Is Beautycounter A Legit MLM? Only 4.7% Make Enough Money?!

Is Beautycounter A Legit MLM? Only 4.7% Make Enough Money?!

“What is Beautycounter?”

“Is it a scam?”

“Do the products, and MLM opportunity really sounds that great?”

“Are there any side effects after using their products?”

You might hold a healthy dose of skepticism toward Beautycounter, and you might have these questions in mind, am I right?

Hey, this is Zac Phua, the owner of Life Goal Finisher. No matter what reason that brings you here, I must thank you for clicking on this page and read my review on the company.

That’s the exact way to avoid scams and find a legitimate way to make money online!

No matter what reason that brings you here, I believe this reviewing article will give answers that you want.

Rest assured, I’m not an associate with Beautycounter (and I never will), so I won’t pitch you to buy any products or even join the company.

Without further ado, let’s get started!

Table of Contents

Company Overview

Is Beautycounter a legit MLM - Beautycounter Logo

Company Name: Beautycounter

Business Niche: Beauty MLM Company

Founder: Gregg Renfrew

Founded In: 2013

Website: https://www.beautycounter.com/

Joining Fee: $98 one-time payment + $50 annual renewal fee

Direct Competitors: Pure Haven EssentialsFarmasiSeacret Direct

Pros

1) Vast Selection of Quality Product
2) Their Products Are Highly In Demand
3) Well Established Company

1) Competitive Niche
2) Expensive products
3) Low Income Potential

Overall SCAM Rating: 10/100 (Legit MLM)

Recommended: Not Really

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What Is Beautycounter?

Based in Santa Monica, California, Beautycounter is an award-winning cosmetics and skincare Multi-Level Marketing (MLM) company founded by Gregg Renfrew in 2013.

They offer a variety of toxin-free personal care products and a ‘platform which empowers people to create their own careers’ with modernized MLM business opportunity.

According to their 2019 income disclosure, Beautycounter had over 44,000 active consultants in the United States and Canada.

What sets Beautycounter apart from its rivals and become a fast-growing MLM company is their transparency of ingredients used in the products. 

They even have “The Never List” made up of over 1,800 questionable or harmful chemicals that they never use as ingredients in their products.

You can watch the short business intro video below to learn more about the “surface stuff” of the business before we get into deeper and see if this opportunity really that promising or just an MLM hype.

Who Is Gregg Renfrew?

Founder and Owner of Beautycounter - Gregg Renfrew

After reading Gregg Renfrew’s bio on Wikipedia, I can say that Gregg Renfrew was “born to be a business person”.

Their reason why I say that is because I know her story will motivate a lot of women and inspire them to be financially independent.

Here’s how her entrepreneurial journey looks like (as quoted from Wikipedia):

  • 1997 – Partnered with Hindmarch and launched The Wedding List in the United States.
  • 2001 – Gregg began a retail consulting practice and worked with companies such as J.Crew, Bergdorf Goodman, and Intermix.
  • 2006 – Gregg got promoted as the CEO of children’s retail organization Best & Co.
  • 2008 – She resumed retail consulting and worked with Jessica Alba.
  • 2013 – Gregg launched Beautycounter.
  • 2014 – Gregg was named one of Fast Company’s Most Creative People.
  • 2018 – Gregg was named on Inc. Magazine’s Female Founders 100 list.
  • 2019 – Gregg became a member of the publication’s Impact Council.

Going back to Beautycounter’s startup story. 

Gregg Renfrew found that the cosmetics products she was using contained harmful ingredients.

Indeed, among those 80,000 chemicals on the market today, only about 10% of the 10,000 chemicals commonly found in personal care products have safety data.

What’s making it worse is that most companies are allowed to use known toxins in personal care products without telling their consumers.

That’s why Renfrew decided to launch Beautycounter to offer consumers toxin-free and safer beauty products.

And when it comes to marketing her products, she refused to integrate MLM in her business because she had a negative bias towards such a “pyramid selling” strategy, until she also looked at the model and thought “we can do this better, too”.

And the rest is history.

Beautycounter Product Line

Beautycounter Product Line
Beautycounter Product Line

As yet, Beautycounter has more than 100 products in its range, and they can be categorized into 4 major categories, viz:

  • Skincare
  • Makeup
  • Bath & Body
  • Counterman (Personal care products for man)

You can see all their products here.

Customer Reviews On Beautycounter

Better Business Bureau

Trustpilot

Customer reviews on Beautycounter, as seen on Trustpilot.

Consumer Affairs

Customer reviews on Beautycounter, as seen on Consumer Affairs.

Glassdoor

Customer reviews on Beautycounter, as seen on Glassdoor.

Indeed

Customer reviews on Beautycounter, as seen on Indeed.

As you can see from the screenshots above, you can see that Beautycounter has a mixed review.

All in all, I can say that the company has a moderate reputation in public. It’s not too great, but not too poor as well.

Thus, I reckon the results that people get from any personal care products or programs are all boils down to one main factor: the human factor.

Here’re 2 reasons why do I say so:

1) You can create the best beauty products in the world. But in the end, it’ll still have people not be able to get results simply because they were not disciplined enough to follow the given instruction;

2) Or, their bodies can’t get used to the products because it worked differently for them.

How Do You Join Beautycounter & Make Money?

We know that Beautycounter is an MLM company. Do you know what the common downside in the MLM industry is? 

=> Complicated Compensation Plan

Every MLM company “loves” to make their compensation plan difficult to understand and making it look like there’re tons of ways to make money out of it. For sure, Beautycounter has no different here.

However,  their compensation plan is only 1 page long, and I can say that it’s more understandable than other MLM companies I reviewed before.

Still, to keep things simple for your better understanding, I will summarize everything for you in layman’s terms, and show you how you can participate in their MLM program and make money.

Here’s an image showing how the entire process works out. And my explanation will stick to it.

How you can make money with MLM

1) Pay The Joining Fee

Paying joining fee or buy the enrolment package before you can be an associate of an MLM company is like a norm in the industry.

There are very few MLM companies (almost none of them) that allow you to join their program without making any “money commitment”.

To be Beautycounter’s associate, you’ll need to buy their Business Starter Kit priced at $98. Within this enrolment package, you’ll get everything you need to run your business, these tools & resources are consists of:

  • Personalized website
  • Access to your back office
  • Thorough training 
  • 2 hero products

Besides that, a $50 renewal fee will be billed every year, and you need to reach at least 1,200 PV (Personal Volume) every six months to stay active.

Personal Volume is the sales volume generated by sales to retail customers and an associate’s product purchases.

2) Ways To Earn Commission And Incentives

As I’ve mentioned earlier, for some reason, most MLM companies are making their compensation plan hard to understand.

Hence, there’s no point for me to go into every detail of the Beautycounter compensation plan as that’ll bore you and “put you to sleep faster than a sloth on Ambien.”

For your better understanding, I’ll only briefly explain the main ways you can make money with the company.

Overall, there’re 4 primary ways for you to make money out of the company. 

Let me list them out with brief descriptions for your reference:

i) Retail Commissions

You can earn a 25% commission on any sales you make, either it’s online (through your personalized website) or offline (face-to-face selling).

ii) Personal Bonus

If you generate enough Personal Volume sales, you can earn bonus commissions. This bonus should be considered as additional retail profit.  

iii) Overrides Commission/Residual Commission

You earn a commission every time your downlines make sales and recruitments, as shown in the figure below.

Beautycounter Compensation Plan
Beautycounter Compensation Plan

Beautycounter MLM leaderboard has 8 rankings, which means if your ranking is higher, you’ll be qualified to earn more commissions, up to 7 levels deep.

iv) Frontline Business Builder Bonus

You’ll be rewarded a cash bonus every time you manage to maintain a 1,200 qualifying bonus for 6 months.

It’s Confusing. I know.

I’ve done explaining the basics of Beautycounter’s compensation plan. Please don’t worry if you don’t understand what I am saying because this is not the core topic of this article.

I think you should put your attention on the pros & cons of the company, which will help you to ponder whether this MLM opportunity is worth a try or not, more on that later.

However, if you wish to learn more about the compensation plan, and reading words is not your forte, you can watch the video explanation below.

3) Leveraging Downline Team

The last thing you should do is try your very best to recruit as many people as possible to build a reliable downline team and earn commissions.

If you hate this recruitment game, I am sorry to tell you that you’ve no choice.

In order to succeed in MLM, the ideal way is to form a downline team that can branch out your circle and maximizes your earning potential. 

That’s why it’s called Multi-Level Marketing

Are you tired of MLM & Internet Scams? Why not learn to start your own business instead?

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Pros

1) Vast Selection of Quality Product

As I’ve mentioned earlier, Beautycounter has over 100 products, and the number is getting bigger every year.

With a massive library of quality product selection, it’s like a high standard one-stop-shop for anyone who enjoys shopping for beauty and skincare products.

2) Their Products Are Highly In Demand

According to Google, Beautycounter was the top trending search for beauty brands in 2018. 

After I double-checked it on Google Trend, I found out that the public interest toward Beautycounter is increasing exponentially over the past 5 years.

Here’s the screenshot of the report by Google Trend:

Researching Beautycounter on Google Trend.
Researching Beautycounter on Google Trend.

In other words, the products manufactured Beautycounter might be high-in-demand in the market right now, which is a good sign for people who want to market their products.

3) Well Established Company

Since Beautycounter was launched in 2013, they’ve been nominated as:

I think these awards can be solid proof to claim that they do have a firm background and business foundation, which would enable them to survive in such competitive industry for a really long time.

Cons

1) Competitive Niche

If you look at the previous reviews I’ve done on other MLM companies, you’ll see that most of them are either in the health and wellness niche or beauty and cosmetics niche.

Beautycounter direct competitors consist of MLM “heavyweights” like Seacret Direct, Pure Haven Essentials, and Farmasi.

It’s tough to sell Beautycounter products when consumers can find better and cheaper alternatives on the market. 

And this will only be getting worse if you’ve lousy closing/marketing skill and realize that there’re hundreds of thousands of distributors are competing with you.

2) Expensive products

The quality of Beautycounter products is considered top-notch in the industry. So we can’t expect them to have a very low price point.

Therefore, I believe most people can’t afford Beautycounter products and use them for the long term because they’re quite expensive. 

Additionally, their products don’t work for everybody, like I said in the earlier chapter.

3) Low Income Potential

While the company guarantees safe and healthy products, it doesn’t guarantee you a decent stream of income.

Based on their 2019 income disclosure statement, not a lot of members are making some serious dough.

Beautycounter Income Disclosure
Beautycounter Income Disclosure

Here’re some of the highlights from their compensation plan:

  • As of December 2019, Beautycounter had over 44,000 Independent Consultants in the United States and Canada.
  • On average, new Consultants spent $440 at the time of enrollment in 2019.
  • The average total annual income for all U.S. Consultants was $2,060.
  • Top 1% of Consultants were paid on average $94,718.
  • Top 10% were paid on average $16,410.
  • Top 50% were paid on average $4,056.
  • Only 4.7% earned more than $1,000/month.

If you’re looking for a full-time income source by making money online, this might not be the opportunity for you.

But if you just want a few extra bucks selling stuff or be a regular customer, this is worth looking into.

So, Is Beautycounter A Legit MLM?

Don’t you dare lie to me GIF

Now to the most crucial verdict: Is Beautycounter a legit MLM?

Well, my answer to that is: ABSOLUTELY! 

They are not just a legit MLM company, but also a great company that does their best to create cosmetics that don’t harm human skin and pollute the planet.

I recommend their products to anyone who wants to try them out, but their MLM business opportunity is a Big NO-NO!

Why? Because their earning potential is too low, and not everyone likes face-to-face selling, let alone MLM has a bad name in public, most people just simply hate it.

In fact, if you have incredible sales skills, I think it’s quite likely that you could use those skills to make even more money in a regular sales job compared to promoting Beautycounter products.

You Deserve A Better Opportunity

Kudos to you! You’ve just read 2300+ words and still counting. If you make it this far, I commend your commitment.

Meanwhile, I can also feel how serious you’re when it comes to finding a proper way to make money from home.

MLM is great. 

I am also not saying that people can’t make a decent living with MLM. But it often represents a tiny group of people who joined the program early.

That said, it’s challenging for people who’re BOPs (bottom-of-pyramid) to make some serious dough because they’re running out of people to “recruit”.

MLM Unilevel Compensation Structure

Instead, Affiliate Marketing is my top recommended business model for anyone to make money from home.

The reason is simple…

Advantage 1: No Recruitment Needed

  • You don’t need to “chase” after people and talk them into MLM opportunity where most people lose money.

Advantage 2: Freedom of Choice

  • You can promote any products you love and not be restricted only to promote the products from one MLM company.

Advantage 3: Low Startup Cost

  • Unlike MLM, where you’ll need to pay a pricy introductory fee to join, it takes little to no startup cost to kickstart your entrepreneurial journey in Affiliate Marketing.

You might think I’m biased, but I’m just telling the truths…

If you are sick and tired of MLM and “Biz Opp” Scams, click the “Learn More” button to discover my top recommended learning platform that can help you turn your passion into profits with Affiliate Marketing!

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Zac Phua

Zac Phua

Phua is an internet business enthusiast who loves to talk about online business ideas, affiliate marketing tools, tips, and other sources of income available on the internet. He launched lifegoalfinisher.com and use it as a resource center where he can share his thoughts and experiences to benefit any newbie who wants to learn more about internet marketing.

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6 thoughts on “Is Beautycounter A Legit MLM? Only 4.7% Make Enough Money?!”

  1. My girlfriend wanted to start promoting some beauty products and I decided to research this program. Thanks for your information about this. I think that it’s just not good enough since the products are too expensive, and the earning potential isn’t the best.

    Do you know what are some best beauty affiliate programs that my girl can use on her Instagram to promote and earn money? She has a large number of followers over there.

    1. Thanks for your comment, my friend.

      For your question, I suggest you look for relevant affiliate programs on Google by typing “[YOUR NICHE] + Affiliate Program.”

      For example, you’re looking for beauty affiliate programs for your girlfriend, then you can search the term “cosmetics + affiliate program” on Google, and I am pretty sure you’ll get a lot of amazing results.

      By the way, if you’re interested in learning affiliate marketing, I suggest you give Wealthy Affiliate a try. To me, they’ve the most advanced training out there.

  2. I liked the way you approached the review by attaching a very intriguing  “come on” that offers perhaps a better way to make money with what could turn into a very lucrative business. I don’t mean  the  “come on” as a negative, it’s a very clever approach and quite eye catching.

    Your review of BeautyCounter is thorough. You describe the product in favorable terms and give a good background of the company. Indeed, the only real drawback is the amount of money you can make for the amount of time spent. That is what I don’t like about MLM’s– the amount of work you have to put out and the small amount of return. I tried a couple of MLM’s and quickly found that I was spending more money than I was making.

    I found your review very fair and fully revealing. I also found your promotion of another way to make money extremely clever. It’s a good twist. Obviously, a person wouldn’t be reading your review if they weren’t looking for a good way to bring in a cash flow.You didn’t just leave your readers disappointed, you gave them a new idea.

    1. Thanks for your feedback on my article, Barbara. Your support is my “gasoline” to publish more valuable articles to serve my audiences.

  3. I have never been a fan of MLM platforms and this is mostly because they do not seem to be genuine to me I have been a bad victim of those networking and I hope that I don’t encounter them anymore. Here you have given indepth information about this beauty counter and I don’t think I’d like to join but there surely are other better ways to be able to make money online than opting for networking platforms.

    1. Thanks for your comment, Payton.

      Indeed, MLM is also not my first choice when it comes to making money from home.

      It’s not because it’s illegal or not profitable, but because of all the restrictions and the expensive costs involved.

      Instead, Affiliate Marketing is my top recommended business model for anyone to make money online.

      The reason is simple…

      #1: You don’t have to recruit anyone to make money
      #2: You have the freedom to promote any products you want and not being restricted to only promote the products from one MLM company
      #3: It’s Free to get started

      If you’re interested in getting started with Affiliate Marketing, I suggest you give Wealthy Affiliate a try.

      To me, they’re the best learning platform for affiliate marketing.

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