If you have not heard yet, Vemma which sells Energy Drinks, Nutritional Beverages and Weight Management Products was recently in the news.
It wasn’t GOOD news either! Vemma has been accused of targeting college students and operating an illegal pyramid.
As a professional network marketer I have made it my mission to teach new and inexperienced network marketers in ALL companies how to properly promote their businesses. NOT to flash money, NOT to make FALSE income claims but to instead LEAD with the product, benefits and services and how the membership / company adds more VALUE to your life then the cost of it.
Unfortunately Vemma is not the only network marketing company that has representatives running a muck. Just go on any social media site, Facebook, Twitter, Google Plus, etc. and you will see newbies to the industry spamming their business all over the place.
NOTE: Are you an inexperienced network marketer spamming your business all over your friends Facebook and Instagram walls? Read this post “The quickest way to lose your Real and Facebook friends” before you advertise on Facebook.
Vemma in the news
Here is the actual Today News Article on Vemma I was referring to earlier.
NOTE: To get their “facts” a young producer for the Rossen Reports team went undercover, wearing hidden cameras to meet with JD Park, a top salesman in the company.
After the undercover producer completed his assignment, Jeff Rossen (NBC news reporter) introduced himself and asked JD Park some follow up questions about the accusations…
The way you were describing it, you weren’t telling her to go sell a drink; you were telling her to go sign up some friends and make money, and those friends make money if they sign up friends.” Rossen
“Buying product,” Park said.
“That sounds a little like it [a pyramid scheme], doesn’t it?” Rossen said.
“Well yes, but it’s not an illegal pyramid scheme,” Park said. “It’s a direct selling, direct marketing company.”
“Is it shaped like a pyramid?” Rossen asked.
“It is shaped like a pyramid, yes,” Park said.
“But you’re saying it’s not an illegal pyramid scheme?” Rossen asked.
“It’s not an illegal pyramid scheme,” Park said.”
Is The Problem Vemma?
What I really want to point out in this report about Vemma is two things:
1. How this network marketer’s tactics can get you in trouble.
2. How the reporter demonstrated his lack of understanding about network marking and the direct sales industry.
Unfortunately this so called “Vemma top salesman” did not know how to appropriately respond to the questions he was asked. The shape of a network marketing company’s compensation plan/pay structure does not make it an illegal pyramid.
For a more thorough understanding of Ponzi Schemes and Illegal Pyramids, just check out, “Everything You Need To Know About A Pyramid Scheme.“
You see, as a network marketer if you don’t lead with the product you subject yourself to this type of scrutiny and bring your company into a negative spotlight.
Do you have to recruit (sponsor) people to maximize the compensation plan of most network marketing companies?
The answer is YES!
But your enthusiasm about the product or service that you are promoting should be your primary method for encouraging new people to join your team, not how much money they will make by recruiting others.
This reporter, Jeff Rossen, asked some ignorant questions like, “Is it shaped like a pyramid?”
Really?
Our job as professional network marketers is to educate our selves FIRST then help educate others on our team and within our industry. This is the only way we can stop the madness!
Hopefully Vemma can recover from this negative report.
I never have an issue with Vemma or any network marketing company that has a viable product or service BUT we as network marketing professionals have an obligation to ethically promote our business.
If you would like to learn how to sponsor and recruit people into your business the right way then click here for a free 7 video training series on attraction marketing.
To Your Success!
Your comments are welcomed below, if you are a Vemma affiliate please share your thoughts on Vemma and this NBC news report.
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