Direct sales programs that call themselves “multilevel marketing” (MLM) companies run the gamut from being merely annoying to full-blown pyramid schemes, and the folks at the Federal Trade Commission are responsible for holding MLMs accountable when they cross that line from irksome to illegal. But two pieces of legislation, both backed by a trade group with direct ties to Education Secretary Betsy DeVos, are attempting to limit the FTC’s ability to investigate and prosecute rogue MLMs. [More]
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Group Tied To Betsy DeVos Is Trying To Block Feds From Investigating Multilevel Marketers
By 9.19.17
Should Anti-MLM Blogger Be Allowed To Remain Anonymous, Even After Losing In Court?
By 1.17.17
Four years ago, an anonymous former Amway marketer who operates a blog critical of multi-level marketing companies published in its entirety the text of a book published by a prominent figure in the MLM industry. The publisher of that book successfully sued this unnamed blogger for copyright infringement, but the court allowed the shroud of anonymity to stay in place. Now the publisher is calling on a federal appeals court to unmask the blogger, while free speech advocates argue that there is no need to know this person’s identity. [More]
John Oliver Wants To Sell You On Why Multi-Level Marketing Stinks
By 11.7.16
John Oliver has a pitch for you. Yes, that’s right. In last night’s Last Week Tonight, he asked for just 30 minutes of your time to sell you on something that will change your life forever: an exposé on Multi-Level Marketing (MLM) schemes. [More]
I Escaped The DS-MAX Multi-Level-Marketing Sales Cult
By 12.8.09
Luke St. Germaine worked his way up the ladder of Cydcor, a spinoff of the notorious multi-level-marketing outfit DS-MAX, d/b/a Innovage aka Granton Marketing, from sales grunt to running his own office, until he saw the true face of the sales cult and got out the game. Exclusive to Consumerist, this is an excerpt from a novel he wrote about his experience. [More]
Are You A Pro-Sumer? Let Bill Quain, PhD, Show You How!
By 6.16.09
Amway! There, we just saved you the trouble of reading Pro-Sumer Power!, Bill Quain’s riveting get-rich-quick book from 2000, which Alan Scherstuhl found in a thrift store recently and recaps for your amusement over at the Village Voice. You see, producers make money. Consumers spend money. And Pro-sumers make money while they spend. Still not clear? You’re a banana when you should be some sort of banana-gorilla hybrid.
Consumerist Attends Robert Allen's Get Rich Quick In Real Estate Seminar
By 10.23.08
I wanted to find out what Robert Allen’s “get-rich-quick in real estate with no money down” promise was all about, so when I saw a full page ad in the Daily Post advertising one of his free seminars recently, I went and checked it out. I’ll give you a full run-down later, but here’s the quick and dirty, and what I can tell about how the darn thing seems to function.
Despite Subprime Implosion, Robert Allen's Troops Still Pitch "Get Rich Quick In Real Estate With No Money Down"
By 10.21.08
Robert Allen promises to make you millions teaching you how to buy real estate with no money down. Unsurprisingly, Ripoffreport is littered with complaints about his company and those that use his name. Here’s the story they tell:
Just What The Heck Is MonaVie, And Should I Sell It?
By 10.6.08
I’ve been approached by a friend to join up with MonaVie acai juice—it’s a “superfood” juice that’s sold through “network marketing.” I actually do like the product, and this is a friend I trust, but my alarm bells are still going off. I don’t want to get sucked into a scam, obviously. There’s nothing about this company on your site, so I thought I’d drop you a line and see if you had any advice.
How The Modern Pyramid Scheme Stays Barely Legal
By 10.5.07
The modern pyramid scheme has undergone slight tweaks in order to stay just with the bounds of the law, and still keep the fun scam times going. When you strip away all the pretty foil and chocolate, though, a naked Ponzi sits in the center, laughing his ass off.
4 Typical DS-MAX MLM Scam Job Ads Found On Monster, HotJobs, CareerBuilder And Jobster
By 6.19.07
Using the names of companies accused of being DS-Max (now known as Innovage) subsidiaries/affiliates on Ripoffreport and a list on DS-Max The Aftermath, I did a search of Monster, Hot Jobs, and other job sites to pick out real ads that are out there and should be avoided.
How To Spot A DS-MAX Style MLM Scam Job Ad
By 6.18.07
Here are some of the qualities of a “business” operating under DS-MAX (now known as Innovage, though the same company owns both trademarks...) principles, an organization responsible for many complaints alleging scams, fraud, and general employee deprivation in a “sales-cult” atmosphere. [More]
Amway's Baaaaaaccck!
By 6.13.07
Like a sequel to a horror movie, the Amway brand name is bursting out of a shallow grave, reports ABCmoney:
The move also was widely viewed as a way of helping the company shed some of the negative connotations the Amway name had acquired. The Quixtar name, however, never resonated with the public.
Nu-Life Owns The Trademarks For Innovage AND DS-MAX
By 6.13.07
Nu-Life, the company so mad at us about “adversely” affecting its DS-MAX trademark, saying that old DS-MAX became Innovage and Nu-Life has nothing to do with the actions of old DS-MAX or new Innovage… [More]
Man Escapes Working For DS-MAX-esque Charity Scam, Lives To Blogs His Tale
By 6.12.07
A reader who used to work for Quantum Marketing, one of the “Aftermax” companies, (the term for companies that old DS-MAX (now known as Innovage) spawned), wrote several posts describing how his company scammed people who thought they were donating money to D.A.R.E.
DS-MAX Tries To Shut Down Our IDT-Energy Investigation
By 6.12.07
UPDATE: Nu-Life Owns The Trademarks For Innovage AND DS-MAX
While reporting the results of our undercover investigation into IDT-Energy through one of their marketing outfits, a battle waged in the background between us and the current owners of the DS-MAX trademark.
Consumerist Undercover At IDT Energy: Table Of Contents
By 6.12.07
In case you missed any of 7-part undercover report on IDT-Energy, Midtown Promotions, and the fabulous worlds of energy resale and multi-level-marketing, here’s a recap:
Consumerist Undercover At IDT Energy: The Confession
By 6.8.07
After only three days with Midtown Promotions, I could already tell that I’d wait weeks, maybe months or a full year before coming upon hard evidence of fraud, if I found any evidence at all. After leaving James and Doreen in the Bronx, I took the afternoon off and went to work on these diaries.
