To not understand how you make money?

[QuickWash]

I know a few people locally who have recently got in to selling things for companies I had never previously heard of. They have all become basically relentless in their posting on social media, holding coffee mornings, having stalls etc. They most put in hours and hours and hours of work. They all rave about what they're doing but I just can't understand how the pay per hour could be that worth it for low cost or low use (ie not much repeat business) items?

I have tried really hard not to buy anything as I'm trying to buy things I only really need or have wanted for a long time and save up for, but do find it hard when not buying stuff is seen as unsupportive of their efforts, which are considerable. Do they get a big proportion of what they sell moneywise?

AIBU to think it isn't obvious as to why these are such amazing ways to make money?

Ha! Welcome to the ridiculous world of multi level marketing
They probably won’t be making any money. But they have to pretend they are in order to recruit people into their “team” so they can make money off the sales those people make. But those people probably won’t make any money either but will have to pretend they are....

Common examples: Juice Plus, Forever Living, Stella and dot....

Let me find you some helpful links so you can learn more about it!

They aren’t making money and you mustn’t feel guilty about not buying from them. The products are usually over priced rubbish!

Other examples : Arbonne, Tropic skincare, Herbalife,

Don't buy any of their stuff.

en.m.wikipedia.org/wiki/Multi-level_marketing

Please please don’t buy more crap from them.

DO NOT GIVE ANY MONEY TO THESE women exploiting, money stealing, lying under false pretences SCAMS of companies!
They aren’t making money btw, it’s all smoke and mirrors

Here’s thread 39 from mumsnetters!
www.mumsnet.com/Talk/legal_money_matters/3243877-MLM-Bot-Watch-39-After-taking-a-year-off-we-are-back-with-no-cheque-no-hope-but-new-products

You can find the earlier ones all in Money Matters. Lots of people did lots of digging and discovered the lengths people are going to go pretend to make money from these things

Just say no. Don’t fall for the emotional blackmail of being made to feel unsupportive if you don’t hand over your cash for rubbish!

If they aren't making any money, can someone explain why they are doing it?

Elle- beau ‘s blog is excellent (she used to sell for Younique, another MLM) ellebeaublog.com/

They won’t be making money, even if they do, it will be short-term

I run my own business and have had to utilise social media to advertise it, it is SUCH a bore and a drain. In the beginning I was earning less than I should for the hours I work because of the advertising hours but now I am doing well. MLM will never reach that happy comfortable. I feel bad for them but there is so much information explaining how bad these companies are... it’s really up to them to explore that

They don't make money, it's a sham they are forced to portray - to encourage people to join. My Best friend is constantly thankful to her MLM marketing business allowing her to be at home with her DC ..... funnily enough, no mention of her DH, who earns 6 figures ..... that's the real reason she is able to be a SAHM.

And here’s Timeless Vie - a mix of a spoof MLM and an information site (and started by mumsnetters!) timelessvie.wordpress.com/

And here’s Botwatch, another useful source of information (also started by mumsnetters!)

botwatch.blog/

Yes, my understanding is that people manage to sell a little bit when they start off to their friends, but then when they've got several other friends to join then their 'market' is saturated, but not before everyone selling has spent a lot of money buying stock.

And the whole business model hinges on the friends and family of the seller being guilted into buying things they didn’t really want, to “support a hard working friend” etc

I never ever buy their stuff. It's always over-priced, low-quality tat.

They make money initially as they get family and friends to buy things from them but that dries up pretty quickly - cos really how many mascaras do you actually need??!

These companies prey on vulnerable women and make they believe they can work guilt free....no more dragging yourself into the office or having to sort childcare out when little one is sick. You can make money from your mobile working only a couple of hours a day. It's despicable

Elle- beau ‘s blog is excellent (she used to sell for Younique, another MLM)

This. Fascinating read.

I know a few people locally who have recently got in to selling things for companies I had never previously heard of.

Its called MLM - Multi Level Marketing. You haven't heard of them because they have worked out a way to avoid the overheads of business - advertising, shops, rent and rates, wages, pension schemes.
Instead they persuade women to pay them, to buy the stock up front and resell it.
Part of the contract includes relentless pushy posts on social media, and lying about how much money they make.

Do yourself and your friends a favour and dont buy any of it. The sooner they realise they are being scammed the less money they will lose.
Its a pyramid scheme, and only the company at the top makes any money out of it.

A work colleague does this, she threatens to leave her current job. She is so cheerful in her facebook posts about it, quite worrying.

I’ll PM you hun

Someone in our village is fairly high up in one of MLM schemes.... and she is the most relentless person I know. She is a "recruiter" bot and makes her money from getting others to sell and taking a share of the money they pay. She also runs her own business so that's how she gets the new recuits that she constantly needs; she's the sort of woman that would sell ice to eskimoes and you cross the street to avoid. You have to be very determined to make money from these schemes which is why so few do and actually end up in debt.......

Oh gosh, I clearly have some reading up to do. This is fascinating and shows how oblivious I am!!

I genuinely feel that it's noted that I'm not 'supportive' but I couldn't possible 'like' all the posts and 'watch' all the live videos. And they're not selling products I've even wanted from companies I've never heard of. You've made me feel a bit better about it.

I can't believe there's nothing in it for them though? As one woman always posts about what an amzng 'emoloyer' they are and how rewarding it is!

I've come across the Tropic skincare range. It's a Lord Sugar /Apprentice thing isn't it? A woman I know is selling it among our colleagues. The USP is that it's vegan. I don't know if she's made any money yet.