People like being healthy and fit.
Being healthy and fit has been advertised on TV for generations. Who doesn’t remember Jack LaLanne and his fitness program? He was on television long before Richard Simmons started his weight loss programs.
These fitness gurus used exercise and eating right as the foundation to their healthy regimes. Shaklee used vitamins and he is credited with creating the first vitamin in America. Famous people have used Shaklee products as well.
So it cannot be all bad, or can it?
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Believe it or not, the company name is the last name of the company’s founder. Forrest E. Shaklee. He was born in 1894 and and died in 1985 but during that time he became a chiropractor and a nutritionist.
In 1925, before he left his home state of Iowa, he created Shaklee’s Vitalized Minerals. He believed in health and nutrition. Later he moved to Oakland where he and his two sons formed Shaklee Corporation in 1956.
The purpose of the company was to manufacture nutritional supplements. Unfortunately, the founders opted for the MLM business plan to market their products. 1960 saw the first marketing of Shaklee organic, biodegradable cleaning products.
Being a publicly traded company Shaklee had to fend off takeover bids while buying other companies to help it reach a better market share. Eventually, the Shaklees sold out to Yamanouchi Pharmaceutical Company in 1989.
Eventually, Yamanouchi sold its interest in the company to Roger Barnett, managing partner of Activated Holdings LLC. Through all the wheeling and dealing, Shaklee continued to market its product through independent sales reps.
But all is not as it seems as Shaklee was told by the FTC to stop marketing Instant Protein as a good supplement for babies. Also, the FTC told the company to stop claiming that there was a lot of protein in its Instant Protein product.
Not only that, a major distributor was caught doing some illegal activities using his position and the company name. Shaklee stopped his $45,000 monthly distributor payment, he was with the company for 45 years. He was eventually charged but Shaklee was not involved in those criminal acts.
Since the company has been around for between 60 and 100 years give or take a decade, they have been able to develop a wide assortment of products to sell to potential customers.
Marketing their product got a boost recently when the NASA astronaut program used their products during their shuttle space program. Over the years the company has been able to create 5 different product lines. The first was nutrition with its vitamins, protein shakes and other products that helped you be heart healthy and slow the aging process.
The next was healthy weight. This is a program filled with different healthy products that help you lose weight. These products include weight loss kits, bars, snacks, teas and more.
Then came the beauty line and it seems that almost every MLM company wants a part of the beauty industry. This line even included skin care for babies as well as make up , moisturizers and so on. Sports was next and its products focus on muscle repair, body recovery energizers and more.
Finally, the environment was targeted through the company’s green home cleaning line including dish cleaners, laundry soaps and more. While we may not have the order exactly right, Shaklee produces a lot of products for consumer use.
The products seem to work and many people get a lot of benefit from them. The company holds about 71 patents and has done its scientific research. People seem to be happy with them although results may vary and Shaklee may not work for some customers.
The money back no questions asked guarantee helps market their products to potential customers. It makes it easier for the independent distributors to sell as well. They need something to help take their potential customers mind off the price of the products.
One of the hooks the company uses is to convince prospective sales reps of the Shaklee Effect. This Effect is told to sales reps that a number of smaller changes will vastly improve their lives. Whether it does or not remains to be seen.
Signing up with the company can be done in two ways and both cost you money. The first option is the prove it challenge and you need to pay $49 and $159 for the starter kit and Shaklee nutrition.
Option 2 has you paying only $49 dollars for the welcome kit. But those are not the only fees involved once you sign up. You have to buy a success kit which can range in cost between almost $300 and $1,000. It may be possible to sign up as low as $19.99 but we have not confirmed that yet.
To remain active, you must order about 100 points worth of products every month. Those points equal about $150. That is just for starters. To earn better commissions you have to have a group sales total of 250 points per month and you need to buy your way up the levels in order to earn bonuses and rewards.
Sign up is easy but keeping your membership alive is not so easy. It will cost you a lot if you do not have a very loyal and Shaklee loving customer helping you out. Plus, if you happen to miss or skip a month, it is possible you will lose your accumulated points total.
It would be best if you really looked at the Shaklee sign up plan because being easy does not mean that it will be or remain cheap. While Shaklee has never missed a payment to its distributors, those payments are not always that high.
The hype sounds good and many people like Shaklee products, but you have to deal with your built-in 750.000 competitors.
Yes it is possible and as we mentioned earlier, one distributor was making $45,000 a month. But he got in on the ground floor and had been with the company for 45 years.
Shaklee has also made 2,000 people millionaires but when you compare that figure with the 750,000 sales reps trying to earn money, it doesn’t seem so great or large. The number is actually about 1/3 of 1% of all sales reps who become millionaires selling Shaklee products.
To make that kind of money, you need to ascend the 15 levels the company has created. Also, you need to earn the right amount of points to get bonuses, rewards and higher commission checks.
With 750,000 people already signed up, that may not be as easy as the company claims it is to accomplish. Here is a link to their compensation plan, and another, and it is as difficult and confusing as any other MLM payment plan.
In fact, about 54 cents on every dollar you sell goes to your higher ups. That leaves about 46 cents for you and everything else Shaklee has to do in production, marketing and paying salaries for full time employees.
The fact that you have to make monthly purchases means that any profit you see will disappear back into the company one way or the other.
While Shaklee is a very respected company it is not immune to red flags that warn people about the shaky compensation, the high cost of membership and its products and so on. Here are some red flags that should make you think twice about selling their products:
The company is like every other MLM company out there. They get as close to being a pyramid scheme or a scam as they can legally get. That is so they can make money and still fill good about cheating their sales reps out of hard earned money.
That may sound a little harsh and blunt but from what we have seen from our research over this series we have no respect for MLM companies even as respected as Shaklee is.
If you think Shaklee and other MLM companies are pyramid schemes you can thank the following curt decision for their not being identified as such - 1979 case of Amway vs the FTC.
The wording in this decision made it possible to keep MLM companies legal. Part of that wording includes the idea that the different sales reps are required to make retail sales. Read up about the case and take a close look at the wording.
The wording only makes MLM business plans legal. It does not make it an ethical way to do business. There are other non enforceable rules that are ignored by MLM companies. The sum of it all is, only about 1% of the sales reps in Shaklee and other MLM companies make any money.
Even a company like Shaklee that has been around for a long time has its shady side and may not be worth getting involved with.
MLM companies like Shaklee are in business because people allow these companies to use them, eat them up and spit them out. Most people get involved in employment to make money, not spend it on obtaining product to sell and earn a commission.
When you have to spend money to be employed, it is time to look for a better company to work for. Because that expenditure defeats the purpose of why you joined the company in the first place.
There is some good news though. You do not have to work for an MLM company like Shaklee to earn a second or first income. There is a better way and it is called affiliate marketing.
This platform does have you represent a product or niche or a variety of products and niches. You also can use a website to help sell those products and the better news is that you do not have to make monthly purchases to stay active and earn your commissions.
Once someone who has read your website decides to buy, clicks on your affiliate link, and buys the product, you have earned a commission.
There are no complicated, confusing compensation plans designed to rob you of your earned money. You help make a sale, you get paid. It is that simple. The only trick is to learn how to be a success, write good content and practice good SEO strategies.
It is all up to you and on your shoulders how much money you can make using affiliate marketing.
About affiliate marketing, contact us and ask your questions. We will be glad to explain affiliate marketing to you and then introduce you to one of the best affiliate marketing platforms around - Wealthy Affiliate.
This platform provides education, training, support and a lot more. They are designed to help you become a success. But you can’t be a success until you learn how to do it. You will work hard but the reward is worth it and not pie in the sky as it is with MLM companies.
So do not delay. Contact us now and have your questions ready. There is a better way to make money to cover life expenses. It is just not found with working through MLM corporations. Find out how you can do it for you and your family.
Thank you for reading.
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