When I sat down to initially review Lyoness (the European version), I spent a few days trying to get my head around material that was obviously never written to be fully comprehended by your average MLM affiliate.
When Lyoness launched in the US, they sought to remedy this by releasing slightly less confusing business model material. Not as clear-cut as it could have been, but enough for me to suss it out and put out a Lyoness review.
In my review I identified the primary revenue source that had contributed to the initial success of Lyoness in Europe and their subsequent worldwide expansion.
An affiliate-funded investment scheme, where affiliates invest in “accounting units” and after a fixed number of new units have been invested in, Lyoness pay out affiliates a cash ROI.
All monies are deposited with and paid out by Lyoness, isolating the scheme from the merchant shopping network.
That of course doesn’t stop the company burying the scheme in mountains of “earn cashback by shopping” literature, which the companies affiliates are all too happy to run around the internet promoting.
With now over 1000+ comments on the BehindMLM review fleshing out the AU investment scheme (including the reluctant admission that it functions as a Ponzi scheme by some Lyoness affiliates), some affiliates still don’t see it, or probably more accurately, refuse to see it.
Despite the review citing the official Lyoness US compensation plan material itself, evidently there’s still a great deal of confusion amongst Lyoness affiliates as to what the business is actually about.
Evidently I’m not the only one to observe this, with Lyoness feeling the need to put together an official corporate webinar to lay out the compensation plan and business model in detail.
So here it is, straight from the horse’s mouth: The Lyoness Accounting Unit Investment Scheme. [Read the rest of this entry...]