Is Market America / Shop.com a scam? The answer is yes and here’s why.
Market America sells belief rather than product – SCAM
“JR’s great gift is, well, a lot of guys can sell stuff, but JR sells belief,” says his brother-in-law, Marc Ashley, Market America’s chief operating officer. “JR sells the idea that you too can be a great salesman. He sells that belief in yourself. Only the very top fraction of salesmen can do that.”
The goal of Market America and their shop.com platform isn’t to sell product. Their senior management freely admits that their goal is to sell potential people into believing they too can be rich. This is pyramid scheme recruiting at its most basic.
Former Market America distributors think it’s a scam
After a year in the business, I made at most $450. I went to ALL the seminars, listened to ALL the audios, and spoke to ALL my friends about it. I recently had to go through my whole contact book and apologize to all the damage that I created with this business. I had to really get out of the hole I dug for myself with this business.
Market America makes money off their sales seminar and their “distributors” buying the products in order to stay active.
It’s not about the product but about recruiting others
The problem was, MLM’s are not set up for legitimate business, so in order to make commissions like a sales rep, I needed to recruit a team of people buying hundreds of dollars worth of product, while balancing out both sides of the payment structure (a near impossibility) to earn the commissions from my decent sales at the salon. In other words, I was working for free most of that year for the salon (hosting beauty events, spending 3 days a week in the salon promoting it to their customers). I finally approached the salon owner and took a makeup artist position with them in order to make any money at all. I did receive 2 paychecks from Market America which didn’t even cover the start-up costs of getting into the business that year.
Sadly, my salon forgot to make a purchase ($100-$300 required monthly on average) on time from Motives and they refused to send her her $600 commission check. She was furious and guess who ended up looking ridiculous? After running the numbers at the salon, she was break even on profits even though we had sold a TON of products (maybe 10-15K). In order to earn her “commissions” on all that she had sold to her clientele, she had to have a team underneath her–which was a nightmare to deal with if you are running a legitimate business.