Why are you the center of MLM activity in the nation?
A family recently got involved in essential oils - something I consider to be medical quackery to the extent that there are significant health claims associated with it, but harmless and fragrant quackery. Said family member approached me for my opinion on starting a home business selling the oils.
I looked at a vial of the stuff and there was an Orem address on it. Hmm, I think. All I have to do is see the phrase direct selling and that should be a clincher. And whadya know, the website has it all over. Typical MLM stuff with lots of fluff and chiropractors pretending to be experts on internal medicine. That sort of thing.
The thing that surprised me was that I had to do a bunch of convincing of the person after that point. Apparently the MLM bit was not a deterrent at all. No, she knew all about that. But hey, this product is wonderful and I can make a ton of money selling it and hooray!
After my typical economic diatribe did little more to dissuade, I got an idea: surely, if MLMs work on faulty information in the marketplace, with something as fungible as essential oil I could find comparable products on the interwebs and show how much more expensive they were.
So I undertook a search, found some stuff, created a simple side-by-side comparison, and ran price differentials.
The results even shocked me. Average markup of 300%. One as high as 700%. The only discernible difference is that the MLM stuff is marketed as certified therapeutic (and claims to be the only one that is), but when you start digging you see that the certification is both meaningless and also a self-certified registered trademark. IOW, it would be impossible for anybody else to get this certification because only the MLM is allowed to use it.
My family member walked away feeling sheepish but convinced. I walked away pondering that the entire tip-off to me was that it was a product from Orem.
What is it about Utah County that makes MLMs spring up there? It's been that way since I was a kid.
A family recently got involved in essential oils - something I consider to be medical quackery to the extent that there are significant health claims associated with it, but harmless and fragrant quackery. Said family member approached me for my opinion on starting a home business selling the oils.
I looked at a vial of the stuff and there was an Orem address on it. Hmm, I think. All I have to do is see the phrase direct selling and that should be a clincher. And whadya know, the website has it all over. Typical MLM stuff with lots of fluff and chiropractors pretending to be experts on internal medicine. That sort of thing.
The thing that surprised me was that I had to do a bunch of convincing of the person after that point. Apparently the MLM bit was not a deterrent at all. No, she knew all about that. But hey, this product is wonderful and I can make a ton of money selling it and hooray!
After my typical economic diatribe did little more to dissuade, I got an idea: surely, if MLMs work on faulty information in the marketplace, with something as fungible as essential oil I could find comparable products on the interwebs and show how much more expensive they were.
So I undertook a search, found some stuff, created a simple side-by-side comparison, and ran price differentials.
The results even shocked me. Average markup of 300%. One as high as 700%. The only discernible difference is that the MLM stuff is marketed as certified therapeutic (and claims to be the only one that is), but when you start digging you see that the certification is both meaningless and also a self-certified registered trademark. IOW, it would be impossible for anybody else to get this certification because only the MLM is allowed to use it.
My family member walked away feeling sheepish but convinced. I walked away pondering that the entire tip-off to me was that it was a product from Orem.
What is it about Utah County that makes MLMs spring up there? It's been that way since I was a kid.
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