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Cutco Pyramid Scheme: But Is It Really Though?

What Is Cutco Cutlery?

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 an over-price set of knives that you can get for half the price at you local department store.  

If you want to really get rich online, (at an average of $1,500 per sale PER MONTH), check out our #1 recommendation here.

And while we have to be honest for this review…

Cutco Cutlery 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But it’s outdated AF!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 Cutco Cutlery 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 Cutco!

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Table of Contents

Is Cutco A Pyramid Scheme? Can You Really Earn $15 An Hour From Selling Knives?

So, let’s get one thing straight. 

You’re reading this because you’ve likely heard about Cutco offering $15 an hour.

As more individuals fall victim to scammers, I’ve gotten especially driven to teaching and reviewing money-making business opportunities like this one.

In this article, I will outline the benefits and drawbacks of joining Cutco Cutlery, and eventually address these questions: “Is Cutco a scam, a pyramid scheme, or is it really possible to make much money selling knives?”

We’re going to review multiple aspects of Cutco to decide if it really is the best network marketing platform out there.

We’ll talk about whether network marketing is the right online business model for you.

In the end, I’ll answer some of the most frequently asked questions regarding Cutco and MLMs in general.

Cutco Review: The Overview And Rankings


Founder: Alcoa company in 1949 (now owned by Vector)

Type: Cutlery direct sales company

Products (Including Pricing): 60 out of 100

Success Stories: 30 out of 100

Price To Join: Free- previously $300+ (100 out of 100)

Summary: Cutco is a cutlery and cookware direct sales company that pays you $15 per successful presentation you arrange with potential customers.

Make Time Online Rating: 60 out of 100 

Recommended: No

What Is Cutco Cutlery?

A privately-owned company, Cutco Corporation is a cutlery direct sales company based in New York that sells through Vector Marketing, an MLM or multi-level marketing business model.

Its goal primarily is to provide a business opportunity for stay-at-home parents, students, and employees where they can earn a commission of 10% by selling knives as a side hustle.

They boast of high-quality cutlery and cookware that are all made in the USA and come with a lifetime guarantee.

Founded in 1949, Cutco was a product developed and designed by Alcoa and Case Cutlery.

According to history, Case’ shares were bought by Alcoa in 1972. Consequently, the entire company was then bought by the Alcas management from Alcoa in 1982.

Alcas, in 1985, purchased Vector Marketing Corporation to act as the MLM arm of the company.

What Is Vector Marketing?

Vector Marketing Corporation is the MLM marketing division of Cutco.

The MLM operations are handled by Vector Marketing Corporation and is Cutco and Cutco at Home’s sole distributor.

They target college students, stay-at-home moms, and highschool graduates by presenting a potential money-making opportunity which they can conveniently do as a side hustle.

As the MLM arm of Cutco, they, of course, recruit people for them to earn some additional bonuses. In other words, they are recruited for door-to-door selling.

I don’t think being a door to door salesman is something that would work in 2021.

Cutco Cutlery Product Line

Selling knives is a part-time job opportunity that’s available with Cutco, one of the leading direct sales companies today.

The Cutco line is a no-brainer for anyone searching for well-designed blades.

In fact, because of the durability and high-quality material used to produce these knives and other kitchen products, they’ve become quite popular.

Vector Marketing provides products in these categories:

  • Kitchen knives: Cleaver, trimmer, table knife, french knife, etc. @ $40-$250
  • Shears: Specialty scissors @ $90 – $120
  • Cookware: Pots, pans, gadgets, baking tools, utensils, cutting boards, etc. @ $40-$2,600
  • Tableware: Cutlery $30-$1,500
  • Outdoor: Hunting knives, pocket knives, sporting knives, garden tools @ $100-$250

Cutco’s flagship product, however, is the Cutco Knife Sets valued at anywhere between $280 – $1,212, featuring a patented recessed “Double D,” 440A stainless steel bladed-recessed edge that can make very precise cuts.

The handles of these knives are made of thermo-resin which is a material that adds dishwasher endurance, strength, and durability.

In my opinion, the main reason why people keep buying knives from Cutco is because of the lifetime guarantee that they offer.

Below are some customer reviews:

Do Cutco Products Really Work?

Based on the many positive reviews I’ve read online, the answer to this is yes! Cutco knives do work!

In fact, several online websites recommend them.

This is backed up by the sizable social media following they have, with 96k followers.

If you want to see actual product reviews, you may go to their consumer affairs profile.

But first, let me remind you that I’m only talking about its quality.

The money-making scheme and the recruitment process will be discussed in the following sections. 

How To Make Money With Cutco Cutlery?

Cutco Cutlery membership process is pretty easy because it’s free.

About twenty years ago or so, agents were required to buy a kit for their presentations. Thanks to Cutco, they provide this kit for free for as long as you are an “active representative.”

The company is able to cut costs in marketing and advertising by recruiting people instead to do the promoting and selling.

You can earn a commission of 10% by doing this.

But first, what does it mean to be an active representative?

From what I’ve gathered, active sales reps are agents who are required to make a $100 worth of cutlery or cookware sales each month.

If the sales representatives fail to meet this requirement, they will have to return the kit or buy it for half the cost.

 But what about the $15 per hour advertisement?

This is an outright overhyped ad.

What they really mean by it is that you can earn $15 for every successful in-person appointment with prospective buyers and members.

Sales reps would require their prospective buyers and members’ phone numbers and email addresses to be stored in their client database.

The actual process is quite easy:

  1. You will undergo multi-step interview process.
  2. They will give you a three-day training course after you have been hired.
  3. They will request a list of referrals from you.
  4. They will supply you with a sales script and presentation to reach out to your potential clients.
  5. Earn from 10 to 50% commission on all sales (or the guaranteed base pay of $15, whichever is more).

Cutco Cutlery's Compensation Plan

If you go to Cutco’s official website, you’ll see that they emphasize that the business opportunity they offer isn’t a “get-rich-quick” gimmick.

Instead, it takes pride in qualities such as perseverance, effort, and commitment.

As such, Cutco states that the money you make from this side gig is highly dependent on your persistence and grittiness to sell.

The commission structure is shown in the table below based on the number of sales:

But Wait! What's The “Cutco At Home” Compensation Plan?

According to my research, Cutco uses two types of compensation plans:

  1. Basic Cutco Compensation Plan
  2. Cutco At Home Compensation Plan

With the Cutco At Home Compensation Plan, there are two ways you can earn:

  1. Sales Commissions
  2. Bonus generated from your downline sales

Cutco Cutlery Ugly Truths Revealed

There are several downsides to Cutco’s money-making program which I want to highlight here.

Below are three three “ugly truths” about this business model that I find really sketchy:

  1. Cutco products are so expensive. Even if they are of high-quality material and craftsmanship, I still think that they are ridiculously overpriced.
  2. Cutco uses very old-fashioned sales tactics. Their salespeople go door-to-door and are given scripts which I strongly feel are not enough to make significant sales in our technology-driven industries.
  3. Earning a passive income is just not feasible with Cutco’s compensation plans.

What Do I Like About Cutco Cutlery?

I’ve highlighted some of Cutco Cutlery’s major benefits below:

  1. They do pay you $15 per successful appointment. This is one thing that they promise they would do if you make client presentations and may make even more if your prospects make a purchase.
  2. There’s a lot of positive feedback about Cutco’s product quality. People are even recommending them. And what makes it stand out is the fact that chefs across the globe are either using them and recommending them as well.
  3. To top it off, they have a large social media following, with 96k followers to be exact. These are some of the things that make a product or service trustworthy. To quote one particular review from a user from Los Angeles, “These knives are high quality pieces with very classy handles and come in multiple colors. I started cooking more once my knives arrived. I was also pleasantly surprised to find out Cutco sells gardening tools and other items.”
  4. Cutco provides proper sales training for every new recruit. They are provided with a well-written starter sales pitch script which you can customize as you deem necessary. Through this training, your leadership and sales skills are developed.
  5. In 2016, Cutco became one of the top 20 Direct Selling Associations.

Bottom Line: Is Cutco A Pyramid Scheme? Is It A Scam?

Easily, Cutco Cutlery is in no way a pyramid scheme, primarily because of how their system works.

It isn’t a scam either and is a legit multi-level marketing company that sells high-quality products that their customers are actually recommending.

In fact, I wouldn’t mind recommending it to a friend too. That’s how convinced I am of its quality and performance judging from positive customer reviews alone.

Cutco employs a direct sales business model where the only income you can make is from your sales commissions.

Realistically speaking, just how many knives can you sell every month given the very expensive price tags of the products?

How many people can you find who are willing to spend as much on a set of knives, in which your family members and friends would be your likely first customers.

I hope that this review has helped you with your decision whether or not invest in this company.

There are other legit money-making opportunities and recommendations which I’d like to tell you.

It is entirely possible to build a profitable, successful network marketing business… But there are better ways to build a business other than with network marketing or affiliate marketing.

My #1 pick proves this.

Because unlike network marketing, it actually provides real proof of real success from real people as recently as a few days ago.

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.

Yup, Digital Real Estate!

Where Cutco Cutlery falls short in helping you make money online 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

But as it is with Cutco Cutlery… 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 Cutco Cutlery group in our opinion. This group is much more active.

Unlike Cutco Cutlery, 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 Cutco Cutlery, 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… 

So, check this out to learn more.

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