Is Arbonne a Scam? Here’s Why More Than 90% FAIL (With Proof!)
Welcome to my Arbonne review!
Chances are, someone (either your friend or family member) has just introduced to you an amazing business opportunity with this company called Arbonne.
First of all, I must Congratulate you for taking your time to do your own research before buying into any "seemingly good" product.
That's the way to avoid scams and find the legitimate way to make money online!
Arbonne claimed themselves to be the #1 global brand in healthy living.
This is a really bold claim.
Is it really true? Or is Arbonne a scam?
Here's the truth...
Arbonne Review Summary
Product Name: Arbonne International
Founder: Founded by Petter Mørck in 1975
Product Type: Health & Beauty MLM Company
Price: $79 registration fee + $30/year + Monthly Autoship
Best For: Ladies who are good at networking and recruiting people
Summary: The good news is that Arbonne is a legit MLM company and it's possible for you to make a living with them. However, take note that this is actually just another typical MLM company where you need to do a lot of traditional recruiting, hosting home parties, that kind of stuff. So, I definitely wouldn't recommend it.
What is Arbonne?
Arbonne is an Irvine, California based health & beauty Multi-Level Marketing (MLM) company.
They have been in business since 1975 and they're now operating in 7 different countries, including Australia, Canada, New Zealand, Poland, Taiwan, United Kingdom & United States of America.
Everything seems good on the surface, but one ugly truth is that their ex-holding company, Natural Products Group LLC, actually went bankrupt is 2010.
Product-wise, they claimed that their products are not just pure, safe, beneficial, but are also botanically-based.
They even have a "Not Allowed List" of more than 2,000 ingredients.
I know this can be appealing to many people but to be honest, every company is claiming the same things - natural, organic, non-toxic, science-based, clinically-tested...
Do you really know how many healthy & beauty MLM companies there are?
I've personally reviewed many MLM opportunities.
Let me tell you, when you're aware of all these different, yet similar, MLM companies, their claims won't be so compelling to you anymore.
When you discover all these, you'll realize Arbonne is actually just another typical MLM company and there's really nothing special about it.
Arbonne Product Line
Just like the above-listed companies, Arbonne also has a wide range or overpriced products.
Let me just list out the major categories for you:
- Skincare - Facial cleanser, sunscreen, eye cream, toner, etc.
- Bath & Body - Essential oil, hand wash, lotion, lip balm, mask, etc. (For 100% natural essential oil, see Young Living)
- Makeup - Eye liner, makeup primer, mascara, lip stick, etc.
- Nutrition - Protein shake, energy sticks, snack bars, immunity booster, etc.
- Hair - Shampoo, conditioner, hair spray, hair serum, etc.
To be honest, these products are really really common among MLM companies.
The worst part is that you'll never know which company's products are the best and which are just hype.
So, why waste your time on such things in such saturated market?
I Created My Own 4-Figure Monthly Passive Income at just 21 Years Old!
How to Make Money with Arbonne?
Just like any other MLM companies, there are 2 main ways for you to make money with Arbonne:
- Sell their products and earn retail commission
- Recruit members and build your downline teams to earn overrides and bonuses
However, in order to qualify for commission, there are certain requirements...
How to Get Started with Arbonne?
First of all, you have to pay a $79 registration fee which comes with a basic starter kit (training & materials to help you get started with the business.)
On top of that, there's a $30/year annual recurring fee starting from the second year.
However, all these do not come with any products.
As a distributor of Arbonne, you also need to purchase the products on your own. If not, how are you going to promote them?
For starters, there are value packs which cost anywhere between $270 to $500 for you to choose from.
Last but not least, in order to stay active and receive commissions, you need to meet the monthly order requirement, also known as autoship.
So, the startup costs can easy add up to a few hundred dollars, excluding the monthly recurring orders you have to purchase.
Arbonne Compensation Plan (SuccessPlan)
There are 4 main ways for you to earn commissions from Arbonne:
- Client Commissions - This is the retail commissions you earn when you sell products to your clients (35% for normal clients & 15% for preferred customers)
- Overrides - This is the commissions you earn based on the performance/sales volume of your downline teams
- Mercedez-Benz Cash Bonus - One year lease of white Mercedez-Benz for distributors with a "Vice President" rank based on his/her team sales (What's funny about this is that it's just a lease, LOL. Some other MLMs offer dream car rewards)
- Other Cash Bonuses - Similar to other MLM, there are various types of bonuses depend on your personal or team sales performance
One major problem I found for Arbonne is that when you're just starting out, you can earn commissions from your downline's downline (as shown in the screenshot below):
You can only earn 6% overrides from your direct referral, which is your immediate downline.
Beyond that, you earn 0%. In other words, you can't leverage the benefits of a "Multi-Level Marketing" structure for passive income.
Multi-Level overrides are only eligible when you have climbed to certain ranks.
For detailed compensation plan explanation, please refer to the video below:
Also, I've found an interesting video teaching beginners how to promote Arbonne products.
So, if you're considering Arbonne, you may want to check this out:
Arbonne Ugly Truths Revealed!
1. Recruiting, Recruiting, Recruiting...
Arbonne is just a typical MLM company that focus a lot on traditional recruiting.
Here's the proof...
When you join Arbonne as a distributor (after paying at least $79), this is one of the things you're taught to do - Create your 100 person list...
If you have experience in MLM/network marketing, you'll be familiar with the "Warm Market Money Jogger".
In other words, you're required to come up with a list of 100 people whom you think will benefit from health & beauty products and/or the business opportunity to make money with Arbonne.
What does this mean?
It means you're going to pitch to your friends and relatives and try to sell them products or recruit them into this business.
The most common strategy Arbonne teaches its consultants is to host home parties and invite your friends and relatives to come.
To be honest, such strategies are really getting outdated.
Ask yourself honestly, is that what you really want to do?
Since there's a huge focus on recruitment, many people call Arbonne a pyramid scheme.
As a group, the consultants may sell a limited amount of products at retail, but the bulk of the money paid to the consultants comes from other consultants.
In other words, consultants are feeding off the money paid by other consultants.
But I wouldn't say it's a pyramid scheme as they're still selling real products. And if it is a pyramid scheme, it should be shut down by FTC long ago.
2. Lose Your Friendships & Relationships
One major problem with such traditional recruiting is that many people's friendships and relationships are jeopardized.
There's a high chance that people joining such business opportunity will end up in the "NFL club".
No Friend Left Club!
I'm not saying it will always happen and there are still many people who can succeed, but it can happen to many others as well due to the lack of training on how to properly promote Arbonne's products & business opportunity.
3. Spend More Than You Earn
This is another problem with many MLM companies.
Most MLM companies require distributors to purchase lots of products and most likely on a monthly basis.
However, this is the exact reason why many people not just fail but get into further debt with MLM.
Take a look at the following screenshot:
They are encouraging you to spend beyond your ability because they call that an investment.
I agree this can be a motivation for some to work hard and eventually succeed. But the rate of succeeding is really low (which I'll prove to you in just a second).
Majority of the people continue to struggle financially.
If you have friends doing MLM, you can ask them.
4. Most People FAILED!
The is the real harsh truth...
Most consultants lose money, while only top executives are profitable.
Take a look at their income disclosure statement in the screenshot below:
- 62% of active Arbonne consultants earn an average of $788 in the year 2017
- 28% of active Arbonne consultants earn an average of $3,450 in the year 2017
In other words, 90% of the consultants are not earning an sustainable income.
$3,450 per year is equivalent to only $287.50/month. I guess that's just enough to pay most people's monthly bills, right?
However, I'm personally earning 4-figure monthly passive income at just 21 years old without any College degree or working experience.
What's Good About Arbonne?
1. Long History
Arbonne has been in business since 1975.
Although it had been through bankruptcy, you just can't deny the fact that this company has been around for more than 40 years.
If it's really a scam or pyramid scheme, it should be shut down long ago by FTC.
2. You Can Make Money (Only if you do it the right way!)
As you can see, I'm really being honest and tell you the truth here.
It's possible for you to make money. Below is an example of a success story:
This person called Lynne has been an Arbonne consultant since 2008 and she has been consistently clearing $5,000/month.
But as you can see from her sharing, she didn't make it using the traditional way of hosting parties.
Instead, she is really working from home leveraging internet marketing to grow her MLM business.
To be honest, most people doing MLM are really not "working from home" because you need to go out everyday to meet clients and prospects.
If not, you just need to go out there are network with people.
In order for you to own a real home-based business, you have to leverage the internet, which is what I have been doing since 18 years old.
Just take a look at companies like Now Lifestyle, they are integrating the traditional MLM with Internet Marketing.
That's the future of MLM, not the traditional home parties and recruiting!
3. BBB Accredited & Member of DSA
One last thing is that Arbonne is accredited by Better Business Bureau (BBB) with an A+ rating:
This is a good sign showing that they have good customer service or they don't receive much complaints.
Also, they're a member of the Direct Selling Association (DSA), which further proofs that it's not a scam or pyramid scheme.
Is Arbonne a Scam?
No, Arbonne is not a scam because:
- It has been in business for more than 40 years
- It is accredited by BBB with an A+ rating
- It is a member of DSA
However, I wouldn't recommend you to enter this business unless you're really good at networking & recruiting or you know how to leverage the internet to generate leads.
If not, you'll most likely be the 90% who earn less than $300/month.
That's just the harsh truth of traditional MLM and recruiting.
Internet is the future my friend!
How I Make a Living Online...
I'm not a fan of MLM, not because it's illegal or not profitable, but because of all the restrictions and the expensive costs involved.
Instead, Affiliate Marketing is my top recommended business model for anyone to make money online.
The reason is simple...
- You don't have to recruit anyone to make money
- You have the freedom to promote any products you want and not being restricted to only promote the products from one MLM company
- It's Free to get started
In fact, with affiliate marketing...
I've personally created a 4-Figure Monthly Passive Income Stream and become financially independent at just 21 years old without any College degree or working experience!
Through my own hard work, I went from a broke restaurant waiter to living my dream laptop lifestyle in less than a year's time...
If you want to discover the secrets of how I did it at such a young age, click here!
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