Op-Ed: MLMs are Ruining the Lives of Young Women
- Charlee Douglas
- May 6, 2021
- 3 min read
Updated: Dec 7, 2023
*My last article for my Spring 2021 feature writing class*
Becoming a so-called "Girlboss" is not always what we think it is.
So you receive a call or email about someone who has recommended you for a job that you have not spoken to in years. How did they get my number? The last time I spoke to this person was my high school graduation.
As if women did not already have enough to worry about. Now, we are given a false narrative into becoming a successful business woman or “#GirlBoss,” when we are actually being scammed.
Multi-level marketing, also known as MLMS or pyramid schemes, have been around for years now, but have dramatically increased during the pandemic. But the audience that MLMs are targeting is the most concerning: young women.
MLMs are businesses that distribute products through different channels, mostly sales representatives that sell the product and recruit other people as well.
But here’s the catch, you have to buy the products initially in order to sell them to potential customers, and your profits are based on the amount of products you sell.
According to a statement by MLM skincare and haircare company, Monat on their USA 2019 Income Disclosure Statement, “Your success will depend on how well you exercise these qualities.”
During a time of crisis and financial instability, many women in particular, have been victims of MLMs and being lured into being a Girlboss. MLMs are known to thrive in this type of distress where everyone is looking to make a quick buck.
It’s no wonder companies like Avon, CutCo, or Mary Kay have reached out to young women in the midst of a pandemic. Everyone is at home and why not continue to target women as if we are not already disproportionately impacted by the pandemic, right?
Hustle culture and capitalism are ruining the quality of life for young women. We are told to be constantly being productive as if we do not have enough things to worry about.
We are told to “prioritize our money” rather than prioritizing our well-being.
Hustle culture is to blame for the rise of MLMs and why the recruitment tends to increase, especially over the pandemic. The strategy of these companies is to reach out to women looking to make money, quickly.
I am pretty sure that it’s not so encouraging to wake up and see someone post on their Instagram story about “building an empire” everyday. In addition to talking down on someone for not taking enough risks to make money, in a pandemic.
The mental toll that this can have over women, especially over the past year, can lower self-esteem and feel like we are not being productive enough.
Are we surprised at the way capitalism has had a hold on Americans? Isn’t that why most states got rid of restrictions so early because of business and money?
Although people are making money this way during the pandemic now, it’s not actually a job with longevity. According to the Federal Trade Commission, 99% of MLM participants lose money, while only 1% are actually earning profit. Even being in the 1% at some MLM companies, you are still most likely to lose $1,000 per year.
Pew Research Center for Social and Demographic Trends found that in 2012, stay-at-home mothers rose up to 29%. Being a stay-at-home mother has both pros and cons, which can include sadness, social isolation, or a desire to get back to work.
MLM companies tactics include sounding good to people, especially women, who are most vulnerable and have financial insecurity.
According to Monat, the 93.54% of sales representatives earn an annual average of $119, while the top 0.01% of senior executive directors earn an annual average of $1,026,853.
So does Monat’s explanation of “your success will depend on how well you exercise these qualities” still apply to this? Is this was being a #GirlBoss is?
Most people’s experiences with MLMs involve being in this 93.54%, but barely see a dime.
There are possibilities of people reaching the 1%, but the amount of work you would need to put in for an MLM company is unhealthy and is built of the the toxicity of hustle culture and capitalism.
People do realize their potential in becoming business owners and establish generational wealth throughout their lives with MLM experience. But hustle culture has become an obsession and the idea of becoming a “Girlboss” is not always what we think it is.
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