Hi, and welcome to my NuSkin Review.
Maybe you were approached by someone who asked you to join this company or buy their products. Maybe now, you really want to know more about who they are and what they are really all about? Well, you’ve come to the right place to get all the answers before you make any decisions.
Today I’m going to give you an honest review of NuSkin. Who are they? Are they a scam? What does their Compensation Plan look like? Is it for you, or should you look at other alternatives instead? I hope you enjoy my NuSkin’s Review!
NuSkin – The Company
The company was founded in 1984 by Blake Roney, Sandie Tilotson, and Steve Lund. Their main headquarters is located in Provo, UT, USA.
NuSkin is an MLM company that specializes and distributes more than 200 products in both personal care and nutritional supplement areas.
They have grown exponentially over the past three decades and are now a billion-dollar company and serves the global market.
NuSkin believes in “giving back” to the community. In 2019 alone, their Force for Good Foundation, along with their other charity partners, helped donate $10.3 million to improve the lives of children throughout the world.
Since 2002, Nu Skin’s Nourish the Children Program has donated more than 700 million meals to hungry children worldwide. This is made possible through the help of Nuskin’s employees and distributors.
Nuskin has an A+ rating with the Better Business Bureau and they have been accredited since 1986.
Nuskin Lawsuits
A company that has been around for as long as this one doesn’t surprise me to find lawsuits in its wake.
In the 1990s, NuSkin was investigated by the Federal Trade Commission (FTC) regarding complaints about its MLM practices.
The company settled with five states. The states accused the company of false advertising and stated they also overstated the income earnings by distributors. This was in 1992, and you can read the article here.
In 1994, after an FTC investigation, the company paid $1 million and signed a consent decree prohibiting it from making false claims regarding its products.
Another investigation by the FTC took place in 1997; the company paid an additional $1.5 million due to ongoing allegations of unsubstantiated promotional claims.
In January 2014, the Chinese government investigated Nu Skin after a newspaper article called the company a “suspected illegal pyramid scheme.”
In February 2014, a class-action lawsuit was filed in the U.S. District Court for the District of Utah against Nu Skin on behalf of investors who purchased or otherwise acquired the company’s common stock between July 10, 2013, to January 16, 2014.
In 2016 a former employee stole personal care products from Nu Skin. The company sued the former employee and was awarded $336,000 in damages and restitution. See article here
In 2016, NuSkin agreed to pay a $47 million settlement for operating a pyramid scheme after being sued by China in a Utah federal court. Nu Skin was also forced to pay another $750,000 for bribing a top Chinese official with funds from Nu Skin’s charitable division after a U.S. Securities and Exchange Commission probe. (NuSkin settles Securities Probe)
What is an MLM Company?
Multi-level marketing (MLM) is a business model in which individual representatives receive commissions for selling products. This can happen through a variety of methods, including direct sales, referrals, or word-of-mouth. However, representatives also receive financial compensation by having people in their downline who are also selling the company’s products.
When the downline members make a sale, the person who recruited them also makes money. This hierarchical commission model is dependent on both product sales and future sign-ups.
MLM companies are notorious for overpriced marketing products. More than likely, this is because they have to pay their representatives commissions on top of what the company makes.
Making Money with NuSkin
As far as their business opportunity goes, network marketing or multi-level marketing is not for everyone. It is a very challenging business model to make money with. Whoever, recruits you will make it sound easy because that is their job, but trust me, it is not as easy as it sounds.
You must like their products, because. If you don’t, selling them will feel forced, and you won’t be convincing enough to sell them to others. Also, If your goal is to make money, you must have people in your downline.
Therefore, your success with the MLM structure depends on your team members, who signed up under you. Unless they are active and making sales, your earning potential is limited. To achieve success, you must be good at selling and have a strong team under you.
Research is critical before making any investment. Check out YouTube; many people have tried MLM companies and have talked about their experiences, both good and bad. Also, check out other reviews, especially from past employees, you don’t need to take their word as gospel, but it’s good to know what went wrong with other people’s businesses. If nothing else, you’ll know what to expect.
NuSkin – Compensation Plan
Their compensation plan is like most MLM companies. You get paid commissions when you refer people to the business or sell products to others directly. They also offer bonuses if you meet various goals. This actually isn’t any different from other MLM companies.
However, Instead of detailing their compensation plan, I found a great video on YouTube that explains it for you.
This video is biased as the compensation plan is being discussed by someone who works for the company. Here is also a copy of their compensation plan in a pdf format for those who would rather view an actual document.
I do not endorse this video, in any way. I have no affiliation with this company. This video is for educational purposes only.
NuSkin – Low Income Potential
It isn’t easy to reach the top layers in any MLM company, and at NuSkin, it doesn’t appear any different. Here is a copy of their 2019 Income Disclosure Statement, which indicates this pretty well.
There is only 1% of independent distributors who reach the top level within most MLM companies. The majority of individuals who join MLM’s stay at the bottom tier and never earn any real money.
NuSkin – Scam or Legit?
Well, the answer to the pressing question is, No, Nuskin is not a scam. I believe a certain type of person fits this business model. Although I believe it is a difficult business model to make money with, it is not impossible. Basically, they are a legitimate MLM company with actual products available for purchase.
Companies like this are often referred to as scams because people do not believe in the products or tried to make money with their business opportunities and failed to recruit anyone.
If someone has tried to recruit you into joining NuSkin, always remember recruiters can make this opportunity sound too good to be true.
It’s the recruiter’s job to be as convincing as possible. Often, this causes people to get their hopes up, only to realize that reality is a lot different from what they’ve been promised. However, this doesn’t mean the business is a scam.
However, now that I’ve said that, I don’t recommend getting involved with this particular MLM company. Here’s why… due to their prior legal issues, which are relatively recent, and the fact your earning potential is limited, I believe there are other MLM options you can choose from if that’s the route you wish to go.
What NuSkin has in their favor is the fact they have been around for over three decades. That’s not a small feat for any company, especially in the MLM world.
Final Thoughts
Essentially, as always, I leave the decision in your hands.
Online success can come in many different forms. That’s why it’s essential to do research and find YOUR way before you invest time, money, and resources into a seemingly good product or service.
And, regardless of what you decide, one must always remember there’s no substitute for hard work, consistency, and self-motivation for success with any business, especially an online business.
Now, check out my #1 online business recommendation below. You can thank me later. 😊
P.S. No selling to family or friends required. Like I said. You can thank me later. 😊
My #1 Online Business Recommendation is…
Now, check out my #1 recommendation for building an online business. WATCH VIDEO HERE
First, you won’t have to sell products to your family or friends or have to make sure to sign up people to be in your downline. Second, you can still set your own hours and enjoy a community of like-minded people, but most importantly, you can learn marketable skills that will serve you for years to come.
I hope you enjoyed my review and if you have any questions, feel free to ask in the comments…
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To your Success,
Tamara
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