Welcome to my review! Is Arbonne MLM a pyramid scheme? Or is it a legit business opportunity to make money selling health and fitness products? Should you join or not?
Arbonne is a company that sells health and wellness-related products.
They claim that all of their products are vegan, and they use the best ingredients that money can buy.
On top of it, its mission is to transform lives through pure botanical-based ingredients in scientifically tested products.
Another way to describe this company is that Arbonne is an MLM business.
MLM, or as we all know Multi-Level Marketing, is a legit business opportunity to make money online by selling other people’s products or inviting someone to do the same so that you can earn money from their efforts.
However, not all MLM is legit because some of them are scams or pyramid schemes in disguise.
Now the question is, is Arbonne one of those pyramid schemes/scams, or is this a legit business to make money online?
Hi, I’m Ivan and I’m an online marketer who went from losing my time waiting tables to running a thriving online affiliate marketing business.
In the meantime, I have actually tried and reviewed 600+ courses, scams, and even pyramid schemes to find the very best way to generate income online.
Throughout my Arbonne review, you can rest assured that you will get an honest and unbiased review from me.
Also, I will answer all your questions about this MLM. It should give you a clear understanding of the company and see whether Arbonne is a pyramid scheme or not.
Arbonne MLM Review
- Product Type: Arbonne
- Owner: Petter Mørck
- Price: $49 registration fee and a yearly fee of $29
- Recommended?: No
Overview: Arbonne is a company that you can join and become a part of their direct selling team. In other words, it is an MLM (multi-level marketing) business.
And because of this, many people call Arbonne a pyramid scheme.
So is it a pyramid scam? That question has been answered in detail in my Arbonne MLM review. But if you’re in a hurry, I can save you time and say that it’s legit.
But like every other company that uses this model, it has problems. Keep reading my review to learn more before you make your own decision.
Alternative: If you’re a newbie who is looking to earn passive income online, there are other, more beginner-friendly, and cost-effective alternatives. My top-rated affiliate marketing course has helped me to go from earning $0 to $100’s per day!
THE BEST WAY TO MAKE MONEY ONLINE IN 2023 >>
What Is Arbonne?
Arbonne is a company that sells health and wellness products such as makeup, nutritional supplements, hair care products, and skincare.
The company was founded in Norway in 1975, but in 1980 Petter Morck, the co-founder of Arbonne set up its headquarters in Irvine, California.
In 2018, the company was owned by Yves Rocher worldwide health and beauty brand, and they claim to be making over $500 million in Revenue.
Besides the U.S., the company now operates in several countries like the United Kingdom, Canada, Poland, Australia, New Zealand, and Taiwan.
What Is Arbonne MLM About?
Arbonne is an MLM business whose major function is to sign you up, get you to acquire a product kit, and then get you to sign up your close friends, family members, and also colleagues to do the very same.
Truth be told, it’s advertised by many high-degree network marketing members that allegedly make a lot of their cash in the program by getting other people to join.
These people are supposed to show you exactly how to become an effective “Multi-level marketer. However, sadly most participants barely make any type of money promoting their items.
That’s just a fact…
So how does it work? Can you make money at all? Keep reading my Arbonne MLM review to learn everything you need to know before you make your own decision.
Is Arbonne a Pyramid Scheme?
But before I get into more details on whether Arbonne is a pyramid scheme or not, let’s learn what a pyramid scheme really is.
What is a Pyramid Scheme?
According to Wikipedia, “A pyramid scheme is a business model that recruits members by promising payments or services in exchange for enrolling new members into the scheme, rather than providing investments or product sales”.
Below is a super-helpful YouTube video that shows how they work and how to spot one!
So Is Arbonne a Pyramid Scheme in Disguise?
Because participants make money both by offering products as well as recruiting new members, then it is risk-free to say that Arbonne is not a pyramid scheme.
However, a company cannot sneak its way out of pyramid scheme allegations by pointing out that it still sells products, even if they are to its distributors.
Also, you must make 70% profit from retail sales to the general public, not interior sales from your workforce.
However, the company doesn’t have a workforce as they only have independent contractors that are not employed.
This is why some people might think that Arbonne is a pyramid scheme because of how their company works.
There is no limit on how many people you’re going to invite, and once you have enough people in your downline, it is time for you to form a team.
You’ll earn a commission if one of your people invites someone to join, and you’ll also earn money if one of your people sells a product.
This is how Arbonne works to recruit people who will work for you in a pyramid structure.
This is why some people wonder if Arbonne is a pyramid scheme.
Selling products is not enough if you work for an MLM company and the only way for you to make big money is by recruiting.
You see, the pyramid structure of the company is the only way to make real money if you are at the top of the pyramid.
The same goes for your downline if they recruit other people.
You’ll receive a commission on any of the sales that any of those Arbonne consultants make.
However, if you haven’t recruited anyone, the only way to make money is from the commission on how many products you sold.
Before you can do so, you much actually join the scheme. And in the next part of my Arbonne MLM review, I will show you how you can do exactly that!
Related Review: Is Tupperware a Pyramid Scheme?
Is Arbonne MLM A Scam?
No, Arbonne MLM is not a scam in my review. The company sells legit products for you to sell and make some money.
Arbonne also pays you a commission for every product you sell. The company also gives you bonuses if you recruit more people into the MLM company.
However, some people think that Arbonne is functioning as a pyramid scheme through the use of legal tricks.
Someday, the law will catch up to these companies that are using this kind of system.
We don’t know if maybe one day the FTC and other relevant authorities will find out their tricks and that the day will come when the law is changed so that companies such as Arbonne will no longer be able to do what they are doing.
That is why I don’t recommend Arbonne MLM to you or anyone else.
Also, the reason why I don’t recommend this company to you is that it will cost you a lot of money as you already saw how much you need to spend to earn a commission.
Yes, it is a work-from-home opportunity, but it doesn’t mean it’s right for you.
Alternative: On the other hand, if you’re looking for the best business model to earn passive income online as a beginner, there are other, more suitable, and cost-effective alternatives.
My top-rated course has helped me to go from earning $0 to $100’s per day!
THE BEST WAY TO MAKE MONEY ONLINE IN 2023 >>
How Does Arbonne MLM Work?
Arbonne doesn’t advertise its products. Instead, they let their distributors do the work as they will advertise the products.
The distributors will advertise those products through social media by making a video and show it to people how the product works
If the distributor sells a product, they will earn a commission, and they will also earn money by recruiting other people to join the company.
Each person they recruit becomes part of their downline, and each person the distributor recruits will receive a bonus.
The same goes with the downline every person they recruit will receive bonuses.
In short, the more people that you invited, the more money you’ll make, but that depends on how many people you invited.
Arbonne Product Line
Here are the products that Arbonne offers.
- Plant-Based Nutrition Supplements
- Bath & Body Spa Products
- Botanically-based anti-aging skin care for women & men
- Botanically-based cosmetics & hair products
- Sports Nutrition Products
- Baby Care Products
Are Arbonne Products Safe?
When you read Arbonne’s reviews, you’ll discover that some people grumble concerning negative effects. These adverse effects are caused by the ingredients in the formulas, not by the items themselves.
For instance, due to the fact that glucomannan is a fiber, it can trigger gas and also bloating. Any kind of severe negative reaction might suggest trouble, so seek clinical help if you think you’re having one.
But generally speaking, Arbonne products are safe to use.
With that out of our way, let’s get into the next part of my Arbonne pyramid scheme/MLM review to learn how you can actually leverage this business to make money.
How To Make Money With Arbonne MLM?
Just like most MLM companies, there are 2 ways you can make money from Arbonne, and that is by:
- Selling products and making a commission
- Recruiting people into the MLM program and earning commissions for the sales they make.
With Arbonne, their main focus is on recruitment or signing people up for the Arbonne MLM.
You see, Arbonne reps got huge bonuses and promotions from recruiting, and the more people you recruit, the more money you will make.
So why bother selling products when selling the business opportunity is much more lucrative?
Commissions
These are your profits from personal sales to Preferred Clients & Clients.
- Full Retail Value (RV) = 35% commission on sale
- Preferred Client Discount = 15% commission on the sale
- Consultant Discount = 0% commission on the sale
Overrides
These are your earnings from the sales of your team.
Awards
Arbonne Consultants may be eligible for awards, incentives, and recognition programs in addition to the business opportunities:
District Manager = $200/Month
• $5000 Group Volume + 5 NEW Independent Consultants with $150 PRV order in their start month in your CENTRAL District.
Area Manager = $400/Month
• $20,000 Group Volume + 10 New Independent Consultants with $150 PRV order in their start month, in your CENTRAL Area.
Regional Vice President = $600/month
• $60,000 + 30 New Independent Consultants with a $150 PRV order in their start month, in your CENTRAL Region.
Below are some highlights of their income disclosure statement released in 2020:
- Based on team sales volume, Arbonne Consultants at the Vice President level were eligible for the VP Success Award (a monthly allowance starting at $200 to be applied toward the purchase or lease of a white Mercedes-Benz). The VP Success Award was given to less than 2% of Arbonne Consultants.
- The NVP Leadership Meeting incentive trip to Wailea, HI was open to 577 Arbonne Consultants at the National Vice President level, with 565 earning the trip.
- The NVP Challenge trip 40th Anniversary Adriatic Cruise was open to 549 Arbonne Consultants at the National Vice President level, with 28 earning the trip.
- There were 13,331 Consultants who applied for the Arbonne Incentive Trip to Atlantis, Bahamas, and 1,161 were chosen.
- In 2019, 357 Arbonne Consultants at the National Vice President level were eligible to earn paid round-trip travel and a hotel suite at Arbonne’s annual meeting (GTC) in Las Vegas, NV. This event was canceled in 2020 due to pandemic restrictions.
Can You Make Money With Arbonne MLM?
You can still make money selling Arbonne products to the general public, but that depends on you.
The problem here is that Arbonne doesn’t release any data on how much you will get on selling those products to the public.
That is why I cannot say how they square up on the 70/30 scale as far as retail sales are concerned.
The 70/30 means that 70% of a company’s profits must be made through retail sales of the product rather than recruitment.
You see, every Arbonne consultant is spending over $100 per month on a product, so it is highly likely that the consultants themselves are the main customers and not the public.
How Much Can You Earn With Arbonne MLM?
Arbonne is an MLM company, so like how other MLM companies operate, you can make money with this company by selling and recruiting.
With Arbonne, there are four different ways to earn money.
- Retails Commissions – As an Arbonne Independent Consultant, you can earn between 15% to 35% on all product sales you make. This commission is paid weekly.
- Override Commissions – This commission is paid monthly. With the Arbonne Override Commissions, you can earn a percentage of the total product sales of your team.
- Mercedes Benz Cash Program – Qualified independent consultants, can get a white Mercedes Benz paid for by the company.
- Arbonne Cash Bonus Programs – There are different ranks that you can achieve in Arbonne based on your sales performance.
By unlocking each position and meeting the requirements, you can earn cash bonuses of $100- $600.
You unlock higher rank positions by recruiting people and building a sales team that will help you sell Arbonne products much faster.
Related Review: Is Young Living a Pyramid Scheme?
Alternative: On the other hand, if you’re looking for the best business model to earn passive income online as a beginner, there are other, more suitable, and cost-effective alternatives.
My top-rated course has helped me to go from earning $0 to $100’s per day!
THE BEST WAY TO MAKE MONEY ONLINE IN 2023 >>
How Much Does It Cost To Join Arbonne MLM?
To become an Arbonne MLM Independent Consultant, you have to pay a $49 registration fee and a yearly fee of $29.
However, you won’t get any products yet, and it is pretty much impossible to start a business without products.
But you’ll get discounted value packs from between $270-$500 with a whole range of products for you to try out and use to market.
However, the costs don’t stop there, and there is something that you need to know.
Hidden Extra Costs and Fees
You see, most MLM will tell you that the best customers are the distributors.
Also, most MLMs manage to avoid being caught as pyramid schemes because they have products to sell.
However, the question is who is buying the products? Is it the general public or the distributors themselves?
Both of them buy the products, but the distributors themselves are the ones who buy the most because they are the ones selling.
You see, with Arbonne, every consultant must spend a certain amount of money on their products every month to remain active and earn any commission.
If you don’t spend money on the company each month, you won’t earn any commission from your sales.
So How Much is This Minimum Amount to Remain Active With Arbonne?
To remain active, you need to generate 150 PQV worth of products with your Arbonne account each month.
1 PQV point is the equivalent of 1 USD.
PQV (Personal Qualifying Value) is a points system, and in the US, for every $1 you directly spend on the products, you’ll earn 1 PQV.
That means that you need to spend $150 on their products each month to remain active and for you to earn a commission on sales you make.
There is a way to reduce your spending, and that is by signing people up.
You see for each person that you sign up underneath you, and if they purchase a product, you will earn PQV points.
If you didn’t invite someone into your downline, you’d be back spending again.
This is also another trick that Arbonne exploits. Pyramid schemes pay people to recruit others.
Arbonne gives you cash bonuses and increases your commission.
You also get promoted by recruiting people, not as a cash reward, but as a financial incentive to focus on recruitment.
Related: Modicare MLM Review
What I Like About Arbonne MLM
Proven background
It began in America in 1980. Any kind of business that has actually been running for 40 years must have some reliability to it! As well as if Arbonne was a pyramid scheme then the FTC would likely have actually closed it down years back.
Social media site advertising abilities
Every Arbonne specialist gets their own “ready-made website” when they sign up with. There are certainly some details concerning exactly how to make use of social media sites as well.
Concentrate on personal growth
Arbonne in fact has a yearly event in Las Vegas to supply training (and also entertainment) to its consultants. The excellent point is that you can in fact earn a “paid for” trip there if you hit a specific sales quota for the year.
What I Don’t Like About Arbonne MLM
Pricey products
This is my number 1 red flag for any kind of multi-level marketing firm. When there is a big markup in prices contrasted to options that exist in the real world this makes it look like a scam.
Covert regular monthly expenditures
To stay energetic as an expert you need to sell 150 PQV every month. If you don’t do this you are getting rid of the commission structure and also you won’t be able to make any type of cash whilst you are suspended.
But do not worry Arbonne will certainly assist you… You can make a monthly “auto-ship” order. Essentially, you can set up a standing order of $150 worth of products on a monthly basis so that you continue to be active.
Arbonne proceeds to earn money on a monthly basis as a result of who their largest consumer/ consumer is … their very own consultants!
Arbonne is a pyramid system in disguise
There are even real people like Cynthia and Michael Dagnall that really sued Arbonne for being a pyramid plan in 2017. Yet this case was settled in 2018 out of court to move the accusation under the carpeting.
When you really recognize the 2 concealed realities you can see why Arbonne is extremely similar to a “pyramid scheme in camouflage”.
The main means experts can stay clear of losing cash every month from their auto-ship is by hiring even more individuals and also “passing the dollar” to them!
Just 1 in 256 make more than $18k a year
Only utilizes the 13% of professionals that made some money in 2014. With some fundamental mathematics, you can see that just 0.39% of all specialists made greater than $18k in 2014.
That implies just 1 out of 256 specialists makes over $18k each year!
Arbonne MLM Review – Pros
- The company has been around since 1980
- Every consultant gets their ready-made website when they join
Arbonne MLM Review – Cons
- Expensive products
- Cost you a lot of money
- A pyramid scheme in disguise
- Focus on recruiting
Related Review: Is DoTerra a Legit MLM Company?
Arbonne Reviews, Complaints & Lawsuits
In November 2009, Arbonne International LLC was accused to have broken government law by the USA District Court for the Southern Area of Indiana.
Lisa Wilson was turned down for a task as a result of her special needs (deafness). Arbonne accepted to pay Wilson a $30,000 negotiation and execute anti-discrimination plans as well as training.
In May 2017, Cynthia and Michael Dagnall filed legal action against Arbonne in Orange Area Superior Court. They asserted that the business was a pyramid system.
On March 20, 2018, the Arbonne Pyramid System Class Action Suit was dismissed.
Also, you can find lots of videos on YouTube where some Arbonne MLM consultants are exposed for making overhyped claims to sell more products…
Arbonne Pyramid Scheme Review – Conclusion
In my review, Arbonne MLM company is good as they have been around for more than 40 years, and they are still running to this day.
The company also offers a 45- day money-back guarantee on all their products, which is good.
But I don’t recommend this Arbonne because it might be a pyramid scheme in disguise and costs a lot of money.
The ability to make money is based on your ability to get others to sign up instead of selling the products, and most people who try to earn money this way fail.
Related Review: Is Herbalife a Pyramid Scheme?
Final Words and HONEST Recommendation
MLM is legit as long they offer good products, and you can earn some decent money.
My problem with MLM is that it is expensive, costs a lot of money, and even though they have products for you to sell, you will still be forced to recruit other people because that is where you will earn big money.
Recruiting is the main focus of every MLM company because that is where they will get their money.
Recruiting is hard because not all of them will join you, so you will end up selling the products.
But what if you don’t get sales? Well, you’ll end up quitting, and the money that you spend joining the company will be gone to waste, and I don’t want you to end up like that.
Thanks for reading my Arbonne MLM review. What is your opinion? Were you a part or maybe still are a member of this business?
Feel free to leave your reviews at the end of this page!
Related Review: Infinitus MLM Exposed
Is There a Beginner-Friendly Alternative to Arbonne?
If you do not want to lose your time or risk your tough-earned money, you may ask yourself if there is a better model than Arbonne MLM. And the answer is, YES!
It’s called affiliate marketing and it is the best way for newbies to get started online.
The reason why it is great for newbies is that you can run your service virtually at no expense. Most importantly, you do not need to invest in creating and creating any products.
For all those reasons, people who are just stepping into the world of online advertising, are discovering affiliate marketing and are jumping on board!
But you might be asking yourself, is affiliate marketing profitable? Or even, where can you start?
Well, keep reading to learn more…
Related Review: Is Amway a Scam or Legit?
How I Make Money With Affiliate Marketing
I earn online by creating simple affiliate websites that I use to connect people with products they are already looking for.
It requires no special skills or previous experience, which makes it the best way to start online.
The best thing about affiliate marketing is that it is passive in terms of results and income.
In other words, you could be earning an income from your affiliate website for years and years to come, even when you sleep.
If you want to learn more about how you can start making money online with affiliate marketing, click the button below!
After evaluating over 700+ programs on the web, my conclusion is straightforward. This is the best way to start earning passive income online.
And if you’re looking for the very same, I’ll see you on the next page…
THE BEST WAY TO MAKE MONEY ONLINE IN 2023 >>
And don’t forget to share this review with your friends and family!
Thanks for reading my review of the Arbonne pyramid scheme/MLM!
All the best, Ivan @freeaffiliatemarketingbusiness.com
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