A top Lyoness distributor, who claims to have over 2 million members under him, has admitted “focusing on shopping is a mistake”.

Daniel Gergics is a Hungarian Lyoness distributor. In 2014 the company welcomes Gergics to its elite “Presidents Club”.

According to Gergics, his Lyoness career has netted him over £1 million GBP.

An undated video recently came across my desk, featuring Gergics apparently addressing his Lyoness team.

In the edited cut of the video, Gergics identifies Lyoness distributors focusing on shopping as a mistake.

One mistake I’ve recently noticed at one of my teams, which is part of this group as well, (is) that they’ve been pushing too much the shopping part and the saving money part (of Lyoness).

Our business, if we talk about the business, is not about saving money, it’s about making money.

And if you approach people with telling them, “Oh you can save a few quid and a few dollars over there and over here”, people are put off and they’re not interested.

Lyoness’ MLM business model sees the company hide an investment scheme behind cashback shopping.

As with all Ponzi schemes, Lyoness requires a constant stream of new investment to survive.

Cashback savings is supposed to be a foot in the door marketing tactic to lure new investors in.

If those shoppers don’t convert to investors though, it’s a waste of time – which without directly acknowledging the investment side of the business, is what Gergics is getting at.

That the shopping side of Lyoness being irrelevant being openly admitted by a top distributor in company is surprising, but not unprecedented.

BehindMLM first tracked Lyoness founder and CEO Herbert Freidl dismissing shopping back in 2013.

Our last update in early 2018 revealed nothing much had changed.

In his video, Gergics goes on to instruct his team to avoid using Lyoness’ company name in their marketing efforts.

Another thing, what I learned in the last… since January I would say, I changed the name of these events from Lyconet days to President Freedom day.

Why did I do that?

Because I created this brand President Freedom … because this brand has no reputation at all.

Which is a good thing. So no bad news on (the) internet.

But if you tell one of your friends that, “Come along, this is called Lyconet day”, and the person just Googles it or even before the meeting he Googles it, and uh he doesn’t come to the event, he cancels the event because he just believes the shit (that) is put up on Google.

We’re not exactly sure what “shit” Gergics is referring to. But if he’s referring to recent events, we’d probably have to go with Italy banning the investment side of Lyoness and fining the company 3.2 million EUR.

But even then, and you’re free to verify this yourself, a Google search of Lyconet looks pretty well scrubbed as far as we can see.

The first few pages for a “Lyconet” search reveal mostly marketing material and information from the company itself.

Our less than flattering Lyconet review is on page one, but surely a factual breakdown of Lyoness’ fraudulent business model isn’t what Gergics is referencing?

In any event even if it was, rather than address any concerns potential marks might have about Lyoness’ fraudulent business model, Gergics advises a more deceptive route.

But if we call it President Freedom day, which gives you a tool, gives you an opportunity to live a different life, people don’t know what this is exactly about.

To sum up how one celebrated top Lyoness distributor is running his business, don’t waste your time promoting shopping and deceive people into rocking up to your events.

Following the collapse of Lyoness in Italy, recent marketing videos suggest Gergics is now targeting India.

On one of his President Freedom social media accounts, Gergics claims to have “helped 1,000s of people”.