Is Usana a Pyramid Scheme

Is Usana a Pyramid Scheme or a $1000+ Opportunity?

There are many scams that exist in this world, from the popular "Nigerian prince scam", "fake inheritance scam", "double your money scam", and other shady things that want to get their grubby hands on your precious cash.

There are also these things called pyramid schemes that disguise themselves as legitimate businesses. Pyramid schemes are illegal. It is important to check that the venture you plan to delve into will not scam you and take away your money.

But Is Usana a Pyramid Scheme or a legitimate way to make money from the comfort of your own home?

In this review, I will be giving you an insight on what Usana is, whether it is legit or not, how to be an associate, and how to make money with it.

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What is Usana?


Usana Health Sciences Inc., or Usana is a multi-level marketing company founded by Myron Wentz in 1992.

Wentz used to own a diagnostic testing company called Gull Laboratories, but changed its name to Usana Health Services, which became a supplements manufacturer.

Usana specializes in selling nutritional products, dietary supplements, and skin care products. The selection includes:

  • vitamins
  • diet products
  • ​health food
  • energy drinks
  • skincare products
  • hygiene products

The Usana website provides an option for customers to donate to their very own Usana True Health Foundation. The foundation promises to aid residents of disaster-stricken areas, provide food and vitamins to families, and sponsor feeding programs.

The company is currently based in West Valley City, Utah, United States.


How to become an Usana associate


There are quite a lot of benefits to joining Usana. Joining Usana will give you the following perks:

  • Discounts on products
  • Incentive programs that grant prizes, luxury travel, and cash
  • Weekly commission from your own sales and your team sales
  • Participation in a weekly worldwide bonus pool


There are two different options of Usana membership currently available. These are called Usana Preferred Customer or Usana Associate.

Usana Associates are entitled to 10% discounts on retail prices,  earn commissions based on product sales, building their own business teams, and qualification for exclusive incentives and invitations to events.

On the other hand, Usana Preferred Customers are entitled to 10% discounts on retail prices and additional 10% discounts for signing up for recurring product deliveries. They do not have to pay for any sign-up fees and they do not have to meet any minimum purchase requirements.

Joining Usana can be done in these steps. We will talk about how the process would be different if you chose to be an Usana Associate or Usana Preferred Customer.

If you chose to be an Usana Associate:

  1. Go to this link and select Usana Associate.
  2. Choose the language of you Associate Welcome Kit.
  3. Create your initial order of Usana products or click Finish Enrolling.
  4. Fill in the needed personal information (name, email, shipping address, etc.).
  5. Pay for your product order on checkout.
  6. Congratulations! Just wait for your shipment to arrive at your address.

If you chose to be an Usana Preferred Customer:

  1. Go to this link and select Usana Preferred Customer.
  2. Choose at least one item to order.
  3. Fill in the needed personal information (name, email, shipping address, etc.).
  4. Pay for your product order on checkout.
  5. Congratulations! Just wait for your shipment to arrive at your address.

Usana Enrollment Kits


Usana has four different enrollment kits available:

  1. Professional Pack - $1,650
  2. Entrepreneur Pack - $755
  3. Basic Business Pack - $395
  4. Custom Enrollment Pack - Choose this to create the pack you want. Price will be calculated at checkout.
Usana Enrollment Kits



What are Usana associate levels?


There are 22 total ranks in Usana. Each rank requires the member to reach a certain sales quota on a weekly basis.

  1. Sharer
  2. Believer
  3. Builder
  4. Achiever
  5. Director
  6. Bronze Director
  7. Silver Director
  8. Gold Director
  9. Ruby Director
  10. Emerald Director
  11. Diamond Director
  12. 1-Star Diamond Director
  13. 2-Star Diamond Director
  14. 3-Star Diamond Director
  15. 4-Star Diamond Director
  16. 5-Star Diamond Director
  17. 6-Star Diamond Director
  18. 7-Star Diamond Director
  19. 8-Star Diamond Director
  20. 9-Star Diamond Director
  21. 10-Star Diamond Director
  22. 11-Star Diamond Director
Usana Ranks

Usana Compensation Plan


Usana's compensation plan can be accessed and viewed through this link.

The document is quite long, so I think a video form that better explains how Usana's compensation plan works. I have found this video in Usana's official EU YouTube channel.

Basically, there are three processes involved:

  1. Open your business center. This means building your team and recruiting members.
  2. Sign up for auto order. Signing up to auto order your products will ensure the continuous supply of your inventory.
  3. Begin to build. As you can earn commission from recruiting members to your team and selling products, you are on your way to success.

Usana Pros and Cons


PROS

  • There is a big community of Usana Associates that can help you, as they operate in many countries
  • Company has been around for many years, which boosts their credibility and stability
  • An option to donate to Usana True Health Foundation

CONS

  • Meeting the weekly quota to gain a rank is tough for newcomers
  • The many ranks available mean that the emphasis is more on recruiting than selling products
  • Products are more expensive compared to competitors, making them harder to sell

Do Usana associates make money?


According to Usana's Canada Statement of Typical Participant Earnings, 64.17% of Usana Associates have not received any commission from Usana.

19.11% have not enrolled another member and earned at least one commission cheque, while 16.73% have enrolled at least one member and earned at least one commission cheque from downline product sales.

Just the first figure alone shocked me since it means that many members did not even earn anything in the span of one year.

This data alone shows there are much better ways of making money online than joining MLM companies such as Usana or Jeunesse. Like they say, numbers do not lie. It is quite disheartening to find out that majority of the company that you seem to be interested with do not even make money.

However, look at the bright side. The company would not be around for this long if no one earned money from it. The people who have succeeded in the venture uses the right marketing strategies, and I can help you learn them.



Usana lawsuits


Usana had its fair share of lawsuits and controversy.

In 2007, Usana was sued for fraud and deception filed by independent distributors, seeking damages for lost capital since the plaintiffs were left with thousands of dollars worth of products that they cannot sell at inflated prices.


Usana also faced controversy when a number of its ​

executives made false statements regarding their

qualifications.


Is Usana legit?


Yes, Usana is a legit company that has been operating for many years now.

However, MLMs get quite a bad reputation for the following reasons:

  • Team leaders focus more on pushing their members to recruit more people than actually training them
  • Members, on the other hand, lack the proper guidance from their leader
  • Members, who have no idea how to find their proper market, result in recruiting whoever they can find; from family, friends, acquaintances, old classmates, and even strangers

This does not mean that the company is a scam though.

If you can join a team that gives you proper guidance and training, you do not have to worry as you are on the right path to success in this venture.



Is Usana a Pyramid Scheme?


First of all, let's look at what a Pyramid Scheme is:


"A pyramid scheme is a business model that recruits members via a promise of payments or services for enrolling others into the scheme, rather than supplying investments or sale of products." Wikipedia

how-a-pyramid-scheme-works

As Usana associates make money both by recruiting other team members AND by selling products to customers, it is safe to say that Usana is not a Pyramid Scheme!



How to succeed with Usana and any other online business


MLMs have a bad reputation because generally people struggle to make money with them. This is because most people just tend to look at a company, view them as 'interesting', and jump in without planning their venture and finding their target market.

It also does not help when the team leaders have no idea what they are doing. Since social media is the fastest and most convenient way to find people to join their team, they push their members to recruit from there, which usually ends up in embarrassing results.

Here is the thing... You cannot rely on friends and family to make a full time income in your MLM.

As per what I said earlier, before joining an MLM, you should plan your venture carefully, and look for your appropriate target market. Not everyone is interested in your products.

There are two popular ways to do this:

  1. Set up paid adverts that target a specific audience within your niche
  2. Find a way to generate free organic traffic that can be turned into sales

The first option is very expensive and if you are just starting out, then I recommend you scrap that for now.

The second one is completely doable and inexpensive, in fact, you can even get the right tools and information for FREE.

In my FREE 7-day Make Money Online Course, I teach a number of things that can help you succeed with Usana and any other similar businesses.

By the end of the course, you will have the following knowledge:

  • How to find your purpose and combine it with your goals for the ultimate winning mindset
  • How to choose your niche or better leverage your existing one
  • How to build a website in just a few clicks and have your own branding
  • How to write content that can attract thousands of visitors who ACTUALLY want to buy your products

and more!

Grab my FREE course by clicking on the red button below 🙂


I hope you enjoyed reading my "Is Usana a Pyramid Scheme?" review!

Feel free to let me know your thoughts by leaving a comment below 🙂