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ANTI-MLM: Oriflame & AVON

(Case analysis Part 2)

To read Part 1 follow the link: https://futurefinance.eu/anti-mlm/

Product Issues

The products distributed by the agents of Oriflame and AVON are over-priced with 10-20% of the standard cost for the same item in the local market. The prices are close or equal to those which could be found on the local drogerien.

Apart from the over-pricing, another issue is the unavailability of certain goods which might cause tension between you and your clients. It is another secret that some products have to be pre-ordered with over 20 days if you wish them to reach the final customer. And you simply can’t do that because it means you have to have the next catalog yearly on and pre-order a certain product before the campaign for that catalog even starts (there are 17 campaigns in one year).

Orders

Oriflame Ltd. lets you order from a local base in your city, while the AVON Ltd. demands to process all the orders through an online portal. Sometimes these orders end up with mistakes leading you to ask your team leader to include an item on his order so you know it is delivered in the end. However, if you do that in Oriflame, the product will be given to you on the same day. In AVON it takes up to five days to receive the order package and then you have to go and retrieve the item ordered by your team leader. Eventually, this takes twice the time and you end up far more annoyed.

You may buy the catalogs from the offices of the companies. Both MLM firms demand from you to buy the catalogs and you only receive one for free when you make an order. You might receive an additional one from your team leader.

Public events

At least three times annually the MLM businesses are organizing public occasions on which you can see the CEO of the company in question. Along with them as lecturers are invited some famous people and a few ruby-amethyst agents successful enough to promote the business. Of course, these meetings are held at luxurious places such as five-star hotels and you can have a good time. The purpose – apart from boosting the reputation of the MLM company it also aims at sharing new strategies ahead of the firm. These end goals are so far-fetched at times that they sound more like propaganda.

Leaders and agents

For you to “invest” yourself in a new connection with somebody takes an enigmatic persona. Some of the team leaders in both AVON and Oriflame have the right type of personality and are actually capable of attracting new people to the MLM. Needless to say, others are not and might turn you away from the firm for good.

 Nowadays the role of the team leaders in an MLM company would grow tremendously opposing to what it used to be ten years ago. Those people will live in a constant whirlwind of agents calling them on the phone, asking questions, demanding meetings, processing orders, etc. And of course you have to be more active on the social platforms such as Facebook, Instagram and Twitter. On top of everything, you are going to spend multiple hours in the office doing administration work. The last is largely true for those working for AVON.

In conclusion

Investing your time and energy into MLM is simply not productive except for the 0.3% of all people. Those you bond with are simply your colleagues and you will keep contact for as long as you stay with the company. You are going to lose money both short-term and long-term. The products that you start buying, for yourself as well, are good enough but due to all the negativity you may stop using them after you part with the firm.

Mainly for all the aforementioned reasons I would stay away from such MLM companies which is why I have turned down proposals coming from Amway LTD.

Written by: Lyubomir S. Evtimov