Jamberry was a hot mlm opportunity when it was first introduced in January 2010.
By on June 28, 2018, Jamberry announced the company is shutting down, leaving over 50,000 reps out of business overnight.
Yes, this is the nature of mlm opportunities. You stand to lose everything when the parent company went out of business.
I understand you are searching for an opportunity to make some extra cash or build a life dream of financial freedom. But how can you avoid something like Jamberry and protect yourself when the mlm company goes out of business?
Hello and welcome to our mlm Jamberry review coffee talk, “What happened to Jamberry?”
In this review, we’ll discuss the following:
- What happened to Jamberry?
- Why Jamberry went out of business?
- What happened to Jamberry reps? And
- How to avoid being a victim of mlm shutting down?
Reading this Jamberry review will give you a few options to protect yourself from something like Jamberry.
Please keep in mind that this business review is written based on my own experiences and opinions. I try to keep things fair and balanced in order to help you make the best investment decision.
I enjoy writing reviews of small business opportunities. I do not receive compensation or endorsement from the company that I review.
If you are looking for the best way to make money from home, check out the #1 home-based business opportunity which does not require recruiting or Face-to-Face selling.
Jamberry Review Executive Summary
Jamberry Review and Analysis:
There are other lucrative and inexpensive home-based business opportunities for you to compare and consider:
1 – My #1 Home Business Opportunity, or
2 – Affiliate Marketing.
Both do not require face-to-face recruiting and/or a monthly sales quota.
What Is Jamberry?
Jamberry was a defunct multilevel marketing (mlm) company that designed and sold the nailwraps, gel enamel, beauty, and skincare products across the US and in five other countries: Australia, New Zealand, the United Kingdom, Canada, and Mexico.
Jamberry exclusively distributed its products through an mlm network of over 50,000 independent reps.
Jamberry was founded by Lyndsey Ekstrom, Christy Hepworth and Keri Evans in 2010 who loved having pretty and stylish nails without the nail salon costs.
Jamberry came on the market with strong demands and rapid growth.
However, just after 8 years, Jamberry was forced to file for bankruptcy due to financial mismanagement and poor business execution by management.
It’s so important to evaluate both the company financial strength and management experience before investing with an mlm opportunity.
You should always compare mlm opportunity with other home-based business opportunities before joining.
What Happened To Jamberry Reps?
When Jamberry started experiencing financial trouble months before the shutdown, many reps took YouTube to vent their frustrations and complaints.
Jamberry reps should have known the end is coming. They should have prepared and moved their business elsewhere. This is the best business strategy when your mlm company is in trouble.
Jamberry shut down caused many reps to lose everything. They lost their business, customers, commissions, and other awards and incentives.
June 28, 2018, was the day that Jamberry announced that the company will not refund any product, gift cards, swag, marketing or event purchases. The company also scrapped “incentive trips” to Costa Rica and Thailand for top performers.
So, what happened to Jamberry Reps?
They lost everything. All the hard work came to an end with one announcement, “Jamberry is going out of business.”
What Happened To Jamberry?
Jamberry assets were sold in the bankruptcy auction, and the winner was BeneYou.
If you are interested in selling Jamberry nailwraps, you can find out more information by visiting BeneYou for more information.
But who can guarantee you that BeneYou will not end up like Jamberry?
The Cost Of Jamberry Collapsed
The collapsed of Jamberry was hard on the low-level reps. They never had a chance to see the fruit of their hard works.
The shut down of Jamberry had little or no effect on the executives and management. Those at the top already made their money. They were rich when Jamberry went out of business.
Beside losing commissions and incentives, many reps have to start all over again.
But who to blame? Many reps joined Jamberry because they loved the products, not because the company had a sound financial backing. They placed all their bet in the nailwraps.
The big difference between mlm opportunities, such as Jamberry, and other home business opportunities is customers control.
In mlm business, you have no controlled over the team members and/or customers. They are owned by Jamberry.
When Jamberry went out of business, all the customers and team members went with the company. You left with nothing.
Other home-based businesses, such as Affiliate Marketing, you have control of the customer database. It belongs to you. When a product is discontinued or a company goes out of business, you simply replace with an alternative to continue offering services to your customers. You cannot do this with mlm.
Now, you understand why affiliate marketers don’t have to worry when the parent company does out of business.
What Happened To Jamberry Compensation?
Reps lost all their earned commissions, incentives, and trip awards when Jamberry announced the closure of its business.
Many reps replied on the monthly commissions to support their families.
When Jamberry stopped all operations, reps were virtually on the hook. They did not only lose all their commissions, but they were also held accountable for their customer orders. This was a big financial burden for the reps.
Well, these are the risk with mlm opportunities. When customers placed orders with Jamberry reps, they were not doing business with Jamberry. They were ordered from the reps. So when Jamberry shut down, they sought out the reps to recover their money.
How Can Reps Protect Themselves?
For those investing in mlm opportunity, the first step in protecting yourself is to take control of the customers.
When you control the customers, you can replace Jamberry with another mlm company or a different product.
Reps that have control over their customers, the shut down of Jamberry had no effect on their business.
But how can you capture the customer information when everything was controlled by Jamberry?
Simple, create a system that collects customer data before sending them off to Jamberry or to your mlm company.
This must be complicated, and I don’t have money to build this system. This is the common response from most mlm business owners.
The truth is, creating the system to capture customers’ data is very simple. This is nothing more than creating a web blog or become a blogger.
The blog allows you to build a personal relationship with the team members and customers before sending them off to the mlm company.
Team members will see you as a business partner, not just another recruiter or sponsor. It allows them a central place to communicate with you in the event the mlm, Jamberry, goes out of business.
When the mlm parent company shutdown, the only place to contact is your blog. This is how you can continue your business relationship with your team members and customers.
The blog is the most powerful online tools for you to build a successful business and have total control over your customer information.
Many Jamberry reps relied on the company to collect and store customer information for them. This was a big mistake. This was the killer of their mlm business.
How Can You Build A Blog For Your MLM Business?
I am not talking about starting a personal blog. You need to create a business blog.
A business blog allows you to promote your mlm business and build a relationship with team members and customers. If you want to learn all the benefits of using a business blog to promote your mlm business, I suggest you read our discussion on MLM vs. Affiliate Marketing to understand how this business strategy works.
Building a business blog requires the knowledge and skill of digital marketing. It’s a skill that you can learn.
A training program that allows you to learn the process of building a business blog for free is Wealthy Affiliate. I use this program to build my own business blog and start my affiliate marketing business.
You can also use these 10 Free Lessons On Affiliate Marketing to create a business blog promoting your mlm business and collecting customer information.
Doesn’t matter which training program that you use. You must start protecting yourself and your mlm business in the event the mlm does out of business.
If Jamberry reps have prepared for this shutdown, they would have never lost their business.
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