Herbalife Review – Scam Or Legitimate MLM Business?

| May 31, 2011 | 8 Comments

Herbalife Review imageWelcome to my Herbalife Review!

What is Herbalife? Herbalife is a Multi-Level Marketing (MLM) company with a vision to help people improve their lives through better nutrition and an unparalleled business opportunity.

In this Herbalife Review, I will be examining this company, their products, and more importantly, the MLM Business opportunity that they offer as a Herbalife Independent Distributor.

Does Herbalife offer a legitimate and promising MLM Business opportunity, or is this a scam or pyramid scheme?  This is my unbiased Herbalife Review.

Company Details & History

Herbalife Logo imageFounded by Mark Hughes in February 1980, Herbalife has become one of the most popular and successful nutritional companies in the Network Marketing industry.

With what began as a company with products being sold out of the trunk of Mark Hughes’ car, Herbalife is now a household name with nearly 2.1 million Independent Distributors spanning across 75 countries, and reported retail sales of $4.3 Billion in 2010.

Product Line

Herbalife offers Health & Wellness products related to:

  • Weight Management
  • Digestive Health
  • Personal Care
  • Energy & Fitness
  • Immunity Solutions
  • Heart Health

Their Flagship Product

Herbalife’s flagship product is their Formula 1 Nutritional Shakes, a soy-based meal-replacement shake.  The Formula 1 Shake was among the very first products to be distributed by Herbalife, and is the major contributor to this company’s success.

Every Herbalife Product is distributed exclusively through their vast network of Independent Distributors, representing the MLM Business opportunity that they provide for those who have benefited from their products, and wish to earn compensation as they share them with others.

MLM Business – Getting started…

Herbalife Product Review imageYou will find that when you are researching the Herbalife business opportunity, that the information provided by Herbalife is limited without entering your personal information to have an Independent Distributor contact you directly.

However, through outside sources, I have found that the cost to join Herbalife as an Independent Distributor is $95.

Questions you must ask!

Since this information did not come directly from Herbalife, you will need to submit your personal contact information on their website if you wish to learn more.

When you do that, you will also want to learn if a monthly product purchase will be required to maximize your earning potential within the Herbalife Compensation Plan.  This is commonly referred to as an Autoship, and is typically required by MLM companies to earn the maximum commissions and bonus payouts that their pay plan has to offer.

Distributors are also provided with a replicated website to refer family and friends to learn more about Herbalife products, and the business opportunity as a Distributor in your organization.  This will be an additional monthly expense.

Compensation Plan – Ways to earn…

Herbalife Compensation Plan imageAs a brand new Herbalife Distributor, you will enjoy 25% commissions for every product that you sell.  Once you achieve the rank of Senior Consultant, you will begin to benefit from a sliding commission scale ranging from 30% to 42%.

Herbalife utilizes what is commonly referred to as a Breakaway Plan, meaning that when Distributors in your downline achieve qualifying milestones in their business, they will ultimately break away from your team to begin their own organization.

When this occurs, you will no longer benefit from the sales volumes that this successful Distributor has been contributing to your distributorship.  You will then only receive a percentage of that Distributor’s team sales, which will result in a loss of revenue.

Distributor Training & Support

Herbalife Business Opportunity imageHerbalife is a Network Marketing company that is based upon Word-of-Mouth tactics to promote and distribute products.  In other words, the methods of approaching friends, family members, acquaintances, neighbors, associates, and anyone else who you know will apply in building this business.

From the moment that you enroll as a Herbalife Distributor, you will be paired with a sponsor who will have a vested interest in your success.  This person will be your immediate support line to assist you in getting started.

Training Resources

Herbalife Distributors will receive training and mentoring from Company-Sponsored training events.  These will include:

  • Success Training Seminars (STS)
  • Herbalife Opportunity Meetings (HOM)
  • Leadership Development Weekends
  • Annual International Extravaganza Events

Distributors will also have access to a 24/7 online training resource, referred to as Herbalife Broadcast Network.

However, with all of these various events and training tools, the Warm Marketing methods of selling products to and recruiting your family and friends will still be at the core of your training.

Herbalife Review Conclusion

In my opinion, Herbalife is a legitimate MLM Business opportunity, and should not be considered to be a scam or pyramid scheme?  There are many online reviews and testimonials that attest to the fact that Herbalife offers high-quality products that deliver, and they have been doing so for more than 30 years.

However, this business opportunity would be best suited for the individual who can bring a more modern and effective marketing strategy that extends beyond friends and family members.

Food for thought…

While the Warm Marketing methods that Herbalife encourages worked well in the 70s and 80s, I don’t believe that they are the most effective way to build a Home Business in today’s world.

For those who possess the expertise to generate 25+ fresh leads each and every day, Herbalife offers a very solid business opportunity with quality products.

I hope that you have found my Herbalife Review to be informative and educational!  I wish you the best of luck in your home business research!

Category: MLM Company Reviews

About the Author ()

Dave Fennell is the founder and editor of Marketing Methods Online and BloggerGo. Learn more about him here. You can also connect with him on Facebook, Twitter, and Google+
  1. Dave Fennell says:

    Dave Fennell wrote this Herbalife Review for those who are researching the Herbalife Business Opportunity. I would love your feedback. If you have any experiences with this company, whether good or bad, please share them here to assist others in their research efforts.

    I greatly appreciate your feedback and expertise, and others will too!

    To Your Success,

    Dave Fennell

  2. India says:

    That’s the best answer of all time! JMHO

  3. Marshall Marola says:

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  5. Sid Namer says:

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  6. sport says:

    Thyme – another great source of beneficial anti-aging chemicals Herbalife formula 1 Triggers may include ice tea, hot tea, hot chocolate, some herb teas, coffee, orange juice, lemonade, alcohol, and tomato juice.

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