Thought of sharing a few thoughts on MLM.
Even if they may not be illegal by definition, pyramid schemes and the likes had earned a poor reputation and for a good reason too! They are unsustainable once the plan or program starts to collapse and those at the pyramid top got most money of the latecomers.
As Roland Whitsell, an MLM researcher, puts that false hope as the strongest, most powerful motivational force today. I concur based on my personal experience that the perpetrators usually make empty promises or gives misleading impressions or deliberately withheld crucial information or simply lie in written form or even in direct conversations to persuade or have you signup their programs or plans for a sum of money, and in some cases, a very significant amount too! I have read of people who lost their house on an internet MLM high ticket program. Simply put, these programs all have at least one thing in common: Projecting false hope or lying. And of course, the greed and malicious intent to scam the victims of their funds.
Initially, it is possible the victims may not be aware of the falsity, half-truths or the perpetrators malicious intent. Remember, these are hardcore frauds who are deliberate and cunning, who dwell in the dark arts of scams and cons. These are people who are willing to say anything to part with your hard earned money. Once you are bought into the program, some will be more obvious than others that their program cannot stand on its own or deliver what they promise. The more crafty ones will plan to drag it out over span of weeks, while trying to convince and brainwash you into thinking their programs worked by repeating and posting fake or unrelated proofs or with positive reviews of more unsuspecting new ‘innocent’ recruits. Earning ‘proofs’ that may not be sustainable or unrelated to the core trainings may be used to lure and convince existing members and newcomers. In any case, as time passes, the truth cannot be hidden anymore. The main perpetrators may start to contradict himself and perhaps catches these contradictions early on if one is wise. Eventually, when the program doesn’t work after one had invested his time, effort and money, the perpetrators may start ignoring the enquiries in an attempt to buy more time or hope that you will forget about it and just let them keep your money. Or provide a contradicting answer when cornered, at which time either way, you should know better. Look for contradictions or what he is not telling you.
In short, you will find out the truth soon enough, and hopefully sooner than later if you keep a clear, level head, do not be swayed by all the hypes and just empty motivational talks with no substance, and importantly, take a step back at certain milestones, to check, to reevaluate, to re-strategise, if this MLM program is working or not and why not. Is it really delivering as promised? Is it ethical and moral? If it is not, admit it. Time to quit and move on. I’m not saying it is easy, but do your best not to be scammed or rip others!
Based on my personal experience, none of the MLM program worked for me, even when I put in the required efforts. By MLM programs, I also consider those that may claim to work by selling their own independent products without necessarily selling their memberships or affiliate commissions off new recruits, but actually their own independent products do not work or sell and most money are made through recruiting new members than any other means. These programs may just be MLMs avoiding that term to avoid suspicions. These programs can cost as little as less than $20 monthly to a fixed high fee of more than four thousands or even high tickets 25 thousands and more! And their training may be hours and hours of mostly just persuading to investing tens of thousands with motivational talks and videos luring false hopes and overly aggressive sales tactics.
Remember, what single internet purchase that had not been valued by an authentic, certified valuer is worth your house value?
Other synonyms for MLM may include pyramid selling, network marketing, referral marketing or direct selling. Outright illegal ones are also coined as Ponzi schemes, chain letter schemes and consumer fraud scams.
Sometimes nowadays, I think an MLM may not be obvious at first glance, especially when those responsible for the program proclaim a system that worked but actually doesn’t or hardly and the great significant of money flows from the new recruits instead.
This post and subject deserve a place of its own, simply too many, too much had been swindled, ripped and scammed. Some who could have been innocent newbies, lured and brainwashed in steps and over time, to the point of being just as deceitful, malicious and greedy as the program creators once they start telling themselves they are too deeply invested and crossed the point of no return. It is never too late to admit our own wrongdoing and immediately change this moment forward! Don’t wait! Our earth time is too precious to be wasted this way!
Moreover, these MLM programs may often be deliberately designed in such a way as to protect themselves with clauses and agreements, even legal agreements or documents, much to the mental distress and incessant worrying of the victim. Of course, what was mentioned in the documents may very well be different or omitted from what was conveyed over the phone.
From another angle or perspective, why complex and exaggerated downlines compensation schemes and not just simple selling of good quality products or plans such as Apple products or Amazon Kindle Plan or the likes? Keeping things simple, we may at times see more clearly through the intentions and schemes of others.
Conclusion: I am with WordPress on not promoting MLM programs. My advise is to stay away!