Beachbody Scam: Pyramid Scheme or MLM? [Review]

Have you ever heard of Beachbody? If you’re into fitness, you may have come across this MLM company that offers workout and diet programs. Maybe a friend or family member has already introduced you to it.

Nowadays, more and more people are on the lookout for additional sources of income, and you might be one of them. If that’s the case, you might have considered joining Beachbody as one of their independent distributors. But before you make a decision, let me give you an honest review of the company.

As an online entrepreneur, I have reviewed many similar online opportunities over the years. So I can tell you what you need to know.

To be clear, I’m not affiliated with Beachbody, so you can trust that I’m not being paid to say anything good or bad about it.

In this review, I’ll also share the best alternative to the Beachbody MLM program that has helped me earn a full-time passive income online.

What is Beachbody?

Beachbody, founded by Carl Daikeler and Jon Congdon in Santa Monica, California in 1998, is a company that provides a range of health and wellness products. Their products include meal replacement shakes, protein powders, and supplements. The company is responsible for the development of INSANITY and P90X fitness programs, which have garnered a lot of attention in the fitness industry.

One of Beachbody’s most popular products is Shakeology. These shakes, available in chocolate and café flavors, are designed to keep you feeling full between meals with their “superfood-rich” ingredients. While it’s not clear if they actually taste like chocolate and café, Shakeology has gained a lot of popularity among consumers.

Beachbody started as a company that relied heavily on traditional advertising strategies like late-night infomercials to promote their products. However, after eight years in the industry, they saw the potential in multi-level marketing and created Team Beachbody, their MLM arm. Team Beachbody now has over 450,000 independent distributors, or “Beachbody Coaches,” who sell Beachbody’s shakes and workout programs around the world.

Beachbody On Demand is another offering from the company, which gives subscribers access to fitness videos on multiple devices. The premise of Beachbody On Demand is that you complete the programs with the help of a dedicated Beachbody “coach.” These coaches keep you accountable, motivated, and answer any questions you may have about healthy eating and exercise to keep you on track towards your goals.

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What Products Does Beachbody Offer?

Beachbody is famous for its effective exercise plans, including Insanity, P90X, 80 Day Obsession, Body Beast, and Shift Shop. But that’s not all! Beachbody also offers a line of performance supplements such as Energize, Hydrate, Recover, Recharge, and Shakeology.

You can choose which products you want to use to create your own customized workout routines. Beachbody provides a variety of approaches to assist with goal-setting and selecting the best product bundle.

One of the most popular items sold by Beachbody is their own creation, Shakeology. This shake is packed with adaptogens, anti-oxidants, probiotics, and protein to help you achieve your fitness goals.

With numerous raving customer reviews, it’s clear that Beachbody offers reliable and high-quality products.

Is Beachbody An MLM?

Yes, Beachbody is an MLM. This type of company is also called a network or direct sales business. Basically, after you become a member of Beachbody’s MLM program, you’ll be an independent distributor of their products and won’t receive a fixed salary. Instead, you’ll have to build your own business by selling Beachbody products and recruiting new members.

However, it’s important to note that making a good income by selling their products alone is unlikely. Like most MLM programs, your earnings will depend on the number of people you recruit to work under you. You’ll receive a commission based on their sales and the new recruits they generate, creating a complex structure known as a “multi-level” system.

To put it in simpler terms, imagine a triangle where everyone in the downline beneath you will earn you a commission. So, if the person at the top of the triangle recruits ten people, and each of those ten recruits ten more, you’ll earn commissions from everyone in the triangle. With just 10 people in your downline, you could make $1100.

Many people in MLMs prefer to earn a lifetime passive income from recruiting others rather than a one-time commission from selling products, even if the company offers a wide range of products.

Keep in mind that the more people you have in your downline, the better your chances of success in a multi-level marketing company like Beachbody. However, it’s worth noting that those at the top of the triangle tend to have the most financial success, while those at the base have the least.

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Is Beachbody A Pyramid Scheme?

No, Beachbody is not a pyramid scheme. It is a legitimate MLM (multi-level marketing) company that offers its members an opportunity to make money by selling their products. Unlike pyramid schemes, Beachbody does not solely rely on recruitment to generate income for its members.

So, what exactly is a pyramid scheme? Pyramid schemes operate by enticing people to join their network by promising monetary rewards or services in exchange for recruiting others. The scheme is unsustainable and often a scam, as members at the bottom end up losing money. In order to join a pyramid scheme, one must pay a membership fee to the company that runs it. The company then shares a portion of the funds raised from each additional member they recruit as a reward.

However, the only people who profit from pyramid schemes are those at the top of the pyramid – the directors of the company. They receive a portion of the payments from every newly recruited member, making it profitable only for them. Pyramid schemes rely solely on recruiting new members and soliciting money from current members, without actually selling any valuable goods or services.

Pyramid schemes are destined to fail as they would have to keep growing infinitely to make money for everyone who participates. This is impossible due to the finite population of the planet. The scheme will collapse if there are no new recruits or other sources of income. Since the majority of members are at the lowest level of the pyramid, most of them will lose their money.

An example of a pyramid scheme is Vemma, a producer of energy and weight loss drinks. In August 2015, the FTC accused Vemma of operating a pyramid scheme that paid more to recruit new members than to sell products. New members, usually college students and young people, were required to pay $600 for starter packages and hundreds more for monthly products. According to the FTC, the majority of participants lost money.

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Is Beachbody a Scam?

No, Beachbody is not a scam. Legally speaking, I can’t say that it is. According to the Oxford Living Dictionary, a scam is defined as “a dishonest scheme; a fraud.”

Now, let’s get to the real question: can you actually make money selling Beachbody products? The truth is, most Beachbody reps don’t earn any money at all. However, there are a few people who have made money from it, but it does require a lot of effort. And, typically, the way they make a lot of money from Beachbody is by aggressively recruiting others.

It’s also worth noting that Beachbody has been known to make disingenuous and irresponsible marketing claims to lure in new members. Because of this, some people consider Beachbody to be a MLM (multi-level marketing) scam.

How to Make Money With Beachbody?

If you’re a member of Beachbody On Demand, you already know that they offer amazing workout programs and nutritional products to help you reach your health goals. But did you know that you can also earn some extra cash by promoting their products and recruiting others into your business?

As an official Beachbody distributor, you have the opportunity to earn commissions on product sales and other bonuses. There are three different levels of Beachbody trainers you can be: Discount Coaches, Hobby Coaches, and Full-time or Business-Builders.

Discount Coaches are people who just want a product discount and aren’t interested in coaching others. Hobby Coaches sign up for coaching to make a little extra money while promoting and selling products. Full-time or Business-Builders are those who are serious about working from home, becoming financially independent, and motivating others to do the same.

To make money with Beachbody, you need to build two distinct lines of downline salespeople. These downlines will earn you Balanced Volume Points, which are the currency of the Beachbody network marketing business. You’ll need these points for cash outs.

When you complete a cycle with 200 points on your strong leg and 100 points on your weak leg, you’ll be rewarded with $14 to $18. It may take some time to build up your downlines and earn these points, but with some hard work and dedication, it’s definitely possible.

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How Much Does It Cost To Join Beachbody?

If you’re curious about the cost of becoming a member of Team Beachbody, we’ve got you covered. You can join for just $39 for three months, and you’ll get a free two-week trial to test the waters before you commit. Once you’re a member, you can choose from any of the services offered by the company.

If you’re looking for a longer commitment, you can sign up for a one-year membership for $99, which comes with a 30-day money-back guarantee. Or, if you want something in between, a six-month membership is available for $59 and includes a 14-day money-back guarantee.

Now, let’s clear up a common misconception. Despite the name “Team Beachbody Coach,” this isn’t about planning your next beach vacation. You won’t be joining the ranks of YouTube’s personal trainers. Instead, you’ll be selling weight-loss aids manufactured by Beachbody.

Pros and Cons of Joining Beachbody

Pros:

• Beachbody is a reliable company that delivers what it promises.
• You can try it out for free before making a commitment, which is great.
• Beachbody takes good care of its customers and provides helpful support.

Cons:

• Although there is a free trial, you will need to pay to continue using it.
• Some users have reported receiving spam messages on social media sites from Beachbody.
• The startup and monthly costs can be quite high, which may not be suitable for everyone.

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Why I Don’t Recommend Joining Beachbody MLM Program

Customer Complaints

Beachbody has received a significant number of customer complaints. Many of these complaints are related to the products and services offered. For example, according to customer reviews on Trustpilot, Beachbody’s products did not provide the promised benefits. Some customers have reported trying Beachbody’s Shakeology for a month but not noticing any difference. Furthermore, trying to get a refund under the money-back guarantee and cancel a membership can be challenging. Customers have complained of being billed for the next month with no refund. These complaints can make it difficult to sell Beachbody products as a sales representative.

 

Difficult to Make Money

It can be challenging to make money with an MLM company like Beachbody. Statistics show that between 72.5 percent to 99.9 percent of MLM members lose money. This is because MLMs have sales quotas that require members to continue selling products to remain active and eligible for commissions. If the quotas are not met, members will not be paid. Unfortunately, many members lose a significant amount of money before even recruiting one person into the company.

Reframing Losses as Investments

Another drawback of Beachbody’s MLM program is that uplines often reframe their financial losses as ‘investments’ in their business to keep their reps in the MLM scheme. However, these are not true investments, as the likelihood of getting the money back is low. In most cases, the return on “investment” is negative. It is unfair to refer to these losses as investments, and it can be misleading to reps who are looking for financial freedom.

The Cult-Like Company Culture

One of the biggest issues with MLMs like Team Beachbody is their cult-like company culture. Critical thinking is often discouraged, and representatives are expected to maintain a “this company is amazing” mindset. 

If you ask questions that deviate from this mindset, you may be chastised or even isolated. MLMs like to isolate their representatives from anyone who questions their involvement, similar to how abusive partners behave. If you decide to leave an MLM, you may be labeled as a failure or a bad influence, and other reps may be instructed not to contact you. Losing contact with people who were once like family can be a devastating experience for former MLM representatives. 

Plus, MLMs often expect their representatives to prioritize their events and business over their personal lives, which can further isolate them from their loved ones.

You May Need to Purchase Beachbody Products Yourself

If you don’t have a large network of friends, family, or neighbors, you may have to buy products yourself each month. It’s not a winning strategy for your finances. It seems ridiculous that you have to buy the products you’re trying to sell, but this is common in MLMs like Beachbody. In the long run, you’re going to lose a lot of money, which makes it hard to make money in the first place.

Beachbody Products are Overpriced

Beachbody products are also overpriced compared to other brands that offer similar products at lower prices. This can make it difficult to sell Beachbody products to your prospects. Most people who join MLMs end up focusing on recruitment instead of selling actual products because of this reason.

Distribution of Commissions Skews Towards the Top

One of the major drawbacks of Beachbody’s MLM business model is that the majority of those in the top tier make the most money, while those at the bottom may not even break even after a few months. This can be discouraging for new distributors who are just starting out.

Exaggerated Claims of Income

Like any other MLM company, Beachbody makes exaggerated income claims, but in reality, very few people make a good living by promoting Beachbody. The low retention rate of less than 41% of its distributors being active can also be discouraging. According to Beachbody’s payouts to distributors, over 99% of Beachbody distributors never make a profit.

Recruiting is Required to Succeed

Beachbody puts a lot of effort into recruiting, and eight out of ten ways to earn money with Beachbody require recruiting. If you don’t recruit, you may end up losing money.

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Final Verdict

If you’re considering joining the Beachbody MLM program to make some extra cash, you might want to reconsider. I think it’s not worth it.

First of all, getting started can be tough. Finding people to add to your downline and earn commissions isn’t easy. You’ll probably end up having to pester your friends and family to join, which isn’t much fun.

Even if you manage to recruit people, you’ll still face pressure from your upline to buy Business Support Materials. This can be frustrating, especially if you’re struggling to make sales.

To make matters worse, statistics show that most people who join MLM programs end up losing money. In fact, a case study on the FTC’s website found that 99% of MLM participants break even or lose money.

It’s no wonder that people feel under pressure to succeed and often end up leaving these types of businesses.

If you want to make money and have a flexible schedule, why not consider starting your own online business? You’ll have the freedom to choose what you promote and how you promote it.

In the next section, I’ll show you how to build an online business in a legit way that can generate passive income. This is how I’ve been able to make a full-time income in just a year. Unlike MLM models, it’s 100% legit and sustainable.

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Is There a Better Way to Make Money Online?

Starting an online business can be overwhelming, especially if you’re new to affiliate marketing. That’s why I want to introduce you to Wealthy Affiliate – my #1 recommended platform for building a successful online business.

Unlike Team Beachbody, a Beachbody MLM program that may not be the best fit for beginners, Wealthy Affiliate is an all-in-one platform that provides you with everything you need to create a profitable affiliate marketing business from scratch.

When you join Wealthy Affiliate, you’ll have access to top-quality web hosting services, keyword research tools, a supportive community, comprehensive training, writing tools, and other software that can help you build your business step-by-step.

The best part? You can sign up for a free Wealthy Affiliate account and start your affiliate marketing journey right away, without spending a penny. If you love the platform, you can upgrade to the premium membership and get access to everything Wealthy Affiliate has to offer. And, there are no upsells to worry about later on.

You may read our article about the difference between MLM and affiliate marketing.

But, you might be wondering, how much money can you make with Wealthy Affiliate? Well, let me tell you about a 21-year-old student who earned $7,395 in just one week by applying what he learned on the platform.

You can read our full review of Wealthy Affiliate here.

Wealthy Affiliate has been around for 15 years and boasts more than a million members. There are countless success stories from its members that prove its effectiveness.

The pricing scheme for Wealthy Affiliate is simple: there’s a free membership and a premium membership that costs $49 per month or $395 per year. As a free member, you’ll have access to the community, live chat, over 500 training modules, 2 classrooms, networking, commenting, 1 free website, and the keyword tool. You can enjoy all these benefits without paying anything.

So, why not give Wealthy Affiliate a try? Sign up for a free account today (no credit card required), and see for yourself how it can help you build a profitable online business.

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