Melaluca is a multi level marketing (MLM) company that sells wellness products such as vitamins, eco-friendly cleaning products, beauty products and pretty much most other types of health and home products. This Melaluca review will discuss how the company works and how they use the MLM model.
Melaluca is a private company founded in 1985 by Frank VanderSloot (CEO). The company does not sell its products through conventional means. The MLM model is used for sales and marketing. MLM (Multi Level Marketing) strategy consists of the sales force receiving a commission from not only sales, but also from the sales of people who they have recruited. It is an effective word-of-mouth marketing strategy, however it stirs up controversy as several Melaluca reviews have deemed Melaluca scam artists because of the MLM model they follow.
The Pay Plan
Melaluca compensates based solely on sales. Every salesperson makes seven percent of every referred customer who joins Melaluca and seven percent of the referrals that come in through their referrals. It is called a generation for each down line through each referral and Melaluca only allows each salesperson to have seven generations per referral. They can have as many 1st generation referrals as they want. There are also various bonuses available for the highest performers.
The MLM model is a valid business model that has many critics. The fact that Melaluca uses this as a model is a consideration but the business also has other factors such as the claims of being environmentally friendly and community oriented. Many of the products they sell have a high review in terms of quality. When reading a Melaluca review one must consider the controversy but also remember the fact that Melaluca is a valid business model that works for many people. The most important thing is to keep an open mind.