Color Street MLM Review: Is It A Pyramid Scheme?
What Is Color Street?
It’s another one of those MLM (aka Network Marketing, aka Pyramid Scheme) Programs whose main purpose is to sign you up, buy a product kit, then get you to sign up your friends, family, and co-workers to do the same thing.
Honestly, it’s promoted by damn near every high level MLM member who only gets paid through their affiliate links to the course. Yep, you read that right…
Sellouts, it’s promoted by sellouts.
It’s supposed to show you how to become a successful “Network Marketer” but most members barely make any money promoting their products.
That’s just the truth…you won’t get rich off a shitty 30% commission from over-priced nail polish.
If you want to really get rich online, (at an average of $1,500 per sale PER MONTH)…
And while we have to be honest for this review…
Color Street does come with some very helpful information to make money online and land some decent commission checks…
But it’s outdated AF!
At the end, I’ll answer some of the most frequently asked questions regarding (MLM name) and network marketing in general.
And most importantly, 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 Network Marketing for good, because it uses some of the same skills but in a much more powerful and profitable way!
But more on that later.
For now let’s hop into all things Color Street!
Check Out This Simple Way To Run A Digital Real Estate Empire Online
This is so simple, it should be illegal.
Table of Contents
Are you in love with Color Street Nail Polish?
Have you been asked to join their business opportunity?
Before you make any decision, I invite you to read this review first.
We’re going to review Color Street 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 Color Street and MLM in general.
MLMs Review: What Is Color Street?
Color Street is an MLM (Multi-Level Marketing) beauty company based in New Jersey that specializes in nail art designs and nail polish products. It was established in 2017 by its founder, Fa Park.
A person who joins Color Street as an MLM consultant (called a Stylist) has the opportunity to open their own nail bar.
Color Street currently employs over 6,000 consultants and generated more than $120 million in revenue in 2019. These facts can cancel news saying Color Street a scam.
Color Street’s headquarters are in Clifton, New Jersey. The company maintains a strong presence in the area because its inspiration comes from New York City, the “City that Never Sleeps.” It sits alongside sister brands Incoco and Coconut Nail Art, employing around 1,100 full-time employees.
Color Street History: How Did Color Street Company Start?
Fa Park was on a bus stuck in traffic in 1988 when he noticed a woman in a nearby cab trying to polish her nails. “There has to be a better way!” he thought. He went out and bought some nail polish products and began experimenting with them by painting them on various types of paper.
After many failed attempts, he finally devised a method in which the top was dry but the bottom remained moist and could be adhered to the nail.
What Are The Products of Color Street?
Color Street products are simple at their core. It only sells one item: nail polish strips. This one item, on the other hand, comes in a multitude of styles and variations: solid colors, patterns, glitter styles, nail art, holiday styles, French manicures, pedicure strips, and a variety of other styles are available.
A nail file/applicator, a nail prep pad, and complete application instructions are also included with the strips.
The company boasts about how simple it is to apply the strips to your nails, and they even provide video tutorials on how to do so.
The strips must be used within a reasonable amount of time (within a week or two) after the package is opened, or the products will dry out and become unusable.
Are Color Street And Incoco The Same Company? Both MLMs?
Mr. Fa Park founded both Color Street Nails and Innovative Cosmetics Concepts, which are essentially the same company and similar products with different business models (the latter being the parent company).
For almost ten years, Innovative Cosmetics’ nails have been sold at Walmart, Amazon, and other retailers. Their products sell around $4-$6 and are usually found near the checkout counters as impulse purchases, rather than in the Walmart nail section. Their products have excellent reviews and perform as advertised under normal conditions.
Meanwhile, Color Street products can only be bought through distributors called Stylists. These Stylists often make money online through social media or their personalized websites.
Think about this, would your friends and family buy these strips from you or any Stylist if they knew they could get these products for half the price at Walmart?
Many people have come to Color Street’s defense, claiming that the company will phase out Innovative Concepts’ nail strips in order to focus more on Color Street nail strips. This has been the standard defense of loyal stylists for more than four years, but somehow, these nail strips are still available in stores. Go figure.
Color Street Review: Does Color Street Ruin Your Nails?
Color Street’s nail strips are made entirely of genuine nail polish. Unlike other brands, they are not made of vinyl. This means that nail polish remover can be used to remove them. Color Street does not damage the nail like acrylics do when applied properly (with remover and not just pulled off).
Color Street MLM Review: Which Is Better, Jamberry versus Color Street Nail Polish?
Jamberry, unlike Color Street, did not begin as a multi-level marketing company. It was founded in 2011 and sold nail wraps, which are thin patterned strips of fabric that are used to decorate your nails. They used to make money online by selling their products directly to customers through an eCommerce store.
Nail wraps were only available as part of a manicure or pedicure at the time, so selling to the general public was groundbreaking.
However, due to the company’s rapid growth in 2011, the founder decided to convert it to a multi-level marketing business.
The Multi-level marketing company ran smoothly for two years. Over 7,000 full-time employees would be hired and over 7,000 consultants would join the opportunity to earn from their products. The MLM company would begin working with designers such as Ann Yee.
However, Jamberry foreclosed in June 2018. Despite the fact that Jamberry never said what went wrong, it was clear that the MLM company could no longer afford to stay in business.
Although comparing the quality of Jamberry and Color Street nail polishes is moot and academic now that Jamberry is no longer in business, I will just show a picture below about the differences between the two nail polish brands.
Color Street Review: What Makes Color Street Nail Polish Strips Unique?
They only sell nail polish strips, making them a formidable force in the nail polish industry.
Other nail product companies have entered the market, but these nail polish strips are simply printed patterns on paper rather than actual nail polish, as Color Street is.
They release new shades, colors, and patterns on a monthly basis, making them several steps ahead of their competitors.
Color Street Reviews: What Are The Common Customer Complaints Against Color Street?
On the Better Business Bureau web page, there have been 37 total complaints in the last three years. Of those 37 complaints, 22 complaints were resolved in the last year.
In the last three years, there have been 37 total complaints. In the last year, 22 complaints were resolved.
- The 37 complaints could be categorized into 3 types of complaints:
- Billing / Collections – 7 complaints
- Delivery Issues – 8 complaints
- Problem with a Product or Service – 22 complaints
Here are some sample comments on the BBB page:
I’m a new Color Street consultant who has been trying to contact the company for three weeks to gain access to the pay portal. The activation email is not arriving in my inbox. I’ve contacted them several times. I get a message every time I call that there is a two-hour wait. Because it is automated, I have emailed them 5 times and have received the same response each time. All I ask is that they fix the email activation so that I can receive my commission. Because of this problem, commissions have been set in an account to which I do not have access. I’m currently unemployed and in desperate need of funds.
– Unnamed Customer 01/01/2021
Mr. ******* *******’s email address had a numeral zero where it should have been a letter “o.” I had the email address corrected in the third-party payment portal Color Street uses to pay its Independent Stylists, and I had them resend the activation email, which was now sent to the correct address. As a result, I believe the problem has been resolved. Warm regards,
-Glenn M… Color Street Compliance 01/06/21
I canceled my account and received a confirmation email, but they’re still deducting $10 per month from my account for my website. There’s no phone number to call the company, so the only way to contact them is to submit a ticket, which I’ve already done twice.
– Unnamed Customer 11/20/20
******* **** worked as a Color Street Independent stylist. A Stylist agrees to pay a $9.95 monthly eSuite fee, which covers the costs of their public-facing website, order processing, virtual office, sales tax collection and remittance, training info, and other services. ******* requested a refund on her eSuite fee after canceling her stylist account. This was completed, and we believe the problem has been resolved.
Color Street Review: Is Color Street A Scam?
Color Street MLM is not a scam. This may help eradicate your fears to join Color Street and be a Color Street stylist.
It is entirely possible to build a profitable, successful MLM business. But there are much better ways to build a business than with MLM.
And unlike Color Street MLM, it actually provides real proof of real success from real people as recently as a few days ago.
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 Color Street.
Keep in mind, I don’t get paid to promote any of the programs I review.
I am not an affiliate of any of these companies I review.
I personally think MLM is a great business model, but you could end up leaving way too much money on the table.
Color Street Review: Is Color Street A Pyramid Scheme?
What is a pyramid scheme?
Rather than providing investments or selling products, a pyramid scheme recruits members by promising payments or services in exchange for enrolling others.
As the number of recruits grows, it becomes increasingly difficult to recruit, and most members are unable to make money; as a result, a pyramid scheme is unsustainable and frequently a scam.
A pyramid scheme is one in which an organization forces people who want to join to pay a fee. In exchange, the organization promises new members a share of the funds raised from each additional member they bring on board.
The organization’s directors (those at the top of the pyramid) also get a cut of these payments. The scam is lucrative for the directors—whether or not they do any work. The membership of the organization has a strong incentive to keep recruiting and funneling money to the top of the pyramid.
Sales of valuable products or services are rare in such organizations. The only revenue of the scam are recruiting new members and soliciting more money from current members, as it does not produce any goods or services.
Pyramid schemes behave in a way that closely resembles exponential growth mathematics. Each level of the pyramid is significantly larger than the previous one. A pyramid scheme would have to grow indefinitely in order to make money for everyone who joins. This is impossible because the Earth’s population is finite.
When the scam runs out of new recruits and has no other sources of income, it will inevitably fail. Because the largest terms in this geometric sequence are at the end, the majority of people will be in the pyramid’s lower levels; as a result, the pyramid’s bottom layer contains the most people.
People who work for Pyramid schemes try to promote the company rather than the product they are selling. Eventually, none of the people at the bottom of the pyramid make any money, while only those at the top make a profit.
People in the top layers of the pyramid usually make money, while those at the bottom usually lose money. Because the majority of the pyramid scheme’s members are at the bottom, the majority of participants will lose money. When the scheme collapses, most members will be in the bottom layers and will thus have no chance of profiting from it; however, they will have already paid.
Is Color Street a pyramid scheme?
Color Street is a legal MLM company. In legal multi-level marketing (MLM), people are recruited to sell a product or service that has some inherent value. You can profit from the retail sales of the product or service as a recruit or Color Street stylist, so you don’t have to recruit more salespeople below you.
While you may be encouraged to recruit other salespeople whose retail sales will increase your profits, you can also choose to sell the product directly to the customer.
Pyramid scheme MLMs, on the other hand, will almost certainly sell a product that has no independent value. The product could be in the form of reports or mailing lists, for example. You would be required to recruit new members into the MLM in order to make a profit and keep the MLM alive in this type of pyramid scheme. The only reason anyone would buy this pyramid’s products is to join the MLM.
How Much Does It Cost To Join Color Street?
To join Color Street as an Independent Stylist, you have 2 options:
The Color Street Starter Kit is $129 and includes everything you need to get started with the business. The starter kit contains the following items:
- 12 sets of manicure strips
- I set of pedicure strips
- 72 testers
- 40 remover pads
- 100 prep pads
- 2 large nail files
- 2 nail buffers
- 60 mini nail files
- 50 cuticle sticks
- 25 catalogs
- 25 Opportunity Brochures
- Road to success booklet
- Tote Bag
Their Jump Start program is designed to recognize and reward Stylists who start their business from the ground up. Working this program will allow you to earn products to supplement your kit, which you can use or sell, as well as sales aids and even cash.
Color Street Compensation Plan: Can You Really Make Money With Color Street Through Commissions?
In their Compensation Plan, a Color Street Independent Stylist can earn commissions in ten different ways.
Because they are cumulative, you can make money with Color Street through commissions in one, a few, or all ten ways.
The Marketing Phase
The Marketing Phase compensates you for your individual sales through commissions while also rewarding you for assisting others in doing so.
Jump Start Bonuses
Base Retail Commissions
You earn 25% of your Personal Volume (PV) at this commission level.
Enhanced Retail Commissions
This is paid monthly.
The Leadership Phase
The Leadership Phase pays bonuses based on your team’s sales.
Enroller Matching Jump Start Bonuses
100% Match on Jump Start rewards earned by Stylists you enroll.
The Executive Phase
In the Executive Phase, you will be rewarded for mentoring other emerging leaders.
Please take note that only a Senior Director and above are eligible for the “Leadership Depth,” “Team,” “Generation,” and “Car/Lifestyle” bonus.
As you can see in their compensation structure, you can certainly make money through commissions with Multi-level marketing, but if you’re gonna put in the amount of grueling work to become a direct seller (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 direct sales skills, but shows you how to monetize them in a much, MUCH more profitable way.
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 Color Street 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 to buy from you
- Recruiting people all the time
Remember Color Street? 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 Color Street group in our opinion. This group is much more active.
Unlike Color Street, 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 Color Street, 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…