Isagenix Scam? Yes It Is In My Opinion!
I have found that weight loss products are the foundation of many business opportunity scams. Some of these scams have been deadly for the people that have used the products. The Cambridge Diet MLM scam was one of these. They claimed that the Cambridge Diet would produce “no harmful side effects,” was “metabolically balanced,” and that people could stay on the formula for an “unlimited amount of time.” The sad reality is that some people died from heart attacks before the FDA forced the company to stop selling nutritionally inadequate diet drinks. My subscribers have requested that I take a look into the Isagenix business opportunity. Here is what I have found.
Isagenix Scam Claims
Are You Toxic? Accelerate the removal of impurities from your body with Isagenix.
If you’re worried about job security, interested in extra income opportunities or looking for a change in your professional career, your worries stop here. Isagenix can help you redefine your life.
When you join Isagenix, you get much more than our amazing products. You’ll experience our culture of fun, family, success, growth, passion, and integrity that will bring out the best in you and inspire you to help bring out the best in others.
Ultimate Financial Freedom
Ultimate Time Freedom
Here is how the Isagenix products are sold:
Isagenix Scam Reality
Isagenix is a multi-level marketing company that markets dietary supplements and personal care products. The company is based in Gilbert Arizona and was founded in 2002 by John Anderson, Jim Coover, and Kathy Coover.
ISAGENIX WORLD HEADQUARTERS
155 E. Rivulon Boulevard
Gilbert, AZ 85297
Two of the founders of Isagenix were involved with a dangerous diet MLM called the Cambridge Diet which went bankrupt.
Jim Coover was co-founder of the Cambridge Diet.
John Anderson was one of the Ambassadors in the Cambridge Diet program. – Source Kathy Coover
…the U.S. Postal Service and the FDA forced Feather to stop mail-order sales from ads that claimed that the Cambridge Diet would produce “no harmful side effects,” was “metabolically balanced,” and that people could stay on the formula for an “unlimited amount of time.” Feather stopped selling the product through the mail, and instead created a wildly profitable multi-level marketing plan. The diet sold by word-of-mouth, with counselors who served as cheerleaders and spiritual advisors for their clients. The diet counselor who sold the liquid formula not only got a profit from each can sold to his own customers, but a percentage of the sales of each counselor he recruited into the Cambridge “family.”
This pyramid scheme was so successful that some counselors were earning more than $150,000 a month. Successful counselors-turned-executives were rewarded with BMWs, Mercedes-Benzes, solid gold pens, and glitzy, celebrity-ridden hotel extravaganzas. Eventually, more than 3 million people had tried the diet, which Feather marketed as “an Ultimate Truth.” For some, it was the ultimate diet: Some people died from heart attacks before the FDA forced the company to stop selling nutritionally inadequate diet drinks. – Source consumer.healthday.com
On June 8, 1982, the FDA said food products deriving more than 50 percent of their calories from protein and promoted for weight reduction must carry the following label: “WARNING: Very low calorie protein diets (below 400 calories per day) may cause serious illness or death. Do not use for weight reduction without medical supervision.”
The Cambridge plan provides 330 calories per day. – Source Newsok.com
The good news is that the Isagenix products are not dangerous like Cambridge Diet products, but how effective are they?
Here is what Harriet Hall, M.D. had to say about the effectiveness of the Isagenix products:
Isagenix claims to promote weight loss. All “treatments” for [temporary] weight loss work the same way: they get people to ingest fewer calories than they expend. There is no reason to think that a person who restricts calorie intake and exercises will lose any more weight if they add Isagenix products. Diuretic and laxative effects, psychological factors, and enthusiasm for a new method may initially fool people into thinking they have benefited.
Isagenix is a slick marketing enterprise that lines the promoters’ pockets by selling baseless hope. There is a disclaimer on the website that should be taken very seriously: “These statements have not been evaluated by the Food and Drug Administration. These products are not intended to diagnose, treat, cure or prevent any disease.” – Source Harriet Hall, M.D.
In my opinion, I would not trust the claims that are made by representatives of Isagenix about the effectiveness of the Isagenix diet products and the business opportunity.
Here are some of the claims made by one of the representatives of Isagenix:
Burn Fat, Enjoy Endless Energy & Radiant Health in Just 10 Days.
This is a not a fad diet, or dangerous detox. This is a scientifically formulated, and clinically proven whole body nutrition-based cleanse.
It’s stood the test of time, and over the last 13 years more than 300,000 people (in 12 countries around the world) have enjoyed the benefits of Isagenix.
Weight loss is a side benefit of nutritional cleansing, and many people using these products also experience increased energy levels, clearer skin, improved digestion and enjoy better overall health. – Source timetocleanse.com
There’s no such thing as ‘detoxing’. In medical terms, it’s nonsense. Diet and exercise is the only way to get healthy. – Source Theguardian.com
How much money can you expect to make from this amazing business opportunity?
Product Sharers make $145 per year on average.
Only 5.2% of distributors are considered Business Builders. 92% of Business Builders make $6,972 or less per year on average.
No information is provided on how much people are making on average by selling the products at retail.
This company seems to be a great way to make little or no money.
Associates and Preferred Customers pay an annual membership fee of $39 to join, or $29 if they join on Autoship. If you remain on Autoship, your annual renewal fee is reduced to $19.
Once you signup they try to get you to purchase 100 points of product. One example is the 9-Day Deep Cleansing System: Regular price $213.95/Discounted Price: $148.00 BV: 100.
If an Associate is Active on Autoship they are eligible to accumulate Group Volume (GV).
If you are serious about your business, they try to get you to by the Business Builder Pak Price: $1,454.00 Retail.
Weight Loss Solutions
Snacks and Mini Meals
Healthy Aging Solutions
After meeting a minimum of 100 PV in the prior 30 days, Associates are qualified as Active Associates. Active Associates can earn Retail Profits, Retail Direct Profits, Product Introduction Bonuses and accumulate the BV of personally enrolled Associates. They will also accumulate any Excess Personal Volume (PV) over 100 at the time of the order. If an Associate is Active on Autoship they are eligible to accumulate Group Volume (GV). However, no cycles will generate until Paid-As Consultant status is achieved.
As an Isagenix Associate there are five ranks that you can achieve:
To be eligible to be a Paid-As Consultant and accumulate GV on both of your Sales Teams (Left and Right) you must be Active and maintain a minimum of one Active personally enrolled Associate on each of your Sales Team (Left and Right) at any time within the prior 30 days.
In my opinion, it is clear from the Isagenix compensation plan that you need to have an auto shipment and you need to recruit two or more associates to succeed with their compensation plan.
Here is an overview of the compensation plan by Jim Coover:
They claim you don’t need to understand the complexities of the compensation plan to succeed with Isagenix. In my opinion, you would be a fool to not understand how you are being paid for your time and effort.
The compensation plan pays to an infinite levels deep.
Many levels of compensation only further enriches those at or near the top … of distributors. Excessive levels in a downline is another sign participants are expected to sell primarily to their downline, rather than to the general public. – Source Mlm-thetruth.com
83.3% of members make nothing and are considered Product Users.
11% of members are considered Product Sharers and make $145 per year on average.
5.2% of members are considered Business Builders.
92% of Business Builders make $6,972 or less per year on average.
Few people are making more than part time minimum wage with this business opportunity.
As an Associate, you have 30 days from the date of purchase to initiate a return of:
- Your initial order of product placed, opened or unopened.
- Any product(s) you are trying for the first time, opened or unopened. This applies to any order that you place.
- Your first Autoship order for unopened products only.
They will buy back your unopened products for 12 months. Buy Back must be made in writing within 12 months of the original purchase date. Reimbursement will be made for the value of the original product, less a 10% restocking charge, freight, rebates, bonuses and personal discounts.
Isagenix reserves the right to decline refunds for any products that have been falsely certified as consumed or sold. – Source Isagenix.com
Before an order will be accepted, an Associate must certify that products representing at least 70% of his or her prior purchases have been consumed by or sold to end consumers (which may include the Associate and his or her family). – Source Isagenix Policies And Procedures
Distributors are required to consume or sell most of the products that they purchase each month. There will not be much left to return if a distributor is unsuccessful at the end of a year.
Isagenix Scam Conclusion
In my opinion, Isagenix is another recruiting scam. They charge you an upfront free and then try to get you to make a large $1,454 retail value product purchase. You have to recruit people to qualify for the top commissions they offer. The compensation plan pays to an infinite levels deep. Only 5.2% of members are considered Business Builders. 92% of Business Builders make $6,972 or less per year on average. Isagenix helps few people reach Ultimate Financial Freedom. Two of the founders were involved with the dangerous Cambridge Diet MLM scam. There’s no such thing as ‘detoxing’. In medical terms, it’s nonsense. Diet and exercise is the only way to get healthy. I would avoid the Isagenix business opportunity.