The Truth Behind Multi-Level Marketing (MLM)

A funny video about multi-level marketing. But it’s sad how true it is. It covers all the talking points used with distributors, as well as the truth behind those catch phrases and platitudes. All the claims about how it’s simple to start with family and friends, how you can get a free a car, how you can make as much money as you want if you’re willing to work….


  1. morningstar

    Every line is very funny and true. Love the change to the clips of the RAH RAH meetings! How the premise of friendship is to buy something! And the jokes about the pyramid analogy. The fact that young people are in the video will speak volumes to the hopeful MLM people who are trying to recruit them.
    And the dough nut hole tree – HA HA. All gave wonderful true takes on the world of MLMs.

    1. MLM Radar

      When I was a kid I saw a news broadcast about pyramids and Ponzi schemes. The commentator illustrated the fatal flaw in the endless recruiting chain: “You recruit someone every 3 days, and so do each of your recruits, and their recruits, and the recruits after them…

      “Now assume the best possible situation: Everyone signs up. Everyone wins!

      “Except for one problem. The chain grows geometrically with each new round of recruits. Every new level has 3x or 5x or 10x or 20x the number of recruits as the level above it.

      “Within a few short weeks the chain collapses under its own weight, because every man, woman and child on the planet has been recruited.”

      I got the message. MLM isn’t a business. It’s a fraud masquerading as an opportunity.

  2. enorth

    I saw a sad video where the young woman explained why she left a certain makeup MLM.
    – She used her tax refund money to buy the starter kit; she used the rest of the refund later to “buy” her way up to the next level because she was stuck.
    – Worked her tail off, but no sales. She resorted to discounts and free shipping, so she lost any profit.
    – No reorders. None.
    – She found out the B&A pictures from other reps were Photo-shopped. The makeup didn’t make anyone’s skin look flawless.
    – After she went out of business, a friend told her the only reason she had bought an item from her was as a favor…”your products were way overpriced.”

    This scenario is repeated in all MLMs. Mediocre products that are obscenely overpriced. Your family and friends buy something as a favor, as they roll their eyes.

    Every MLM says it’s “different.” It’s not.

    These companies know there won’t be reorders, so many of them try to lock you in with Preferred Customer programs with piddly discounts. Except you’ll be stuck in auto-ship hell and you’ll probably have to cancel your credit card to stop the nightmare of double-shipments and wrong shipments. Gee, you received something you didn’t order? Yes, you can return it to us. But you’ll pay for shipping both ways, plus a re-stocking fee. Your distributor didn’t tell you she signed you up for the Loyal Customer program? Not our problem. You can cancel the program…for a $50 fee.

    Wait. Want to “save” even more money? Just sign up as a distributor! Because THAT was the real goal all along.

  3. Jason Houston

    Great video EVERYONE should see, both in and out of MLM. I would love to reshoot this in English, and be a little less frugal about identifying the bad guys!

  4. Char

    Here’s another fun one – “Door Knockers”. So typical. I had a new MK MLMer from the neighborhood knock on my door. I told her I don’t do or support MLMing fraud and directed her to Pinktruth. She lied and said her internet was down and said MK wasn’t an MLM. The company taught her to lie straight out of the gate. Poor thing.

    It’s a white Mercedes instead of a pink Cadillac! Yes, MK consultants, the rest of the world views you as annoying and desperate. You are not respected being an MLMer – no matter what your upline tells you.

    This is not to say the “willing victims” are not trying to improve themselves and be independent women. But, this will never be achieved in MLM, a fraud, where 99% of people lose; and the other 1% of “successful scammers” make money via deception and preying on others. Downline MK MLMers, that is you!

    1. enorth

      These videos are great and need to be plastered all over social media.

      I just listened to an Australian woman vent about why she left Younique. Products became crappier and more expensive. Whenever she voiced her opinion, she was told, “It’s your fault, you have a bad attitude, you’re using the wrong words…” When new products came out, reps with early access were buying large quantities to “promote” themselves up the ladder, and then re-selling the products to other reps. “They bring you in with promises of cars and holidays. There are no cars, and there are no holidays. I was spending more than I was making.”

Comments are closed.