Seacret Direct Review: Dead Sea salts & autoship
Update 23rd August 2020 – BehindMLM published an updated (third) review of Seacret Direct on August 23rd, 2020.
The review below will be left up for reference but is outdated. /end update
Marketing skincare products containing minerals from the Dead Sea, Seacret Direct was launched in mid 2011 and operate out of Arizona in the US.
Heading up Seacret Direct is CEO Izhak Ben Shabat (right).
In a Seacret Direct marketing call on YouTube, Shabat claims to have been in the Israeli military for seven years before coming to the US.
Shabat claims he works with his older brother Moty Ben Shabat, credited as a “managing partner” of Seacret Direct.
After trying to build an ice-cream truck empire and selling helicopter toys, the Shabats started to sell skin care products via kiosks.
This kiosk business eventually spawned the launch of Seacret in 2005, with the company going MLM in mid 2011.
Read on for a full review of the Seacret Direct MLM business opportunity.
The Seacret Direct Product Line
The Dead Sea provides some of the most concentrated, natural mineral salts and mineral-rich mud in the world. These minerals are essential to the health of your skin, yet so many people go their entire lives without experiencing their benefits.
We have taken these minerals and infused them into every Seacret product.
As above, Seacret market skin care products based on salts and minerals obtained from the Dead Sea.
There are three main categories of products within the Seacret opportunity:
- Skin Care – ranging in price from $14.95 for mineral soap to $49.95 for body butter, nail care and a salt & oil scrub
- Facial Care – ranging in price from $49.95 for peeling milk and refining toner to $249.95 for a magnetic mud mask
- “Age Defying” – ranging from $249.95 for moisturizer, “age defying serum”, eye serum, eye cream and a scrubbing mask, to $279.95 for a moisture mask
The Seacret Direct Compensation Plan
The Seacret Direct compensation plan is heavily grounded in autoship orders but also offers affiliates a mixture of retail commissions, residual binary team commissions and performance bonuses.
Seacret Direct Membership Ranks
There are several components of the Seacret Direct compensation plan that are determined by an affiliate’s membership rank.
There are ten membership levels within Seacret Direct and, along with their qualification requirements, they are as follows:
- Star – recruit 2 new Seacret Direct affiliates
- Star Builder – have two Star affiliates in your personally recruited downline
- Bronze – either at least 25 autoship orders on both your left and right binary teams or 4,375 BV and 8 autoship orders on both your left and right binary teams
- Silver – either at least 100 autoship orders on both your left and right binary teams or 17,500 BV and 30 autoship orders on both your left and right binary teams
- Gold – either at least 250 autoship orders on both your left and right binary teams or 43,750 BV and 75 autoship orders on both your left and right binary teams
- Ruby – either at least 1000 autoship orders on both your left and right binary teams or 175,000 BV and 300 autoship orders on both your left and right binary teams
- Emerald – either at least 2500 autoship orders on both your left and right binary teams or 525,000 BV and 750 autoship orders on both your left and right binary teams
- Diamond – either at least 5000 autoship orders on both your left and right binary teams or 1,222,000 BV and 1500 autoship orders on both your left and right binary teams
- Double Diamond – either at least 10,000 autoship orders on both your left and right binary teams or 2,800,000 BV and 3000 autoship orders on both your left and right binary teams
- Crown – either at least 25,000 autoship orders on both your left and right binary teams or 8,75,000 BV and 7,500 autoship orders on both your left and right binary teams
Commissions Qualification
Upon joining Seacret Direct, an affiliate must generate 35 Personal Volume in product sales every four weeks, or 200 Group Volume (GV) every four weeks if they wish to qualify for commissions.
Retail Commissions
Retail commissions in Seacret Direct are defined as the difference between the wholesale cost of their products and the retail markup (30-60%).
Seacret Direct affiliates can earn retail commissions either by purchasing products from the company themselves and reselling them at retail, or via a company-supplied replicated online storefront (paid direct to the company).
Preferred Customer Commissions
Preferred customers in Seacret Direct are customers who have agreed to have at least $50 worth of product shipped to them each month.
Affiliates who sign up preferred customers are paid out 20% (Star and Star Builder membership levels) to 25% (Bronze membership or higher) of the total autoship BV generated.
Residual Commissions
Residual commissions in Seacret Direct are paid out using a binary compensation structure. A binary compensation structure places an affiliate at the top of the structure, with two legs branching out underneath them.
These two legs form the start of a left and right team, with the sales volume of the weaker team (the team that generates less BV than the other) being what Seacret Direct affiliates are paid out on.
Volume between the weaker and stronger team is matched using a ratio of 1/3:2/3, with a minimum of 500 BV required. This means that for every 500 BV counted 1000 BV must also exist in the stronger leg.
Any leftover volume is carried over to the next pay period.
How much of a percentage of the weaker team’s BV paid out is dependent on a Seacret Direct affiliate’s membership rank:
- Star and Star Builder members are paid 10%
- Bronze members and higher are paid 15%
Residual earnings using the binary compensation structure are capped at $25,000 a week. In order to qualify for residual commissions, a Seacret Direct affiliate must recruit at least two new affiliates (to start their left and right binary teams).
Check Match Bonus
Seacret Direct affiliates ranked Bronze or above are able to receive a Check Match Bonus on the binary team earnings of Bronze members or above in their downline.
The Check Match Bonus is paid out down four levels of recruitment (referred to as a “generation”), with how many levels and how much of a percentage in earnings earnt being dependent on an affiliate’s own membership rank:
- Bronze – 20% on one generation
- Silver – 20% on generation 1 and 10% on generation 2
- Gold – 20% on generation 1 and 10% on generations 2 and 3
- Ruby and higher – 20% on generation 1 and 10% on generations 2 to 4
Rank Achievement Bonus
The Seacret Direct Rank Achievement Bonus is paid out to affiliates upon earning various membership levels:
- Star – $15 ($10 paid to upline)
- Star Builder – $50 ($25 paid to upline)
- Bronze – $125
- Silver – $1000
- Gold – $3000
- Ruby – $7000
- Emerald – $40,000
- Diamond – $200,000
- Double Diamond – $250,000
- Crown – $1,000,000
Car Bonus
The Seacret Direct Car Bonus is a monthly bonus that kicks in at the Silver membership level, with affiliates able to put the bonus towards a new car purchase or an existing car loan.
How much of a bonus is paid out to an affiliate each month is dependent on their Seacret Direct membership rank:
- Silver and Gold – $600
- Ruby – $800
- Emerald – $1000
- Diamond – $1500
- Double Diamond – $2000
- Crown – $3000
Lifestyle Bonus
Whereas the Car Bonus must be put towards a car purchase, the Seacret Direct Lifestyle Bonus is a straight monthly cash bonus paid out to affiliates, starting at the Gold membership level.
How much of a Lifestyle Bonus an affiliate earns depends on their Seacret Direct Membership rank:
- Gold – $600
- Ruby – $800
- Emerald – $1000
- Diamond – $1500
- Double Diamond – $2000
- Crown – $3000
Joining Seacret Direct
Membership to Seacret Direct is $49, payable annually.
Conclusion
With a strong and diverse product offering there’s no doubt that retail sales exist within Seacret Direct, however it’s somewhat disappointing to see such a heavy reliance on autoship seeded within the compensation plan.
It’s only possible to advance within the first two levels (which are essentially stepping-stones to kick off an affiliate’s binary teams), without autoship, after which the requirements become quite steep.
Traditionally a company will offer a sales volume route to negate an autoship advancement option. However in Seacret Direct there’s still a requirement to get customers or recruited affiliates on autoship (there’s no difference between the two membership qualification wise), with the BV option (albeit less than the solely autoship requirements).
Personally I’m not a fan of forced autoship programs and whilst of course nobody has to sign up for it in Seacret Direct, such a heavy reliance on it in the compensation plan I believe will translate into Seacret Direct affiliate’s marketing efforts focusing on this side of sales.
Again, nothing wrong with that as it’s still potential retail sales but there is an inherent possibility that some affiliates might find it easier to market the income opportunity and advance on the autoship orders of the affiliates they recruit, thus bypassing the retail side of things altogether.
Personally I feel Seacret Direct could benefit highly by introducing a strictly Business Volume qualification for their membership ranks, without the autoship numbers.
Normally autoship requirements in membership levels would be a minor issue, but with only partial retail sales commissions available to those who don’t fulfill autoship requirements, and full percentage retail commissions pegged to membership ranks that require autoship order numbers, the requirements are of far more relevance here.
Thus in evaluating Seacret Direct as a business opportunity I’d be paying strong attention to where the autoship orders are coming from within your potential upline’s sales volume.
If the majority of their required autoship orders are coming from affiliates, this is a strong indication that the income opportunity is what’s being marketed rather than the Seacret Direct products themselves.
Given the strong and somewhat diverse product line up, I’d of course be surprised if this was the case, however due to the structure of the compensation plan it’s something that definitely needs to be taken into consideration when evaluating the business opportunity.
Other than that, it also wouldn’t hurt signing up as a preferred customer first and evaluating the products for at least a month.
Personal testimony and demonstrable results are not only a great marketing tool but will only help to strengthen a Seacret Direct affiliate’s focus and passion in the business itself.
Good luck!
Update 6th June 2018 – As requested by a reader (comment #24 below), BehindMLM published an updated Seacret Direct review in June 2018.
Update 23rd August 2020 – BehindMLM published an updated (third) review of Seacret Direct in August 2020.
As I have recently been approached by a distributor for Seacret, I appreciate your timely evaluation of the company which I totally agree with. But, I like the products.
I will have to think hard about joining, unless the brothers/owners revise or modify their autoship requirements and compensation plan to become more affordable and attractive.
This is as good a time to explain what’s “troublesome” regarding autoship:
1) Autoship to yourself to satisfy your own sales goals is going to attract FTC attension due to “inventory loading”
2) Autoship to customers makes you lazy, as you are no longer selling, but RECRUITING (customers who get autoship). This is COUNTER to what MLM stands for: selling stuff face to face. Once the customer sets up autoship, you never see them again (unless you want to)
3) THEN you get into the problem of later recruiting that customer and make him into an affiliate… so… are you getting paid for RECRUITING (which is illegal), or sales?
http://amlmskeptic.blogspot.com/2012/07/the-danger-of-autoship-in-mlm.htm
I was a Seacret distributor a few months ago and had an unpleasant experience. I bought the big kit of products and had a negative experience with one of their most highly touted products. I called the company to return the products and get a refund.
The products had arrived in a big box- each was individually wrapped. I had opened two and the Seacret CS rep told me that because I had opened a product, I was unable to return any of them for refund. I ordered the two products from someone else to replace what I had tried, and I sent back insured with delivery confirmation.
About two weeks later, I called to verify that they had received. They said ‘no’ even though I had the delivery confirmation. I had to send them the information on the delivery confirmation and requested my refund. I continued to call over the next few weeks and they told me it was being processed.
Finally on day 50 after I had ordered, I called and said if I didn’t have a refund by the next day, I was going to file a dispute with my credit card company (so as to be within the 60 day window). I heard nothing back.
On day 51, I called again and I was told they had mailed me a check even though I had paid by credit card. I planned to call my credit card company on day 59, just to be safe, if I didn’t receive this check.
On Day 58, I received a handwritten check (not professional looking at all) but luckily, it cleared.
One of the people I was working with had the same exact thing happen to her.
Big red flag!
Any MLM is supposed to have a refund policy that usually goes BEYOND 60 days (usually 90 days, 90% refund). If they don’t, they risk losing the “Amway Protection”.
Yes, they are.
The person I signed up under (who actually had the same problem I did) had taken a screen shot of the policies when we signed up. It said we had one year to return.
When I called, they told me they had changed the policy to 30 days to return with a 10% restocking fee. At the time, I didn’t know about the screen shot so I returned it within the 30 day period.
Something amiss there, me thinks!
Just to clarify, the proper term is “Amway Safeguard Rules” (my apologies for previously wrong term). MLM Attorney Jeff Babener have a good explanation here:
http://www.mlmlegal.com/landmark.html
This rule (along with two others) when implemented properly, makes the MLM “legal” (note: it does NOT guarantee in any way to be profitable, or if the company actually operates this way).
Signed up recently with Seacret. Recently, I decided that it is not going go work for me due to autoship program.
I have been trying to call Seacret, but to no avail. Does anyone have a good working number where I could call Seacret and cancel.
Thank you.
I received some products that were on autoship and I decided to return because I did not need additional products. I called customer service for directions on how to return and was given a return number and told to write it all over the packaging so that it would be identified by the warehouse workers.
I sent the package via USPS with delivery confirmation and it was received on January 24. I called customer service on January 28th to verify that they received the product and I was told that it was not received.
After January 28th, I called customer no-service every 3 days until February 8. At that point the customer svc. agent used USPS website to verify my tracking information and stated that she would mark it as received to initiate the refund process.
From this point, I was advised that the refund would take up to an additional 3 weeks for the accounting department to process as they hand-key each of the refunds.
During this process, I reported Seacret Direct to the Arizona BBB. On February 19, I received a reply through the BBB from Seacret’s Executive Vice President, Michal Avniel stating that 3 weeks is the standard wait-time for processing a refund, but as of February 19, my refund has been processed.
This is a blatant lie, because today is March 1, and I still have not received a refund. I called Seacret’s customer service again on February 25th and although the employee was helpful, she could only send an email to Michal Avniel inquiring about why the refund is still unprocessed.
Although I have enjoyed their products, I will never order from them again and will warn anyone that is interested in ordering from them. Taking 5 weeks to process a refund on a returned (and verified) item is completely unacceptable and unscrupulous.
I’m a distributor for Seacret and would like to put in my thoughts. As far as the auto-ship is concerned, during any month that you generate 200 tpv, which is sales through yourself directly (either purchasing for yourself or retail) and sales from your preferred monthly customers, you are not required to put through your monthly replenishment.
Also, once you have 4 preferred customers or more put an order through in a single month, you get product credit in the amount of 25% of their total combined orders.
Seacret makes it quite easy to not have a personal autoship yourself or not have one that you are paying for. As far as the return policy, it is what it is and I don’t know how it was done when the company first started, but nowadays they are very open about it.
Autoships are what MLM is all about. Currently, there are more monthly customer orders from those not involved in the business than those who have signed up as agents. This is a sign of a good product and business that you cannot find in most network marketing companies.
Having autoships, whether through customers or agents is how you start to build a residual monthly income, which IS what it’s all about.
You can sell as much retail product as you like, but products are given a ridiculous amount if incentive to sign up for a monthly order.
They get 30-60% off all of the product as well as 10% back in product credit. Plus since there is no contact term, sign up or cancellation fee, customers can literally do it for a single month and cancel easily.
That’s great to hear.
Million dollar question though, are retail customers generating more revenue with order than agents are?
I have never stuck my nose into one of these threads before, but for some reason I wanted to this time. I am certainly not any kind of guru, whether it be network marketing or other wise. Just my opinion, which we all know everyone has.
I am a Seacret Agent. But my experience with Seacret began in 2009 when I would buy it retail in the malls from a Kiosk. And the reason that I bought it was because as far as skin care products it rivaled some of the higher end skin care products that I purchased from Department Stores. I used it for several years. Until I could no longer find it in the mall.
It was not until several months ago that I found out that Seacret Direct had been created. That was when I decided to become a Seacret Agent, at first to only buy the product at wholesale.
Currently Seacret is being sold retail in over 40 countries. So I would hazard a guess here that retail sales within the company actually do outweigh the agent’s autoships.
Currently as far as I know only 4 countries are involved in the Network Marketing arm of Seacret. The US, Canada, Mexico, and Korea. And there are still retail sales of these products in Kiosk’s in these countries as well.
As an Agent and a business person, I would see being a Seacret Agent, less demanding and less expensive than paying rent in a Mall and keeping staff there on a full time basis to sell the product, as would be in a franchise situation.
As far as the autoship, I have belonged to several MLM companies and they all had an autoship. I am sure there are those that don’t, but if you are a faithful user like I am, then the autoship is just an assurance that you will not run out of product.
Or if you are actually selling the product, as many of us do, it gives you the ability to have a product on hand to resell at retail prices with a high profit margin. I see being able to buy a product on autoship at a discounted price of $145 and reselling for a 100% mark up a definite advantage.
I know that in every arena of business there are pros and cons. But for what ever it’s worth, maybe it’s just the way that we look at it.
Cosmetic MLMs generate far less warning signs than other types of MLM, because cosmetics is consumable and… highly subjective, and has huge profit margins.
People understand they are a LUXURY product. As long as they mostly sell retail and their agents mostly sell retail they should be fine. (but then, same goes for every MLM)
K chang…what are you talking about? one product of autoship is “inventory loading”?
(Ozedit: Offtopic derail attempts removed)
Don’t know how often you update these reviews, but autoship requirements are starting to phase out and are being replaced with volume requirements. Also autoship isn’t required as a rep you can also generate 200bv each month instead.
Has it or has it not been phased out?
Hi,
I used to be a Seacret Agent and was very impressed by how they were very adamant about following the laws in all the countries they open in.
Currently in Canada, your business is based solely on Retail Volume. I’m not sure about the US but in Canada, it’s illegal for an MLM to base rank advancing and such on recruiting.
They must base everything within on retail volume.
So that is how they made it.
They do want agents to focus on retail sales and not just on recruiting. They are always coming out with new promotions for agents to get more Preferred Customers and making the PC program exciting.
Also, Preferred Customers do not have to pay every single month. They need to make a minimum order to become a PC, but they stay PC for life no matter how often they order.
But agents do need to pay autoship unless they meet BV requirements or have at least 4 Preferred Customers.
Personally, I chose to focus on other ventures online instead of on just MLM solely.
Is this Canada only or globally? Preferred customers usually only get their discount if the agree to sign up for autoship.
Preferred customers who don’t order anything aren’t bringing any money into the company so this makes sense.
Preferred Customers are put on autoship when they sign up. They can cancel their autoship after they sign up and still remain a PC.
They mention this on the company calls which are broadcast for all global members.
How can you be a preferred customer if you’re not purchasing anything…?
And surely these non-paying customers don’t count towards the quota. Having customers towards a quota who aren’t placing orders makes zero sense.
Sounds to me like preferred customers in Seacret have inactive and active status.
And again, is this Canada only or globally?
Once you become a PC, you will always get PC pricing.
So basically it’s a fee (min initial order) to become a preferred customer.
How does qualification work though? If the customers aren’t ordering surely they don’t count towards anything?
once you become a PC, You will always get PC pricing.
But in order for them to qualify for your monthly BV, they would need to order that month. But they’re not required to be on autoship to stay a PC.
This is global.
Sounds good then.
BehindMLM… you need to update this review. Autoship is no longer required and rank advancement is based on sales volume.
Thanks Lef, I’ve flagged it for an update.
I suspect I’ll be updating a lot of our older review this year as the Vemma and Herbalife settlements continue to sink in.