Utah, often referred to as the “Silicon Slopes” for its booming tech industry, has an elusive side hustle: it’s a hot spot for multi-level marketing companies of many MLM types from essential oils to nutrient elevation roots in Beehive Country. But what is the reality behind the allure of these “business opportunities”?.
There are many reasons why Utah is prominent in MLM land:
Mormon Culture: Mormon culture in particular in Utah emphasizes self-reliance, entrepreneurship, and community involvement. With their commitment to financial independence and social engagement, MLMs tend to align with these values.
Tax benefits: Utah’s favorable tax laws for businesses, including MLMs, make it an attractive place for these companies to set up shop.
Entrepreneurial Spirit: Utah has a strong entrepreneurial spirit, with many residents eager to start their own businesses. MLMs offer a seemingly easy way to do your own business.
No. | Company | Year Founded | Revenue 2023 | Products | Company Size |
---|---|---|---|---|---|
1 | Herbalife | 1959 | $5.02 Billion | Nutrition, weight management, beauty products | 10,000+ employees |
2 | Avon | 1886 | $3.63 Billion | Beauty, personal care, and household products | 10,000+ employees |
3 | Nu Skin | 1989 | $1.9 Billion | Skincare, anti-aging products, nutritional supplements | 1,000-5,000 employees |
4 | Young Living | 1993 | $213.7 million | Essential oils and wellness products | 1,001-5,000 employees |
5 | doTerra | 2008 | $1500 million | Essential oils, personal care, wellness products | 1,000-5,000 employees |
6 | Morinda | 1996 | $500 million | Dietary supplements, personal care products, and essential oils. | 201-500 employees |
7 | Plexus Worldwide | 2008 | $377 Million | Weight management and wellness products | 10,001+ employees |
8 | Nature’s Sunshine | 1972 | $445 Million | Health and wellness products | 1,001-5,000 employees |
9 | Senegence | 1999 | $20.8 million | Skin care, wellness and fitness products | 51-200 employees |
10 | LifeVantage | 2003 | $213 million | Weight loss products, wellness, skincare and energy-related products | 51-200 employees |
Founder: | Mark Hughes |
CEO: | Michael Johnson |
Headquarters: | Los Angeles, CA |
Year Founded: | 1980 |
Company Size: | 10,001+ employees |
Products: | It is the best MLM in Utah, dealing in a number of categories ranging from nutrition to skincare. The notable products of Herbalife include Formula 1 Nutritional Shake Mix and Formula 1 Nutritional Shake Mix. |
Revenue: | $5,100 Million |
Achievements: | Herbalife has won Two Gold Excellence Awards for Providing Best-In-Class Education and Tools to Help Its Independent Distributors |
Website: | www.herbalife.com |
Founder: | David H. McConnell |
CEO: | Kristof Neirynck |
Headquarters: | New York, NY |
Year Founded: | 1886 |
Company Size: | 501-1,000 employees |
Products: | Avon is a skincare brand that deals in products like Avon Eve Truth EDP, Avon Far Away EDP, and Avon Little Black Dress. |
Revenue: | $3.63 Billion |
Achievements: | Avon is the winner of the Philippines Smart Parenting Awards 2023. |
Website: | www.avonworldwide.com |
Founder: | Blake Roney and Sandie Tillotson |
CEO: | Ryan Napierski |
Headquarters: | Provo, Utah |
Year Founded: | 1984 |
Company Size: | 1,001-5,000 employees |
Products: | Nu Skin is one of the most successful Utah based MLM companies. This chain marketing company specializes in selling personal care products and dietary and nutritional supplements. Some of their products include ageLOC Rose Gold LumiSpa® iO + Cleanser and ageLOC Blue LumiSpa® iO + Cleanser. |
Revenue: | $1,970 Million |
Achievements: | NU Skin received International Innovation Awards® 2021 for Product ageLOC Boost. |
Website: | www.nuskin.com |
Founder: | D. Gary Young |
CEO: | Mary Young |
Headquarters: | Lehi, Utah |
Year Founded: | 1993 |
Company Size: | 1,001-5,000 employees. |
Products: | This chain marketing company deals in essential oils. They offer products in Massage Oils, Diffusers, Skin Care, Hair Care, Oral Care, Cooking, Household Cleaners categories as well. |
Revenue: | $2,000 Million |
Website: | www.youngliving.com |
Founders: | David Stirling, Gregory P. Cook, Corey B. Lindley, Emily Wright, Dr. David K. Hill, Mark A. Wolfert & Robert J. Young |
CEO: | Kirk Jowers |
Headquarters: | Utah, USA |
Year Founded: | 2008 |
Company Size: | 1,000-5,000 employees |
Products: | This is yet another network marketing company in Utah that deals in supplements and gut health products. Their product range has a number of products like After Sun Restorative Body Spray and MetaPWR |
Revenue: | $525.00 million |
Achievements: | The chain marketing company won the Gold Medal for USA Global Makeup Awards for Best Bath/Shower Product in 2023. |
Website: | www.doterra.com |
Founder: | Kelly Olsen |
CEO: | Linda Non-Gal Knight |
Headquarters: | USA |
Year Founded: | 1996 |
Company Size: | 201-500 employees |
Products: | This chain marketing company deals in wellness products. Tahitian Noni Juice is one of their premium products. |
Revenue: | $500 million |
Website: | www.morinda.com |
Founders: | Tarl Robinson & Alec Clark |
CEO: | Tarl Robinson |
Headquarters: | USA |
Year Founded: | 2008 |
Company Size: | 10,001+ employees |
Products: | Mostly related to weight management and wellness products, Plexus is a chain marketing company with a good reputation. Its range of products includes Plexus BioCleanse, Plexus Microbiome Activating and Black Cherry Lime Blossom |
Revenue: | $377 Million |
Achievements: | Plexus Worldwide won the Direct Selling Association’s Marketing and Sales Campaign award for Plexus Reset. |
Website: | www.plexusworldwide.com |
Founder: | Gene Hughes |
CEO: | Terrence O. Moorehead |
Headquarters: | Utah, USA |
Year Founded: | 1972 |
Company Size: | 1,001-5,000 employees |
Products: | The chain marketing company is famous for top-notch herbal products ranging from detox and weight loss. Their main products are Power Beets, Power Sticks and Cholorphyll Stick Packs. |
Revenue: | $445 Million |
Website: | www.naturessunshine.com |
Founder & CEO: | Joni Rogers-Kante |
Headquarters: | USA |
Year Founded: | 1999 |
Company Size: | 51-200 employees |
Products: | The chain marketing company is one of the top-performing MLM in Utah. They deal in various categories related to wellness and fitness. Body Butter, Lip Color and Lip Liners are some of their premium products. |
Revenue: | $20.8 million |
Achievements: | SeneGence received the 2021 Shape Beauty Award in the Best Powder category. |
Website: | www.senegence.com |
CEO: | Darren Jensen |
Headquarters: | Salt Lake, Utah |
Year Founded: | 2003 |
Company Size: | 51-200 employees |
Products: | It is an MLM based in Utah that operates in the health and fitness sector. The chain marketing company’s prime focus is on general wellness, skincare and energy-related products. Some of their main products include Lifevantage D3, LifeVantage Reset PM and Axio Cherry Limeade. |
Revenue: | $213 million |
Achievements: | LifeVantage was Honored with the Stevie Award in the 2019 American Business Awards |
Website: | www.lifevantage.com |
MLMs often present themselves as win-win situations:
Financial independence: The promise of great income and the ability to build a profitable companies for network marketing from home is a huge lure.
Flexible Work: MLMs encourage the flexibility to set their own hours and work from anywhere.
Partnerships: The opportunity to build with like-minded individuals and the mentorship of others can be appealing.
While the allure of MLMs can be strong, the reality is far less appealing to most participants:
Pyramid scheme issues: Many critics argue that MLMs operate like pyramid schemes, where the primary focus is on recruiting new members rather than selling products
Low scores: Most MLM participants fail to make capital, and many end up losing money on acquisitions and recruiting fees.
Unsustainable model: Relying on constant recruitment to generate revenue leads to an unsustainable companies for network marketing model. As the number of people who can be hired decreases, so does the amount of money they can earn.
Product saturation: The market is saturated with the same MLM products, making it difficult to stand out and generate sales.
The prevalence of MLMs in Utah has both positive and negative consequences:
Economic benefits: MLMs can create jobs and generate income for the country.
Social Impact: An emphasis on recruitment can lead to the breakdown of relationships and the destruction of social networks.
Consumer Security Issues: Potential fraudulent practices and pyramid schemes raise consumer security concerns.
If you’re considering joining an MLM, it’s crucial to approach it with a critical eye:
Do your research: Analyze the chain marketing company’s business model, product offerings, and income statements.
Be realistic: Understand that MLM success is not guaranteed and requires a lot of effort and money.
Focus on sales, not recruitment: Prioritize selling products to customers instead of just focusing on recruiting new members.
Diversify your income: Don’t rely solely on your MLM income. Continue to find stable employment or other sources of income.
While Utah’s MLM scene offers opportunities and challenges, it’s important to approach these companies for network marketing with caution and realistic expectations. By understanding the realities of MLM and making decisions, you can protect yourself from potential pitfalls and increase your chances of success.