Ahh, good old advanced MLM recruiting tactics.. You’re peacefully scrolling through Instagram when a former classmate slides into your DMs with a “Hey girl 💕” and a life-changing opportunity. She’s glowing, sipping a green smoothie, and casually mentioning how she quit her 9–5 to “live life on her own terms.” You click the link. It’s a multi-level marketing (MLM) pitch. Again.
Welcome to the glittery world of MLMs—where the promise of financial freedom is often just a well-lit illusion. In 2025, MLMs are still alive and recruiting, but the truth is catching up. Most people don’t get rich. Most don’t even break even. And many leave with empty wallets, strained relationships, and a lingering sense of shame.
Let’s break down why MLMs are problematic, how they’re sugar-coated, and what smarter alternatives look like.
🧠 What Is An MLM, Really?
Multi-Level Marketing is a business model where independent distributors sell products and recruit others to do the same. You earn commissions not just from your sales, but from your recruits’ sales—and their recruits’ sales, and so on.
Sounds like a pyramid? That’s because it kind of is. The difference? MLMs technically sell products, which keeps them just shy of being illegal pyramid schemes. But the Federal Trade Commission (FTC) has repeatedly warned that most MLMs rely more on recruitment than retail sales—and that’s where the trouble begins.
🚨 The Real Downfalls Of MLMs
1. 💸 Most People Lose Money
According to the FTC, 99% of MLM participants lose money. That’s not a typo. The vast majority spend more on starter kits, training, inventory, and travel than they ever earn back. These advanced MLM recruiting tactics are the surest way to lose your hard earned cash.
- You pay to join
- You pay for products
- You pay for conferences
- You pay for marketing materials
- And you’re told it’s all “an investment in your future”
But the return on investment? Often negative.
2. 🧱 Recruitment > Product Sales
MLMs thrive on building “downlines”—your team of recruits. The more people you bring in, the more you earn. But here’s the catch:
- The products are often overpriced
- The market is saturated
- Real income only comes from recruiting others
This creates a cycle where everyone is selling the dream, not the product.
3. 🧠 Emotional Manipulation
Advanced MLM recruiting tactics don’t just sell supplements or skincare—they sell hope. They target people in vulnerable situations: stay-at-home moms, recent grads, women in financial distress.
Common tactics include:
- “You’re not buying a product—you’re joining a sisterhood 💕”
- “If you’re not succeeding, you’re just not working hard enough”
- “Negative people don’t belong in this space”
- “This opportunity changed my life—God led me here 🙏”
It’s not just marketing—it’s spiritual gaslighting.
🧃 Common MLM Scams Still Circulating In 2025
Thanks to BehindMLM’s State of the Scam 2025 and other watchdogs, here are some of the most notorious MLMs and their tactics:
🧬 Herbalife
Nutrition products, weight loss shakes, and a compensation plan that led to a $200 million FTC settlement. Most distributors earn little to nothing.
👖 LuLaRoe
Leggings and fashion items sold through “pop-up boutiques.” Distributors were left with unsellable inventory and faced lawsuits over pyramid scheme allegations.
💍 Paparazzi Jewelry
Cheap accessories with toxic metals, plus a class-action lawsuit over misleading income claims and product safety concerns.
🧠 AI Quant & MLM Crypto Schemes
Promising “AI trading bots” and crypto wealth, these scams lure people with tech jargon and vanish overnight. Most are Ponzi schemes in disguise.
🧴 Nu Skin
Beauty and wellness products with a history of FTC investigations for false income claims and recruitment-heavy compensation plans.
💄 Mary Kay
Founded in 1963, this cosmetics giant is still pushing pink Cadillacs and “empowerment through lipstick.” Consultants earn commissions from product sales and team-building bonuses. The pressure to recruit remains strong, and inventory buy-ins are often steep.
🌿 Young Living
Essential oils and wellness products marketed with spiritual undertones. Distributors are encouraged to “live the oily life” and build downlines. The company has faced scrutiny over income claims and product safety.
🧴 doTERRA
Another essential oil MLM, known for its “wellness advocate” model. While product quality is often praised, the business structure relies heavily on recruitment and autoship commitments.
🧬 Melaleuca
A wellness and household product company that brands itself as “consumer direct marketing.” It avoids the MLM label but still uses a tiered commission structure and incentivizes referrals.
🧠 Primerica
Financial services with a heavy emphasis on recruiting new agents. While some earn commissions from selling insurance and investment products, most income comes from building a team.
🏠 eXp Realty
A real estate brokerage with MLM-style revenue sharing. Agents earn from their own sales and from recruiting other agents. It’s controversial in the real estate world for blending traditional brokerage with network marketing.
💼 World Financial Group (WFG)
Offers insurance and financial products through a multi-tiered commission structure. Reps are often encouraged to recruit aggressively, and training costs can add up quickly.
💍 SeneGence
Known for its long-lasting lip color and aggressive recruiting tactics. Distributors often invest heavily in inventory and are pushed to host parties and build teams.
🧃 Monat Global
Haircare and skincare products marketed with influencer-style branding. Reps are encouraged to post “before and after” transformations and recruit others to join the “Monat fam.”
🧠 LegalShield
Provides legal services through a subscription model. Associates earn commissions and override bonuses from recruiting new members and associates.
⚠️ Honorable Mentions With MLM-Like Structures
These companies may not call themselves MLMs, but they use similar tactics:
- Ambit Energy – Energy services sold through a referral-based commission model
- Optavia (Medifast) – Weight loss coaching with product bundles and downline incentives
- Scentsy – Home fragrance products sold via parties and team-building bonuses
- Arbonne International – Vegan skincare and nutrition with a strong recruitment culture
- Forever Living Products – Aloe-based wellness products with global reach and tiered commissions
- Tupperware – The OG party-plan company still pushing plastic containers and team bonuses
🍭 How MLMs Sugar-Coat The Pitch
MLMs don’t say “Join our pyramid.” They say:
- “Be your own boss”
- “Work from anywhere”
- “Earn passive income”
- “No experience needed”
- “Unlimited earning potential”
- “Just share what you love!”
They use:
- Lifestyle marketing: Photos of luxury cars, beach vacations, and designer bags
- Spiritual language: “This is your calling,” “Manifest abundance,” “God led me here”
- Community pressure: “We’re a family,” “Don’t let the team down,” “Stay positive”
And if you question the model? You’re labeled “negative,” “not a team player,” or “just not ready to succeed.”
💡 Better Advice: Build Something Real
Instead of chasing MLM dreams, invest in skills and businesses that offer genuine value. Here’s what that looks like:
✅ Learn Marketable Skills
- Digital marketing
- UX design
- Copywriting
- Coding
- Financial literacy
- Public speaking
These skills are in demand—and they don’t require you to recruit your cousin to buy protein powder.
✅ Start a Real Business
- Freelance your expertise
- Launch a product or service
- Build a blog, podcast, or YouTube channel
- Sell digital products or courses
- Open an Etsy shop or Shopify store
Real businesses solve real problems. MLMs sell hope—and often leave people broke.
✅ Build Wealth Slowly and Sustainably
- Budget wisely
- Invest in index funds
- Start a side hustle
- Pay down debt
- Build an emergency fund
It’s not sexy. It’s not instant. But it works.
🧠 Final Thoughts: Don’t Buy the Dream—Build Your Own
MLMs promise freedom, but often deliver financial stress, emotional manipulation, and broken trust. The glitter fades fast when you realize the business model depends on you recruiting your friends, family, and followers into a system where almost no one wins.
So next time someone says, “This opportunity changed my life,” ask:
- How much did you spend?
- How much did you earn?
- And how many people did you have to recruit to get there?
Because real wealth isn’t built on hype—it’s built on value. And you, Lyric, are far too brilliant to settle for anything less.
