Norwex is well known for the Microfibre cloths. It claims to kill 99% of bacteria, free of chemicals.
The company’s mission is to help you improve the quality of life with chemical-free household cleaning products.
However, Norwex cleaning products are not distributed in stores.
You must attend an in-home party or become a Norwex consultant to order products. Yes, Norwex is an MLM opportunity.
If you are wondering is Norwex a scam or legit? You must have received an invitation to a Norwex party or wanted to become a consultant.
Maybe, your best friends told you, MLMs are scams. But what if Norwex is legit?
I understand that you are searching for a good business opportunity to make extra money from home.
So, I am going to share with you a few facts and financial information on Norwex MLM to help you decide.
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Norwex Review Summary
Business Type: MLM
Initial Investments: $200
Annual Revenue: $28 Million
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What Is Norwex?
Norwex is an MLM company that manufactures and distributes chemical-free household cleaning products.
The company is best known for its Microfibre cloths which supposes to kill 99% of bacteria.
Bjørn Nicolaisen launched Norwex in 1994. The company USA headquarter was opened in 2011 out of Coppell, TX.
At the time of writing this Norwex review, the company estimated annual sales revenue is $28 million.
The company currently has over 90,000 independent consultants operating in more than 22 countries.
However, Norwex provides little or no financial information regarding Consultants’ earnings.
The company seems to hide its annual income disclosure statement (IDS). You need this IDS report to help determine your potential income as a Norwex consultant.
A bad performing MLM opportunity will try to hide the annual IDS report. This should be a warning to all investors. Never invest with Norwex unless the company provides you a copy of the IDS report.
I strongly recommend that you carefully evaluate and compare Norwex with other home-based business opportunities before joining.
You can use My #1 Business Opportunity to make a comparison.
How To Join Norwex Business?
You have to meet with a consultant to join Norwex. If you don’t know one, you can visit the company’s website to search for a Norwex Consultant in your area.
Your recruiter will help you fill out the consultant application, either online or on paper.
Before you can get a consultant ID, you are required to purchase the Party Starter Kits.
Once you order the Party Starter Kit, you are a Norwex consultant and will receive a consultant ID to order products. You are also qualified to earn commissions, which we will discuss in the compensation section of this Norwex review.
How Much Does It Cost to Join Norwex?
The cost to join Norwex is $200 for the Party Starter Kit plus $9.99 shipping.
You only pay the $9.99 shipping cost at the time of signing up. Norwex allows you up to 90 days to pay the $200.
You will receive the Party Starter Kit for free if you generate $2,000 in retail sales within 90 days of joining. This offer is more of a marketing scheme that allows Norwex to claim that you can start a business for free.
The $200 is just to get your business up and qualify for commissions.
You are required to maintain a $250 of personal retail order every three months to be an active consultant and qualify for commissions.
Consultants that fail to meet the $250 sales volume requirement will be booted from the program after 6 months.
Once booted from Norwex, you have to pay a reactivation fee to rejoin.
I don’t like MLM businesses because of this monthly purchase or sales volume requirement. It is designed to convert you into a paying customer.
Think about it. Why do you have to buy products to be eligible for commissions? Norwex should be paying you to promote its products.
With Affiliate Marketing, you earn commissions on every sale. No purchase is required.
To understand why MLM opportunities require a monthly PV, you should read our discussion on MLM vs. Affiliate Marketing.
The Norwex Compensation Plan Review
Norwex compensation plan allows you two ways to make money, sell cleaning products or recruit Consultants to join your team.
Norwex is an MLM opportunity. If you want to be successful in this business, you better focus on recruiting and team building.
Let me explain the way you earn commissions with Norwex:
Norwex offers consultants a 35% discount on all products purchased with their consultant ID.
The first method to make money with Norwex is buying wholesale and sell retail.
Norwex claims you can immediately make a 35% profit with every retail sale. This is true only when you can sell the products at Norwex suggested retail price.
Overprice is the reason you cannot make money selling MLM products on the market.
Norwex successful consultants are those focusing on building a team, not selling products.
Once new consultants join your team, they have to purchase products every month to maintain an active status. This is how you make money with MLM.
Make Money Recruit Others to Join Norwex
Before you can earn override commissions, you must be a qualified Norwex consultant.
Qualification is based on your ranking level. Your personal sales volume requirement also increases from $250 to $1,000. You can check the Norwex Compensation Plan to see these requirements.
When a member of your team purchased Norwex cleaning products, you earn the following residual commissions:
For each qualified person that you have recruited, Norwex gives you $300 worth of free products.
I don’t understand why Norwex consultants so excited about getting free products. Aren’t they joining Norwex to make money?
When you get free products, they don’t worth $300.
Substituting products as a payment, Norwex scams you out of your commissions
Personal Recruit Commission
You must reach the rank of Team Coordinator or above to start earning personal recruit’s commissions.
Team Coordinator is a consultant with at least 3 active recruits and maintains a $200 per month personal retail order.
Norwex claims to offer from 3% to 5% commission on sales from Personal Recruits. But you do not receive a payout unless you have 3 or more active consultants in your team.
Many Norwex consultants do not realize that they earn ZERO personal recruit commission with a team of 1 or 2 members. This is how Norwex scams you.
Team Coordinator Override Commission
You have the potential to earn a 2% commission on sales generated by your Team Coordinator personal recruit.
To qualify for this commission, you must achieve the rank of a Sales Leader with a minimum of $300 monthly personal retail orders.
Yes, you have to spend $300 a month to receive an opportunity to earn an additional 2% commission.
Team Override Commission
Norwex allows you to earn team override commission up to 5 levels.
The first team level occurs when your personal recruits achieved the rank of Sales Leader. This is the breakaway point.
You can earn from 1% to 2% of Team Override commissions up to 5 levels. This commission is determined based on your rank.
You can check the Norwex compensation plan to see the team commission schedule.
There are other leadership commissions and bonuses that you can earn with Norwex, but it is not easy to qualify as a new consultant.
The personal sales volume requirements increase up to $1,000 per month to qualify for executive levels.
Can you see the Norwex compensation plan was designed to convert consultants into customers?
You are forced to purchase cleaning products every month to stay in the game and earn commissions.
Norwex can take your business away and shut you down for failing to meet the sales volume requirements.
This to me is a big scam with this Norwex business deal.
Can You Make Money with Norwex?
Sure, you can make a few bucks with Norwex. But I don’t think you will get rich as a Norwex consultant.
I don’t even think Norwex MLM opportunity is profitable.
The costs of purchasing cleaning products monthly seem to be much more than the commissions earned. This might be the reason why Norwex doesn’t publish an Income Disclosure Statement (IDS).
Unprofitable MLM opportunities tend to hide their distributors’ income.
It doesn’t look good to be a Norwex consultant.
Well, you don’t need a copy of the Norwex IDS to know that 99% of MLM business owners make little or no money.
Because the MLM compensation plans are designed to recruit customers, not business owners. That’s how Norwex sells its products.
The bulk of Norwex products is consumed by consultants.
Is Norwex a Scam or legit?
I have to tell you Norwex is not a scam. This is a legit business opportunity. Even though it might not be profitable.
Norwex MLM is a high-risk investment. Over 99% of MLM businesses fail in the first year.
Don’t join Norwex because someone tells you it has the best cleaning products or the best opportunity on earth. This is a scam.
Only join an MLM opportunity after you have evaluated and analyzed the business financial documents to determine its profitability.
Reading Norwex review is the best way to avoid scams. You can discover all the risks, rewards, and profitability of operating a Norwex business.
As a Business Review writer, I have evaluated hundreds of home-based and MLM business opportunities. I cannot tell you Norwex is a scam. But I will tell you that achieving financial success as a Norwex consultant is impossible.
Is Norwex A Pyramid Scheme?
I believe all MLMs are pyramid schemes. So, I say Norwex is a pyramid scheme.
MLM opportunities reward members based on recruiting activities. Recruiting is the best way to make money with Norwex.
New consultants are forced to purchase products to pay for sponsor commissions. This is a pyramid scheme.
Under the Norwex compensation plan, the more people you recruit, the more money you make.
You don’t have to agree with me that Norwex is a pyramid scheme.
But you can’t deny that the Norwex compensation plan is designed to sell cleaning products, not to help you build a successful business.
Is Norwex Worth It?
No, Norwex MLM is not worth it. I would not invest in MLM opportunities.
I have nothing against MLM. I just hate the idea of buying products for the chance to earn commissions.
As an online writer, companies pay me to promote their products. I don’t even have to buy anything.
Let think about it,
Do you know why you want to start a home-based business?
To earn extra money from home, to be your own boss, or to achieve financial freedom?
And to make money, we invest in a PROFITABLE business!
There are much better and less risky home-based business opportunities compared to MLM.
I recommend you look at Affiliate Marketing.
As an affiliate marketer, there’s NO traveling around town to attend late-night meetings and NO face-to-face sales or recruits.
The best part, you are working on the computer in your own home or anywhere you like.
Affiliate marketing is one of the most powerful work from home business opportunity compared to Multilevel Marketing (MLM). I recommend you read, my MLM vs. Affiliate Marketing to learn.
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You want to create a business that generates money far into the future. Isn’t this the #1 reason you work hard to build a successful business?
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As a Norwex consultant, you are in business as long as Norwex allows.
You can lose the entire business for missing the sales volume required. Why do you want to own this type of business?
The MLM business strategy is to recruit you as a consultant, then require you to purchase products to qualify for commissions.
Yes, you are a customer of Norwex, not a business partner.
Listen, Norwex MLM is not a home-based business.
You cannot recruit people from the comfort of your home. You must travel to host sales parties and to recruit consultants. I hate doing these!
There are better home-based business opportunities that do not require traveling or face-to-face selling.
I make money from home with my computer.
I choose This #1 Business Opportunity to make my fortune, earning over $100K a year. You should check it out before joining Norwex. It might be a fit for you too.
I hope this Norwex review answers your question, is Norwex a scam or legit?
Until next time.
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