If you are looking to sell Herbalife Nutrition, you should understand that Herbalife is a MLM company.
Herbalife Nutrition is the 3rd largest direct selling company in the world, but in 2016 they were accused of being a pyramid scheme. That lead Herbalife to change their name to Herbalife Nutrition and they had to restructure its business to appease regulations.
Let’s take a look at how Herbalife Nutrition is structured and if there is any real earning potential being a distributor for Herbalife Nutrition.
What Is Herbalife Nutrition
Herbalife Nutrition is a global nutrition company. They are a multi-billion dollar manufacturer and seller of foods and nutritional supplements.
They state that their primary goal is to help people manage weight and pursue a healthy active lifestyle, supported by good daily nutrition.
They sell products for weight management, herbalife 24, energy and teas, skin, hair and nails and supplements.
They were founded in 1980 and are located in Los Angeles, California.
Herbalife Nutrition operates in more than 90 countries around the world.
Sounds like a pretty good company, but can you make any money selling Herbalife Nutrition?
Earning Potential With Herbalife
Herbalife Nutrition states that there are 6 ways to earn with their company.
- Retail Sales
- Wholesale Sales
- Monthly Royalties
- Production Bonuses
- Annual Bonuses
- Trip Incentives
The problem is, most distributors of Herbalife will never reach level 2 of the list.
I have taken a look at Herbalife Nutrition’s Statement Of Average Gross Compensation from 2018, and distributors really aren’t making much money.
It is reported that in 2018, there were approximately 20,000 first year distributors. Here is how their earnings stacked up.
- 50% earned more than $170
- The top 10% (around 2000 people) earned more than $900
- The top 1% (around 195 people) earned more than $2940
The findings for all other distributors (people that have been at this longer than 1 year) there were about 42,000 distributors. The earnings are only slightly better than the new distributors.
- 50% (around 21,000 people) earned more than $265
- The top 10% (around 4200 people) earned more than $3200
- The top 1% (around 420 people) earned more than $14,270
I don’t know about you, but none of these earnings are enough to survive on in my opinion.
Of the 1st year distributors, around 10,000 people didn’t even make $170 for the entire year. This doesn’t seen like something that is going to earn you any real income. Read below for my recommendation.
How To Participate As Herbalife Nutrition Distributor
- Buy Herbalife Nutrition products at a discount for your own use.
- Sell Herbalife Nutrition products to make a profit.
- Recruit others who want to sell Herbalife Nutrition products.
To sell Herbalife, you must either purchase the International Business Pack for $94.10 or purchase the International Business Pack – Super Starter for $124.10. I am unable to find what the difference is between these two memberships.
You are also required to complete the required Distributor Training before you can sell Herbalife for a profit.
What Can You Earn With Herbalife Nutrition
Like all MLM companies, the pay structure is very hard to understand. There are always great promises of how much you can make, but it is almost impossible to understand their payment plan.
There are the 6 levels for earning potential, but in reality, most people will never get beyond the first level, so let me explain the retail sales level of earning potential.
When you start as a distributor for Herbalife, you will be able to purchase products at a 25% discount. That means if you purchased a $100 product, it would actually cost you $75 to purchase.
You would then sell that product for the retail price of $100 and you would make the $25 difference. Sounds pretty easy, right?
Once you have some recruits below you, you can also earn the difference between your discount and their discount, or the wholesale sales.
- You have no ideas how many others might be selling in your area and there could be competition to lower price.
- Higher level distributors with a larger discount might sell the products for less.
- Herbalife is higher priced than most similar products.
- Hard to find recruits to join the program.
Positives of Herbalife Nutrition
There are a few positives with joining Herbalife as a distributor.
- You can cancel your distributorship at any time. If you cancel within the first year of joining, you will receive a full refund on your International Business Pack purchase.
- If you cancel your distributorship, you can return any unopened products you purchased with the last 12 months for a full refund and they will pay the shipping costs.
- Your start-up costs are fairly low.
I would recommend that you start your own affiliate marketing website. You can still sell Herbalife Nutrition through your own website. You will have a much larger audience than you would from trying to sell to family and friends and other connections that you can make.
Becoming a marketing affiliate will allow you to sell not only Herbalife Nutrition, but any other nutritional products that you might be interested in. You can become an affiliate of Amazon, and they carry the entire line of Herbalife Nutrition.
When you build an affiliate marketing website, you will provide your audience with valuable information on what they are searching for, and when they click your affiliate links and purchase something, you will earn a commission.
What commission percentage you have an opportunity earn is all very straight forward and easy to understand, unlike MLMs that make their compensation program very difficult to understand.
When working for a MLM company, the only people that are really making money are a very few at the very top.
According to Wikipedia, 99.25% of MLM distributors will earn insignificant or no net profits.
Creating a website for marketing affiliate will offer a much better opportunity to actually make some money.
It won’t be overnight, but if you work hard and keep at it, you should start to see some earnings around 6 months after you start.
Check out the program that I recommend, and the training that I used to become a marketing affiliate. You can learn more about Wealthy Affiliate with this review.
If you have any questions or comments, please leave them below and I will get back with you. You can follow momsmakingmoneyathome.com on Pinterest, FaceBook or Linkedin for all the latest updates.
Some of the links within this post are affiliate links of which I might receive a small compensation from sales of certain items.