Plexus?

[steve-in-kville]

Is this even a thing anymore? Seems like it wasn't all that long ago that ladies were blowing up my social media feed about this.

Has it fizzled out already?

[RZehr]

Hopefully.

But I wouldn’t say already, I’d say finally.

[Josh]

It still is but doesn’t seem to be getting nearly as many new adherents.

I am ashamed to admit I consume a few Lemongrass products now.

[Ken]

Why everyone is leaving Plexus: https://www.greenmatters.com/business/w ... ing-plexus
Inside the creepy world of women selling you supplements on Facebook: https://www.womenshealthmag.com/life/a2 ... riendship/

Honestly I've never seen a single MLM scheme that was ever worth doing. I put them up there with time shares as financial schemes not to ever get involved in.

It doesn't mean the products are garbage. They might be perfectly good products. But in this day and age, there is literally nothing you can't get easier and cheaper with a click of a few buttons.

[barnhart]

Ken, I'm not a fan of multi level marketing schemes either, at least the type that are common. But theoretically it could be organized as a competitor to the vertically integrated monopolists. Super retailers like Walmart and Amazon make astounding markups that could theoretically be distributed to many levels and still be competitive. I wonder if a more distributed marketing scheme could produce a better economic landscape.

[Ken]

Ken, I'm not a fan of multi level marketing schemes either, at least the type that are common. But theoretically it could be organized as a competitor to the vertically integrated monopolists. Super retailers like Walmart and Amazon make astounding markups that could theoretically be distributed to many levels and still be competitive. I wonder if a more distributed marketing scheme could produce a better economic landscape.

I doubt it.

If you talk to actual small scale retailers they will tell you that they often can't even get things wholesale at prices that Wal-Mart and Amazon charge retail. And the minute you carve out some profitable retail niche that doesn't have any value added element you will find it slammed shut by a flood of drop-ship operations out of China.

There is non possible way that a small business can compete with an operation like Wal-Mart in terms of efficiency. They use their semi trucks to cut warehouse space for goodness sakes. They have squeezed their staff down to skeleton levels and extorted endless tax breaks out of the communities in which they are located. It is no wonder that they have driven small scale retail out of business in so many small towns.

For example, look at the Sentsy scented candles and wax warmers that were big with the MLM crowd a few years ago. The moment they became popular a flood of cheap Chinese imports flooded into Target and Wal-Mart at 1/6 the price. Now instead of $6 bars of scented wax from your Sentsy rep you can find the same thing at Wal-Mart for $0.99.

Retail is a brutal business. Maybe you can sustain markups if you have some cute brick and mortar shop in a good location where people will window shop. Our little local historic downtown has those sorts of businesses that do well this time of year. But paying 300% markups to mail order something that you can get from Amazon or Wal-Mart for 1/3 the price? That is not sustainable.

Honestly I think the reason why this sort of thing is so popular in a lot of communities including plain communities is that it is the lure of employment for women who for whatever reason (religious, cultural, family) aren't seeking actual jobs. They prey on women who would be far better off just getting an ordinary job. Or if you want to do a small business, do something that doesn't compete with big retail. Open a little coffee shop or bakery. Open a hair salon. Open a cleaning business. Something like that.

[steve-in-kville]

Honestly I think the reason why this sort of thing is so popular in a lot of communities including plain communities is that it is the lure of employment for women who for whatever reason (religious, cultural, family) aren't seeking actual jobs. They prey on women who would be far better off just getting an ordinary job. Or if you want to do a small business, do something that doesn't compete with big retail. Open a little coffee shop or bakery. Open a hair salon. Open a cleaning business. Something like that.

"Plain communities" and "hair salon" don't really belong in the same sentence, do they?

Seriously, I do get your point. We were friends with a handful of ladies from our former fellowship who had a big presence on social media. Bragging up their "pink drink" and Slim or whatever it was called. The kicker was posting pictures of the checks they were getting from Plexus. Then, all of a sudden, it was full on blackout. I wonder if the bishop didn't have some conversions with someone in a Sunday school room after a service....

[Grace]

Honestly I think the reason why this sort of thing is so popular in a lot of communities including plain communities is that it is the lure of employment for women who for whatever reason (religious, cultural, family) aren't seeking actual jobs. They prey on women who would be far better off just getting an ordinary job. Or if you want to do a small business, do something that doesn't compete with big retail. Open a little coffee shop or bakery. Open a hair salon. Open a cleaning business. Something like that.

I am in no way condoning multi level marketing of any kind. However some women want to stay home with their children and some sort of money making venture on their part, sometimes helps in the finances. They view staying home and raising their children, as "actual jobs". And getting "ordinary" jobs outside the home is not an option.

In light of most zoning law hassles, licensing requirements, permits required, insurance, safety requirements etc. opening a coffee shop, bakery, hair salon, is not feasible for many people.

[steve-in-kville]

They view staying home and raising their children, as "actual jobs". And getting "ordinary" jobs outside the home is not an option.

I agree 100%. Even though during the school year she is home alone (besides adult children) she still has plenty to do.

[Ken]

They view staying home and raising their children, as "actual jobs". And getting "ordinary" jobs outside the home is not an option.

I agree 100%. Even though during the school year she is home alone (besides adult children) she still has plenty to do.

Of course child raising is an actual job and I did not mean to imply that it was not. But exploitative MLM pyramid schemes are not real jobs.

The Amish seem to get this. My relatives who live in the middle of Amish country know which Amish farm to go to for sweet rolls, moon pies, or other baked goods. They know which one to go to for tomato starts, to get their knives and lawnmower blades sharpened. They know which to go to to take their mending and alterations. They know which Amish farm stand has sweet corn, eggs, and blueberry jam. Etc. etc. Many of those money-making enterprises are run by Amish women with families.

Now some of that sort of thing is harder to do in suburbia with all the restrictive zoning that makes running small home businesses illegal. But that is another argument against zoning, HOAs, and that sort of enforced conformity. And small scale home businesses run by women were actually a big part of the economy in generations past.

The thing about economics is that if you want to earn say $20/hr. for your efforts then you need to provide $20/hr. of value to whatever you are doing. It is hard for me to see how selling expensive MLM products (that you had no hand in producing) to a network of friends and family who don't really want the stuff is doing anything value added. Except maybe for the leaders of the scam way upstream who are making the actual profits. Find a need that is going unfilled in your local community and fill it.

I get that MLM schemes look like an easy shortcut to that sort of thing. And their sales pitches are very seductive. But there is a reason why most of them fail and very few people ever make money off them much less even minimum wage for their efforts.