Dr Wallach’s Youngevity, Scam or Legit? Some Things To Know
Due to the business model Youngevity has and many of its distributors running rampant, you can’t really trust everything you hear about this business. Now is Dr Wallach’s Youngevity a scam??? I wouldn’t go as far to say that but what I will say is that there are some somewhat “unethical” business practices going on here.
I’ve received some questions about the legitimacy of this company lately so I finally decided to take a look into it and what you have right here is my review. In this review I’ll be going over some important things that you should know that the company and its many distributors aren’t going to tell you.
- Website: youngevity.com
- Founder: Dr Wallach
- Recommended?: Somewhat, more on this
Youngevity is a direct sales health and wellness company that was started by Dr. Joel Wallach. They sell a range of products in the health category but their “claim to fame” is what are called “Body Paks”, and I’ll be going over this a bit more in a second.
Besides the products, Youngevity also offers a business opportunity to anyone that wants to join. They are a direct sales company which means that anyone can join in as a distributor and make money selling their products.
In addition, distributors can also go out and recruit other distributors into the business and make money off of their efforts. This is the mlm part of it and this is what causes much of the controversy around this company.
Youngevity has a large range of products but they are all based around the health niche. They sell anything from essential oils, to shampoo, to coffee & chocolate, to their nutrient packed Healthy Body Paks.
As I said their Healthy Body Paks are their main product if you want to call it that. These packs are supplements that are based on the belief that your body needs 90 essential nutrients, which these packs include.
You will find some negative reviews on their products but mostly I would say the reviews are positive as far as the quality of the products.
The big downside is the price. Like most mlm businesses’ products, these are pretty pricey.
And just to give you and idea the picture to the right is of their Healthy Body Start Pak 2.0. It includes 120 tablets, 90 softgels, and 32 fluid oz and costs $115.
The Comp Plan
If you are looking to make money as a Youngevity distributor (aka an associate) then you are going to be interested in this.
As mentioned, this is a mlm business. And this means that you get paid not only to sell products yourself, but also to recruit new distributors into the business where you can earn money from their efforts.
When you sell products yourself you will profit the difference between the wholesale price and the retail price. You will buy at wholesale and sell at the markup retail price. Generally they say you can expect a 30% profit.
But the real money is in recruitment. While selling products is key, and you have to sell a certain amount of products each month to stay active… if you want to move up the ranks and unlock all that the compensation plan has to offer you have to recruit new distributors, aka associates, into the business.
There are 13 different ranks in Youngevity which include…
- Brand Associate
- Sales Associate
- Senior Associate
- 1 Star Executive
- 2 Star Executive
- 3 Star Executive
- 4 Star Executive
- 5 Star Executive
- Emerald Ambassador
- Ruby Ambassador
- Diamond Ambassador
- Black Diamond Ambassador
It is possible to move up to the 4th rank of Senior Associate without recruiting any other associates into the business, but after that you will need to. And even getting to that point without recruiting any would be difficult because reaching that rank depends on your GQV (Group Qualifying Volume), which is a measure of the amount of products your group (aka you and your downline) sells. And since you don’t have a downline you would have to sell a heck of a lot on your own.
The structure of the comp plan is uni-level. This means that you can recruit an unlimited number of people, they can recruit an unlimited number of people….. on each level.
The amount of commissions you will earn from each level depends on your rank. The higher rank you are the more you earn. This money will trickle up the pyramid structure from those recruited below you right to you.
If you want to learn more about the compensation plan you can watch this video that explains it in more detail. This is for educational purposes only and I do not own this video…
Pyramid Scheme Maybe?
I want to address this because I know I will get people asking. The answer is no Youngevity is not a pyramid scheme. They are a legitimate mlm. I know the line can be shady at times, and yes they do rely on recruitment as a big part of their business, but they still put adequate focus on product sales and this it what makes them legitimate.
They have been in business since 1997 and are still up and running. If they were an illegal pyramid scheme the government would have probably shut them down by now.
You can learn more about the difference between mlm’s and pyramid schemes in a post I wrote here if you wish.
Final Thoughts & What I Recommend
Youngevity is definitely not a scam. Its a legitimate company and offers a legitimate business opportunity but its not going to be a good fit for everyone.
I have reviewed enough mlm’s like this to know that only the top few make all the money. The majority of associates are unfortunately going to slave away at the bottom for little pay and many will give up. With mlm’s like this you need to recruit, recruit, and recruit some more to build up that downline and make money from their efforts.
The problems is that recruiting tons of people isn’t an easy task by any means and that is why there is such a high turnover rate in these sorts of businesses.
Only people with the right tool set seem to succeed in opportunities like this. It seems that they are the type of people with that salesperson type personality that can sell anyone on anything. And this is something that most people just don’t have.
I, for example, don’t have anything even close to the personality it takes to make it here. I just wouldn’t be any good at it. If you are like me then I would recommend you take a peek at how I make money online.
I make a living working for myself online, which I think is a pretty awesome job. You can learn more about it by clicking the link below that will take you to a post I wrote.
In the post I wrote I explain what it is that I do, how it all works, and how others can do the same.
Comments, questions, concerns??? Leave them below in the comment section and I’ll get back to you soon 🙂