Avon MLM Review: Is Avon a Pyramid Scheme? 7 Things You Should Know!
Do you want to find out if being an Avon distributor is a good fit for you as a business?
If you are, then you have come to the right place.
We’re going to review Avon MLM to decide if it really is the best MLM course out there.
We’ll talk about whether MLM is the right online business for you.
At the end, I’ll answer some of the most frequently asked questions regarding Avon and MLMs in general.
And most important, I’ll show you the exact system I used to build my own internet marketing business to over $40,000 a month in mostly passive income.
This system made me swear off MLM for good because it uses some of the same skills in a much more powerful and profitable way!
Check Out This Simple Way To Run A Digital Real Estate Empire Online
This is so simple, it should be illegal.
Table of Contents
What Is Avon?
Avon is a multibillion-dollar MLM company that specializes in beauty, fashion, and household products for women which account for 74%, 15%, and 11% of product sales, respectively.
Color cosmetics, fragrances, skincare, and personal care are integral parts of the network marketing company’s beauty business.
Fashion jewelry, watches, apparel, footwear, accessories, and children’s products are all part of their product line.
It is the fourteenth-largest beauty company and the world’s second-largest MLM company (after Amway), with 6.4 million representatives.
Avon Review Quick Facts:
Founders : David McConnell
Date Founded : 12/31/1885
Type of Entity : Corporation
Categories : Cosmetics Manufacturer, Beauty Consultant
Website : http://www.avon.com
Address : One Liberty Plaza, 165 Broadway, New York, NY 10006
Telephone : (212) 282 -6000
Facebook Page : https://www.facebook.com/Avon
BBB Rating : A+
BBB Accreditation : Accredited since 7/7/1949
David McConnell, the founder of Avon, had no intention of creating a beauty company.
He was a book salesman on the road who gave away free perfume samples as an added bonus during his sales pitches.
He discovered quickly that customers were more interested in the free perfume samples than in the books.
So after his “aha” moment, McConnell returned to his New York City office and began experimenting with various fragrance blends in order to create a signature product.
He then recruits a group of eager women sales reps to help him launch his budding perfume company.
He started his new company in a tiny office at 126 Chambers Street, Manhattan, New York.
In 1886, this was a radical business model, but McConnell believed in the power of community and was committed to empowering women economically.
In 1892, McConnell changed the name of the company.
The name “California Perfume Company” was proposed by his business partner.
His partner, who was at the time living in California, proposed the name because of the abundance of flowers there.
Alexander D. Henderson joined the company as vice-president and treasurer, helping to form its policies and contribute to its growth.
The company built a laboratory in Suffern, New York.
May 3, 1909:
The California Perfume Company moved its corporate office to 31 Park Place in New York.
June 16, 1909:
McConnell and Henderson signed a certificate of incorporation for the California Perfume Company in the state of New Jersey.
January 28, 1916:
The California Perfume Company was incorporated in the state of New York. Company officials were listed as McConnell, Henderson, and William Scheele.
October 6, 1939:
The California Perfume Company changed its name to Avon Products Inc.
June 3, 1932:
The USPTO received the first patent claim for Avon from the “California Perfume Company, Inc.” of New York.
“Perfumes, toilet waters, powder and rouge compacts, lipsticks,” and other toiletry products were among the goods and services mentioned to the USPTO.
August 30, 1932:
Registration was approved.
Avon entered the Chinese market.
Direct selling was banned in China.
China banned direct selling, forcing Avon to sell only through physical shops known as Beauty Boutiques.
The ban was lifted in 2001, and the company was granted a direct selling license in 2006.
Silpada, a direct seller of silver jewelry, was acquired by Avon for $650 million.
Avon’s worldwide earnings had dropped for five years in a row, and its North American revenues had dropped 18 percent.
Avon completed the separation of its United States, Canada, and Puerto Rico division as New Avon LLC, which also operates under the “Avon” name.
Meanwhile, the global company Avon Products relocated its headquarters to London, United Kingdom, as part of a three-year plan.
Avon Products preferred stock was purchased for $435 million in cash by Cerberus Capital Management, completing a transaction that began in December 2015 when Avon sold 80.1 percent of its North American division to Cerberus.
The contract was worth a total of $605 million. Cerberus now owns almost 17% of Avon Products as a result of the investment.
New Avon LLC, a privately-held North American company that split from Avon Products, Inc. (also known as Avon Worldwide) in 2016, has reached a deal with LG Household & Health Care, Ltd., a South Korean consumer products conglomerate, which will buy the cosmetics company for $125 million in cash.
Avon Products, Inc. was purchased by Natura &Co.
Natura, Aesop, and The Body Shop are all part of the Natura &Co chain, which has grown to become the world’s fourth-largest pure-play cosmetics firm with the purchase of Avon.
The company launched a new ad campaign entitled “Watch Me Now” which included new brand visuals, including a new Avon logo.
Is Avon A Good Product?
Brand-wise and quality-wise, Avon is up against the likes of L’Oreal and Estée Lauder in the cosmetics market industry.
Avon has been around for over 130 years, and women continue to purchase their products. We have to give them a lot of credit for that.
Side note: The company boasts of even having the Avon Research & Development Center in New York.
They have a team of scientists and researchers on staff who assist with the development of new beauty products.
Avon Review: Is Avon A Good Skincare Brand?
This year, the Edison Awards presented Avon’s Protinol technology the silver in the advanced skincare category.
Protinol, which is used in Avon’s ANEW skincare line, is said to help regenerate both forms of collagen in healthy skin, collagen 1 and collagen 3, mimicking the perfect collagen ratio found in baby skin.
Avon Review: Which Avon Products Are The Best?
The list of products below has been compiled from product reviews I have read on social media. Others may disagree with this list, and that is ok. We are all entitled to our own opinion.
Magix Tint Brightening Tinted Moisturizer
Avon True Color Lipstick
Anew Clinical Eye Lift Pro Dual Eye System
Avon Anew Ultimate Day Cream
Hydra Fusion 1.5% Hyaluronic Acid Serum
Avon Ultimate Night Cream
Skin So Soft Original Body Lotion
Bug Guard Plus IR3535 Expedition Family Size Pump Spray SPF30
Avon Review: Can you Make Money With Avon?
You can certainly make money with Avon MLM, but if you’re gonna put in the amount of grueling work to become a network marketer (which, trust me, isn’t easy), you might as well bring in some REAL money.
The program that helped skyrocket my online business to $40,000+ per month teaches some of the same MLM skills, but shows you how to monetize them in a much, MUCH more profitable way.,
Avon Review: Is Avon Safe To Use?
Avon says that in the more than 50 countries where they do business around the world, they are committed to providing safe and effective products, and they are proud of their 135-year safety record.
They claim to have the same international standards of quality and safety around the world and are strictly compliant with all government legislation governing beauty and personal care products.
Avon Review: Is Avon A Multi-Level Marketing Company?
Many people are unaware that Avon is a multilevel marketing business.
The probable explanation for this is that Avon only moved to an MLM business model in 2005.
Despite popular belief, Avon is indeed an MLM opportunity.
But, when it comes to building a business, you have plenty of options.
And even if you’re dead set on becoming a direct seller, you’ve got way better options than Avon MLM.
Keep in mind, I don’t get paid to promote any of the programs I review. I personally think MLM is a great business model, but you could end up leaving way too much money on the table.
Avon Review: Is Avon UK An MLM?
Yes, it is.
However, Multi-Level Marketing/Networking is still a very new concept within Avon.
When Did Avon Become MLM?
Avon planned the move to MLM in 2005 as part of a larger restructuring effort aimed at boosting sales and cutting costs.
Avon Review: Is Avon A Bad MLM?
There are countless Avon independent representatives who say that Avon is an absolutely wonderful direct selling company to work with.
Many distributors say that Avon really invests in training their representatives to succeed in the company.
Who Is The No.1 MLM Company In World?
Amway is without a doubt the most successful among MLMs of all time!
Over the last fifteen years, it has dominated the network marketing business.
Amway, along with its sister company Alticor, leads the pack of MLMs as the only company with the highest number of distributors and affiliated companies.
It has a million-strong distributor force that operates in more than 100 countries.
Avon Review: Is Avon A Pyramid Scheme?
Avon is not a pyramid scheme or a scam. It has a track record that can be trusted. It offers high-quality products.
Avon has long been and continues to be, the backbone of the direct sale market industry’s credibility.
It has unwittingly given credibility to multi-level marketing (MLM) schemes that marketed outrageous health scams, some of which have been prosecuted by financially ruined customers and some which have been shut down by regulators for pyramid fraud.
Blatant schemes are helped in persuading customers that they are legal MLMs through their affiliation with Avon as “direct selling” companies.
Anyone who has ever challenged the legitimacy of a multi-level marketing company has been confronted with the defiant question, “Are you claiming Avon is also fraudulent?”
As a member of the Direct Selling Association, Avon is the de facto ambassador for the MLM market industry.
Avon Review: Is Avon Cosmetics A Pyramid Scheme?
Avon Cosmetics has demonstrated that it is a legal company and has been in operation for many years.
Their excellent track record of quality products and training support for sales representatives is clear evidence that they are not a pyramid scheme.
It is entirely possible to build a profitable, successful MLM business.
My #1 pick proves this. And unlike Avon MLM, it actually provides real proof of real success from real people as recently as a few days ago
Avon Review: Do People On Reddit Think That Avon Is A Pyramid Scheme?
Here are a few comments to the question “Why are network marketing companies like Avon and Mary Kay not considered pyramids?” in Reddit:
My mother couldn’t recruit to save her life, but she did make money with Avon for birthday and Christmas money.
I’m usually wary of businesses that ask people to join a membership program, but what my friend does is sell to her friends and neighbors, and if they say no, she stops bothering them about the products. She said it was just for a little extra cash.
Why Is Avon Not A Pyramid Scheme?
Despite the fact that Avon has a number of problems, including overcharging customers and employing misleading practices, they are not considered a pyramid scheme because they do not emphasize recruitment over actual sales.
The income opportunity of a sales rep from selling beauty products accounts for a large portion of the profits that can be made.
What Companies Are A Pyramid Scheme?
Here are a few network marketing companies that have been tagged as pyramid schemes by the FTC.
This is one of the few MLMs that has been shut down as a part of the Federal Trade Commission’s investigation and lawsuit.
BurnLounge was an online music shop that began as an MLM company in 2004.
Customers were allowed to buy a membership and then resell subscriptions and songs on their own websites.
This style was dubbed “concentric shopping” by BurnLounge.
BurnLounge is a pyramid scam, according to the FTC, because it pays these consumers more for selling subscriptions than for selling songs.
FTC says it is a pyramid scheme since recruits are paying more than the actual product.
BurnLounge was sued by the Federal Trade Commission (FTC) in 2007.
In 2012, BurnLounge lost the lawsuit, and in 2014, it lost an appeal.
Equinox was founded in 1991 as an MLM company by Bill Gouldd and first came under scrutiny in 1996.
Investors filed civil and criminal lawsuits against Equinox, alleging that they were defrauded.
The Federal Trade Commission (FTC) announced in 2000 that Equinox had reached an out-of-court settlement with the FTC, promising to pay $40 million in restitution.
Equinox was disbanded in 2001, and Gouldd was barred from participating in MLMs in the USA.
Fortune Hi-Tech Marketing:
Thomas Mills and Paul Orberson founded Hi-Tech Marketing as an MLM in Lexington, Kentucky in 2001.
Haircare products, mobile phone,s and satellite television services were among the items and services offered.
On products sold, a sales rep was paid a paltry amount (.25 percent to 1 percent).
Fortune Hi-Tech was charged by the state of Montana, and the company paid a $1 million settlement to avoid going to court.
The FTC, as well as the states of Kentucky, Illinois, and North Carolina, then sued Fortune Hi-Tech.
According to the FTC, the MLM company and its members made the most of their money from recruiting rather than sales orders of products and services, rendering it a pyramid scheme.
Fortune Hi-Tech Marketing’s office in Kentucky was raided in 2013, and the company was put into receivership, effectively closing it down.
Fortune Hi-Tech and the state of Kentucky reached a settlement in 2014.
Can You Really Make Money With Avon?
There’s a lot that comes along with Network Marketing that many people struggle with.
In fact, check out our Top 5 Reason Why Most Network Marketers Fail.
Now, don’t get me wrong…
You can certainly make money with Avon, but if you’re gonna put in the amount of grueling work to become a successful Avon Rep (which, trust me, isn’t easy), you might as well bring in some REAL money while you’re learning the ropes.
The program that helped skyrocket my online business to $40,000+ per month is so simple that making money really does become second nature.
Avon MLM Company Review: Pros and Cons
Why Should I Join Avon?
Low starter kit costs.
To become an Avon Rep, you just need to pay a minimum of $25 on starter kit products.
The $25 starter kit has a retail value of about $80.
If you really want to come out of the gate swinging, you should go for a higher-priced starter kit ($50 and $100).
Depending on sales numbers, Avon’s commission percentage can reach 50%.
When you hit the company’s “President’s Club” rank, you will receive up to 50% sales commission.
In the multi-level marketing world, this is very generous.
This is also a strong selling point since most people consider price to be the most critical factor in purchasing decisions.
People are hesitant to part with their hard-earned money, but offering inexpensive, high-quality products would make it easier for you to sell them.
Why Is Avon Bad?
Controversies such as bribery and PETA
Continued declining sales
What Is Our Top Recommendation For Making Money Online In 2021?
Our review team has come across a program in the real estate industry that is next level!
Although it’s not real estate in the traditional sense, it’s all digital.
Where Avon falls short is in scalability.
There’s only so much time in a day and there’s only so many people you can reach to sell by yourself.
MLM companies know this!
Which is why they push so hard for you to recruit for your downline…you can’t get rich with it as a one man/woman show.
But what if you could make even more money off of little local websites without having to spend hundreds of dollars on overpriced products and a bunch of time recruiting people to sell under you?
With this digital real estate program, you can make recurring monthly income without constant sales to your friends and constant recruitment!
Sound too good to be true?
Of course it does!
But it isn’t…in fact, business owners wish they had this skill!
All you have to do is build and rank a LOCAL website and forward the jobs off to a business owner in town, you could even email it to them!
This works for literally any service based business, tree service, plumbing, towing, etc.
How do you get paid and how much?
Simple, after you forward the jobs off to a business owner and he makes some money off of them, you simply ask to make the deal beneficial for each other.
A fair price to charge per lead, depending on the industry is 10-20%…let’s just use the tree service industry for example and go by worst case scenario.
Let’s say you build and rank the site and only 10 jobs a month come in. The average tree service job is anywhere from $500-$2000!
That means at bare minimum you have an asset worth $500 a month!
See why they call it digital real estate now? That’s a rent payment.
The great thing is how easy it is to scale. You don’t have to worry about:
- Your upline getting paid before you
- Begging your friends and family members to buy from you
- Recruiting people all the time
But as it is with Avon … You only get what’s left of the pie if you meet a monthly quota…
The course we recommend actually allows you to collect HUGE FLAT RATE DEALS. Truly passive income!
The training program takes making money online to a whole other level. The owner of the program walks you through how to build and rank a site hand in hand, with the occasional voice over when he is sharing his screen.
You will learn the importance of keywords, website name, how to send call notifications via email, backlinking, etc.
Once the training program is completed you will also have access to a Facebook group much better than the Avon group in our opinion. This group is much more active.
Unlike Avon , where you’re getting maybe $10 per sale, you could be getting 10-20X THAT.
A business will always want more leads and another job. In fact it doesn’t even matter that the job isn’t coming from their website name…they see it as it is…expanding digital real estate.
Unlike Avon, more people have been able to walk away from their 9-5 job as well.
Digital real estate allows you to have total passive income with most of your day being spent WITH your friends, NOT selling to them.
Now, I know you probably have tons of questions…