Facebook MLM Pyramid Schemes | VERY IMPORTANT DOCS³

100 thoughts on “Facebook MLM Pyramid Schemes | VERY IMPORTANT DOCS³

  1. When I was younger, I spent a couple months selling Rainbow vacuums. I immediately had suspicions mostly because it was a sales job with no base pay. We were lent the vacuum for free to try (they worked very very well) and were paid for every hot lead we found (lead that resulted in a sales pitch). Salespeople got $200 per sale up to a certain number then $500 beyond. However, the next level up made $100 per sale for everyone they signed on. I'm not sure the money split between levels beyond that (distributor and producer as far as they told us), but we sold them for $2400 over 12, 18, or 24 months. Also, you can't buy them directly, you have to buy them from an authorized distributor.

    After learning about MLM, I could tell that was what they were… but I also didn't disagree with how they did it. They paid people well, it wasn't hard to sell, you made money whether you sold or not so long as you convinced people to agree to a demo, you had to buy from a salesperson (which made sure they got paid as well as gave footpower to the manufacturer), and the product was literally best-in-class. I also noticed you didn't have them on your slide of MLM organizations.

    I've always wanted to shit on them. But I can't find any substantial evidence that they are a manipulative company. Of course, they are clearly capitalist but as far as capitalist companies go, I see them as one of the better and least manipulative organizations.

    Still though, if anybody has clear evidence (please source) or can explain why this is a more standard MLM, please let me know. I want to make sure my weird feeling isn't just disliking most of the distributor management (which I'm leaning toward).

  2. These people are the scum of the earth who mislead and blatantly lie about the truths of MLM. The truth is that you’re the person they’re selling something to, they sell it using the deep thoughts that we’ve always had about bring more successful then u currently are and just want someone to walk you through the process so u can be rich. It doesn’t matter what their product they wanna sell u, the product is irrelevant, they want as much money as possible as soon as they can and when it’s not all that u thought it was they’ll tell u it’s your fault and u should double down and buy more. Scam..

  3. I know about the dangers of this industry but this video taught me about empathy and compassion when looking at things.

  4. i remember Herbalife predating on students in my highschool selling them on being able to pay for college.

  5. The problem is that the MLM people have their whole life taken over by it. My mother was borderline harassed by her childhood friend constantly nagging her at nearly a daily basis to get her to join.
    Things got so bad that I had to step in and literally ruin their relationship to avoid going for a restraining order.

    In some cases you have no choice but to remove yourself from an MLM victim. And I hate it.
    It's our fucking for profit system overtaking every single aspect of one's life because they've been in a position where their condition has devolved into relying on praying on their friends and family.
    I'm literally seeing the humanity die off from humans to become part of the pursuit of a decent life. Something that should be available for all in a species that's supposed as advanced as ours.

  6. Hey Peter, great video. Just looking at the comments I can tell you're doing a lot of good. I recommend watching a program called The Check Out. It's an Australian tv show aimed at teaching people about things like this, as well as other scams and laws that protect consumers. It's very informative and funny.

  7. One of the best points this video has made is the question why this is not a feminist issue. These schemes prey on women that need more money but can't get a full-time job (maybe because they need to care for children, maybe because they have no professional experience whatsoever so they won't find the job that pays enough). At the beginning, they always tell the victim "be your own boss, work only in your spare time". There is also a race aspect to it, as in a video about Herbalife in the USA, it was said that the company prays on women from the Latin community

  8. I have watched a fair number of both right and left youtubers, but it seems only the leftist ones are willing to say some shit on their side is wrong. I am still afraid my perception might be influenced by my own past, but it just seems that the rightwing channels aren't at all interested in responding to anything, and are in fact invested in ignoring dissenting opinions. There was a video about SJWs responding to anti-SJWs and "why are they more interested in responding to us and not to proper issues". There were so many problems with that idea, but first of all: You describe yourself as "anti-SJW". What did you expect? Do I need to explain why that idea doesn't work?

  9. Extract surplus value from the working class while selling them the fake hope of becoming capitalists. Marx would have had a blast in 2018.

  10. hey question did you write out "The Marketplace of Ideas" in the same font as the Its Always Sunny title cards on purpose?

  11. I appreciate the last few minutes of your video. Helped me have more compassion for my friends and family that have been sucked in by various MLMs. I hope that they can realize it before they lose too much but I feel like I can’t tell them without possibly ruining the relationship.

  12. My advice…try everything in life. Don't not try stuff. Try as many things as you possibly can. In every area of life. Especially business. Because what they're not telling you is this…. to get a business going and making even lets say a part time in income. You'll need to try likely 100 things. So it doesn't matter what is is, what it's labeled, try it. That way you'll gain experience. And yes, 99% of those things you try will be bad, or not work out. Its' okay. If you get enough no's you'll find a yes.

  13. It's fascinating how much of this applies to Scientologists too. The "church" targets vulnerable people and promise to set them on a road to success, just to sell them a lot of shit and make them alienate people around them. Then, a lot of people (including myself, before) view them as an extension of the church, when they are actually victims of it.

  14. my sister got involved in a mlm scheme. she refuses to listen to anyone who gives her advice for anything so even though ive known about mlm schemes for about 2 years and details about why theyre bad (not just that theyll rip you off, stuff like the 5 warning signs) i didnt tell her about them cuz i knew she wouldnt quit even if i explained it. eventually she did get a normal job but not after being in that mlm scheme for around 3 years. luckily she was in a very financially stable situation so she was never in danger but she never earned any money and recruited a few people into the scheme.

    the main reason she got involved was cuz her husband was controlling, she wanted independence, she is naive, and she doesnt want to listen to anyone about anything even when theyre being really polite and gentle with their advice. these schemes seem really appealing to those who dont know better and so to my sister was a pretty easy target for them. thats not to say shes bad for getting involved. i can understand why she was and its fortunate she never was in any danger.

  15. MLM can mean a lot of things

    Multi level marketing
    Men loving men
    Marxist Leninist Maoist

  16. I've gotten really into MLM hating, and I really needed this more compassionate take that reminded me to see the people who buy in as victims, even if they get a little annoying. Thank you, Peter!

  17. I sell goods on eBay, and live on the excess of society. My ads always are MLM schemes, they prey on the most vulnerable people. They show themselves in lavish houses and cars.

  18. Who ever said socialist critique couldn't be truly compassionate? Well, lotta people. Wrong people.

  19. Someone tried to recruit me into a well known popular mlm company. Thankfully, I said no. Not really out of my having known better, but actually by being too shy to be able to push a product onto someone else. I’m not assertive enough to be a salesperson. Now that I’m less naive, I’m very grateful I wasn’t ensnared.

  20. Omg so true! People abandon all safety it’s insane! They add strangers online post pics of their children then show where they go to school their address and phone number and it’s like WOAH ARE YOU MENTALLY STABLE? You’re not only over exposing yourself you’re doing that to your kid’s, your niece, your elderly mom… Like WAKE UP! #STRANGERDANGER

  21. Very informative video. I have yet to hear an MLM drone say, "I'll take Piss In My Mouth for $800, Alex." LOL

  22. "Naive doesn't mean you are stupid, it just means you haven't got the information that you need". Thank-you Peter. Great video. I think there is a lot of people who want to lord it over other people that they feel are less than themselves cause of decisions that they have made under duress. Great information.

  23. I've definitely been that person, dismissively, and probably pretty dickishly telling friends and family that they're getting scammed and they're setting their money on fire with Lularoe, or Avon, or Partylite… and shockingly, when six months or a couple of years later they stop citing that they were losing money, I didn't really ingratiate myself to anyone saying I told them so, for obvious reasons.

    Somehow, I never thought of it as exploitation of their own hope by charlatans, but as was mentioned in the video, in a capitalist system that forces its transactional paradigm onto everything, I suppose I didn't have the intellectual tools to analyze it in that way.

    Thanks for the video, it was eye-opening. I feel like I need to go apologize to some friends for being an asshole several years ago.

  24. gang. Isnt a documentary on pyramid schematics! I want all of the dollars back!!

  25. I read the name of this video and i assumed facebook was exploiting men-loving-men. y'know in a bigger way that lgbtq ppl are exploited by capitalists in general.

  26. I liked and subscribed, but I couldn't donate because I'm currently overstocked on essential oils, protein shakes, and bath bombs… And now I'm off to the airport to make some sales.

  27. I've just realised my local Marxist/Leninist block is basically one of these. The irony is almost tangible

  28. I just block ppl now soon as they msg now , ever since my dad died from a major heart attack nd someone msgd me the trying sell me essential oils and they tried to say if my dad took them he'd probley be alive td basically

  29. Something like 95% of ppl loose money in MlMs nd like 0.5% really only make real money the other 4.5% make like 100 buck a month

  30. It's mostly women because they target moms in tough spots.

    My mom tried an MLM long ago for a short time when the family was struggling financially. She was a stay at home mom, my dad would do construction, so it wasn't like he'd be home to do any of this. It's mostly targeting people who are trying to bring in some additional money, at a time when they're desperate and probably not thinking straight.

    Most of these people would know what an MLM is in normal circumstances. But, if you're struggling and you're looking for any way out, you're more willing to be taken in by promises of help.

  31. It's even wrong to talk about it as if you'd statistically have a chance as the 0.06% are not participants but those who set up this pyramid scam.

  32. I’ve never seen any of your videos before and wasn’t sure I’d learn anything new about MLMs. And frankly, I didn’t learn anything new about MLMs. But, perhaps far more importantly, I’m leaving with a new way of viewing the hun bots. Your reminder that they’re real people with real struggles who may not have been well informed going in was a bit of a kick in the pants. I also realized that if I was uneducated about these scams, I could have so easily been a victim. I’m the perfect target for them- disabled and poor as shit. Thanks for reminding me that a bit of education is the only difference between me and them.

  33. casually rolling an advert for training MLM marketers to "stop their daily nightmares" on this video.

  34. The uncanny ability of YouTube to literally attach exactly the kind of shit you are talking about as ads on every single video never ceases to amaze me.

  35. It really makes you think about all of those r/MLM comedic readings. I feel like a heel for enjoying them so much.

  36. Pyramid and Ponzi schemes are leageal in Russia, as long as whoever is running it tells everyone that it is a pyramid or Ponzi scheme.

  37. I got an ad for a service to teach people how to succeed at MLM sales on this video. I really wasn’t sure if it was part of the video until skipping it. The worst inception.

  38. the only person I know who was in a pyramid scheme, was also the only facebook friend I have who is right wing. I can't help but feel that there's a link there. Isn't the right wing one big pyramid scheme?

  39. I got into Mary Kay pre-internet. I realized fairly quickly that I don't like selling. I could afford to take the loss financially (or I wouldn't have even tried it in the first place). At the time, some of the cosmetics actually were better than what you could get at a drug store, but not better than what you'd find in a department store. I think what turned me off the most was the recruiting aspect. It didn't really make sense to me. If you are selling products, why would you want to recruit others to sell the same products and then be competition for you?

    In this day of being able to easily buy on the internet, it makes absolutely no sense to continue to have companies that have this kind of model, except that's actually how the companies make most of their money. I had someone try to recruit me to Amway and Avon. With Avon, you can go directly to their website and buy. So not only is the company still utilizing their old model of 'independent sellers', but they are also directly in competition with their independent sellers. What?

    Thanks for making this video. I will be utilizing it the next time anyone tries to recruit me or I hear someone is thinking about joining one of the schemes. I certainly didn't know the tactic impacted women at much higher rates.

  40. I never realized MLM was this big of a deal to be honest. I've seen the facebook posts, even had a few family members and acquaintances from school involved but I never thought much of it. This has definitely been informative.

  41. I was hoping you would talk about how MLM also changes a person's nature. In general, I don't see how people can wake up from it, the more natural conclusion once in a scheme is that one needs to be ruthless, treat all relationships as exchanges, nothing more. I have seen it change a person; they either falls deeper into a financial hole, or they sustain it by becoming a different person. I have tried the blunt truth approach and ended up not speaking to a person for 10 years and the patience approach and ended up watching them falling deeper into the rabbit hole.

  42. MLM ad on this video (hidden behind a free book giveaway).

    I always click on these ads. Better the advertisers drain their coffers on me, than reach vulnerable people.

  43. As a Marxist-Leninist-Maoist, I resent all this hate against MLMs. We really are nice people, once you get to know us!

  44. Okay weird comment but you see those sheep at 9:57?

    I'm pretty sure I know those sheep. It's near my friend's dad's farm, and I spent a lot of time there as a kid. Wild to just randomly see it in a youtube political video.

  45. An ex girlfriend of mine has been totally taken over by an MLM. She has also become a rabid anti-vaxxer. The scary part is how many people she has gotten to go along with her dangerous philosophy.

  46. I found myself outright ignoring these individuals in the past… Just.. Dismissing them as a rational adult. I think I assumed in some way they made the choice to 'rip off' those close to them. At-least now, in retrospect I think that's what I thought…
    From someone with little empathy towards adults (in the realm of "money"), thanks for showing me how to be compassionate on a topic like this.
    I will be formulating a way to broach the topic over the next few days and discussing the issue with them in a different light…

  47. am I the only one who saw "mlm", thought "what? gay pyramid scheme?", and subsequently got VERY confused?

  48. Blessed vid. I have an old friend who's been through every MLM under the sun. Trying to get the nerve up to talk to her about it.
    New fan and loving all your vids, but I REALLY like this one.

  49. A friend of mine recently got sucked into one of these. I recognised it immediately because a couple years previous I was sucked in by a different one. I believed so hard that if I just worked CONSTANTLY I could make decent money, but by the end of it I was minus money. My fiance tried warning me but I was convinced I could do it. My mum told me afterwards that she knew I was making a mistake, but it was one I had to discover for myself. (She was a former Avon rep!)
    It's a horrible thing to see a loved one go through, but the best thing you can do for them is just be comforting when it all comes crashing down. And reassure them it's not their fault for getting sucked in.

  50. There are a lot of companies that are MLMish that have good products, services and compensation plans….but there's also so many bad companies out there that it can be difficult to separate the wheat from the chaff.

    I personally know a guy who has built a business around Isagenix products who does around $300K a year in recurring revenue, but he only got there because he believed in the products and saw results from the people who followed his plan. He's a natural problem solver and a fitness / weight loss fanatic who actually lost weight and fixed his health issue by basing his diet around the different shakes and foods.

  51. I agree that women are targeted by manipulating their sense of guilt for not "staying home". I lost friends to MLMs… I thought I was invited to party but it was a "product party" . Sad! I bought overpriced household cleaning product from a friend once…BTW, the whole recruitment scheme is a geometric progression: the population of the world is around 7 billion, you exceed that in 13 lines. Feel free to check the math: http://www.themlmfile.com.au/geopro.htm

  52. I got involved with one, Cutco. It seemed more legit bc it said they'd pay you for each sales pitch, even if you didn't sell anything. But you weren't allowed to advertise for sales pitches anywhere, just had to find people. I wasn't well connected, and so I couldn't get sales pitches lined up, and the guy above me kept calling me incessantly about it, so I eventually blocked him and said fuck this shit after like… One weekend of it lol

    But I still paid $95 on a sales kit while unemployed. Which hurt my finances.

    My step sister recruited me, on Facebook. She wasn't a salesperson, she was a secretary/administrative assistant to one of the higher ups. And I went to a job interview and everything, it all felt legit. Until I got more info about how it all worked, and was getting hounded by the guy above me.

    I'd never heard of pyramid schemes before that but a friend informed me and I was like "wtf that's… That's exactly… Fucks sakes"

    And the thing is? I'd also realized that other times previously in my life I'd turned down other pyramid schemes/mlm bullshit.

    Some are just real sneaky.

    [It also didn't help that Cutco sells good quality stuff for decent prices compared to stuff on the market and has a lifetime warranty, so that also adds legitimacy. Like I kept the stuff from the kit and it's been years of using it regularly and it's still in top shape. I'd be a loyal customer if they weren't such a skeezy business.]

  53. I actually like the inflatable dancers 🤣 Hilarious outfit btw.

  54. Literally no one I know well does this to me. I see this shit from others though.

  55. Scared me for a min 🤣🤣🤣 i got a feeling is literally one of the most god awful songs ever!!!

  56. Honestly I couldn't get a job before mlm type stuff then suddenly I had something on my CV.
    So it kind of did me a favour financially long term…

  57. I almost got sucked into an MLM and I relate to just about everything you said about us. I was a disenfranchised person who desperately wants to break free from the struggles within capitalism. Fortunately, I saw some videos that helped me understand that it was wrong and got out before I was suckered into actually paying any money.

  58. I had an uncle get into MLM after he retired. He is a retired telecom engineer. He wasn't desperate for money or anything, he's quite well off financially, but I never understood how someone with a masters degree in mathematics could get snookered by such a scheme. The company was Melaluca and they sold shampoo and body wash. The shampoo and wash sucked, it wouldn't lather and you hair was still greasy and oily after use.

  59. As someone used being victim blamed (by people who clearly don’t know any better), I think it’s very helpful to explain how this can be harmful. Especially in this context, where people get scammed trying to make their lives better, which is something that happens to many people even if they don’t fall victim to MLM scams. It’s also important to realize that we ourselves may be guilty of doing it and it’s something that’s not helpful.

  60. 11:48 “the direct selling association, the ‘totally not lobby’ of the mlm industry, release a facts sheet every single year. and the most recent one, 2015…”

    fucking cracked at this, but it’s also a small detail that shows how shitty these corporations are. peter’s always smacking us with that fresh knowledge in a hilarious way 👌

  61. I really liked the empathy this had for those drawn into MLMs, and how it is important not to talk down to them, because no on wants to feel like an idiot. There is a sad case that it makes some of them feel better, while they may have even depressed before, but they are victims to it at the same time.

  62. You have done the most incredible job by dedicating the most time in this video to arguably the most important issue. I am so thankful for watching this today.

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