Is Shaklee a Pyramid Scheme? – I don’t think so, but…
Whether you are here because a friend of yours approached you to join Shaklee or you are here because you are not convinced of the business opportunity even when you are a Shaklee’s distributor.
In this Shaklee review, I’ll expose everything you need to know in order to make an informed decision, so you don’t need to do all the hard work of finding Shaklee reviews.
If you have personal experience about how you were approached by a Shaklee’s distributor or how you were being recruited, I’d like to invite you to share your experience by leaving a comment below this review.
The reason why I asked about “the approach” is because Shaklee could be considered a pyramid scheme if the distributor only cares about recruiting you, instead of focusing on the product promotion.
Here’s what you need to know about a Pyramid Scheme…
How I Fired My Boss and Still Earn a Full-Time Income. Here’s How You Can Too!
Is Shaklee a Pyramid Scheme? – I don’t think so, but…
Before we move any further to discuss this topic, let’s watch this video to understand what exactly a Pyramid Scheme is.
Does Pyramid Scheme sound very much like Shaklee?
Now, you must know that this video is a 300 foot view of a company that works similarly to Shaklee, but it doesn’t mean that Shaklee is a Pyramid Scheme.
Even with the checklist (provided in the video) to spot a pyramid scheme, I don’t think it is enough to justify a company like Shaklee. I’ll explain why.
Shaklee is a Multi Level Marketing (MLM) Company…
Shaklee operates as a MLM company, and there are many benefits for a company to choose a structure like this for marketing.
The biggest benefit of MLM is the cost saving on advertisements. There is absolutely nothing wrong about this structure as it provides an opportunity for anyone to make money by promoting its products if they believed in it.
Instead of blindly joining the company and claiming that Shaklee is a scam at the end of the day, I would advise you to try their products for at least a month and decide if the products are suitable for you.
That way, you wouldn’t mind buying the products for personal consumption.
Tip #1: Never invest thousands of dollars to buy inventory for marketing purposes. If you want to spend thousands of dollars on the products, do it for personal consumption. In this day and age, logistics has become so efficient that you don’t need to store inventory for the sake of “a fast sale”. People get their products within a day or two, upon their online order from Shaklee directly.
So, is it a Pyramid Scheme or not?
My verdict of whether Shaklee is a Pyramid Scheme? Well, it really depends on how you were introduced to the company, but generally, I would say that Shaklee isn’t a pyramid scheme nor a scam.
In such a large organization, teams and groups across the organization operates differently, although they are under the same umbrella.
If you are thinking of joining Shaklee, you have to be cautious who you are joining. I’ll share some tips for you as you read along.
What is Shaklee?
I guess you already know what Shaklee is, but please give me the chance to explain.
Shaklee was founded by Dr. Forrest C. Shaklee back in 1956, and before Shaklee, the doctor developed vitalized minerals in 1915, which is what you see today in Shaklee’s health supplements.
The “Natural” and “Environmental Friendly” approach to all of its product developments earned Shaklee the first company to be Climate Neutral Certified by the Climate Neutral Network (Source).
Over the years, the company has developed a wide range of products spanning from Health Supplements to Weight loss Supplements to household products, and Shaklee is operating in the U.S. as well as many other countries such as Canada, China, Indonesia, Malaysia, Japan, Mexico and Taiwan.
And, because the company stands behind their products, they provide a 100% money back guarantee if you feel the products didn’t work for you.
Everybody joins Shaklee for a good reason, and it is not entirely because of the financial benefits. One very good example is its household cleaning products.
I liked how the company approach to selling its household products. It is through clever marketing that people will feel the need to be a part of Shaklee. This way, you don’t need to recruit people, and people will join the company naturally if they believed in the products.
What are the products of Shaklee?
Their products are divided into 5 groups, all of which promises healthier living (not meant to cure, prevent, diagnose, treat, or cure any disease).
Group #1: Healthy Nutrition
This is their product line which contains proteins, vitamins and minerals in order to supplement the body’s daily nutritional needs. Some of the popular items under this category are the:
- Life Strip – composed of different tablets and capsules which provide vitamins, minerals, omega-3 fatty acids, polyphenols, antioxidants and phytonutrients. This product is being sold for $200, but if you are a member, you can get this for $169.96.
- Vitalizer – Just like the Life strip, this is a supplement which contains vitamins, minerals, omega-3 fatty acids, antioxidants plus probiotics. The suggested retail price for this product is from $93.25 to $450. But for members, this is only being sold for $79.25 to $382.25.
- B-Complex (1) – This is Shaklee’s vitamin B-complex supplement which is being sold for $25.50 to $47.95 for non-members and $21.70 to $40.75 for members.
- Vita D3 (2) – This is a high potency vitamin D3 supplement of Shaklee which is being sold for $9.40 for non-members and $7.95 for members.
- Incredivites – This is a calcium and vitamin D supplement for kids. The suggested retail price is $34.95 but members can buy this for only $29.70.
Group #2: Healthy Solutions
This is the product line of Shaklee which is recommended for adults.
It helps fight the different problems that arise during aging such as joint problems and poor memory.
Some of the most popular products under this line are the:
- Vitalized immunity – This product can help improve immune system. It comes in tablet form to be dissolved in water for consumption. This product is sold for $26.10 for non-members and $22.20 for members.
- Nutriferon – Similar to Vitalized immunity, Netriferon is meant to improve an individual’s immune system. This product comes in capsules to be taken with meals. Nutriferon is being sold for $45.90 to $495.72 for non-members and $39 to $421.20 for members.
Group #3: Healthy Weight
This is Shaklee’s product line specializing in weight management.
It provides meal replacement programs and different tips on how to maintain your new and healthy weight.
One of their most popular products under this line is the Shaklee 180 meal-in-a bar which is being sold for $31.15 for non-members and $26.50 for members.
Group #4: Health Beauty
The secret of maintaining your beauty and youth is on this product line.
Shaklee offers various beauty products to help you look younger. But then again, just like the other lines, they can be quite pricey even if you are a member.
One of their most popular products is the Youth Activating Serum which promises to help regenerate skin cells.
This is being sold for $94.15 for non-members and $80.00 for members.
Group $5: Healthy Home
Under this line, you will find different house cleaning products which can help maintain the cleanliness and healthy environment in your home.
One of their most popular products is the Basic H2 wipes.
This is a cleaner which promises not to leave any toxic components behind plus it is effective in eliminating dirt and the germs hiding from it.
This surface cleaner is being sold for $9.10 to non-members and $7.75 for members.
Tip #2: Before you start purchasing any products, think long-term.
Does your budget allow you for such luxury?
To be honest, spending several hundreds dollar per month on health supplements is a little expensive.
And, especially if there are more than one person consuming them.
Never purchase the products if you can’t afford them.
Even if a distributor tells you that you can make a profit from selling it.
How I Fired My Boss and Still Earn a Full-Time Income. Here’s How You Can Too!
Why almost 95% of the people fail?
Though I can’t find or verify the data of the company’s income disclosures…
I’ve looked into Shaklee’s close competitors and have discovered that almost 95% of the people who join companies like Shaklee will fail.
Above is a screenshot of Shaklee’s compensation document.
It details the average income of distributors in different ranks.
But, it failed to disclose the number of distributors in each rank.
It is true that as your rank progresses, you’ll earn quite a lot from the company.
However, not many people will achieve those ranks.
Referencing to other competitors like Melaleuca and Amway, the majority of the Shaklee’s distributors will fall in the ranks of Coordinator or below.
This would mean that they are earning an average of $1,738.25 per month or less, and some distributors don’t make any money at all.
If someone were to tell you that you can earn a living with Shaklee in a short period of time, run!
Because, that person is not telling the truth.
The truth is that the majority of the distributors are struggling to make this business a success.
And, that many dropped out because there’s just too much work with no results.
There are many reasons for a distributor to fail, but here are the main reasons…
Reason #1: The Wrong Mindset
When you were introduced to Shaklee, did you have an epiphany that the products will sell for itself because it is just so good?
You’ll be in for a shock if you have that mindset.
Products will never sell for itself, but your sales skills will.
What I mean by sales skills is not hard selling.
The art of selling is not to sell, I know its contradicting, but just like what you have seen in the Shaklee’s video above, they use stories to relate and you’ll feel the need to buy the products.
This skill is not something you can learn overnight, but it is through hard work, trial and errors, and facing a lot of rejections.
If rejection affects your emotion and mood deeply, you shouldn’t be in this business. You should check this out instead.
Make Money Online without facing rejection. Are you interested?
Reason #2: Insufficient New Leads
Every business needs a steady flow of new prospects to be sustainable.
If you are just promoting Shaklee to your social circle, you’ll soon find that you’ll be stuck and can’t progress further. Why?
Because most of the people in your social circle are not frantic buyers.
They are not looking for a solution to their problems. They will probably join you because they want to support your business.
3 in 20 people you meet will likely buy a product from you, and 1 out of the 3 (if you are lucky) may join you as a distributor.
When you’ve expanded your list of prospects (maybe 200 to 300 people), where will you find new leads?
If you want to learn how to find quality prospects online, I recommend that you start learning attraction marketing.
3. Joining the Right Team
Joining the right team is super important in this business.
Just consider the way you were approached by your Shaklee’s distributor (or your sponsor).
Did she/he made you feel uncomfortable? Did they “trick” you into joining Shaklee?
These are valid insights you need to be mindful of when you are deciding to join Shaklee.
If your reason to join Shaklee was mainly because of the benefits you’ve gained from the products.
And, not because of the influence from your distributor, I guess it is a good sign that you are going to join the right team.
I’m sorry, hard selling just don’t work these days.
Also, you may want to find out if your prospective sponsor or team leader will groom you to be a great salesperson and teach you how to find prospects online. These are the two main problems people face in this business.
Just in case you are in this business, and you feel that you couldn’t get the support you needed. I would recommend that you check out this network marketing training program.
Shaklee’s Compensation Plan
Now, if you are serious about joining Shaklee, the first step is to understand the compensation plan.
My Sincere Advice to You
Before you decide to join Shaklee as a distributor, I’d advise you to try the products for at least a month.
You may also want to consider if you have the budget to buy Shaklee’s products month after month.
If the products work for you and you feel comfortable with it, you will have good grounds to promote the product, and that’s when you can join the business opportunity.
Never join a company just because of the financial benefits, you’ll soon run out of passion for the business.
To be successful with Shaklee…
You have to be a salesperson, which means that you’ll have to face a ton of rejection.
If you can’t stomach the rejections, you shouldn’t be in this business.
Now, if you are serious about becoming successful with Shaklee, and you wish to learn the art of selling and prospecting online, I recommend that you check out this program.
If Shaklee is not the right opportunity for you…
Now, what if this business is not for you, but you are still looking for an opportunity to make money online?
I would suggest that you check out Wealthy Affiliate because it is the program that taught me how to start and scale a six figure online business. Here’s my humble story if you are interested.
Thank you so much for reading this Shaklee review.
If you found this review helpful, please share it! There may be people who are looking for this information.
And, if you wish to discuss more about Shaklee, please, feel free to leave a comment below.
Your pal,
Jack
Hi. I started working in a company and there is this 60 plus woman who befriended me I thought you know it is a kinda “friend” per se thing. We came from different dispatch company. She said she wanted to meet me and have lunch with me. I told my husband about it and my husband said she is just being kind. So I said why not. And out of my busy schedule I took the time off to have lunch with her. To my disappointment she started telling me about Shaklee’s product. In my mind I thought we’re having lunch here. I invited her to my house and she started telling me and my husband that she is not obliging us to buy Shaklee. Hello? I told her if I have time I would go to their seminar but canceled it since I was disappointed. After that incident I never mentioned to her that I would buy. But then again after work just the other day she wrote me a message that I should drink Shaklee’s product. And even lent me a DVD about the life and times of the founder of Shaklee’s. The first time she is trying to sell us the product. Second time she is explaining to me she is not she is not forcing us to buy the product but would like me to earn a little by becoming a distributor of the product. I am trying to be nice to her since she is way older than me. But she is starting to annoy me. Why is she so persistent. Any advice would be helpful. Please email me. Thank you very much.
Best regards,
Ayaka
My mom has sold.Shaklee products since I was a kid. She had our entire family taking massive doses of supplements (she and my dad were taking at least 20 a day), drinking their shakes, and even made my sister and I take their meal/snack bars and samples of other things she was trying to promote to try and push them on our friends, their parents, and our teachers. She took us to meetings and conferences in hopes that we’d become distributors when we got older! She still tries to promote these products as cure-all’s (especially the supplements) claiming they help with everything ranging from general stress management to “curing depression.” When I was 13 she made me take all sorts of supplements in order to “cure” me rather than putting me in therapy or counseling, claiming it was easier and safer than therapy. It honestly makes me so sad to see her keeping this mindset that a bunch of smelly oils and supplements are going to cure everyone of everything. She lost a lot of money in this scheme that she’ll never recover from.
Thank you for sharing your story here. Though it is a sad story, I hope that it can help inform people who are in this business or are thinking of joining this business.
Cheers!
~Jack (BareNakedScam)
That is not a true definition of a pyramid scheme!
Hi Sapphire,
Please share with me which part of it is not true?
Pyramid Schemes:
1. Products with no retail value or no products at all;
2. Looks more like a recruitment scheme than a direct selling company;
Cheers!
~Jack (BareNakedScam)
My sister sells Shaklee. She is so brainwashed with that company. If she visits any family member, hide your vitamins, etc., you bought from a big box store. You will get lectured about the ingredients in your vitamins or protein powder. My sister takes over 200 pills a day, hardly eats anything. Her appearance has changed drastically, yet she tells everyone how wonderful she feels.
She thinks I should buy products from her. I am on a very low income so I will not buy Shaklee.
She asked me to start selling. I have no interest in selling over-priced products.
I could go on, but I think you get the picture.
Oh my! Your poor sister. I hope she realizes that she need nutrition from food, not pills.
I’m glad you are sharing your experience about your family member.
Hopefully a Shaklee member can help to explain this situation. I am sure your sister is the gung-ho type, and I am pretty sure not all Shaklee distributors are like your sister.
Thanks once again for sharing!
Cheers!
~Jack (BareNakedScam)
Jack,
Shaklee promotes their nutritional products as supplements, not vitamins. The ingredients are food. How many people in this country eat the way they are supposed to eat. Some things have to be supplemented.
Hey NickDanger,
Thank you for correcting me. Isn’t vitamins a compound of supplement? Haha!
Cheers!
~Jack (BareNakedScam)
A lot of these “failures” can be easily remedied by, like you said, not joining strictly for money. You also have to put in the effort, just like with any other job, the only difference is do you have the motivation to do it? You could walk into any job and just do it, but with a business you grow from the ground up, it takes 10x as much work. If you aren’t willing to put the work into it, of course the result is going to be nothing. You get what you put into it. But it absolutely IS possible to earn that much money. You have to leave your comfort zone to do it.
Totally agree with you Mandy!
No business will ever be successful if you don’t put in the hard work.
You definitely need to leave your comfort zone to achieve something in life.
Thanks so much for your input!
Cheers!
~Jack (BareNakedScam)