(2022) Is Beautycounter an MLM?
Beautycounter Overview and Review
Whether you’re a makeup enthusiast who wants to work for yourself or a professional makeup artist looking to sell products, you’ve probably heard of Beautycounter.
According to the Beautycounter website, they’re a brand dedicated to clean beauty and helping people start purposeful, flexible businesses. Unfortunately, this is a common claim these days.
In a market that’s super-saturated with predatory “opportunities” and “programs,” you should always do thorough research before jumping on board with any company that makes you a “rep” or a “consultant.”
At the same time, some of these programs are legitimately good opportunities for people trying to break free of the 9 to 5 grind. Today, I’ll be taking you through Beautycounter as a brand, what it’s like to be a rep, how to join, if it’s legit, and my overall opinion. Let’s get started!
What is Beautycounter?
Beautycounter is a beauty company that claims to be committed to clean beauty and helping people start their own businesses.
They offer a range of skincare, hair care, and makeup products, as well as home and office products. You can purchase these products from the Beautycounter website or through one of their independent consultants.
The company was founded in 2013 by Gregg Renfrew, who is also the CEO. According to Crunchbase, prior to Beautycounter, Ms. Renfrew served as the CEO of such companies as Divine.com and True & Co..
Is Beautycounter a Pyramid Scheme?
No, Beautycounter is not a pyramid scheme. In order for a company to be considered a pyramid scheme, there must be an emphasis on recruitment over selling products.
With Beautycounter, you can make money by selling products and recruiting other consultants. However, you’ll only make a commission on the products that you sell, not the people you recruit.
High Failure Ratio
One thing to keep in mind with any direct sales company is that the failure rate is incredibly high. In fact, 99% of people who join direct sales companies never make any money, according to Forbes.
This is because most people who join these companies are not prepared to put in the work required to be successful. It’s not enough to just sell products- you need to be able to market yourself and your business effectively in order to make sales.
Is Beautycounter a Scam?
No, Beautycounter is not a scam. While the company does have a high failure rate, this is not because they are scamming people.
The issue is that most people who join direct sales companies are not prepared to put in the work required to be successful. When you don’t see results, it’s easy to feel like you’ve been scammed.
However, if you’re willing to put in the time and effort, Beautycounter can be a great opportunity to make money.
Is Beautycounter an MLM?
Beautycounter is an MLM, which stands for multi-level marketing. In order for a company to be considered an MLM, they must allow their consultants to earn a commission not only on the products they sell, but also on the products sold by the people they recruit.
How to Make Money from Beautycounter
As I mentioned before, you can make money from Beautycounter by selling products and recruiting other consultants.
The company offers a tiered commission structure, which means that you’ll earn a higher percentage of commissions as you sell more products. For example, if you sell $200 worth of product in a month, you’ll earn 10% commissions. If you sell $800 worth of product, you’ll earn 15% commissions.
You can also earn bonuses and overrides- which are commissions on the sales made by the people you recruit. The overrides are tiered as well, so you’ll earn a higher percentage on the sales made by consultants you’ve personally recruited, as opposed to the people they recruit.
How Does Beautycounter Work?
The Beautycounter works by allowing people to join as consultants and sell products through an online store or in person.
You can also earn commissions by recruiting other consultants to join Beautycounter. When they make sales, you’ll earn a override commission on those sales.
Once you start to run low on products, you place another order from Beautycounter. They have a small variety of different priced packages, some relating to skincare and others relating to makeup.
Or, as mentioned above, you can set up an online storefront where customers purchase instead. You can also host in-person pop up events, like most MLM companies.
How Much Do Beautycounter Consultants Make?
The amount of money you can make as a Beautycounter consultant depends on how much effort you’re willing to put in.
If you’re only selling products, you can expect to make 10-15% commissions on your sales. However, if you’re also recruiting other consultants and earning overrides, you have the potential to make much more money.
The key to making good money with Beautycounter is to build a team of consultants who are also selling products and recruiting others. This way, you’ll earn overrides on their sales as well.
How to Join Beautycounter
Joining Beautycounter is easy- simply create an account on their website, enroll in their consultant program using the link in their menu, and purchase your starter retail plus business launch kit.
The starter package includes everything you need to launch and make sales, including product samples, business materials, and training resources.
How Much Does It Cost To Join Beautycounter?
The cost of joining Beautycounter varies depending on which country you live in. In the United States, you have to buy their digital business launch kit ($50) and one of their starter kits. The cheapest starter kit is $79, but it only includes sample envelopes-- no actual products for you to sell.
The cheapest starter kit that does contain retail product is $126, meaning you'll spend a minimum of $176 to get started.
Do Any Celebrities Use Beautycounter?
Yes, there are a number of celebrities who use Beautycounter products. Some of these include Jessica Alba, Gwyneth Paltrow, and Olivia Wilde. These celebrity testimonials may make it easier for you to land sales... but keep in mind that in this day and age, everybody knows you can pay a celebrity to use just about any product.
Basically, saying a celebrity uses Beautycounter products just doesn't carry the same weight it once did. If you have friends who are major fans of these women, though, it could make your sales pitch a lot simpler.
Things I Like in Beautycounter
Typically, I’m not a fan of MLMs. They’re just so rarely set up to actually help the reps earn a living, and seem instead designed to prey upon optimistic entrepreneurs. That said, Beautycounter is doing some things I do really appreciate.
Truly Safe Beauty Products
One thing I like about Beautycounter is that their products are safe and free from harmful chemicals. This is something that is important to me, and it’s one of the reasons I would sell their products.
They also seem to understand how many companies throw around terms like “clean beauty.” Because clean beauty, non-comedogenic, mineral-free, organic, and oil-free are not makeup categories regulated by the FDA, many shady companies slap these phrases all over their toxic products without a second thought.
Beautycounter, on the other hand, has what they call The Never List. It’s a list of over 1,800 ingredients that they never have and never will use in their products. And many of the ingredients have already been banned in other parts of the world, while major US makeup brands continue to use many of these ingredients.
On top of that, they are committed to sourcing all ingredients with a very high standard of safety and quality. They don’t accept “trace levels” of anything in their ingredients, and I wish more companies were this focused to transparent manufacturing processes.
Frankly, in a world that’s currently obsessed with ethical, clean, sustainable manufacturing, you may see great success by including these details in your sales pitches as a Beautycounter rep.
You Can Make Actual Money
Another thing I like about Beautycounter is that there is potential to make good money if you’re willing to put in the effort. I found a number of people who have made a full-time income from selling Beautycounter products.
As far as I can tell, Beautycounter is one of the most low-key and reasonable when it comes to rep purchases. Most MLMs require you, as a rep, to purchase a set dollar amount of product every month. If you don’t, you’re unceremoniously booted without a second thought.
But Beautycounter has a 6-month threshold for reps. If you don’t sell a certain amount within a 6-month period, you’re booted from the program. This is still a bit predatory, but far more lax than what other companies do– and a 6 month window instead of a monthly gives you time to plan lucrative sales events and pitches.
Be sure to read our other reviews of online money-making opportunities on I Buy I Review before investing your time and money.
Things I Dislike in Beautycounter
Like any MLM, there are several things I really dislike about Beautycounter. But everyone has their own pet peeves, so think about how much the issues below will matter to you.
Seriously Overpriced Products
One thing I don't like about Beautycounter is that some of their products are overpriced. This can be off-putting to customers, and it makes it difficult to sell products.
If Beautycounter was the only clean beauty brand, this price point wouldn't be an issue. But considering how much easier it's gotten to make safe, clean beauty products in recent years, you might be hard-pressed to convince people to buy makeup at this price.
To be clear, I found brands selling makeup with the exact same ingredients and clean beauty claims for less than one-third the price of Beautycounter products.
Recruit, Recruit, Recruit
Another thing I don't like about Beautycounter is that there is a lot of emphasis on recruitment. While it's important to recruit other consultants, I feel like the company puts too much emphasis on this and not enough on selling products.
But this is a problem I have with every single MLM, and it's what makes a company an MLM... so it's not really surprising to see it here.
Extremely Saturated Market
Beautycounter is far from the first brand you think of when you think of makeup. This space is especially hard for new brands-- and reps of those new brands-- to break into.
And Beautycounter isn't doing enough to set their brand apart. Sure, they're a clean beauty brand, but they are the most expensive clean beauty brand. You can find products with almost identical ingredients and shade ranges for a fraction of the price from more known makeup brands.
You'll Feel Pressured to Buy Your Own Stuff
I mentioned the 6 month quota a moment ago. I do think it's one of the fairer MLM quotas out there. But unfortunately, many reps feel pressured to buy their own product at retail price to meet this quota.
This is why so many reps for MLMs in general fail to make a profit. The products themselves are so expensive that buying them at retail price to hit your quote will immediately eat up any profits for you-- while putting more money into Beautycounter's pocket.
Beautycounter: The Bottom Line
Overall, I think Beautycounter is a good opportunity for those who are interested in selling safe, healthy products. There is potential to make good money, but it will require some effort. If you’re not interested in recruiting other consultants, then this may not be the right opportunity for you.
I also want to be crystal-clear here: Beautycounter is absolutely an MLM. Generally, reps for MLMs just don’t make money.
If you’re in the perfect storm for selling these products… for example, your friends see you as a makeup wizard… they have a lot of expendable income… they don’t already have favorite beauty products… they love 1 or more of the celebrities using Beautycounter… and you have successful sales experience, then Beautycounter might be just perfect.
But if you’re missing more than one– or even just one– of the criteria I just listed, be very careful. It’s more likely that you’re in the 99% of people who can’t make money from an MLM than you being in the 1% who can, especially if you don’t meet the ideal situation I outlined above.
Be sure to read our other reviews of online money-making opportunities on I Buy I Review before investing your time and money.
I buy and review courses so you don’t have to. Sometimes, I even find courses that are legitimate and worthwhile; and that’s how I accidentally came across one that led me to building a 6-figure business in a little under 5 years. Now, I still review courses because it’s my favorite hobby. 🙂 Learn more about me here.
One thought on “(2022) Is Beautycounter an MLM?”
This is a pretty good review. I’ve used beauty counter on and off 6 years. While they are pricey, they have regular sales to save at least 20% and if you become a consultant, it’s 25% off which makes the products about average market price. You’re paying for their regular product testing of things like heavy metals, impurities, toxins, and their lobbying for safer products. I don’t use a ton. Of skin care products, prob less than my brother, lol, but I do have peace of mind using BC products, because walking into Sephora is like a chemical party I don’t miss. That being said, the 6 month product amount to sale is $750 and really it’s to prevent people from joining to just get the discount. Understandable, as I wanted to do that lol, Overall, fair review. Like any businesses gotta put some effort into it, but if you enjoy the products, that makes it easy. Thanks for this fair review.