Rodan and Fields - Review in Cosmetics and Toiletries category
My friends on fb were posting memes about how Forbes said all these great things about R&F..so I decided to google Forbes to see what I could find.
Enjoy! The Rodan + Fields pitch is about more than just the allure of antiaging creams. The company's independent reps also sell the dream that any woman can easily achieve financial independence and success by becoming a Rodan + Fields saleswoman. "This is an opportunity for women to have it all," Fields says.
But the truth is that the dream is financially out of reach for the vast majority of women who sell Rodan + Fields products. According to data from its 2015 income disclosure, 42% didn't get a single paycheck last year. Consumer advocates decry multilevel marketing as one step away from a pyramid scheme. "Multilevel marketing has evolved to this point where it's not illegal, but it's unethical," says marketing expert D.
Anthony Miles, pointing out that sellers at the top of teams build their success on the backs of those at the bottom, who have little chance of achieving the same level of opportunity. The fact is most consultants aren't making much money. Take Robin Gravlin, 53, of Granite Bay, Calif., who was a consultant from 2009 to 2011. A stay-at-home mom, Gravlin was looking for a part-time job that was worth her while.
She says she worked about 20 hours a week and pulled in revenue of about $100 a month. After two years she had lost some $3,000 because of the costs she incurred: marketing materials, traveling and buying samples for promotional events. "They do have good products. Would I recommend someone selling it?
No," Gravlin says. "I think there are probably a lot more people who fail than succeed. ... They make it sound easy, but it's definitely not." One popular marketing tactic is a virtual Facebook event, during which consultants post their pitches for Rodan + Fields in the event invitation while attendees refresh the page.
In an April event called "Rodan + Fields All In," one slide highlighted Rodan + Fields' purported simplicity: "We wash our face, talk about it, and get paid. That SIMPLE!" Another slide said, "As mentioned, many people are making full-time incomes." Not mentioned: the fact that only 2% of active consultants make the minimum wage or more on an annualized basis. RODAN + FIELDS ISN'T much different in that regard from other multilevel marketing companies. FORBES studied the income disclosures of 16 others, including AdvoCare and Nu Skin.
On average, only the top 3% of consultants got paid more than the minimum wage in annual gross income.
At some companies nearly 90% of consultants made nothing at all.The disclosures show that the only way to make a lot of money is to build a huge team in order to earn commissions off the sales of those you recruit.
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- Cosmetics and Toiletries
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