iBuumerang is an MLM company that offers up to 70% discount on air travel, accommodation and other travel-related services. It is not a pyramid scheme, and it is one of the legit MLM companies.
There is a good chance that you heard about iBuumerang through someone – a friend or family member.
Many people these days are looking for additional income, and you are most likely one of them. There was then an opportunity to work from home by joining iBuumerang as one of their independent distributors.
However, as I’ll discuss in this review, there are some reasons why success with iBuumerang is unlikely. Experienced salespeople and well-funded recruiters are the only ones I can think of to have real success with this MLM program.
As a disclaimer, I’m not affiliated with iBuumerang. It means I’m not paid to write this review. So you can rest assured that you will get an honest and unbiased review from me.
At the end of this review, I’ll also tell you the best alternative to the iBuumerang MLM program that has enabled me to make a full-time passive income online.
What Is IBuumerang?
Members of iBuumerang, a multi-level marketing (MLM) company that uses a travel booking platform to provide members with travel savings and even a means to generate money, can join the company at no cost. The company was founded in March 2019 by CEO Holton Buggs, President David Manning of XStream Travel, and VP of business development Terrance Gray.
They are similar to another Houston-based travel company that faces similar challenges but on a larger scale.
iBuumerang helps customers save money on trips while also earning money, and while the company has its own problems (albeit smaller ones than NASA), this is a vital service.
It’s not rocket science, really…
You can save up to 70% on your next trip when you sign up for iBuumerang and invite your friends to the website. This is called a “boomerang” invitation.
As you might guess, if they make a reservation through your website, you will receive compensation.
You have to admit that it’s appealing on paper.
Before you make any hasty choices, I’ll explain the catch.
iBuumerang is able to provide these unbelievable discounts thanks to their partnership with Xstream, a travel provider that is familiar with the MLM business structure.
CEO David Manning has extensive experience with other travel MLMs, which he plans to put to use in his current role at Xstream. Paycation, Traverus Global, and The Vacation Network are just a few.
To what extent does it matter?
There are no longer any companies of this type operating.
However, there are encouraging indicators. They have worked with companies like Royal Caribbean, Carnival, Delta Airlines, and Funjet.
They provide group travel services ranging from hotel blocks to cruises.
It would appear that others are enthusiastic about this possibility as well…
Actually, iBuumerang had thousands of signups on its first day…
And the company made over $20 million in sales in just under six months!
Many people, it seems, are motivated by the desire to make money while also helping others realize their travel goals.
Is it too late to take advantage of this business opportunity, though?
In a moment, I’ll get to that.
First, though, let’s get to know Holton Buggs a bit better.
Who Is Holton Buggs?
Holton Buggs leads iBuumerang as its president and CEO. He’s a seasoned multi-level marketer who’s most well-known for his time with the Organo Gold coffee MLM.
I wish I could give you more background on the company, but I don’t.
And to think, they didn’t even exist until March of this year.
A list of their corporate staff members is provided below, however.
- Lori Speers — Director of Travel Services
- David Manning — President and CEO of Xstream Travel
- Mark Kithcart — Marketing Vice President
- Terrance Gray “T.Gray” — Development Vice President
- Peter Hirsch — Chief Giving Officer of the Büüm Foundation
Here’s the thing, though: the CEO and their past reveal a great deal about the company…
Holton Buggs entered this world on September 26, 1972, in Tampa, Florida.
He was raised by his single mother in a poor family. As a result of witnessing their plight, he was inspired to make a positive change in the world through business.
At the age of 14, he decided to sell candy to the neighborhood kids in order to make some spending money.
Right then and there, Buggs understood…
He was the first to recognize the value of using leverage.
He learned that if he bought candy in bulk, he could enlist the aid of his pals in reselling it. Facilitating his earning potential without requiring him to personally undertake every step of the process.
Wow, what a bright youngster.
Among other inducements, he offered free haircuts if they would agree to sell for him without compensation.
His wife, Earlene Buggs, was actually one of the 12 people he enlisted to help him.
This is to say,
Holton Buggs’ multi-level-marketing (MLM) career kicked off when he was quite young, but its financial success wouldn’t be realized for almost a decade.
Like any other high school student, he put in a lot of time and effort into sports in order to obtain a football scholarship to Texas Southern University. His goal after that was to make it to the NFL.
Until something out of the ordinary occurred…
Unfortunately for Buggs, a leg injury effectively ended his NFL career.
He was not deterred, however; rather, he doubled down on his pursuit of an engineering degree.
And then the pieces began to fit together.
He was first exposed to the multilevel marketing business model at a networking event to which he had been invited.
The event’s speakers left him feeling motivated and encouraged. He was really feeling it. Although he would eventually reap the rewards of passive income, he would have to wait.
He quickly came to the conclusion that a career in engineering would never provide adequately for his family.
Therefore, he did what any sane individual would have done. In 1996, he struck out on his own to start a company that would produce furniture.
The business had to be shut down due to the economic downturn.
When he was 27, he experienced some of the worst times of his life. His wife has foreclosed on their home, he has a $2500 credit card balance, and his Lexus was taken away.
It was a friend, however, who introduced him to multi-level marketing, and this was the turning point in his life.
After giving network marketing his all, Buggs quickly raked in six figures.
However, he began to run into difficulties once again, just like any budding entrepreneur.
His employer, CyberWize, was a multi-level marketing firm focused on the nutritional supplement industry that generated revenue primarily through online marketing and employee recruitment.
He eventually quit and started working for the MLM firm YTB (Your Travel Biz). How familiar is this to you?
With the help of Holton Buggs and Edwin Haynes, the “Your Travel Biz” distribution team was finally assembled in 2008.
In the end, Holton Buggs left Your Travel Biz, and the business failed. It seemed like every week there was a new lawsuit or investigation into claims that it was an illegal pyramid scheme, and he had had enough.
Holton Buggs is a great example of an entrepreneur who has overcome adversity.
In 2010, he made his comeback with a coffee-based multi-level marketing company called Organo Gold.
By 2013, he said he had 3 million subordinate distributors and was earning $1.35 million monthly. This led to him becoming the highest paid MLM professional ever.
Okay, Holton Buggs’s life story does indeed sound like a fantastic rise from poverty to wealth.
But hold on a second…
It’s time for me to move on to the more exciting details.
In 2018, Organo Gold decided to partner with Digital Skynet in an effort to improve their global operations platform; the only catch? Digital Skynet was a blockchain company.
It was later revealed that they were the parent company of IQ Chain, a fraudulent multi-level marketing scheme involving cryptocurrency (IQ Legacy now).
And it’s even more surprising that Holton Buggs, who has zero experience in the cryptocurrency market, has been appointed IQ Chain’s new Executive Advisor.
Since he was not a cryptographer, what did this all mean?
This allowed him to advertise his services as “consulting,” which is code for “member recruitment.”
Once IQ Legacy was labeled a Ponzi scheme, Holton Buggs quietly left the company. The harm to one’s own person, however, was inevitable and permanent. He loses even Organo Gold to departure.
However, that wasn’t the only reason Organo Gold decided to let him go. Buggs was accused of stealing distributors and trade secrets from another MLM company, so the company fired him.
In 2019, the company was found guilty and fined $3 million.
Even so, Buggs continued to put in long hours regardless.
And so he persisted, holding a prelaunch for his “Countdown4freedom” travel MLM (later rebranded as “iBuumerang”) in March of 2019.
After reading so much about him, what have I discovered?
This guy can really take it!
In spite of the difficulty of the situation, he persisted.
But I’m not suggesting you put all your faith in him…
Holton Buggs’s multi-level marketing (MLM) ties are just the beginning of his many red flags.
How then does iBuumerang diverge from YTB?
Isn’t it time we took iBuumerang for a closer inspection?
Is iBuumerang An MLM?
iBuumerang is a legit MLM (multi-level marketing) company. Companies that engage in multilevel marketing are also sometimes referred to as network or direct sales businesses.
As a multi-level-marketing firm, iBuumerang won’t provide its sales representatives with a regular salary. After joining iBuumerang’s MLM program and becoming one of the members, you’ll run your own business as an independent distributor of iBuumerang products.
However, it is unlikely that you can make a good income selling their products. As in the case of most MLM programs, your business relies on recruiting new members to work under you. You will earn a commission on the sales and new recruits generated by the people you hire once they begin producing results.
This is complex on a number of levels (hence multi-level).
Let’s imagine a triangle. Because everyone in the triangle is in your direct downline (in an MLM, the people beneath you are known as your “downline,” and you are their “upline”), you will earn commissions from everyone in the triangle if the person at the top recruits ten people, and each of these ten recruits ten more.
If you can bring in just 10 people, you’ll make $1100.
Most people in your MLM would rather earn a lifetime passive income from recruiting others than a one-time commission from selling products, even if your MLM offers a wide range of products.
Due to the way the money flows, those at the top of the triangle have the most financial success, while those at the base have the least.
Having a large number of people in one’s “downline” is essential for success in a multi-level marketing company like iBuumerang.
Is iBuumerang A Pyramid Scheme?
iBuumerang is not a pyramid scheme. It is a legit MLM company that allows members to make money by selling their products. As a member of iBuumerang, you don’t have to make money solely through recruitment.
In contrast, a pyramid scheme recruits members by promising them money or services in return for recruiting others. It is unsustainable and often a scam because members at the bottom end are doomed to lose money.
Those who want to join must pay a membership fee to the company that runs the pyramid scheme. The company would share a portion of the funds raised from each additional member they recruit as a reward.
iBuumerang distributors, on the contrary, are not paid to recruit new members. There is no direct financial incentives.
A pyramid scheme is profitable only for the directors of the company, i.e., those at the top of the pyramid, since they can receive a portion of the payments from every newly recruited member. The scheme continues as long as members recruit and funnel money to the top of the pyramid.
Such companies almost never sell valuable goods or services. The scam’s only source of revenue is from recruiting new members and soliciting more money from current members.
A pyramid scheme would have to grow infinitely to make money for everyone who participates. This is impossible due to the finite population of the planet.
The scam will fail if there are no new recruits and other sources of income. Since the majority of members are at the lowest level of the pyramid, most of them will lose their money.
A good example of pyramid schemes is Vemma, a producer of energy and weight loss drinks. The FTC accused Vemma of operating a pyramid scheme in August 2015 that paid more to recruit new members than to sell products.
New members, who were typically college students and other young people promised high compensation, were required to pay $600 for starter packages and hundreds more for monthly products. According to the FTC, the majority of participants lost money.
How Does iBuumerang Work?
These MLMs in the tourism industry have been around for quite some time… So, there’s really nothing new to learn here.
The main function of the IBuumerang program is to refer friends and family to the IGo booking engine so that they can take advantage of the special offers for vacations.
Do you recall the travel agency called Xstream Travel? This group is responsible for operating iGo…. Subscribers to iBuumerang are the only ones who can view it.
Distributors of iBummerang can help their friends save money on travel by providing them with access to their own iGo account.
The best part about iGo Boomerang is that it can be used in the exact same way as popular travel sites like Kayak, TripAdvisor, and Expedia by your friends and customers!
And you won’t believe this… When compared to the most common booking sites, iGo can save you hundreds of dollars.
Discounts can be found on everything from plane tickets and hotel rooms to vacation packages and theme park admission.
They promise the lowest prices and will refund your money if you don’t agree with their assessment. The only exception is travel by air. A modest hotel room isn’t the worst option, though.
Nonetheless, the only way to access these incredible discounts is to be the lucky recipient of a TSA’s boomerang. A Travel Savings Ambassador (TSA) is an independent iBuumerang distributor.
If someone uses your boomerang to book a trip on the iGo website, you will receive a commission.
They get to save money, and you get to make some.
Isn’t that easy?
The catch, though, is this:
Depending on your subscription plan, you’re only allowed a certain number of monthly boomerang sends.
You read that correctly.
There is a direct correlation between the price of membership and the number of boomerangs received.
Okay, so you have five a month on average… This equates to five monthly customers, etc.
Can you tell me where I can find more boomerangs?
In general, there are three options.
- Upgrade your membership level.
- Purchase extra on an individual basis
- Recruit new members
After all, it is an MLM.
iBuumerang’s iDecide Presentation is a great feature that streamlines the recruitment process.
The question then becomes, “What is it?”
This video was produced by iBuumerang headquarters and is only a few minutes long.
But, in all honesty, the prospect of having to go door-to-door, host house parties, and be treated like a crazy salesperson is the one thing that turns everyone off from joining an MLM.
But with the help of this presentation they made… Simply include it in a brief message via SMS or email.
To my mind, it’s much less difficult.
However, there will always be those who are skeptical and can see through the ruse.
However, it appears to be effective for the time being. iBuumerang’s popularity is through the roof.
How Much Does It Cost To Join IBuumerang?
A single payment of $250-$1,000 is required… Payment plans are also available, with monthly rates ranging from $49.95 to $99.95.
To me, that is a fair price.
The question, however, is whether or not trying this would be beneficial.
The “standby” set that is provided each month consists of the iDecide Tool and five boomerangs. After the initial period, you can choose from one of three membership tiers that are all named after concepts associated with travel:
- Coach Class: One-time fee of $250 or $49.95 per month for 5 boomerangs
- Business Class: One-time fee of $500 or $99.95 per month for 25 boomerangs
- First Class: One-time fee higher-level of $1,000 or $99.95 per month for 50 boomerangs
With these ambassador memberships, you can earn more money thanks to bigger travel discount bonuses.
How Many Countries Is IBummerang In?
Both Holton Buggs and iBuumerang can be purchased in 180 countries around the world. They have a practically infinite potential customer base, and anyone can join their team as a brand ambassador or distributor.
iBuumerang Compensation Plan
Making money with iBuumerang can be done in six different ways:
1). Referred Travel Boney – If you introduce someone directly to Xstream Travel, you will receive a 25% commission.
2). Travel Savings Bonus (TSB) – You receive a 50-100% cash incentive if they book a trip on your iGo travel portal through your boomerang.
3). Fast Start Bonus – This is where MLM comes into play. You’ll both benefit monetarily if you bring in a new member. There will be a range of fares from $20 for economy class to $80 for first class.
4). Dual Team Bonus – Based on the size of your downline, you receive recurring commissions of 10-20%.
In order to compensate for its flaws, iBuumerang employs a complex binary system. It’s pretty simple: one group will be on the left and the other on the right.
The goal is to find people who will hire others to work on the team on their behalf.
After that, your salary is determined by the group’s overall performance.
A percentage of your team’s total travel bookings and distribution fees will be your commission.
The higher you are in iBuumerang, the higher your weekly residual commission will be.
What use is that then?
The major problem is that this graph gives the impression that getting rich is easy. The reality is that getting past a certain point as a new business owner is extremely challenging. A chart like this one assumes you will never run out of people to persuade, but the reality is quite different.
5). Unveiled Commissions – You receive a commission based on the number of recruits you enrolled up to seven levels below you.
Depending on your status and the number of monthly subscriptions and travel discounts your boomerang customers provide, you could earn anywhere from 5% to 10%.
The goal is to prevent iBuumerang distributors from becoming overly reliant on their immediate downline while still providing them with a strong incentive to continue building their team.
6). Leadership Development Bonus – A distributor receives this bonus when they assist one of their own recruits in reaching sapphire or higher.
Up to four generations of sapphire in your company can earn you 2-5%.
What’s the takeaway?
The goal of iBuumerang’s compensation plan is to financially reward the distributors who recruit the most people to join their team.
That it’s a multi-level marketing scheme comes as no surprise, and early results look promising.
Take a look at what they accomplished in that brief time frame:
- 30,000 distributors
- 120,000 active customers
- $12,000,000 in distributor commissions
- more than $20,000,000 in total sales
However, you shouldn’t let these numbers fool you just yet.
The cost per distributor is only $400 when you divide the $12 million by the 30,000 distributors.
Let’s analyze this statistic of 120,000 customers more closely…
Let’s say each person spends $200 on the trip, bringing the grand total to $24,000,000, or $4,000,000 more than was initially reported.
This leads me to believe that every boomerang distributed by iBuumerang was logged as a user.
As a result, rather than end users, distributors and travel advocates make up the bulk of boomerang users.
That settles it, then…
Guys, this isn’t really anything groundbreaking. It’s just like any other multi-level marketing company that benefits more from its sales force than from its actual customers.
IBuumerang Pros and Cons
- Some of the most popular travel perks are discounts on hotels, flights, and more.
- It is a famous brand
- Most people enjoy traveling
- The founder’s background is murky
- A trip isn’t right for everyone.
- It uses MLM business model
9 Reasons Why I Don’t Recommend iBuumerang MLM Program
1. Very Few People Can Make Money With iBuumerang
Success is difficult to achieve with an MLM company like iBuumerang.
You can look at the statistic that says 72.5 percent to 99.9 percent of MLM members lose money.
The reason for this is that MLMs have sales quotas that require members to continue selling products in order to remain active and eligible for commissions.
They will not be paid if they do not meet the quota.
As a result, many MLM members lose a significant amount of money before even recruiting one person into the company.
2. Losses From iBuumerang MLM Are Reframed As Investments
iBuumerang MLM uplines often reframe their financial losses as ‘investments’ in their business so as to keep their reps in an MLM scheme, dangling the carrot of future financial freedom.
But the reality is that these are not investments. You are unlikely to get the money back. And the return on “investment” is negative in most cases. So saying that it’s an investment is cheating.
3. iBuumerang MLM is a Cult
Why do people continue to work for iBuumerang if it appears to be so bad? Our investigation of MLMs revealed that they all have cult-like company cultures.
Critical thinking is actively discouraged among MLM representatives. They are chastised and even isolated when they ask questions that deviate from the ‘this company is a-mazing’ mindset.
MLMs, like abusive partners, encourage you to isolate yourself from anyone who questions your involvement.
Those who leave an MLM are labeled as failures or bad people/influences, and reps are not allowed to contact them.
Rejection from people they once considered practically family is one of the most devastating losses experienced by former MLM representatives.
MLMs frequently expect their representatives to prioritize their events and business over their personal lives in order to further embed them in the business while separating them from their family and friends.
4. You May Need to Purchase iBuumerang Products Yourself
If you don’t have a large network of friends, family, neighbors, and so on, you may have to buy products yourself each month. It’s a losing proposition all around.
I think it’s quite ridiculous when you have to buy the products you are trying to sell. But this is very common for people who join MLMs like iBuumerang. That’s why in the long term, you are going to lose a lot of money, not to mention making money.
5. iBuumerang Products are Overpriced
As with other MLMs, iBuumerang offers overpriced products. There are many other brands that offer similar products but at lower prices.
Therefore, you may find it difficult to sell iBuumerang products because your prospects can buy the same product elsewhere at a much cheaper price. This explains why most people who join MLMs only focus on recruitment instead of selling actual products.
6. iBuumerang’s MLM Business Model Has a Bad Reputation
Some people have benefited financially by joining a network marketing/MLM company. Unfortunately, most people who join MLMs are left with nothing but regret and a lot of useless products that they were unable to sell.
MLM like iBuumerang is fundamentally flawed. The distribution of commissions is skewed toward the top.
The majority of those in the top tier and pioneers make the most money, while those at the bottom will not even break even after a few months.
As a result, many people do not consider iBuumerang to be a legitimate business opportunity.
7. Exaggerated Claims Of Income
iBuumerang, like any other MLM company, makes exaggerated income claims, but in reality, very few people make a good living by promoting iBuumerang.
iBuumerang’s low retention rate can also be discouraging, as less than 41% of its distributors are active.
According to iBuumerang’s payouts to distributors, over 99 percent of iBuumerang distributors never make a profit.
8. iBuumerang Is Like A Pyramid Scheme In Disguise
If you want to avoid losing money every month, the MLM will actually encourage you to recruit people.
Every system that requires you to recruit people in order to make money eventually looks like this.
iBuumerang is not a pyramid scheme in the traditional sense because you can earn money by selling their products.
However, in order to make a living, you will need to hire others in reality.
9. Recruiting is Required to Succeed
I don’t recommend MLMs to people for this reason. MLMs like iBuumerang put a lot of effort into recruiting. Eight out of ten ways to earn money with iBuumerang require recruiting. If you don’t recruit, you are destined to lose money at the end of the day.
My #1 recommended platform is different. You can make a 4-figure, 5-figure or even 6-figure passive income by promoting and selling products you truly like. You don’t have to recruit people but recommend useful and great products. I will tell you more at the end of this iBuumerang review.
Is IBuumerang A Scam Or Legit?
iBuumerang is not a scam. It is a legit MLM company. A scam is defined as “a dishonest scheme; a fraud” by the Oxford Living Dictionary.
Can you make money selling iBuumerang products? We already know that a majority of iBuumerang reps did not earn any money. A few people do make money but only if you put in a lot of effort. And usually, the way they make a lot of money from iBuumerang is by recruiting aggressively.
Also, iBuumerang blatantly makes disingenuous and irresponsible marketing claims to recruit members. Therefore, some people do consider iBuumerang MLM a scam.
My #1 recommended platform, however, has seen a lot of beginners earn four figures a month after joining it for a year.
iBuumerang Review: Final Verdict
Here comes the conclusion of my iBuumerang review. Overall, I don’t recommend joining the iBuumerang MLM program to make money.
You will have a tough time in the beginning when you are prospecting and trying to find recruiters to add to your iBuumerang commission.
The worst part is that you practically have to ask your family and friends to join your iBuumerang business opportunity. It’s not fun.
Your upline is constantly following up with you to encourage you to buy more Business Support Material even as you struggle to get people to join your downline.
The reality is that you’re likely to lose more money. Statistics confirm this as well. 99% of people who join an MLM break even or lose money, according to a case study on the FTC’s website.
People who join these MLM-type businesses often feel under pressure to succeed, and that is one of the main reasons they leave.
Why not consider starting your own online business if you want to earn money and have a flexible schedule?
Thus, you can choose what you want to promote rather than having someone tell you what you must promote.
Let me tell you how to build an online business in a legit way to make passive income online in the next section. This has allowed me to make a full-time income in a year. Most importantly, unlike MLM models, It’s 100% legit and sustainable.
Best Alternative To iBuumerang MLM Program
If you’re beginning your online business journey, you deserve a program much better than the iBuumerang MLM program.
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But How Much Can You Earn with Wealthy Affiliate?
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