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Welcome to our Youngevity Review MLM Coffee Talk.
Youngevity claims that we all need 90 essential nutrients every day to live our best life.
The way to achieve optimal health is by living the Youngevity 90 For Life, consuming the powerful nutritional mix of 60 minerals, 16 vitamins, and 12 amino acids.
The Youngevity lifestyle also comes with the opportunity to pursue your passion, building a business promoting Youngevity products.
The company considers its business opportunity, better than the rest in the mlm industry.
Are all these claims true, or Youngevity a scam?
I am skeptical when it comes to nutritional companies promotional claims. Most of them are not easy to prove.
Reading Youngevity promotional claims, “We’re better than all rest,” the word SCAM immediately ringing in my mind.
We start a business to make money and achieve financial freedom.
Who wants to spend money and time to build up a business to find out, it’s a scam?
This is the reality of mlm opportunities.
In this Youngevity Review, we are going to discuss the followings:
- Is Youngevity a scam or legit opportunity?
- How to become a Youngevity distributor?
- The costs of joining Youngevity?
- Youngevity compensation plan? And the big question,
- Can you make money with Youngevity?
After finishing this review, you should be able to determine if Youngevity is a scam or a legit opportunity to join.
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Youngevity Review Summary
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What Is Youngevity?
Youngevity was found in 1997 by Dr. Joel Wallach, with headquarters in Chula Vista, California.
The company current CEO is Steve Wallach, the son of the founder.
Youngevity manufactures and distributes nutritional supplements, including beauty & personal care, sports drinks, food items, and home & garden products, through an mlm network of over 107,000 independent distributors worldwide.
The company reported an annual sales revenue of $162 Million in 2018.
Youngevity offers over 2000 products in 6 top consumer categories, Health & Nutrition, Food & Beverage, Spa & Beauty, Fashion, Home & Family, and Services.
This is an established mlm with a solid management team. However, it is also a very competitive business opportunity with a success rate of less than 1%.
The company does not publish its income disclosure statement. This financial document provides important income information regarding the profits and losses of operating a Youngevity business.
You must compare the Youngevity opportunity with other home-based business before joining.
You can use My #1 Business Opportunity to make a comparison.
How To Become A Youngevity Distributor?
You can become a Youngevity distributor through a current distributor website or with a local Youngevity distributor.
The distributor that you sign up with is your sponsor. Your sponsor is your upline.
You become a distributor by purchasing a Business Startup Kit, a Business Essential Kit or a Business Builder Kit.
However, to make money as a Youngevity distributor, you must be Active and/or Qualified, which I’ll discuss more in the Youngevity compensation section of this review.
How Much Does It Cost to Join Youngevity?
The cost to become a Youngevity distributor starts from $30 to $499, depending on the upgrade Business Kit that you purchased.
The basic Business Startup Kit has no product and carries zero Qualifying Volume (QV) and Bonus Volume (BV).
According to Youngevity compensation plan, Distributors are required to generate a minimum of 50 PQV each month, approximately $50, to maintain an “Active Status.”
If you want to earn the commission on day one, you must upgrade to either a Business Essential or a Business Builder Kit.
Besides the joining fee, there are other expenses to operate a Youngevity mlm business.
Your biggest monthly expense is the Active Expense, which Youngevity refers to as Personal Qualifying Volume (PQV). A 50 PQV is required each month.
As a Youngevity distributor, you must place an order of roughly $50 each month to stay active and receive the commission from Youngevity.
This monthly business expense is known as, “Pay and Play!” If you want to earn, you have to pay.
A Brand Partner that fails to meet the monthly PQV is considered “INACTIVE” and are not allowed to participate in earning commissions.
This monthly Active Expense can destroy your chance of making a profit because if you cannot resell the products, it becomes business losses.
Other home-based businesses, such as Affiliate Marketing, you earn the commission on every sale, no personal purchase required.
Do you know why mlm has this Active requirement?
Because they need to sell products and to avoid being classified as a pyramid scheme under the FTC guideline. (Check our MLM vs Affiliate Marketing for the discussion on the FTC MLM Guideline.)
Youngevity Compensation Plan
The Youngevity compensation plan is unnecessarily confusing and difficult to earn.
Like other mlm opportunities, you make money two ways: sell Youngevity products or recruiting others to join Youngevity.
I’ll provide you an overview of the Youngevity compensation plan. To learn in detail, just download a copy.
Before we begin, I need to explain to you how Youngevity calculates the commission.
The commission is calculated based on Bonus Volume (BV), not the total order amount.
BV is points assigned to each product by Youngevity.
For example, a customer orders a Healthy Body Start Pack for $125 with 100BV. Youngevity uses the 100BV to determine commissions, not the $125.
Now, let discuss the Youngevity compensation plan.
Make Money Selling Youngevity Products
Youngevity Active Distributors earn 30% on retail sales.
Distributors can purchase the product at a wholesale price to resell or sell products directly from their replicated Youngevity website to earn retail profits.
This sounds simple to make money, right?
I did a search online and found a Youngevity Healthy Body Start Pak 2.0 for $79.95 with free shipping.
The same item at the Youngevity website retail for $155.99 with the wholesale price of $124.95.
Overprice is the reason why you can never sell mlm products on the market for a profit.
It will be a challenge for distributors to make money retailing Youngevity products.
Make Money Recruiting Others
There are several ways to earn recruiting others to join your team.
To earn bonuses and incomes from recruiting, you must be a Qualified distributor.
The two bonuses that Youngevity uses entice new distributors are the Quick Start Bonus (QSB) and CEO Fast Start Bonus (FSB).
A $100 FSB is earned when you enroll a distributor that purchases a CEO Product and Training Package.
QSB program offers 30% on your personally enrolled initial orders within the first 30 days. But you must be a qualified Independent Marketing Director (IMD) to participate.
A qualified IMD is a distributor with a 100 PQV Autoship order on file. This means you must purchase approximately $100 each month to earn the 30% QSB.
These bonuses sound exciting. But, if most of your enrollees purchased the $30 Business Startup Kit, you earn nothing while continues spending $100 each month.
Youngevity offers a residual income plan to all qualified distributors.
You can earn between 5% to 8% of your Group Bonus Volume (QBV) up to 8 levels.
The lowest 5% up to 2 levels is earned by distributors that maintain a $50 PQV each month.
The 8% residual income up to 8 levels is earned by distributors that have met the following requirements: 250 PQV each month. 3 Active Regional Marketing Director in 1st level, and 5,400 GQV in the first 3 levels.
It doesn’t sound easy to make money with Youngevity.
This is the trick with mlm opportunities. You have multiple ways to earn. But, to receive the commission, you must be Qualified.
Qualification means you must purchase products and more products to receive incomes.
You might end up making no money because the monthly qualification expenses far exceeded the commissions earned.
Under the Youngevity compensation plan, earning the commission is one thing and receiving the commission is another.
Youngevity creates this confusing compensation plan to hide the fact that you will not make money as a distributor.
When evaluating an mlm opportunity like Youngevity, you need to know the actual income received by the Distributors.
Actual incomes received by Youngevity distributor will give us an idea of the business profit and loss.
Can You Make Money With Youngevity?
Youngevity says, “Yes, you can”, referring to the compensation plan as the proof. If you read this Youngevity review up to this point, you know this is not true.
The compensation plan shows POTENTIAL EARNING, or how a distributor earns, not the actual income.
The actual income is in the Youngevity Income Disclosure Statement (IDS). This financial document contains ACTUAL INCOMES received by distributors from Youngevity.
Most mlm companies, including Youngevity, do not publish the IDS.
What does this imply?
Youngevity doesn’t want us to know the truth. Distributors actual incomes might be very bad.
It’s normal for 99% of mlm business owners to make no income.
You can request for a copy of the IDS from Youngevity at the time of enrollment.
Youngevity is required by laws to provide you a copy together with the compensation plan.
With the IDS, you can see your chance of making money with this business opportunity is likely less than 1%.
As a business review writer, I look to the actual business incomes to advise clients on an investment. Potential earnings are just a guess, an estimate.
Don’t be surprised if the majority of Youngevity distributors make no money.
Remember, don’t join Youngevity until you see the income disclosure statement (IDS).
If they refuse to provide you a copy, this is a sign of a potential scam.
Is Youngevity A Scam?
Yes, it might be difficult to make money with Youngevity, but this doesn’t make Youngevity a scam.
Youngevity mlm is a business opportunity.
When you join Youngevity business, there is a big chance of losing all your investment.
Every business opportunity has risks. You need to carefully research and study the opportunity before joining.
Reading this Youngevity Review is a good way to learn the risks and rewards related to this home business.
Many entrepreneurs hire professional business analysts to evaluate every business opportunity to discover a profitable investment.
As a Business Review Writer, I evaluate mlm opportunities to help investors identified and managed the risks.
That’s all we can do, managed risks.
As a business opportunity, Youngevity is not a scam. It’s a competitive and unprofitable business.
Is Youngevity a pyramid scheme?
All mlms consider themselves as a legit company, not a pyramid scheme.
Sorry, I don’t agree with this.
Why do I think Youngevity is a pyramid scheme?
Based on their compensation plan.
Distributors are forced to purchase overprice products to earn the commission.
You cannot sell these overpriced products on the market.
The only way to make money is by recruiting others to join Youngevity.
Once you join, you are forced to purchase a minimum of $50 PQV each month to remain as a qualified distributor.
This is how mlms make money. The distributors are the company primary customers.
The more people join your team, the more money you make.
Recruiting is the way to get promoted and make money with Youngevity.
Doesn’t this make Youngevity a pyramid scheme?
I know, not everyone will agree with me.
But, based on this Youngevity Review, you must agree that it is not easy to achieve financial success with Youngevity.
This business opportunity is not profitable.
Is Youngevity Worth It?
I hope you that this Youngevity review provides enough information for you to answer this question.
For me, I will never invest in this Youngevity mlm opportunity.
Why start a business when your chance of making money is less than 1%?
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.
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There is another business risk that I like to share with you about Youngevity.
It is not uncommon for an mlm company to go out of business.
There is a possibility this might happen to Youngevity.
If Youngevity goes out of business. All Distributors are out of business. There is nothing you can do about this. This business risk is real.
You must carefully evaluate this issue before joining Youngevity.
Starting a business is building a future stream of income.
Making money in the long-term is the #1 reason we start a business?
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Youngevity business opportunity is not better than all the rest.
I hope can see the marketing hype/scam from reading this Youngevity Review.
This home business is risky and not profitable.
I want to thank you for joining our mlm discussion.
Until next time.
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