The Sweet Smell Of Success Or A Rotten Odour?
Today I am going to dive into a company called Scentsy, which sells fragrances. If you have ever looked into operating a part-time or full-time business then companies such as Scentsy could have been one you came across.
If you are looking into Scentsy to earn extra income or even eventually quit your job and go full time, then you will definitely want to read right till the end. If you discover that Scentsy is not for you then don’t panic as I have a brilliant alternative. More on that later.
Quick Stats
- Name – Scentsy
- Website – www.scentsy.com
- Owners – Orville and Heidi Thompson
- Price – $100
- Overall Rating – 6 out of 10
What Is Scentsy
I have already touched on what products Scentsy sells, so let’s tell you more about the type of company they are. Scentsy is a direct selling company (multi-level-marketing). This means that they are regulated by the direct selling association.
They do not sell their products through Amazon, eBay or on the high street, but they could use consultants who get paid a commission based on sales volume. This is also known as network marketing as the consultants tend to sell to a network of friends, family, and acquaintances.
This business lends itself very well to people that are looking for some extra income. They can join as a consultant and work the business in their spare time.
If you want a more passive income stream then stay tuned as I will be showing you an alternative easier method of making money from home.
How Much Does A Scentsy Consultant Make
Before you join any business as a consultant the no1 question that is always asked is how much money can I make. In many cases you will find the answer to be as much as you like, there is no limit.
Although the answer is correct, in reality, making money through network marketing can be a lot of hard work, without much reward. Even people working for the top MLM companies struggle to earn anything near what was projected.
Let me show you what Scentsy has said about the pay structure.
The main commission is 20% and they even give you a slider to see how much you can earn, although I am not quite sure they have their sums correct, I set the slider to £1000 (I’m in the UK) and it is saying my potential earnings are £166 well 20% of 1000 has always been 200 is my work.
They obviously set their sites low with their consultants as £200 is nothing these days. although let’s be fair it’s better than saying tens of thousands as the potential when it clearly isn’t going to happen.
If you want more income scroll down to my alternative income source.
You can by referring to other consultants and meeting sales volume targets reach a maximum of 36% in commissions which is a bit more respectable. They do give more details in their compensation plan which you can find on their website should you wish to pursue the avenue.
However, I did have a look at the Scentsy income disclosure statement (2018) and as you can see the figures are not that great. The income figures are very low and the turnover of consultants is very high.
This only backs up my findings and people are finding it hard to earn any decent money for the work they are putting in. This is all too common in the multi-level marketing industry.
How Much Does It Cost To Become a Consultant
Becoming a consultant is very easy, all you have to do is purchase a starter kit. The cost of this is around $100 so I can see that this could be a very attractive proposition if you are looking to start a business from home.
Is Scentsy A Pyramid Scheme
Short answer YES, as to make any money you need to recruit others into the business, however, is it legal? YES as of writing this article Scentsy is operating in accordance with the DSA’s (Direct Selling Association) guidelines.
Although just like any business model the people at the top will always earn more than people climbing the ladder.
I must admit having been in a few network marketing companies this type of business only works if all your teamwork too.
Conclusion
Although Scentsy, is a young company that is still growing, I do struggling to see how consultants will make enough money to make it worth their while.
They have some amazing products which are all toxic free that people would buy, but you are completing against major retailers that sell similar products for less.
The figures and turnover of consultants only prove that you are only going to be earning a few extra dollars a month for a lot of work. In my opinion, there are better options for earning a full or part-time income online.
Let’s show you one right now!
My Alternative
I have used my alternative income stream for some years now. I am earning commissions every single month which is increasing steadily.
- You don’t need any products
- You don’t have to send any products
- You don’t have to meet or even speak with the customers
- I only work a few hours a week
- Most of the income is passive
- I don’t need to recruit anybody
- I don’t have sales targets
- My income is UNLIMITED
- Can be worked full or part-time
As you can see there are many advantages. My income stream is Affiliate Marketing.
Affiliate marketing is where you recommend products and services owned by others. When sales are made then the product owner will pay you a pre-agreed commission. You can recommend products from almost any niche, although the commission percentages can vary across these.
I would also recommend finding a great website where you can learn as you go. Fortunately, there is an amazing community online at Wealthy Affiliate which is where I help others start and build their online businesses.
Thank you for the awesome post! I have been talking to my wife and she has been interested in Scentsy for a while, though she has not actually signed up for it. To her, twenty percent sounded good and the started price does sound nice, like you said. However, she was not happy with the whole, making money by recruiting more people. I personally do affiliate marketing, like you, and find it much more fulfilling because I can do it based on my own passions.
Glad the post has helped your wife make an informed decision about Scentsy
Here this is a company that looks very closely to the pyramid scheme that we see out there. I cannot say that I have heard of Scentsy somewhere before because it sounds new to me but your review has shown me how it works. People need to read reviews before joining any platform. As with this one, it would be sad ib I had joined and found out that it is not going to be profitable.
Thanks John, indeed I would always recommend doing some research before joining any online business
i myself is never a big fan of MLM business model or the network marketing model. I am sure there is a good company out there with a good product and commission plan but unfortunately Scentsy is not one of them. Thank you so much for your review. I will be sure to warn my friends about this company.
Cheers!
Thanks for your opinion on Scentsy
Hello! I really like your website and your post. I like that you have an email boot camp, and I might take a look at it! I have been to a Scentsy party. They have nice stuff, but I couldn’t see how anyone can make money with that stuff in such a small town as ours. I figured it was an MLM, but I really didn’t get into any discussion about it. I’m glad you pointed out that it is an MLM. Glad I didn’t get into it. Anyway, great post, and I like your business approach. Best of luck to you! RhondaLeigh
Thanks, Rhonda good to know that their product range is good, but as you say could be difficult to actually make serious money with it.
Hi Martin thanks for the post on Scentsy. After reading your post I don’t think Scentsy is for me as I have tried the Pyramid scheme before and although there is some value in it they are seen as sketchy and have a bad reputation so it is hard to recruit people.
Your Alternative sounds much better.
Thanks Marc, Glad it has made your mind up for you. Indeed Affiliate Marketing is a better alternative in my book
hello Martin;
I find your publication interesting, indeed join the end of the month becomes an equation with many unknowns all the more with the crisis that governs the world, it is even more difficult to find a buisness structure online serious because too much ‘scams. my wife is working in cosmetics i will share this post with her and see if it’s possible to get started.
thank you for your clarification.
Thanks Moi glad it has helped you and your wife
Hi Martin, Thanks for sharing this post. You narrate here the comparison between MLM marketing and online affiliate marketing. Which is great! ‘Scentsy’ the new grown company seems good.
Glad to know that Scentsy is a legit company, not a scam. I do prefer mostly online affiliate marketing. Because people got tired to engage more people in their MLM business. On the other hand affiliate marketing is easier to stream your income from home. Your mentioned wealthy affiliate is a good platform to do online marketing. What would I get if start my online business from wealthy affiliate? Does wealthy affiliate have any training video or trainer where I can get solutions to my problem?
Thanks for dropping by, indeed I can relate to people not engaging with you in MLM. Wealthy Affiliate has a full university that can help you to success.
Hi Martin
I have heard of Scentsy before as a friend of mine has worked with them for over a year now. I see her constantly advertising on Facebook promoting their products. She just sees it as extra income as she still in her full time job!
It’s actually refreshing to see an MLM company not blatantly claiming you could earn X amount of money in the shortest amount of time. However, the income figures do question whether it’s really worth joining the company.
Thanks for the review
Teresa
Thanks for your comments Teresa it’s great to get a perspective from someone that has contacts within the company.
Thank you for your informative post on Scentsy! I was actually approached by someone recently about this opportunity and you confirmed my suspicions of it being a pyramid scheme. I agree with you that affiliate marketing is absolutely the better way to go. Wealthy Affiliates has been a great learning experience for me. I highly recommend upgrading to the Premium membership to take full advantage of the diverse community and excellent marketing resources that WA has to offer.
Thanks for your comments Stacy, indeed WA has an amazing premium membership for sure.