Welcome to my detailed “Younique MLM Review.” Younique has garnered attention in the beauty industry not only for its products but also for its business model, which utilizes multi-level marketing (MLM).
This review aims to dissect the opportunities and challenges presented by Younique, helping you determine whether this MLM company is a suitable venture for earning money from home. As we navigate through the various aspects of Younique’s business strategy, product offerings, and overall market reputation, we’ll uncover the realities behind its appealing promises.
Whether you’re considering joining Younique or simply curious about its operations, this review is designed to provide you with a comprehensive overview.
Disclaimer: This Younique review has been thoroughly researched with information and testimonials that are available online to anyone in the public. Any conclusions drawn from that information are my own opinions.
Younique MLM Review Overview
Product Name: Younique
Owner: Derek Maxfield and Melanie Huscroft
Product Type: Beauty Products MLM Company
Price: $35 for the starter kit, plus $125 every 3 months
Best For: Established Network Marketers
Pros
- Good-Quality Products
- Ease of Joining
- Established & Legit Company
Cons
- Low-Income Potential
- High Costs & Market Saturation
- Recruitment-Driven Structure
- Decline Popularity
- Perceptions of Pyramid Scheme
Quick Summary
Younique presents itself as a promising opportunity for those interested in the beauty industry, offering a platform to earn from home by selling makeup and skincare products. As a legitimate company with over a decade in business, it distinguishes itself from many other MLMs by providing quality products and a structured support system for new representatives. However, while Younique encourages empowerment and entrepreneurship, it also necessitates a significant focus on recruitment to truly succeed, which can be a major hurdle for those without a large network or sales experience.
The financial realities of working with Younique, as highlighted by the company’s own income disclosure statements, show that a substantial majority of its members earn less than $833 annually. This, combined with the high costs of the products and the necessity to meet quarterly sales quotas to remain active, makes profitability a challenging prospect for many. Additionally, the emphasis on recruitment over direct sales further complicates the earning potential, leading some to compare Younique’s business model to a pyramid scheme.
Despite these challenges, Younique remains popular among certain segments of entrepreneurs who appreciate the company’s quality products and the flexibility of managing their own online business. Those considering joining Younique should weigh these pros and cons carefully, considering other more straightforward e-commerce opportunities that don’t involve complex MLM structures or recruitment pressures. This review hopes to guide prospective members in making an informed decision about their involvement with Younique MLM.
Recommended? No
Table of Contents
Is Younique a Scam or Legit MLM?
Younique isn’t a scam, but there are several red flags surrounding its business model that might make you think twice. While representatives can indeed make money by selling the company’s premium products, the real cash often comes from recruiting others—a typical marker of many challenging MLM scenarios.
However, it’s important to note there are numerous other ways to establish a business, even within the multi-level marketing framework. Sadly, Younique doesn’t hit the mark as a top choice in this arena.
I want to make it clear that my review is unbiased and not swayed by any financial incentives. While MLM schemes can sometimes offer legitimate opportunities, they also frequently lead to substantial financial risk.
Shockingly, over 95% of participants in such programs reportedly end up incurring losses or falling into debt. This is a critical statistic that can’t be ignored, and it’s one of the main reasons I steer clear of recommending Younique MLM.
Technically speaking, Younique isn’t a scam. But if you’re looking to make money by selling products that aren’t your own, there are far better options out there that deserve your attention.
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What Is Younique?
Founded in 2012, Younique has quickly made a name for itself in the makeup and beauty product industry. By 2022, they boasted a network of over 500,000 distributors spread across the UK, the United States, Canada, Australia, and New Zealand.
Younique puts a heavy emphasis on empowering women and utilizes social media and virtual ‘digital parties’ to draw in customers and new representatives. Each presenter is equipped with a personal website, which they use to promote products and recruit new members.
Their recruitment pitches are often filled with encouraging phrases like “Believe in yourself!” and “Pursue your dreams!” These are designed to lure you into joining their program.
But it’s vital to remember that the chances of actually succeeding in this venture are slim. In fact, according to the FTC, a significant majority of individuals who take part in MLM schemes end up failing. This stark reality brings up serious questions about whether Younique is genuinely a viable way to earn or if it’s closer to a pyramid scheme that requires a cautious approach.
In the following sections of this review, we’ll dig deeper into these issues to give you a well-rounded understanding of what Younique really offers.
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Who Started Younique MLM?
Younique was brought to life by siblings Derek Maxfield and Melanie Huscroft, who embarked on a mission not just to sell beauty products but to support survivors of childhood sexual and physical violence in finding healing and hope.
Derek, with a rich background of 12 years developing software for industry leaders, saw a niche in the direct marketing world that he believed was underexploited. His vision was to revolutionise the traditional sales model by moving away from the usual house party setup to a more modern approach of social marketing and digital events. This pivot has allowed Younique Presenters to run their businesses entirely from their mobile phones, offering unmatched flexibility and accessibility.
Melanie, combining her skills with her brother’s technological expertise, aimed to craft a unique direct marketing experience. Since Younique’s inception, it has thrived under her direction, benefiting from her extensive experience in advertising, art, marketing, purchasing, sales, and her keen sense for fashion and beauty.
While the fact that Derek and Melanie are real people with genuine backgrounds may dispel some myths about Younique being a scam, it doesn’t entirely clear up the concerns regarding the nature of their MLM model. Is it just another pyramid scheme, or is there real opportunity to be found? This question remains at the heart of the debate surrounding Younique MLM.
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Is Younique MLM a Pyramid Scheme?
First things first: Younique is not officially classified as a pyramid scheme. They offer real products which their “representatives” can sell on their websites to generate income. However, it’s crucial to note that while most MLM companies sell legitimate products or services, the challenge often lies in the products’ high prices and the monthly quotas that representatives must meet.
This setup pushes representatives toward a reality where the primary way to make substantial money—or even just avoid losses—is by continually recruiting more people into the company. Because of this dynamic, some observers argue that Younique skirts close to being a pyramid scheme in disguise.
What is a Pyramid Scheme?
A pyramid scheme is a business model that relies heavily on recruiting new members, promising them payment or services mainly for enrolling others rather than through the sale of actual products or investments.
Given this definition, concerns arise because a significant portion of potential earnings in Younique comes from recruiting a large number of people into the MLM structure, not just selling beauty products.
Is Product a Pyramid Scheme in Disguise?
In my earlier reviews, I’ve emphasised that Younique is not a fraudulent pyramid scheme. The company pays commissions based on product sales and the sales made by the recruits. Importantly, Younique does not offer direct payments simply for recruiting new members, which helps distinguish it from pyramid schemes.
However, the heavy emphasis on recruitment for achieving higher earnings has led some to perceive Younique as a pyramid scheme in disguise. Ultimately, whether you view it as such depends on your interpretation of MLM practices and pyramid schemes.
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What Products Does Younique Sell?
Younique takes pride in a product line that resonates with three core principles: nature, love, and science. Their offerings are extensive and cater to nearly every cosmetic need:
- Eyes: From eyeliners to mascaras, their eye makeup aims to enhance and define.
- Lips: Lip glosses and lipsticks in various shades to suit every mood and occasion.
- Face: A range of foundations, bronzers, and blushers designed to create a flawless complexion.
Skincare Essentials
Beyond makeup, Younique also ventures into skincare, providing essentials like:
- Masks
- Cleansers
- Toners
- Serums
- Moisturizers
Younique’s Best-Selling Product
Moodstruck 3D Fiber Lashes: This lash enhancer is not just a popular item; it was Younique’s first breakthrough product, setting the stage for their rapid growth in the beauty industry. Following its success, other hits include the Touch Mineral fluid foundation, Moodstruck Dash liquid lipstick, and Moodstruck Legendary mascara.
Is Younique Truly All Natural?
Younique markets its products as primarily natural. According to guidelines similar to those from the Natural Ingredient Resource Center, a product is considered “natural” if it contains at least 95% naturally sourced ingredients.
The remaining 5% may include necessary components that don’t meet this strict criterion but are still free from artificial fragrances, synthetic colours, or harmful fillers.
Is Younique Makeup FDA Authorised?
While the FDA does regulate colour additives in makeup—excluding coal tar hair dyes—it does not have the authority to approve cosmetics before they hit the market. However, all cosmetics, including those offered by Younique, must comply with standards that ensure they are not “adulterated” or “misbranded.” This means they should be safe for use as intended and properly labeled. Companies and individuals who market cosmetics are legally responsible for the safety and labelling of their products. Should the FDA find significant evidence of a product being unsafe or mislabeled, it can take regulatory actions to protect public health.
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How Does Younique MLM Work?
Joining Younique means starting your own beauty business, primarily from home or online. As a new style consultant, you’ll begin by purchasing a supply of makeup to sell, and you can earn commissions from these sales. Additionally, you have the option to recruit others and earn from their sales too, stepping into a trainer role.
A significant concern with Younique, as previously discussed, is the qualifications for earning rewards. You must meet specific sales thresholds to be eligible for payments. Unfortunately, many find these levels challenging to achieve, leading to lost potential earnings.
How To Join Younique MLM?
To become part of Younique, you need a sponsor to sign up under. If you don’t know any current presenters, the company can help connect you with one. Joining requires a $35 fee for a starter kit.
While waiting for your starter kit, you can dive into Youniversity Training to learn more about service and advertising. You’ll also get a personal website with an eCommerce shop to start selling from home.
How Much Does It Cost To Join Younique MLM?
The initial membership fee is $35, previously $99 for the business kit.
Remember, staying active as a presenter involves selling at least $125 worth of products every three months.
How To Make Money With Younique MLM?
As with most MLMs, there are two ways for you to make money with Younique:
- Selling Products: Earn commissions by selling Younique’s beauty products.
- Recruiting New Members: Receive bonuses from the sales or purchases of those you recruit.
Recruiting effectively is often seen as the more reliable method for generating significant income with Younique, which is a focal point of critique by those who label the company as a pyramid scheme.
What Is Younique's Compensation Plan?
Younique’s compensation plan features 8 colour-coded ranks that determine your earning potential:
- White to Black: Starting at 20% commission as a White Presenter and up to 30% as a Black Presenter.
Once you reach the Pink rank, you start earning commissions from your downline. Here’s how the additional earnings break down:
- Circle Royalties: Earn when your direct recruits sell products.
- First-Generation Royalties: Earn a percentage from sales made by recruits of your direct recruits.
- Second and Third Generation Royalties: Continue earning from sales made by subsequent layers of recruits.
The percentages of these royalties range from 3% to 6%, depending on the number of people you recruit and their success in further recruiting.
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Can You Make Money With Younique MLM?
While it’s technically possible to earn a good income with Younique by climbing to higher statuses like Green, where you can earn up to 30% on personal sales and additional percentages on team sales, achieving this is no small feat. For instance, reaching Green Status requires you to maintain $500 in personal sales, ensure three of your recruits each sell $125 monthly, and hit $2000 in total team sales monthly.
However, the system has a cap. There’s a $10,000 limit on the wholesale income you can earn from your team’s sales monthly. Even if you reach Green Status, translating these efforts into actual income can be challenging, as demonstrated by the example:
- Individual Sales: $500 at 30% commission = $150
- Circle Sales: $2000 at 5% commission = $100
- First Generation Sales: $8000 at 3% commission = $240
- Total Earnings Example: $490
Yet, Younique’s own income disclosure reveals that 91% of members earn less than $833 annually, suggesting that only a small fraction at the very top see substantial earnings. This discrepancy often raises concerns about the overall viability of the business model. Here’s a screenshot of their latest income disclosure statement:
Younique Reviews and Complaints
The legitimacy and appeal of Younique can partly be gauged through online reviews, which are predominantly negative when focused on their MLM structure. For example, TrustPilot features a majority of reviews labeling Younique MLM as a scam. Conversely, consumer platforms like Consumer Affairs and SiteJabber offer average ratings around 3.5 to 3.6 out of 5, reflecting a mixed reception.
These reviews often highlight a critical view of the MLM business model rather than the product quality. For instance:
- Positive Feedback: Users appreciate the quality and effectiveness of Younique products, particularly praising how well they suit sensitive skin conditions like eczema and rosacea.
- Negative Feedback: Criticisms are mainly directed at the MLM model, where users report negative experiences with the company’s business practices, such as poor customer service and issues with the company removing sellers from their roles, which can be seen as undermining the business opportunity.
Customer Testimonials
- Positive: “I absolutely love their products; their foundation feels light as air, and the pressed powder is top-notch. Their epic mascara is the only one I use because it’s fantastic.”
- Negative: “I would never recommend joining the MLM aspect. It’s like a high school clique that ends up hurting more than helping. After a bad experience with customer service and product quality that didn’t match what was promised, I’m done with Younique.”
Younique MLM Review: What I Like
When considering a multi-level marketing opportunity like Younique, it’s crucial to weigh the positive aspects that might make it an appealing choice for those looking to sell makeup and earn from home. Younique sets itself apart with several key benefits that differentiate it from other MLMs, making it worth a closer look for potential representatives.
Here are some of the pros that stand out in my review:
#1 Good-Quality Products
One of the strongest points in favour of Younique is the quality of its products. If you’re passionate about beauty and skincare, Younique offers a diverse range of items that you can choose to sell, focusing on what best suits your and your followers’ preferences.
The favourable reception of their products by customers also helps make promoting and selling through your eCommerce shop more straightforward.
#2 Ease of Joining
Younique also excels in making the entry process as easy as possible. You can get started almost immediately by registering and obtaining your website, even before your supplier kit arrives. The company supports new sellers with extensive training in business and marketing, ensuring that even those with no prior experience can get up and running smoothly from the comfort of their own homes.
#3 Established and Legitimate Company
In the MLM world, longevity is a strong indicator of legitimacy. Over half of MLM companies fail within the first five years, so the fact that Younique has been thriving for over a decade speaks volumes. This track record helps to dispel concerns about the company being a scam, affirming its status as a stable and legitimate business in the competitive beauty industry.
Younique MLM Review: What I Don't Like
While Younique offers some distinct advantages, it’s not the perfect fit for everyone, especially for those without a wide network or large target market. Here are some key drawbacks I’ve identified in my review of Younique MLM:
#1 Challenging Earnings Potential
The financial outlook for most Younique representatives is less than promising. According to the company’s 2022 income disclosure statement, 91.2% of members earn $833 or less on average annually.
After factoring in expenses, this suggests that most participants might actually lose money. Without significant sales or recruitment, your earnings potential is severely restricted, leading some to label Younique as a pyramid scheme in disguise.
#2 High Costs and Market Saturation
Younique’s products are often priced significantly higher than similar items from other brands—sometimes up to three times more expensive. This pricing strategy can make it difficult to make sales and recruit new sellers who could buy into the system. Additionally, staying active as a seller requires either making or purchasing $125 worth of products every three months, adding financial pressure.
#3 Recruitment-Driven Structure
Younique, like many MLMs, places a heavy emphasis on recruiting new sellers. This requirement not only increases competition among sellers but also makes it difficult to sustain sales without a broad social media reach or network. The focus on recruitment over product sales can alienate potential customers and even strain relationships with family and friends, risking personal connections for business gains.
#4 Declining Popularity
Network marketing companies often benefit from initial bursts of growth and popularity, but Younique has moved past this early phase and is facing decreasing visibility in a competitive market. This decline can make it harder to attract new sellers or customers, as the brand no longer carries the novelty or momentum it once did.
#5 Perceptions of a Pyramid Scheme
The primary strategy for making money with Younique hinges on recruiting rather than direct sales, leading to perceptions that the MLM operates similarly to a pyramid scheme. Despite being a legitimate company, the emphasis on building a downline over selling products directly contributes to these negative views.
Younique MLM Review: Conclusion
Despite the blurred lines often seen between multi-level marketing and pyramid schemes, Younique stands out as a legitimate company. It offers the potential to earn money from home, manage your own website, and support other women. However, the costs associated with joining and staying active, along with the emphasis on recruitment, present significant challenges. Achieving a full-time income through selling products alone is unlikely.
For those looking to start an online business, there are many other legitimate ways to promote products you are passionate about without the complexities of an MLM.
Thank you for reading this review. What do you think about Younique? Do you consider it a pyramid scheme or scam? Have you had any experience with this company? Feel free to leave your thoughts and reviews below!
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