Price: Starting at $60
Founder: Mark Hughes
Rating: (2.8 / 5)
Herbalife, Product Overview
I’m a professional in internet marketing. I do product reviews for making money opportunities, especially home based. Herbalife is one of the only mlm companies that I have come across that has decent products and a pretty decent business model. Read on I’ll tell you more about the company.
Herbalife is a multi level marketing business opportunity. Found in 1980, it now operates in more than 75 countries with approximately 2.3 million members in 2014.
Herbalife concentrates on health and nutritional products with product lines in skin and fitness as well. With a multitude of different products for different people and genders, they have something for pretty much everybody. Keep reading to learn more information about its income opportunities.
The Good & the Bad
PRO #1 – Promotes products for health and fitness, healthy skin and products to encourage health for kids (e.g. kids multivitamins and kids shakes).
PRO #2 – They do events in the community.
PRO #3 – You can have an opportunity to open your own store!
CON #1 – Less than 4% of members make over 5k a month.
CON #2 – Costs $60 to get started (better than other mlm’s that I’ve found)
CON #3 – Bound to only selling Herbalife products
Who is Herbalife For?
Herbalife is for anyone that wants to enrich their lives with healthy supplements. Whether it would be for hair, skin, or body. I have never been a fan of multi level marketing companies which you can see if you check out my reviews on Amway, ItWorks, or Kyani. However, they do have interesting health products and an easy to understand way to make money which I’ll list here soon.
Herbalife Tools & Training
When you purchase the Herbalife Member Pack (start-up kit) it includes a selection of products, applications, and other materials to help you get started.
One of the disadvantages to Herbalife and other mlm companies is that there is no structured training in place. I believe people need a specially designed training course to ensure success with their business. You should get training from the person(s) that recruited you, or someone else in their upline. After all, it’s in their best interest to train you to be the best and knowledgeable salesperson you can be because your success will add on to theirs. Which is what the model of multi level marketing is all about.
Herbalife.com has a user friendly desktop and mobile site with a useful FAQs page you can find in the Contact Us section. You can also contact support by email or their toll free number.
Currently there are two membership price points:
The Full Herbalife Member Pack $94.10 which contains full-sized products.
The Mini Herbalife Member Pack $60.70 and contains sample sized products.
Herbalife has a wide range of products but not so many that you cannot keep up with. Their products include:
- Formula 1 Healthy Meal Nutrition (Powdered Shake Mix)
- Formula 2 Multivitamin Complex (Tablets)
- Several Products for Weight Managements Products (Shakes, Tablets)
- Several Products for Energy (Tablets)
- Protein Drink Mixes (Powdered Shakes)
- Protein Powered Snacks (Drink Mixes and Protein Bars)
Several more products for Healthy Digestion, Heart Health, Support for Body Defense (e.g Vitamin C), Supplements for Men and Woman, Support for Eyes and Joints, Kids Nutrition, a whole line of Fitness products, Energy Drinks, Skin and Hair care products.
Prices range from $4.02 for an Express Meal Bar to $112 Heart Health supplements – Core Complex.
How Do You Make Money?
Everyone starts out at 25% Profit on Sales. (e.g. If you sell $100 worth of products you make $25.)
If you buy products for yourself and about 2-3 customer you can get promoted to 35% Profit on Sales. (e.g. If you sell $100 worth of products you make $35)
Then by getting products for yourself and about 10-12 customers you can move up to 42% Profit.
Your ultimate goal is to get to the top which is 50% Profit. (e.g. If you sell $100 worth of products you make $50!)
What is Wholesale Profit?
This is where multi level marketing comes into place.
Example: If you get someone to join. They’ll start out at 25% Profit. If you’re at you’re at 50% and they sell $100 worth of Products, Herbalife is going to send them a check for $25 (because they’re at 25%), and they’re also going to send you a check for the difference which is $25. (You get the difference of your 50% and their percentage.)
When someone you recruit moves up to the 35% discount, Herbalife will send you a check for 15% of his sales earnings.
Basically you start out getting 25% discount on products and work your way up to 50% discount. While selling the products at retail you will make the difference on your down-line sales until they move up to 50%.
If you get up to the 50% level with a couple of people under you and about 10-12 customers, you can expect to bring in around $1000 month. This is assuming that you’re selling the products at retail, with consistent customers that are continuing to buy the products, and signing up a couple of people.
Disclaimer: Herbalife earnings opportunity is something like a gym membership: results vary with the time, energy and dedication you put into it. Anyone considering the Herbalife opportunity needs to understand the realities of direct selling. It is hard work. There is no shortcut to riches, no guarantee of success, However, for those who devote the time and energy to develop a stable base of customers and then mentor and train others to do the same, the opportunity for personal growth and an attractive part-time or full-time income exists.
Source: Herbalife StatementOfAverageGrossCompensation.pdf
What are Royalties? How Do They Work?
Once members in your downline reach 50% with you; Herbalife begins to pay Royalties, and they pay them three levels deep.
If someone you recruit (Member A) is at the 50% level with you and his whole team makes $7000 in sales for the month (assuming they haven’t reached the 50% level yet) Herbalife is going to send you a check for 5% of their total sales, which is $350.
A second level deeper is when someone in Member A’s team (Member B) reaches 50%. Not only will Member A make 5% on all of Member B’s team’s total sales, but you get 5% too.
The system pays three levels deep, so if someone in Member B’s team (Member C) makes it to 50%; Member B, Member A, and yourself make 5% on Member C’s team’s total sales.
So there are three ways to make money with Herbalife. You make it through selling products at retail. You make a percentage off of your down-line total sales. Finally when members in your down-line reach the 50% mark you begin to earn Royalties.
My Final Opinion of Herbalife
If I had to choose an mlm I would have to say I would choose Herbalife. The income opportunities are great but I wouldn’t only choose them because of that. I would choose them because of what they sell. Which are health and nutritional products. Health and nutrition are so important in our lives and so I would be looking to benefit from the products. As we can agree, we all want to live active and healthy lives.
On the flipside I do not like direct selling. This is face to face, so if you don’t like it either I would not recommend you do it. Don’t allow the attraction of the making money opportunity to reel you in because only a very small percentage earn a comfortable living from Herbalife. An interesting fact I found was that 83% of its members do not make money with the product and are only members to get the discounts on the products.
Also, if you’re not passionate about Health, Nutrition, or Fitness products then I would not recommend Herbalife for you because that is what you will be selling. You want to be passionate about the products you sell or else you will hate it. I always recommend to try the products first and see if you like them. If you do, then go ahead and get into making money with them.
Personally, I enjoy Affiliate and Internet Marketing. Affiliate marketing allows you to choose from millions of products online, no need to purchase an inventory, and you can work right from the comfort of your own home. All you really need is an internet connection and a laptop! If you would like to learn more about internet marketing I can recommend a website that you can learn everything you need to know about it. It’s called Wealthy Affiliate.
Which ever opportunity you choose plan to to stick to it long term. There are no get rich quick schemes. Choose something that you can commit too. With a lot of hard work and dedication you can make money in either business.
Do you have a personal experience with Herbalife? If so, I would love to hear about your experience with their products and income opportunities. As always I appreciate your feedback. It truly does help others. 🙂