Xerveo Review: Tamarind based weight loss
There is no information on the Xerveo website indicating who owns the business, nor are there any contact details indicating which country Xerveo are based out of.
Xerveo’s “about” page on their website simply states:
Our core leadership includes some of the most successful entrepreneurs in America and because of that, we are one of the most well funded companies in the industry.
Meanwhile the company’s website domain would appear to only have been recently acquired, with the domain WHOIS information still showing that of the domain registrar (last updated 26th December, 2011).
As always, if an MLM company is not openly upfront about who is running or owns it, think long and hard about joining and/or handing over any money.
The Xerveo Product Line
Undoubtedly a company’s product line should be the selling point of the company itself, however for reasons unknown the Xerveo website doesn’t go into any specifics about their product.
The company simply states:
Our products support energy, weight loss, relaxation in the evening and everything in between.
and provides a link to further information on the weigh-loss supplement “Garcinia Cambogia”.
According to Wikipedia,
Garcinia cambogia is a subtropical species of Garcinia native to Indonesia.
G. cambogia is used primarily in cooking, including in the preparation of curries. The fruit rind and extracts of Garcinia species are called for in many traditional recipes. In the Indian Ayurvedic medicine, “sour” flavors are said to activate digestion.
Gambooge extracts are an ingredient in some herbal appetite suppressant and energy products, though there is no formal evidence to support its effectiveness. It is used in weight-loss supplements.
Liver toxicity from weight-loss supplements which contain extracts of Garcinia cambogia has been reported.
The Xerveo Compensation Plan
The Xerveo compensation revolves around a 3×18 matrix, as well as providing distributors retail commissions and various bonuses.
There are two membership ranks within the Xerveo compensation plan and, along with their respective qualification criteria, they are as follows:
- Distributor – Make at least $150 in product sales each month, either via self-purchase, recruited distributor purchase or retail sales (including preferred customers)
- Executive Distributor – Either generate $20,000 a month in group (downline) sales volume, or purchase a “Builder Pack” ($1500)
Xerveo pay out a 5% commission on all sales made to both retail and preferred customers.
Depending on which membership level a Xerveo distributor is, they are paid commissions for each member they have in their matrix under them (either via direct recruitment or the recruitment efforts of others).
Distributors are paid $5 per member in their matrix each month and Executive Distributors are paid $6.
Residual Commissions in Xerveo are paid out via the 2×15 matrix. Sales volume is counted from your downline with Distributors and Executive Distributors being paid different percentages of their downline’s sales each month.
- Levels 1 to 5 – 3.33%
- Levels 6 to 10 – 2.26%
- Levels 11 to 15 – 2%
- Levels to 1 to 5 – 4%
- Levels 6 to 10 – 2.26%
- Levels 11 to 18 – 2%
Note that “Distributors” are not paid beyond level 15.
Also note that additional qualification applies to distributors if they wish to earn residual matrix commissions. Both Distributors and Executive Distributors must have recruited at least three new distributors themselves, each of which are generating at least $150 in sales each month.
Fast Start Bonus
For each new distributors who signs up as an Executive Distributor and purchases the “Builder Pack” ($1500 and a required purchase to join Xerveo as an Executive Distributor), the company pays out $425 to the recruiting affiliate.
Paid out on the residual matrix commissions earnt by a distributor’s downline, Xerveo pay out a 10% matching bonus on the residual earnings of all distributors personally recruited (including the sale of $1500 Builder Packs).
Note that distributors who wish to qualify for the matching bonus must have recruited a minimum of 10 distributors and/or preferred customers themselves.
Membership to Xerveo is either $55 to join as a “Distributor”, or $1500 to join as an “Executive Distributor” (including purchase of a Builder Pack).
Both membership options are $55 annually recurring.
Company wise there’s not a lot revealed by Xerveo about who’s behind the company and exactly what their product line is going to look at and be priced at.
If I didn’t know any better, it appears they’re trying to market the commonly available cooking ingredient tamarind as some sort of new weight loss miracle (or “the holy grail of weight loss as Xerveo put it).
Xerveo’s compensation plan is wonderfully uncomplicated so full marks to them for that. Within the plan there’s a distinct retail offering (even if we don’t currently know what the product lineup is), so that’s another plus for the business.
Greater analysis of the compensation plan however does reveal some concerning points. First and foremost is the effective “buy-in” at Executive Distributor level for $1500. You could go for $20,000 a month in sales but let’s not waste our time pretending that’s even remotely viable for your standard distributor.
Buying in at $1500 gives you an increased percentage earning on your direct recruits down 5 levels. It also unlocks levels 16-18 of the matrix but considering level 15 requires 32,768 people to fill, you’re looking at some pretty steep recruiting required before that kicks in.
Perhaps not coincidentally, distributors must be generating $450 a month in sales if they wish to qualify for matrix commissions. $450 just happens to also be the minimum sales required by the three recruited distributors also required to qualify for residual matrix commissions.
Given this, mathematically the Xerveo compensation plan looks set up to strongly encourage the idea of joining at the $1500 Executive Distributor level, paying $150 a month to qualify yourself as “active”, and then concentrating on recruiting new distributors and getting them to buy $150 a month worth of product so you hit that $450 a month residual commission qualification.
The $425 Fast Start Bonus essentially pays Xerveo members for recruiting Executive Distributors so that’s of concern too.
Quite obviously using Xerveo as a recruitment scheme is nothing more than a short-term marketing strategy that isn’t going to get those who follow it very far. If it does wind up being widespread throughout the company though, very quickly people will realise they’re not going to recoup their $150 outlay each month and count their participation as a loss.
One would hope there’s a strong retail/preferred customer focus in Xerveo, however the compensation plan certainly doesn’t appear to be geared towards this. Ultimately the 5% commissions offered on retail sales is comparatively rather poor.
Update 18th December, 2012 – Sometime in early December Ferveo changed their name to “Xerveo”. I haven’t been able to find out why they changed their name, but a lot of the marketing material the company uses still references “Ferveo” so it seems to have not been planned too well.
I also went back and looked at the Xerveo compensation plan and noticed they’d now added direct recruitment commissions, so I’ve added that to the compensation plan analysis too.
In offering “$6 per person if you come in as an Executive Distributor” and $5 per person if you come in as a Distributor”, Xerveo directly pay out on the acquisition of new members, operating as a pyramid scheme would.
Update 10th January 2016 – Following revisions to Xerveo’s compensation plan, BehindMLM has published an updated Xerveo review.
About 9 months ago, a very similar company who had the named Malaysia in it, came out and this company faltered..It’s weird how the website and the video presentation for Ferveo sound and looks similar to Malaysia.
I would recommend people to stay away from this.
Updated, dunno what’s going on but in the last week Ferveo have changed their name to “Xerveo”.
No explanation appears to have been given for the name change.
I have looked into Xerveo somewhat deeper and have found that what they offer is upfront and could potentially become a very prophetable venture.
The bussiness plan is simple and clear and it appears the product is actually doing what the clinical trials have reported… people are losing weight.
The bussiness risk to distrbutors is low and known at the start. If the Xerveo drink continues to perform, this will become a huge opportunity for those looking to engage in a new bussiness for themselves.
First of all if you can read, at the bottom of the website it says there based out of Utah right here in theUS! The company is owned by Andrew Rinehart that is also information you can find on the website along with his welcome video!!
Second of all xerveo did not call GARCINIA CAMBOGIA, ‘The Holly Grail of weight loss’ Dr. OZ DID!! AnD yes that is the main ingredient our drinks, please get your facts straight!!
I believe this article was written by another weight loss group with a product similar to Xerveo trying to get out bad press to get consumers headed in there direction!! Get your facts straight! And get a life!
This information was not present on the Xerveo website at the time of publication.
At the time of publication, Xerveo repeated this claim on their website with no credit to Dr. Oz.
As an aside, can a Xerveo rep explain why the company dumped the Ferveo name?
WHICH clinical trials ??
Clinical trials of “Xerveo” or clinical trials of “Garcinia Cambogia” or clinical trials of the active ingredient/s in “Garcinia Cambogia”.
Where the “clinical trials” peer reviewed and accepted by accredited scientific journals???
Who paid for these “clinical trials”??
You are asking people to put this stuff in their mouth.
Don’t they deserve to know more than there are supposed to have been clinical trials.
Xerveo promises are large, but they fail to fulfill their end of the compensation or payment plan….
What Xerveo say’s in their compensation plan and what a distributor actually received are totally false and misleading… Many Active distributors have left the company…
Xerveo is doing what its promising – helping people loose weight! The lives it has changed so far have been phenomenal. There are so many testimonials out there online who can testify that this product works and does what it says it will do.
There will always be those who disagree with the concept – but then that’s your opinion and your allowed that. I do think a new review is in order – The product is amazing!
Why, has the compensation plan changed?
You seem to be adopting the “hey guy, ignore the business model and look at the product” approach. Great for retail sales generation but a rather flawed approach to analysis of Xerveo as an MLM income opportunity.
The product IS what the business is selling. Oh dear, I think everyone who investigates it for themselves can see that.
How about you ask the thousands of distributors signing up every month in Australia how “flawed” the compensation plan is going for them? Maybe you should actually try it for yourself to see WHY Xerveo is doubling its members each and every month 😉
ps no one really cares why the company changed its name – probably cause Xerveo sounds a lot better? – the product and its compensation plan works simple as that.
Unless those affiliates are bringing in thousands upon thousands of retail customers to the business, sounds to me like the income opportunity is what is being sold.
I do. Anyone who gets involved in an MLM business without conducting solid due-diligence is just setting themselves up for trouble.
Whether a comp plan works or not is irrelevant. How it works is of far greater importance from an analysis standpoint.
Well to all I have made bucket loads of money and live a very comfortable and so has many other. I forget about the politics and got on with it.
Tell you what hanging out with ppl that talk BS on these sites don’t interest me or improve you size of your wallet. Its a Business and that is that
Xerveo never really seems to have gone anywhere.
“Bucket loads of money”? Fake it till you make it won’t get you very far here…
Why did you post anything at all, when it didn’t interest you in the first place?
You don’t reflect your own words, neither the bucket load of money nor the not interested. You sound like you’re repeating something you WANT to become true. People who HAVE made money in reality will normally tell the story quite differently.
Xerveo is Bullshit and way to expensive at $180.00 for 48 cans so that’s $3.75 for a single can. The $ amounts set are not realistic to achieve for making money.
The only people that are making money are the ones who own the businessthe douche bag Andrew Reinhart. In the suppliments on the can is NO mention of Garcinia Cambogia in the drink. I’m a former rep and would never get anyone involved in this.
Please, people! This is a pyramid scheme pure and simple! Run! This company was started by the same man who started the now defunct Pur 3X, Andrew Rinehart from Utah. He is a con artist making enormous sums of money off trusting yet gullible individuals.
Xerveo did an official relaunch on Jan 5th, 2015 with new ownership and corporate leadership. It will be interesting to see how this new direction works out with Michael Cunningham former President of Neways leading the way. Only time will tell…
Is the comp plan still the same?
who is the current owner, and is Andrew Rinehart still envolved?
Xerveo is now a new company and a new owner….
the comp plan is nothing like what I’ve read above…they actually have a really nice comp plan now…
I have been with this company for 3months now and the product is amazing and me and some of my business partners are reaching ranks already!
Of you haven’t looked at the new and improved Xerveo you should!!! It’s such and amazing opportunity!!!
The new owner is Michael Cunningham!!
Thanks for the additional info, I’ve flagged this review for an update.
The product is very affordable. $150 for 48 cans and you get a 20% discount on any order $120 and up! We now earn a 20% commissions off every order placed from your direct referrals.
That goes up with rank not only that you now earn free product plus there are now many bonuses they pay!!
And warning about POTENTIAL safety problems…
You are welcome to “interpret” those two items any way you wish.