Omnilife Supplements MLM Review

Hey there Sea Changers, and welcome back to my series of MLM reviews. Today we checkout another MLM program within the health and wellness industry with my Omnilife Supplements MLM Review. Health and wellness is a massive industry with great opportunities for the generation of online sales. Omnilife’s site based around supplements however they also carry a decent range of cosmetics as well – under their brand Seytu. In fact, I could have titled this post Omnilife Cosmetics MLM Review and it would have been just as relevant. So, is Omnilife a MLM program worth joining? Let’s check it out…

What is MLM?

Multi-level marketing (MLM) programs are the mainstay of the ‘party plan’ world of products such as Tupperware, Mary Kay and Amway etc. and, recently, becoming more and more prevalent within the health and wellbeing market. One of the reasons for this is that much of the sales and marketing for MLMs is now being managed online – alleviating the need to run parties – and, more importantly, not hassle everybody you know to join (you can of course, but you don’t have to).

The ‘multi level’ aspects of MLM come from its hierarchical nature in which you make commissions based not only on those that you sell to, but also the sales of those whom you ‘sign’ into membership arrangements as well.

In short, the process works as follows:

1. You join the program, either via referral from another person (known as your up line) or directly through their website.
2. You promote the products of the company via parties, workshops or online.
3. As you make sales, you offer incentives to your customers to sign up as a member of the program (there are different names for this but they all mean the same thing).
4. That new member is then placed ‘underneath’ you in a hierarchical arrangement (known as your down line).
5. You, and a number of levels of your up line, then gain extra commissions for everything they sell as well.
6. If they manage to refer their customers into memberships, they also become a member of your down line allowing you to make up line commissions as well.

The number of levels of your up and down lines will vary depending on the program you have joined. Commission rates will also change as your down line grows or contracts and many will also offer other incentives such as total company sales percentages and/or access to membership prizes as your own business grows.

Who are Omnilife?

Omnilife is a health and wellness company based in Jalisco, Mexico. It had been around since 1991 and prides itself on being “one of the most important companies in Mexico and Latin America”

It was founded in 1991 by Jorge Vergara Madrigal as Omnititrion which has now expanded to be a large number of companies within the group offering not only supplements and cosmetics, but also financial and insurance products as well.

What do they Sell?

Omnilife offers a large range of products too many to list here. However, their categories include:

Nutrition and supplements

• Nutritional supplements – powders and pre-made drinks
• Meal replacement supplements
• Protein shakes
• Green Tea extracts
• Aloe Vera Drinks
• Nutritional cookies

Cosmetics

• Makeup
• Skin care
• Hair care
• Men’s products
• Brushes

MLM Program outline

Members of the Omnilife MLM program are called distributors and from what I can tell, become part of a program that does not contain anything too outlandish or dissimilar from most other programs I have seen. It is however not as complicated to follow as others but without some of the extra bonuses that are out there as well.

Base Commission rate: Up to 50%

Distributor discount: Up to 50% (hand in hand with base commission rate)

Down line commission rates: 4% to 10% to 3 levels (1st generation (down line level 1) rates 10%).

Minimum monthly spend to qualify for commissions

• Affiliates are required to maintain monthly Personal Point (PP) purchase levels per month – this can be made of personal and customer purchases.

Payment terms: Monthly.

Application required?: Yes, personal and payment information at time of first purchase.

Purchase requirements to join: Yes – one of the following must be purchased

• Omnilife Nutrition Kit $38.85

or

• Seytu Cosmetics Kit $38.85

Marketing materials provided: Personalised Website and App.

As with the bigger programs, downline commissions and rankings are determined in part by the total Personal Points Volume (PP) that you and those of your down line generate in a calendar month. To qualify for downline commissions within Omnilife, you will need to purchase a minimum 300 PV points worth of product monthly. Most MLM programs manage it this way so as to ensure that you are getting sales based results rather than simply signing people up whom don’t purchase. You can however earn a base 20% commission (or receive a 20% discount) on all sales regardless of whether you meet the required PP levels or not.

Note: Within my research I was unable to locate any information on how Omnilife assigns its points to its products – the Distributor handbook confirms that this is the case, but does not elaborate. As an example however, most programs run their point calculations along the following lines:

If a product retails for $100 and has a 50PP rating (these generally vary from product to product) then the commission is calculated on the $50 purchase only. So if a commission rate for a product is 20% then it will generate a $10 payment to the sponsor (I.e. 20% of the $50 commissionable amount). This also means that if a distributor requires say 300PP to reach their first rank, then they will need to make approximately $600 worth of sales.

How can I get paid?

The Omnilife Compensation Plan outlines 6 major ways that distributors can get paid. Let’s check these out below:

Traditional Sales Model

The first earning method offered by Omnilife is the traditional sales model where distributors purchase products at their discounted rates and then on sell the products for retail prices via parties, kiosks, markets or even online marketplaces such as Amazon etc.

The amount of discount that the distributor is able to attract is on a sliding scale based on their PP volumes from the previous month. These rates are as follows:

This is where the amount of discount and commissions for personal retail sales go hand in hand. If a distributor qualifies for a 30% discount and sells a product at retail prices, then their commission is obviously 30%.

Level Overrides

Level overrides are the traditional unilevel down line commissions that form the basis of almost all MLM programs. In terms of the Omnilife model, commissions are paid to three levels only based on the total PP of their down line (not including their own orders). The Omnilife unilevel model is as follows:

Quick Start Bonus

Any distributor who personally introduces a new member will receive a 10% bonus based on the purchases made by them during their first 90 days.

Silver Supreme Bonuses

Once a distributor reaches the rank of Silver Supreme, they qualify for a once off payment of $500. If they are then able to nurture one of their downline to the same level, they then receive another $500 bonus payment.

Team Builder Bonuses

The Team Builder bonus is a common bonus type within MLM programs designed to encourage members to help build those in their down lines to higher levels. In this case, once a distributor reaches the level of Silver Supreme, they can receive a 2% commission on the entire purchase volume of their lines beginning with their fourth level as long as that line contains at least one Silver Premier distributor or higher.

This is outlined in the following example:

Note: This is not paid on lines that have a distributor at a higher level than the up line sponsor.

Generation Overrides

Once a Distributor reaches a rank level of Gold Premier or higher, they can then qualify for the Generation override. This override pays up to 5% to 6 Generations. I have taken the explanation of this one straight from the compensation plan:

“A Generation is made up of the Distributors in each of your lines. Each Generation begins with a Silver Supreme title and/or pay level or higher, and ends when there is another Silver Supreme title and/or pay level or higher and so on regardless of where they are on the line. You can even receive Generation Overrides from Generations that begin with a higher pay level than your own. This payment is in addition to the level overrides.”

Generation override payments are as follows:

Ranks

As you have probably noticed, the commissions and bonuses paid out above are reliant upon the ‘rank’ that you are assigned within the Omnilife affiliate program. This ranking structure is in line with most other programs with commission qualifications rising based on your total monthly PP, the number of underlings you have within your down line and of course, how much they sell/purchase in a calendar month (measured in PP). The Omnilife compensation plan does not have a complete table of all the ranks qualifications in one place so I have attached some examples below:

Once each rank is achieved however, they qualify for commissions and bonuses as follows:

What is good about it?

So, after a good look around the site and looking at all the options I could find, I do like the following:

• You can earn 20% commission off the bat without having to sign any members of meet any targets.
• There are some good incentives to reach higher ranks.
• Commission rates are on par with most other programs.

What is no so good about it?

There are also some things to be aware of including:

• PP calculation processes could not be found.
• There are not as many bonus options as some other programs.

How much can you make?

I was unable to locate a projected earnings table for Omnilife but as with most MLM programs, they do outline within their policies that the percentage of those who make the higher ranks, and therefor earn good money, is extremely low.

My final thoughts

Look, MLM is not an easy platform to make money in and there is nothing here that would make this program any easier than the others I have seen within this niche (such as Herbalife and Plexus). That said, there is also nothing here that would make me tell you to stay away as there is opportunity to earn if you can attract and nurture a down line. There is also the added bonus of having two streams of promotion via their supplements and cosmetics ranges – both popular online niches.

My only real issue with this site was that I could not find any information in regards to PP calculation which does make the program a little hard to trust from the outset if you are not sure what you real purchase and sales requirements will be.

On the plus side, you do not necessarily need to make monthly purchases yourself to qualify for commissions however if you cannot make the required PP for your rank from your customer base, then you may need to top up the payments yourself. This can make things very difficult if you are starting out and not making early sales. In addition to that, if you are going to succeed in any MLM program, you need intricate knowledge of the product meaning you will generally need to make purchases. This is why some tend to move towards affiliate marketing at the beginning of their online business journey before moving into MLM at a later time.

In terms of reviews of this platform, there was nothing that is unusual for MLM reviews due to the difficulty that most have in making money from them. Product reviews are mixed, but again, nothing that is not common within this niche.

Conclusion

So there you have it, my honest review and appraisal of the Omnilife MLM program. I hope it has been of assistance but as usual, if you have any questions or experience with this program please do not hesitate to reach out by commenting below – especially if any of my information is inaccurate.

Are there any other programs you have been looking at but want to know more about? If so, please comment below and I will do my best to get some details for you.

Do you want further assistance with any of the above or need help to build your own health and wellness or MLM based website?

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Until next time

Have fun

Paul

Note: If you make a purchase from this page, there is a very good chance that I make a commission from it – these commissions do not increase your sale price.