Is Beautycounter a scam? Make money countering beauty products!

Is Beautycounter a scam

So, you were looking to make some money online and came across Beautycounter as one of the options. Skincare and cosmetics are loved and used by most women worldwide, so it makes sense to consider them from an earnings perspective. But can you really make money with Beautycounter? Is Beautycounter a scam or a pyramid scheme? How does it actually work?

I will answer the above questions and many others in this Beautycounter MLM review post. You will also learn about Beautycounter products, its compensation plan, and the pros and cons of working with its MLM program.

New to MLM?

Read: What is MLM Business?

What is Beautycounter?

Beautycounter is a multilevel marketing company that sells skincare and cosmetic products. The company has a wide variety of creams, moisturizers, shampoos, scrubs, etc. that are sold by independent distributors.

Beautycounter was founded by Gregg Renfrew in 2013. It is headquartered in California, the US. The company claims to produce products that are toxic-free and without the 1800 ingredients that are used by other beauty and cosmetic companies.

What is Beautycounter MLM?

Beautycounter MLM is a network marketing business unit that is used to market and sell its products through independent distributors. These distributors are called consultants who are paid commissions on the product sales and additional bonuses for recruiting people in the company.

Beautycounter provides community support for consultants that consists of help and guidance from thousands of existing consultants. The MLM opportunity also includes a personal website, marketing tools, a mobile app, and product kits to jumpstart your business campaign.

How does Beautycounter MLM work?

To get started with Beautycounter MLM, you have to enroll yourself on its website. 

You can also connect with an existing consultant who can help you with the Beautycounter MLM registration process.

The minimum requirement to join the program is $50 which gives you a digital kit. This kit includes a personalized website, a customized training platform, and access to selling tools.

Once you have successfully enrolled, the next step is to purchase starter kits that include different types of Beautycounter products. The kits are available in different packages and pricing plans. It starts from $79 and goes up to $776. There are six options to choose from.

Once you have purchased a starter kit of your choice, you can set up your online store to share and sell the products online or organize your own marketing events for promotion. There are certain volume requirements to achieve before you qualify to earn commissions.

Beautycounter products

Beautycounter is primarily a beauty products company that offers various types of skincare solutions.

Its product line is based on cruelty-free, vegan, and harmful chemical-free ingredients. Beautycounter products are divided into three categories which include:

Beautycounter products

Skincare – This category of products has moisturizers, serums, face oils, cleansers, masks, toners, lip care, etc. As per the Beautycounter website, there are many best-selling products in this category and one of them is Counter+ serum.

This product is very highly-rated for its ability to provide glowing skin, reduction of dark spots, and boost radiance. The serum consists of two forms of vitamin C, turmeric, and other fruit extracts which is a clinically-proven formula for skin beautification.

Make-up – In this section, you can find different types of cream shadows, glosses, lipstick, blushes, highlighter, etc. The products are safer and help prevent early aging of the skin, improve appearance, and provide a natural glow.

Bath & Body – These are body cleansing products such as soaps, scrubs, shampoos, deo’s, moisturizers, hand care, hair care, body wash, etc. The products consist of safer formulas to clean, hydrate, nourish, and protect your skin.

Beautycounter products can be returned within 60-days of purchase. This is applicable to all types of customers including its consultants. This could a be highlighted feature for consultants to improve their sales numbers.

Are Beautycounter products worth their price?

Skin products are preference-based. What may work for your skin, may not work for others. So, it comes down to personal choice and the type of skin you have. It is better to observe caution and try, test, and settle down with a particular product/solution.

Beautycounter products are well-appreciated and received by its customers on its original website. Since the reviews and feedback are posted on Beautycounter’s website which could be biased, it is better to research for independent reviews.

Beautycounter product reviews

The products are also available on Amazon. The reviews and feedback surrounding Beautycounter are fairly positive. It gathered more than 4-star ratings which are really good.

However, I also happened to find some of the product reviews on the other website

The reviews are mostly negative. Beautycounter products are criticized for side effects and poor skin results. There are also some issues related to packaging and delivery. The overall ratings stood at 2.3 out of 5 which is below average. There is no feedback related to pricing though.

Let’s take the example of its best-selling skin serum Counter+. This is a vitamin C serum that costs $90 on the Beautycounter website and $95 on Amazon. Some of the alternatives to Counter+ serum have lower pricing on Amazon. Below are the examples:

It seems Beautycounter has kept its product pricing higher to cover its own profits and share commissions with its consultants. If the products are expensive and their alternatives are easily available and cheap then it could be challenging to have regular sales.

How to make money with Beautycounter MLM?

Beautycounter MLM generally works on two ways to make money:

  • Commissions on personal sale of products and,
  • Additional income in the form of override commissions by building a team

Beautycounter compensation plan

Beautycounter MLM works on the following compensation plan to reward its consultants:

Retail commissions – Retail commissions can be earned up to 25% on the personal volume of all products sold. That means if you sell a total personal volume of $100, you can make $25 as retail commissions. This can be further boosted by 10% if you are able to sell 3000PV in a month.

Override commissions – The override commissions are paid on the CV which is the commissionable volume that is calculated on your downline consultant’s sales and personal orders.

A consultant is required to maintain a minimum business volume of 300 BV to earn 5% override commissions.

Building a downline makes you eligible for the promotion. There are eight levels to climb and a managing director level consultant can make up to 9% override commissions on his collective volumes (including QV, NV, and BV).

Beautycounter compensation plan

Every level has a certain volume requirement to achieve. A director-level consultant is also eligible to receive a 3% generation override.

There is a Frontline Business Builder Bonus paid every month from $25 to $100 to Senior consultants and above.

Every Beautycounter consultant is required to sell at least 1200 QV of volumes every 6 months to maintain its position active.

You can find the detailed Beautycounter compensation plan here. 

Can you make money with Beautycounter MLM?

Making money with any MLM is a tough ask. As per the income disclosure statement available for Beautycounter consultants, the average monthly income of a consultant-level member was $71 and that of a senior-level consultant was $351.

Beautycounter income disclosure statement

The income figures are exclusive of any expenses which means you have to deduct the cost of enrolment fee, starter kits, and product purchases to maintain your position, as well as any other cost related to traveling, gasoline, and marketing events.

The final income figures will be way lower than what you would expect. The statement clearly says that 30% of its consultants could not earn any commissions and 50% could earn $100 or more in their first 6-months stint with Beautycounter.

This is the case with a majority of MLMs where lots of individuals fail to achieve success. This is mainly because the MLM business model benefits senior consultants more than entry-level consultants. Beautycounter is no exception. It can take years of hard work, dedication, and experience to make some money with the Beautycounter MLM program.

Is Beautycounter a scam or a pyramid scheme?

Beautycounter is not a scam. It is a 100% legit company that sells beauty and skincare products since 2013. The company is strong and reliable to work with and one can trust its existence from a long-term perspective.

Its business model is highly controversial. MLMs are not termed pyramid schemes if they have physical product offerings. Its consultants/members are rewarded when more and more people purchase and sell the products forward. Beautycounter is no different. Technically, it is not a pyramid scheme.

Pros

  • Established company – Long-term existence with legit products is one of the factors to look for while working with any MLM company. Beautycounter is a well-established firm with reputed products in the market that is tested and trusted from a joining perspective.
  • Good positive product reviews – Although, there are some negative reviews and criticisms related to Beautycounter products, these are far and few. A majority of customers have favored the performance and effects of Beautycounter products for their skin problems.

Cons

  • Saturated market – This could be a major letdown for consultants looking to make regular sales. It could be very tough to achieve your targets since the beauty and cosmetics market is over-saturated with many MLM alternatives as well as various online channels selling these products.
  • Over-priced products – Not to forget the pricing of Beautycounter products. These are over-priced and may not convince your customers who can find good-quality products at a lower value through other platforms.
  • MLM challenges – Making money with Beautycounter is a tough task. This is evident from its income disclosure statement and compensation plan which focuses more on rewarding people with higher team/business/personal volumes. Consistent recruitment of people is not sustainable in the long run which could impact your overall performance and investments.

Conclusion: Is Beautycounter MLM recommended?

My personal recommendation about Beautycounter is you can use its products to enjoy the benefits of improved skin and appearance.

However, when it comes to making money by selling Beautycounter products, it is a big question mark. The company and products are established but still it is a challenging task to sell them and make money.

This is because of the competition and demanding compensation structure that asks more and pays less. No matter how much time and money you spend, it takes a marathon effort and patience to make money with MLMs.

I suggest you avoid such MLM opportunities and look for other money-making sources especially online.

I am sure you can find many such options that have low investment and higher returns. If you are confused and not sure which one to choose from then check out my recommendation below.

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