Price: $29 – $1,250.00
Owners: Myron W. Wentz
Overall Rank: 19 out of 100
What is the Usana scam? Usana Health Sciences is a supplement company that offers a network marketing MLM platform to sell health products. The problem is that your selling the same things that can be found in any health food store and also with other MLM programs such as the Le vel Weight Loss Scam. most market those stores in order to get people to buy from you. Are you ready to sell a product that is already in abundance everywhere. I will be covering some little known caveats in this USANA products review.
If you start a program like this, you will be called the “USANA Vitamins scam man” or woman. You will just be selling the same thing that you can get anywhere but instead of getting it at the store for less, people would have to like buying it from you for more money and in bigger quantities. The only way people will buy from you is if your their friend or family or your already very rich and can brainwash people to believe it was all from USANA. If you don’t have lots of friends and family supporting you and helping you sell the USANA vitamin scam dream, then you may not want to get into this. Even though many MLM companies like to say that it is not selling to friends and family it is. If you can’t get that momentum going with friends and family then good luck trying to get other real people to buy regularly from you.
Usana Health Sciences is as MLM network Marketing company that was founded in 1992 by Myron W. Wentz. With the trend of MLM’s dying out in 5-10 years this MLM is riding along on a hope and a prayer. They always claim they do everything better and with the Dr. Oz and Manny Pacquiao endorsements I guess they have found a way to be at least perceived as better. The owners of this company know that perception is reality and that’s what boosted this program in the first place with Dr.Oz. There is always just one big thing to worry about, when is this company going to slow down and fade away like all the rest? Once a company like this looses their luster there is noting left but a old company that has common products that are un-sell-able that nobody wants to join. Then all it’s associates have annoyed their friends and family and have nothing left to show for it but lots of cases of unused USANA health sciences supplements.
Usana Health Sciences is a supplement company that offers the chance to sell a health product endorsed by Dr.Oz and Manny Pacquiao. This seems like a good company as the products it produces are decent but they are not anything you can’t get at health food stores. The main problem with all these MLM companies is that the system of how you make money is a product away from being a Ponzi Scheme. Meaning if the un needed product was not in the picture it would be a Ponzi scheme plain and simple.
Let’s just get clear on how MLM’s really work. You do not make money from selling products to the public. Selling products is the only thing that keeps the MLM companies from being illegal Ponzi Pyramid schemes. Companies like Usana health sciences make their money by you selling others to sign up with the large signup fees. Your friends are typically the target. Your job is not selling when you join a MLM but recruiting. You do work very similar to that of the army, navy guys trying to recruit in the mall only 1 out of 100 talks to them.
Your looking to sell by any means possible even if that means tricking your friends. Then you bring them to some convention and try to let the experienced speaker for the MLM lie about what you should expect. They are hoping after all the earnings claims and excitement, you can then finally talk your friends into writing a check to sign up as a salesperson. Then they will do the same thing as you in your down-line. Your friends in your down line if you even get any, will soon figure out that selling the energy drinks or whatever supplement or product doesn’t pay the bills. They will then need to start recruiting or they will soon quit as selling the products is not enough money.
There is a $29.95 set up fee with $20 dollar renewal fee. You are required to pay this to just become a independent Usasna associate.
There are two types of associates
Non distributing associates:
These people will pay taxes on the whole sale auto ship price of Usana products. These folks are forbidden to sell retail and must sponsor at least 5 preferred customers who have also made purchases during a 4 week period in order for you to receive a commission from USANA.
These people pay taxes on the retail price of the USANA products. So these people in order to receive commission have to sell products to at least 5 retail or preferred customers for the person to earn commission.
So once your all set up your ready to sell right? Wrong…You need to then pay more money to open up your business center. Of course they will have 3 different levels to choose from.
This so called business center is the hub of your business where your product purchases and sales volume get recorded. This is nothing more than you paying a lot for tracking software that comes for free with any affiliate program. It’s really just paying for your spot in the pyramid.
So if you have wanted to purchase a product package like this let me show you something. So if you do not buy a product package, you will have to buy 200 points worth of USANA products to open your business center. Then also to keep your business center open you need to purchase at least 100 points of USANA products every month. A point is not cheap as each one point is approximately $1.10 -$1.20 so that means that if you get the average estimate at $1.15 it would cost you $230 dollars to just get started and $115 every month to keep it going roughly. They will just say that it’s better to pay $75 dollars more to get the Basic Business pack and not have to worry about selling every month.
So you have to have at least 5 customers a month and also need to have at least 120 points to keep things from stopping.
So now if you have purchased everything you will finally be ready to receive commissions from USANA. The compensation plan is too keep beginners stuck going through all the red tape and jumping through hoops to make them do so much work that when they succeed they will not want to quit as they have already done so much.
So what are your chances of making it big with USANA? Well there is less than a 1% chance of associates reaching full-time money from this product. The percentage of members earning one check a month and have been involved with USANA for more than 6 months is only 3% of all members.
There were over 135k members and the average income for an ordering associate was $600 a YEAR!!!! That is only $50 dollars a month and you have to buy in more products than that. It’s estimated that over 80% of people who join MLMs will drop out or quit their first year.
Success would only come if your an excellent salesman and if so, you could have made a whole lot more selling something else. The USANA products may be alright and better than most MLM products but still what difference does that make when you really can’t make a decent income selling them. This is why MLM companies require you to buy the product before you start selling them as they really just think that most likely you will not sell them so they force you to buy them. Then you want to get rid of them so you try even harder to sell and will try to do it at any cost.
They will claim that you could just retail your products and cover your monthly payments. Lets take a look at this for a second, as there are as of 2011 there were 78k active associates and only 52k active preferred customers with those numbers many were not selling and where just buying their own products.
Then at the end of around 2013 the company grew to having 265k active associates after seeing it on Dr. Oz. but the huge caveat they don’t tell you is that their was still only around 70-80k active preferred customers. That would be like having more GNC’s and Vitamin shops than there were people who wanted to buy from them. With these types of numbers it would be hard for a associate to get one customer a month, do you see now where friends and family come in. They claimed that sales to the associates accounts made up for 91% of sales meaning that the people that signed up to make money are really just buying their own product all while not saying anything bad about it.
Not only are the customers getting less and less but also you have to remember that if your points drop to low you will no longer be eligible to receive commission if you do get a rare random sale. You will also loose any carry over for the time that your points fell. This rule forces associates to continually buy inventory monthly. A real business would never have you buy all this inventory first, just to be able to sell it and or make commission from it.
So if a person signs up with USANA and gets 150 customers who purchase the products on a regular basis, the associate will not get paid commission unless they purchase roughly $110 dollars worth of USANA products every month.
So they do at least have a refund policy. There is a 30 day refund policy on first order and starter kit, you will have to pay shipping to send back all USANA products. Once you have made your econd order you only get 90% refund only if the merchandise is in resell-able condition which if there is any expiration dates I feel they will get you on that. They have a rule that an associate can not purchase more that they can reasonably sell or consume in a four week period.
If your unable to sell your products every four weeks you will have to consume them yourself or give them away. If your business gets unsuccessful and you have no more people to sell in your circle of people then you will keep accumulating products that you bought and have to consume yourself. This will turn you into a customer for your own products and you will be soon the only one buying them. This required consumption of the products is what makes the company all of it’s sales and what makes you broke.
If you are someone who has heard that your friends uncle Joe made money doing MLM’s, first consider how many people you know that really make money from this, then also check out this page of multiple Herbal Life Members that got swindled out of their money here. Herballife was a huge company just like USANA.
So to break it down, Usana Health Sciences forces associates to buy in to this business with buying products. They make you pay $230 at least up front and then $110 in personal product purchases at least a month in order to just qualify to get the commission you worked for. Most of the USANA Health Sciences members make little to zero profit, as their is very little market demand and every member has to buy personal inventory every month that makes up for 90% of USANA’s sales. Then the people that are even earning a commission check a month that have actually been doing so for 6 months or more was only 3% of the members. The vast majority of USANA Associates see little or no profit because there is little retail demand for the USANA Health Sciences products. Even It has been said that big top earners are leaving the program meaning that it has almost hit the point of complete failure and if you invest money before they go under they keep your money just like a real Ponzi Scheme.
Associates earning as little as one commission check a month and associated with USANA for more than six months only equal about 3% of all ordering associates. Out of the 3% that does make a check, it is only a low $600 a year. So if you are joining USANA and are not a lucky, gifted and amazing person chances are you will just be purchasing your own inventory, just to stay in the running to sell stuff that you will just buy anyway later when it does not sell. If you stop buying them but then happen to make a sale, you will not get commission for it.
So as I said above they got an endorsement from Dr.Oz who reportedly is promoting USANA as a form of goodwill after Myron W. Wentz the owner of USANA donated 200k + to Dr. Oz’s charity. They usually expect to see a huge increase in sales when millions of viewers see it on T.V. but sales barely even rose up. This shows that there was very little impact even from the wildly popular Dr. Oz show, after promoting not one but three USANA products over the course of 3 months on this national T.V show. This is evidence that this product basically has no demand and is getting pushed by the cult like followers. Basically the moral of the story is you don’t want to sell a product that even Dr. Oz can ‘t breathe life back into it and if you were to put his same product on the shelves of stores everywhere no one would actually buy it.
This just sounds like a loose, loose situation. Again the only thing that separates this program and all other MLM’s from Bernie Madoffs Pyramid Ponzi scheme, is that there is a product involved that you have to usually buy yourself. Other than that these companies get too huge and there is more associates that customers and the only reason people stay is they are hoping that they can finally get easy money which never comes.
Price: $29 – $1,250.00
Owners: Myron W. Wentz
Overall Rank: 19 out of 100
Well I wanted to share with you a program that changed my life and my income. Are your sick of all the scams and the high entrance fees and all the hoops to jump through just to sell. Well then I have a program to share with you that will over exceed your expectations. This program will get you building a real sustainable business online that produces residual passive income and everything you need to set it up and research it all in one package. If this sounds like something you would be interested in then check out my top recommendation here
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