Melaleuca is definitely a “gray beard” when it comes to an mlm company’s longevity. Most network marketing companies go out of business within their first 24 months. Melaleuca has been on the scene for almost 24 years! So, is it possible for such an established company to be a scam? This article will reveal the answer to that question.
Frank VanderSloot took over the original Melaleuca company, the so-called “Melaleuca Oil” company in 1985. The original company encountered rough treatment from the F.D.A. Apparently the government felt like some of the claims made by the company were either unsubstantiated, or exagerated. Mr VanderSloot took over and “cleaned house”, seeking to improve the company’s image. He established a marketing “brand” that touted improving people’s lives and health.
The company features a large variety of household and wellness products. The products are totally free of any dangerous chemicals, or potentially harmful additives. Many are derived from oil extracted from the Melaleuca tree. Melaleuca members swear by the products, and the company has established a large customer base over the years. Compared to some mlm products of a similar nature, the products seem reasonably priced.
Upon examining the company a little closer, I found that it had almost a “holier than thou” culture. The company makes great strides to appear completely diiferent than mlm companies. The truth is distributors are still strongly encouraged to recruit new people and are paid a residual income. Two features that are “near and dear” to most mlm companies. It is true that distributors are not required to sell a set amount of products each month, which is not typical of most mlm companies. The company likes to call itself, The Wellness Company”, as if it were the only one!
Melaleuca definitely advocates an “old school” marketing strategy. Worn out tactics such as calling mlm leads and chasing down one’s “warm market”, are alive and well with this company.These strategies are inefficient and ineffective. They really need to employ the new and exciting “attraction” marketing model, which many of the more current network marketing companies are now adapting. Attraction marketing involves leveraging the power of the Internet to draw prospects to you and your business.
In conclusion, Melaleuca is not a scam. A little old fashioned perhaps, but not a scam. The company does a good job of continually adding quality products at reasobnable prices, which probably accounts for it’s longevity. I would be quite hesitant to join the company if I did not have a solid understanding of Internet marketing.