor Success Rate
Monat is an MLM company that sells products in the hair care niche.
Although the Monat business opportunity is technically not a scam from a legal standpoint, the controversy and lawsuits surrounding Monat’s products may make it very difficult to build a sustainable business around.
This is not the best MLM business to promote in my personal opinion – but this FREE book that shows you how to do MLM online may improve your chances.
Overall: caution advised.
- Fairly good compensation plan.
- Poor product reputation.
- Difficult to make money due to the MLM business model.
Payments and Ownership: I DON’T own or work for Monat. If you have payment issues or need to get a refund – you’ll need to contact Monat directly. ALWAYS make sure that you understand the payment and billing arrangements BEFORE subscribing or buying anything.
Opinion Disclaimer: the content in this review is ultimately a reflection of my own opinions and is not intended to malign any religion, ethnic group, club, organization, company, individual, anyone, or anything.
|Real owners:||Luis Urdaneta + Rayner Urdaneta|
|Type:||Network marketing – hair products|
|Money-back guarantee?||30 days (?)|
|Rating:||2.3 / 5|
|Recommended?||Caution advised (product quality)|
|How to join?||Apply on website|
I’ve been spending some time trying to find some MLM companies that I could confidently recommend to those of you looking for legit network marketing opportunities.
And my research led me to a company called Monat.
But when I looked online for some genuine Monat reviews – I discovered a scathing sea of controversy.
So is Monat is scam or a legit network marketing business opportunity?
This Monat review reveals my findings.
Image source: monatglobal.com
What is Monat?
Monat is an international distributor of ‘natural’ hair care products.
Monat combines direct selling with the network marketing business model to distribute their products.
This means that in order to buy their products, you must join Monat as either a Retail, VIP, or Market Partner.
Here’s a breakdown of their plans.
The Monat Plans Explained
If you try to buy Monat’s products via their website for the first time – you’ll be asked to join up on one of the following plans:
1: Retail – Free
If you just want to buy the products and have done with it – go for the Retail option.
In addition to the 30 day money back guarantee, you also get ‘style inspiration’ and ‘convenient deliveries’.
2: VIP – $19.95
The VIP plan gives you everything from Retail plus 15% off the normal retail price.
Monat also say that you’ll get ‘exclusive offers’, expert style advice, and other rewards and treats.
3: Market Partner – $99 and Up
The Market Partner plan is for people who want to start their own business by selling Monat products.
But there’s more to this than meets the eye…
The details of which I’ll get into soon.
Image source: corp.mymonat.com/shop/checkout/select_customer_for_registration
Who’s Behind Monat?
The key figures associated with Monat are:
- Luis Urdaneta – Chairman & Co-Founder.
- Rayner Urdaneta – CEO & Co-Founder.
- Stuart A. MacMillan – President.
What Are Monat’s Products?
Monat has a large number of products for sale on their website pertaining to hair care.
There are too many to list here, but the main categories are conditioners, shampoo, and serums.
Image source: https://monatglobal.com/uk/all-our-products
What is the Monat Business Opportunity?
The opportunity to become a Monat Market Partner basically means that you’ll mainly make money in three ways.
The first is through the retail sale of Monat’s products to customers.
The second is through the sale of products generated by the people that you recruit into Monat as Market Partners via your ‘downlines’.
And the third is through bonuses that are generated as you grow your downlines.
How Does MLM Work?
If you have no idea how a network marketing company works then basically, the aim of the game is grow your ‘downline’.
Your downline is all of the people you’ve recruited into Monat as Market Partners and thus roll up a percentage of their business volume (‘sales’) to you.
Network marketing companies present this as an attractive opportunity through a ‘ranking’ system.
So as you recruit more people – the higher your rank will be.
Which typically unlocks more bonuses.
What’s Monat’s Compensation Plan?
You can see Monat’s full compensation plan here.
Here’s a summary overview.
The Ranking System
The main ranks by PV (personal volume) and GV (group volume) are:
- Market Partner – 200 PV.
- Managing Market Partner – 300 PV (2 active lines, 1,200 GV).
- Associate Market Builder – 400 PV (3 active lines, 2,400 GV).
- Market Builder – 500 PV (4 active lines, 1 MMP, 4,000 GV).
- Managing Market Builder – 500 PV (4 active lines, 2MMP, 7,000 GV).
Profit From Retail Sales
Commissions on personal sales are listed as:
- Retail customer – 30%.
- VIP customer – 15%.
- Sales bonus 1 – (1,000 PV) – 3% (33% max).
- Sales bonus 2 – (2,000 PV) – 5% (35% max).
- Sales bonus 3 – (3,500 PV) – 10% (40% max).
There are quite a few different bonuses.
- $100 for each sponsored Market Partner that buys the $299 Business Product Pack.
- $120 for each sponsored Market Partner that buys the $399 Success Product Pack.
- $220 for each sponsored Market Partner that buys the $599 Overachiever Product Pack.
How Much Money Can You Make With Monat?
I wasn’t able to find a current income disclosure statement at the time of writing.
But I did uncover a screenshot from a previous statement that has since been removed.
And the figure was quoted as being between $22 and $1,188 per YEAR for a ‘typical participant in the Compensation Plan’:
Image source: Reddit – Monat Income Disclosure
Is Monat a Pyramid Scheme?
A pyramid scheme is where money is derived exclusively through recruitment.
The presence of the retail sale of Monat’s front-end products absolves them of being a pyramid scheme from a legal standpoint.
Here are links to the PDFs of various lawsuits that I found pertaining to the Monat name.
- Monat Global Corp. vs. Vickie Harrington – details.
- Monat Global Corp vs. Kayla Baker – details.
- Monat Global Corp vs. Toni Miller – details.
- Dana Sohovich vs. Monat Global Corp – details.
- Kelley Botallico vs. Monat Global Corp – details.
Is Monat a Scam or Legit?
In my opinion?
Monat is not a scam.
Because it’s technically possible to make money as a Market Partner.
But if you’re thinking about getting involved with Monat through their business opportunity – there are some things to keep in mind.
The Monat Reviews and Controversies
The first thing to consider is the tidal wave of Monat complaints online.
When I looked for Monat reviews I discovered that Monat has an ‘average’ rating on Trustpilot based on an aggregate of 2,454 reviews at the time of writing [source].
29% of the individual reviews are rated as ‘bad’.
Further research revealed 976 complaints made against Monat on the BBB website.
However, despite holding a A rating – BBB no longer accepts reviews since ‘several hundred’ customer reviews submitted within a 3 day period were suspected to be from Monat affiliates [source].
Reading through the Monat complaints, many of the issues pertained to the following points.
1: The Products Are Harmful
Many of the complaints come in the form of anecdotal reports of Monat’s products causing damage to people’s hair and scalp.
This comes in addition to the lawsuits that have been filed against Monat for such issues as listed earlier.
2: Market Partner Complaints
The other complaints were in regards to the opportunity to become a market partner.
With several issues pertaining to unexpected billing, difficulties cancelling and getting a refund.
Some others expressed concerns regarding how hard it was to actually make money as a rep (more on this below).
3: Contradictory Monat Reviews
Now, just to confuse matters a little…
The positive Monat reviews actually go against the grain of the Monat complaints.
With many users saying that they love the products and like the partner scheme.
My Thoughts On Monat
With such polarising Monat reviews online – it might be quite hard for you to decide if getting involved with the Monat business opportunity is worth it or not.
Well, I’ve reviewed many MLM companies over the years and I’m pretty familiar with the sort of problems that usually arise.
Here’s how I think the Monat biz opp stacks up.
1: Making Money Will Likely Be Difficult
Here’s the thing with MLM and network marketing companies.
It’s typically very difficult for anyone other than those that ‘got in early’ to make good money.
This is due to the ‘pyramid’ business structure.
Because although distinct from its illegal counterpart due to the presence of a tangible product – the skewed structure means that those nearer the ‘top’ have the biggest advantage because they typically have the largest downlines.
The problem with this bias is evident when you look at the income disclosure statement of any MLM company.
Where you’ll see almost without exception that most of the reps make pitiful amounts of money.
This is why network marketing companies will often try to keep their income statements out of the public eye.
In the case of Monat, you may be able to succeed as a Market Partner if you have access to a warm target market – if you were a hair stylist for example.
But you’ll still need to be recruiting regularly because the dropout rate for MLM schemes is usually quite high.
One way around this could be to get clients online – if your company allows you to do so.
Check out this FREE book here that shows you how to do MLM online.
2: Reputation Might Be An Issue
Selling the front end product associated with an MLM is usually hard enough.
Because alternatives – and even the exact same products in some cases – can usually be found on eBay or Amazon for a fraction of the price.
So many potential customers won’t want to buy from you directly.
In the case of Monat, this task is made even harder by the sheer number of people saying that Monat’s products caused their hair to fall out.
Now, many of the rebuttals that I read said that such hair loss was due to a temporary ‘detoxing phase’.
And true or not…
If I used a product that made my hair fall out – I’d bin it right away.
And I’m sure that 99% of others would do the same.
These are not the sort of buyer objections that you want to be dealing with when trying to sell someone on the already stigmatised MLM industry.
Conclusion: Not The Best MLM Opportunity
If you’re already sold on the MLM business model…
Then it’s my opinion that you may wish to look at a different hair/beauty network marketing company to get involved in.
Because the controversy surrounding their products is probably going to make your life as a distributor even harder.
But if you do think that you can make it work – I strongly recommend that you check out Network Marketing Secrets.
Because this FREE book by top network marketer Russell Brunson shows you the EXACT process for growing your MLM business online.
Which I think is the way to go with MLM in general because it allows you to automate the lead gen process using sales funnels.
This can save you from the hassle of face-to-face selling AND help increase your reach massively.
Russell for example, was able to get 1.5 MILLION new leads in just 6 weeks using the strategies he reveals in Network Marketing Secrets.
- Fairly good compensation plan.
- Poor product reputation.
- Difficult to make money due to the MLM business model.
What’s The Alternative to MLM?
If you’re totally new to MLM then I would actually suggest that you don’t get involved with network marketing at ALL.
Because it’s just so difficult for the average person to make any money.
I would instead recommend the affiliate marketing business model.
Because although you still need to put in work to build your business – it’s MUCH easier by comparison.
Plus, because there are no downlines involved, you aren’t relying on recruitment or the sales made by others to make money.
Also, there’s usually no need for you to buy the products before you promote them – all you need is your affiliate link and you’re good to go.
And if you click the button below…
I’ll reveal how I made 5 figures online from affiliate marketing and how you can get started on the same path for free.
I have been making money online since 2007.
By using a range of strategies that include:
Affiliate marketing, blogging, matched betting, casino-based advantage play, value betting, arbitrage betting, Betfair trading, online surveys, rewards platforms, forex trading, writing eBooks, dropshipping, and more.
(Each with varying degrees of success!)
I have previously worked as a project consultant and content creator in the ‘make money online’ and betting system niches for start-up companies.
But I now specialise in reviewing online money-making systems and products to see if they are scams or the real-deal.
Oh, and I’ve written more blog posts than what’s probably considered healthy!
I’ve created Online Income Solutions to help you get straight to the business of making money online – without wasting your time or money.