What is the current status of MLMs?
MLMs = "multi-level marketing" companies, which is essentially a euphemism for "pyramid scheme." These are flat out illegal in many countries, but are, notably, quite legal in the US. They used to...
MLMs = "multi-level marketing" companies, which is essentially a euphemism for "pyramid scheme." These are flat out illegal in many countries, but are, notably, quite legal in the US.
They used to be huge in the 2010s, but I don't hear much about them anymore (granted, I haven't been on social media since 2016). I know several IRL people who got into them, and I even regrettably bought products from some of them before I really understood what they were or how they worked.
I recently read Hey, Hun by Emily Lynn Paulson who was toward the top of the pyramid at Rodan + Fields.
In the book she mentions that algorithmic changes from social media companies ended up downgrading a lot of MLM postings, which cut off oxygen to the cycles of recruitment that these companies rely on. For example, Rodan + Fields moved to an affiliate model in 2024.
I'm curious about what the MLM landscape looks like right now.
- Are MLMs still common?
- For those of you on social media, do you still get recruitment and sales messages?
- Have they changed their tactics or models?
People don't have to limit responses to just those questions -- consider this a general MLM discussion topic where anything related to them is fair game.