Is Shaklee a Scam? (Another Health MLM System Exposed?!)
Welcome to my Shaklee review!
Chances are, someone has just introduced to you certain products by Shaklee or telling you that there's a great business opportunity for you to make a living with Shaklee.
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!
Shaklee claims to help you generate both health & wealth with their top notch products and lucrative business model.
Is it really true? Or is Shaklee a scam?
Let's cut straight to the point...
Product-wise, Shaklee is a pretty good company because they have some reliable certifications which I'll show you later.
But income-wise, I don't think Shaklee is the best business opportunity for you to make money...
Shaklee Review Summary
Product Name: Shaklee
Founder: Founded by Forrest C. Shaklee in 1956
Product Type: Health & Wellness MLM Company
Price: Varies depending on your status (can cost up to a few hundred dollars to start)
Best For: Moms, Housewives, Parents...
Summary: Shaklee is a pretty good MLM company selling eco-friendly & health-related products. But if you're here for the money, unfortunately it's not as easy as it claims and there's an expensive startup cost for you to get started.
Recommended: Not really
What is Shaklee?
Shaklee is a popular Health & Wellness Multi-Level Marketing (MLM) company which was founded in 1956 and it's currently based in Pleasanton, California.
Over the past 60+ years, they've expanded to 7 other countries including:
Shaklee started with nutrition and weight management products. Now, it has expanded to beauty and home products as well.
In total, there are more than 200 products being sold by this company. It ranges from nutritional supplements, vitamins, protein to anti-aging solutions to shakes & bars for losing weight, to household, kitchen, laundry products, etc...
The main "unique selling proposition" of these products is that they're aiming for both benefiting the environment and our human body.
In other words, they strive for being healthy and eco-friendly at the same time.
I Created My Own 4-Figure Monthly Passive Income at just 21 Years Old!
How to Make Money with Shaklee?
Shaklee works like the typical network marketing company. You can make money by either selling the products or recruiting downline members.
But the only difference is that Shaklee has 4 different levels of membership. And the amount of money you can earn depends on which membership you're in.
Shaklee Membership Levels
Level 1: Customer (FREE)
This is just like a normal customer.
- No membership fees required
- Buy Shaklee products at retail price
- Cannot promote products to make money
Level 2: Member ($19.95)
This can also be known as a "Premium Customer"
- You pay a one-time fee of $19.95 to enjoy 15%~25% discount on your purchases
- No autoship or monthly order requirement
- Cannot promote products to make money as well
Level 3: Distributor ($49.95)
This is the membership level in which you can start promoting Shaklee's products and earn commission.
But here's the requirement:
- You need to pay $49.95 up-front just to become their distributor
- You MUST have at least 100PV of product purchase every month in order for you to qualify for commission (This is like a monthly autoship or order requirement)
Level 4: GOLD Ambassador ($299~$599)
Most MLM stop at the distributor level but Shaklee is a little bit different.
There's one more GOLD Ambassador level which has 2 products:
- GOLD PAK ($299)
- GOLD PLUS PAK ($599)
The benefit of these two PAKs is that you are eligible for higher commission levels.
So, GOLD PLUS PAK membership definitely allows you to earn more commission than the GOLD PAK.
However, no matter which one you're paying for, you still need to pay the $49.95 and meet the monthly order requirement.
In my opinion, this is a pretty bad system for beginners because it makes it a lot more expensive to start.
This is one of the major reason why I DON'T recommend Shaklee as a business opportunity.
Personally, I can start my own online business for FREE, which is now generating me a 4-Figure monthly passive income at just 21 years old!
Shaklee Compensation Plan
Basically, there are 3 main ways for you to make money with Shaklee:
- Acquire customers and sell Shaklee products to earn retail commission
- Recruit members as your downline (You make money wither when their downline purchases any products or purchase the GOLD Ambassador Membership)
- Earn various BONUSES by advancing in ranks or helping your downlines to advance in ranks
For detailed compensation plan, please check out their compensation plan PDF or watch the video below:
What I Like About Shaklee...
1. Long History
Shaklee is a pretty old MLM company. It has been in business since 1956, which is more than 60 years already.
If it's a scam or it has some serious issues, you wouldn't survive for such a long time.
Just take a look at recent example of MOBE & Digital Altitude, they're operating like a pyramid scheme and FTC has taken action to shut down both of them.
MOBE only survived for less than 6 years and Digital Altitude is even worse, less than 2 years.
These programs used to be really hot and lots of people are involved but unfortunately they're operating on a faulty system/business model.
This goes to show that Shaklee is definitely not a scam.
2. Good BBB Rating
If you're familiar with Better Business Bureau (BBB), you'll know that it's really hard to get an A+ rating from BBB.
There are lots of legitimate companies out their that are unable to get an A+ rating but Shaklee manages to maintain its A+ rating since 1965, which is a pretty amazing achievement!
3. Great Tools & Support
Unlike many of MLM companies out there, Shaklee provides quite a number of tools & support to help members learn and grow their business.
There are 3 main type of support:
- Shakless University - This is a program that consists of various business training materials
- Sponsor Guidance - This is basically the help from your direct upline or the person you enroll/introduce you into this business. This type of support is the most common in any MLM company
- Live Events - Shaklee does organize various local & regional meetings, conference calls or corporate-sponsored training events, etc.
90% of the compensation is based on sales, NOT on recruitment.
In other words, members generally put more emphasis on explaining and selling the actual products, instead of the Shaklee business opportunity.
The benefit of this is that it separates themselves from companies that focus a lot on recruiting. Many of these companies tend to be classified towards pyramid scheme.
5. Environmental-Friendly (Proven!)
Shaklee emphasize a lot that their products are eco-friendly things like that.
The good thing is that they're actually backed up by real research.
Shaklee is the first company to be certified in offsetting completely carbon emissions in the environment. In other words, they have net zero impact environmentally. (Source: Climate Neutral Certified by Climate Neutral Network)
What I DON'T Like About Shaklee...
1. Expensive Startup Cost
Like I've explained earlier on, Shaklee has this thing called "GOLD Ambassador", which is kinda like an $299~$599 upsell for distributors.
I really hate this concept that you need to pay more in order to earn more.
As compared to many other MLMs, Shaklee's startup investment is a lot higher.
For example, Melaleuca is a company in an extremely similar niche as Shaklee - Health & Wellness.
But Melaleuca only requires a startup cost of $29.
As for my top recommended program, it's even FREE to get started!
2. Saturated Market
To be honest, there are way too many companies competing in this health & wellness niche.
From my MLM experience, it's much easier for you to sell products in the less competitive "blue ocean" than a "red hot ocean" competing with many other companies.
One "blue ocean" MLM company I recommend is Young Living Essential Oils.
Currently, there isn't a lot of competitors in the Essential Oils market and Young Living stands out from the crowd as the only company having their own farms and producing 100% pure essential oils.
3. Too Many Products
Shaklee has more than 200 different types of products. In fact, most of the health & wellness company I listed above have tons of products.
The problem is that it can be really overwhelming for consumers to choose the products they need.
In this situation, some unethical distributors will simply promote the ones that make them more money. So, this is definitely one potential problem.
On the other hand, new distributors will also find it hard to understand the pros & cons of each individual products. So, it's also hard for them to explain to customers in the beginning.
4. Not Transparent
Just like Melaleuca, Shaklee doesn't show the price of their products on their website unless you're logged in as a member.
The common issue with such companies is that they tend to sell overpriced products.
To me, it kinda makes sense that they want to hide the actual costs of the products from the public.
This also shows that they're not really transparent!
5. Face-to-Face Selling & Presenting
After all, Shaklee is a typical MLM company. You're required to do all the face-to-face selling to run this business.
Just take a look at this Shaklee guide!
It clearly stated that you're expected to spend:
- 75% of your time having conversation with new people
- 10% of your time to run events
- 10% of your time to participate or host training
- 5% of your time on personal development
To be honest, this kind of work is definitely not for everyone, including myself.
I'm not comfortable with networking and socializing with new people. Neither am I comfortable at running events things like that.
I know these are learnable and trainable skills. But I just don't like to do these kind of activities.
So, if you're just like me, I've got a good news for you...
I've been able to create a 4-figure monthly passive income at just 21 years old without the need to everyday network and socialize with new people.
All I did was create my own website and let my website bring in the money for me 24/7.
If that's what you're looking for, find out how I did it here!
Is Shaklee a Scam?
No, Shaklee is definitely NOT a scam. If it is, it would have been shut down long time ago and it's impossible for survive for more than 60 years.
So, Shaklee is a legit MLM company selling good health & wellness products.
You can also make money if you're willing to put in the hard work.
All I'm saying is that it's not the best business opportunity in my opinion and it's definitely not for me.
How I Make a Living Online...
My top recommended way for anyone to make money online is via Affiliate Marketing!
The reason is simple...
- I don't have to network and do face-to-face selling. My website is doing all the selling for me once I set it up.
- And most importantly, I have the freedom to promote any product I want, and not being restricted to only promote the products from one MLM company.
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!