In this Mannatech MLM Review, it will be revealed that there is a lot of hatred targeting different companies using the MLM business plan. That is because so many people have had friends and relatives burned by not so honest MLM companies.
In addition to that hatred, this review has come across other reviewers who have a hatred for anything to do with churches or religious people. They use words like religious zealots, dumb people, snake oil and other terms just because this company had a religious origin.
To find out how deep that hatred will go, you have to continue reading our review. Trying to get to the truth about this company will take a lot of investigating because of the dual bias against MLM companies and religious people.
We will do our best so you can have all the facts and make up your own mind. It will only take a few minutes to get to the bottom of the hatred and see for yourself if you can trust this company or not.
What is Mannatech?
Mannatech came into existence in 1993 behind the efforts of Samuel L Caster. It is located in Texas, and because it had a religious influence, in the beginning, it placed it behind the 8 balls right away.
The founder decided to target the health and beauty industry and created different products related to those fields. They produce product lines in integrative health, targeted health, weight & fitness, skincare and home living.
The company is also listed on the Nasdaq stock exchange at the time of this writing. From its humble beginnings, the company has expanded over the years and employs 310 people, with 229,000 reps selling their products in about 24 to 30 countries.
While it had a religious influence, in the beginning, this company seems to have developed questionable tactics that have gotten it into trouble over the years. 20/20 investigated this company in 2007 and found that many managers were training their downline on how to skirt federal laws when selling the products.
That is not the end of their troubles, though, as you will see later. The question does a few rotten apples spoil the company? The answer remains to be seen.
Mannatech MLM Review: How Does It Work?
It is another MLM company, and you have to pay to play. The signup fee is $50, and once you pay that fee, you get to represent the company and its products. When you join, you will be asked to make a list of your warm audience, people you know or are related to, and that is your initial sales target.
You can work with your sponsor to see how they handle sales and marketing. The direct sales approach is down through appointments. Once you have exhausted your list of known friends, etc., you are in trouble.
Not really. You have to get over not being able to talk to strangers and arrange to have appointments in a comfortable setting for both of you. One unique aspect of the company is that they seem to offer a 6-month money-back guarantee.
That is one of the longest we have seen in this industry. Their products contain some nutritional ingredients, but how much is not really known. What is known is that those products are priced extremely high, with one hitting the $200 mark.
Can You Make Money With Mannatech?
We have saved the bad news for this section. After you pay your $50 fee, you still have to buy one of 3 sales packs to start making money. Starting with the basic pack, you have to pay between $99 to $169.
The all-star pack is priced at $499, with the premium all-star pack at the $1,000 level. So your chances are low if you think you are going to make money selling these products.
Of course, you will be expected to recruit and have your recruits recruit and so on down the line. Once you do that, you have a better chance of making money, but only if they sell something… The good news is you can recruit 200 people yourself and make money from all 200 plus their recruits.
It sounds far-fetched as everyone knows you will run out of people to recruit very quickly. Given the amount of competition, cheaper products from competitors and so on, your chances of making money are not good.
The only saving grace is that you can give your account number to someone, and they can make purchases directly from the company, and you would get the credit and the commission.
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How To Make Money with Mannatech
The standard examples you have read about in our review series on MLM companies apply here. The first example is your own sales. You get a commission for every product you get someone to buy. Your commission is the difference between retail and wholesale prices.
The next standard example is the money you make when your recruits make a sale or two. The good news is that if you are successful and your recruits are successful, you can get money from 16 more places. Most of those are bonuses with one called incentives.
The bad news is not all 18 ways you can get paid will happen at the same time. You may get 1, 2 or even 9 bonuses but not all 18. But getting paid is another story, and in typical MLM fashion, the compensation plan is very complicated.
We mention that because about 1% of the reps, the top salesmen, get those bonuses, and about 5% of all reps are lucky enough to make any money. So take your eyes off all the ways you can get paid and see the reality. You are going to have to be good to make money through this company.
We have heard that the company may have changed their compensation plan on a side note, but we have not uncovered any evidence supporting that rumour.
Mannatech MLM Review: Pros & Cons
The positive and negative section gives you enough snippets to better understand this and any company. No company is without these little snippets. Here are the pros and cons of this company:
- Interesting products to sell
- 18 ways to make money
- On the Nasdaq stock exchange
- Good BBB rating
- 6 month Money back guarantee
- Protected sales
- In business for 27 years and still growing
- Set your own hours
- Be your own boss
- Too many lawsuits
- High priced items to sell
- No real training or support
- Dubious ingredients (Ambrotose is basically sugar pills and powders made from glyconutrients)
- High failure rate
- Recruiting galore
- Too many competitors
- Received FDA warning letter, and there is no FDA approval for these products.
- False claims made about products
- Questionable training tactics
- Pay to play, and it is expensiveAre you looking for a way to make money online?
Any Negatives? Beware of Lawsuits
There are a lot of negatives that come with this company. First, 20/20 exposed some of the training tactics used by different top managers. Saying they were unethical instructions is to say the best about them.
One doctor in the UK was found guilty by the medical board thereof abusing her power as a doctor and was guilty of committing illegal acts. Those and similar actions were individuals and may not have been authorized by the company.
For several years the company lost money, but it seems they have turned it around. There are just too many lawsuits to mention here. Those lawsuits have cost the company a lot of money.
Then there was an upheaval in the company’s leadership as Castor resigned in 2007 and other top officers either resigned or were fired. But those changes seem not to have stopped the false claims made by reps or upper echelon people about the products.
2017 brought the warning letter from the FDA. So even with religious roots, this company has a dark side that seems to influence all of its actions.
Is Mannatech Legitimate?
As MLM companies go, yes, this one is legitimate as well. The company has been in business for 27 years and seems to produce products that people like at least till they try those products.
One of the lawsuits the company lost made them pay $4 million back to customers and $2 million to the state for court costs and legal fees. As for the products, well, that is another story. As you should have already read, there is some question about the legitimacy of the ingredients and purpose of those products.
Let’s not talk about the compensation you may or may not receive. With a 95% first-year failure rate, you may not get your money back. That will cause some to claim this company is a scam.
Mannatech MLM Review Final Thoughts
Our best recommendation we can give is to say ‘avoid working with this company. There is a dark side running through this business that may affect you and your family if you sign up.
The presence of so many lawsuits and negatives tells us not to recommend it. You could do better, and we have reviewed better MLM companies you can work for. The best you could do here is open a new market and have a free hand in recruiting.
Other than that, this Mannatech MLM Review may save your hide and keep you from wasting money you can’t afford to waste.
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