The Complete Longaberger MLM Review: Legit or Pyramid Scheme?
Are you interested in joining Longaberger, a U.S. manufacturer and distributor of handcrafted maple wood baskets and other home and lifestyle products? In this complete Longaberger MLM review, we’ll let you know if we think it’s a legitimate business opportunity or if it’s a pyramid scheme. We’ll also share with you some of the history of Longaberger, what products the company sells, how to join Longaberger, the company’s compensation plan, whether Longaberger has faced any complaints or lawsuits, what we like about Longaberger and what we don’t like, and alternatives to Longaberger.
History of Longaberger
The Longaberger Company was founded in 1973 by Dave Longaberger. The company is headquartered in Newark, Ohio and has a manufacturing facility in Frazeysburg, Ohio. Longaberger is a direct sales company that sells its products through a network of independent distributors, who are also Longaberger’s customers.
J.W. Longaberger, the father of Dave Longaberger, was a basket maker. In the 1940s, J.W. Longaberger started making baskets in his basement with the help of his children. The company was originally called Longaberger Basket Company and focused on making handcrafted maple wood baskets.
In the 1970s, Dave Longaberger took over the family business and started to expand the company. He began to sell Longaberger products through home parties and fairs. In 1986, Longaberger launched its first national advertising campaign. The company also started to sell its products through department stores such as Macy’s, Bloomingdale’s, and Lord & Taylor.
In the 1990s, Longaberger experienced rapid growth. The company went public in 1995 and built its iconic basket-shaped headquarters building in 1997. Longaberger also started to expand its product line beyond baskets, and began to sell home decor, pottery, and other products.
In 2000, Dave Longaberger stepped down as CEO of the company and was replaced by Tami Longaberger, his daughter. In 2007, Longaberger filed for Chapter 11 bankruptcy protection and was later acquired by CVSL, a holding company. Tami Longaberger stepped down as CEO in 2013, and the company has since been run by CVSL’s management team.
Longaberger Company’s mission is “to help people live better lives.” The company accomplishes this mission by selling products that are designed to make people’s lives easier and more enjoyable. Longaberger also strives to provide its customers with excellent customer service.
What products does Longaberger sell?
Longaberger sells a wide variety of products, including baskets, pottery, home decor, and more.
- Baskets: The company’s most popular product is its handcrafted maple wood basket. Longaberger also offers a wide variety of other baskets made from different materials, such as wicker, plastic, and metal.
- Pottery: Longaberger’s pottery is handcrafted in Ohio and is lead-free, microwave safe, and dishwasher safe. The company offers a wide variety of pottery products, including mugs, bowls, plates, and more.
- Home decor: Longaberger offers a wide variety of home decor products, including candles, picture frames, clocks, and more.
- Other products: Longaberger also sells a variety of other products, such as food, kitchen items, jewelry, and more.
How does Longaberger work?
Longaberger is a direct sales company, which means that its independent distributors sell products directly to customers. Distributors can sell Longaberger products online, through home parties, or at Longaberger events.
Longaberger offers its distributors a wide variety of training and support resources. Distributors have access to Longaberger’s website, which offers a wide variety of product information, marketing materials, and training resources. Longaberger also holds regular sales meetings and conferences, which provide distributors with an opportunity to learn more about the company’s products and selling techniques.
In order to become a Longaberger distributor, you must purchase a starter kit. The cost of the starter kit varies depending on the products included. Longaberger also requires its distributors to purchase a certain amount of product each month in order to stay active.
Longaberger's starter kits vary in cost and contents, but all kits include a Longaberger catalog, order forms, product information, and training materials. Some starter kits also include Longaberger products.
It costs $99 to join Longaberger as a distributor. There is no monthly minimum order requirement, but distributors must purchase a certain amount of product each year to stay active.
Longaberger’s compensation plan rewards distributors for selling Longaberger products and recruiting
Longaberger’s compensation plan offers distributors the opportunity to earn income from retail sales, recruitment commissions, and bonuses.
- Retail sales: Longaberger pays its distributors a percentage of the retail price of the products they sell. The percentage varies depending on the product, but ranges from 10% to 40%.
- Recruitment commissions: Longaberger pays its distributors a commission when they recruit new distributors. The amount of the commission depends on the level of the distributor’s downline.
- Bonuses: Longaberger pays its distributors bonuses for meeting certain sales goals. The amount of the bonus depends on the goal, but can be up to 10% of the total sales volume generated by the distributor’s downline.
Longaberger has ranks. There are four levels in Longaberger’s rank structure: Consultant, Director, Senior Director, and Executive Director. Longaberger distributors advance in rank by meeting certain sales goals. As distributors advance in rank, they earn higher commissions and bonuses.
- Consultant: To achieve the rank of Consultant, a Longaberger distributor must generate $1,000 in sales volume within a six-month period.
- Director: To achieve the rank of Director, a Longaberger distributor must generate $3,000 in sales volume within a six-month period.
- Senior Director: To achieve the rank of Senior Director, a Longaberger distributor must generate $6,000 in sales volume within a six-month period.
- Executive Director: To achieve the rank of Executive Director, a Longaberger distributor must generate $12,000 in sales volume within a six-month period.
What is the Longaberger President’s Club?
The Longaberger President’s Club is a group of Longaberger’s top distributors. To qualify for the President’s Club, distributors must meet certain sales goals. Members of the President’s Club receive special benefits, including a trip to Longaberger’s headquarters and invitations to exclusive events.
Is Longaberger a pyramid scheme?
Longaberger is not a pyramid scheme. Longaberger is a legitimate direct selling company that offers its distributors the opportunity to earn income from retail sales and recruitment commissions. Longaberger also offers its distributors training and support resources, as well as the opportunity to earn bonuses for meeting certain sales goals. While Longaberger does require its distributors to purchase a starter kit and a certain amount of product each month, there is no monthly minimum order requirement. Longaberger is not a pyramid scheme.
Under a pyramid scheme, participants only make money by recruiting new participants.
How about complaints or lawsuits?
Longaberger has faced a few complaints and lawsuits over the years. The majority of these complaints have been about Longaberger’s compensation plan, with some distributors claiming that the company is operating a pyramid scheme. Longaberger has also been accused of making false and unsubstantiated claims about its products.
- In 2001, Longaberger was sued by the state of Ohio for allegedly operating a pyramid scheme. The case was eventually settled out of court.
- In 2002, Longaberger was sued by a group of distributors who claimed that the company was operating a pyramid scheme. The case was eventually settled out of court.
- In 2012, Longaberger was sued by a group of distributors who claimed that the company made false and unsubstantiated claims about the health benefits of its products. The case was eventually settled out of court.
What we like about Longaberger
- Longaberger is a legitimate direct selling company that offers its distributors the opportunity to earn income from retail sales and recruitment commissions.
- Longaberger also offers its distributors training and support resources, as well as the opportunity to earn bonuses for meeting certain sales goals.
- Longaberger is not a pyramid scheme.
What we don’t like about Longaberger
- Longaberger has faced a few complaints and lawsuits over the years.
Are there alternatives to Longaberger?
There are many multi-level marketing companies that offer similar products and business opportunities to Longaberger. Some of these companies include:
- Mary Kay: Mary Kay is a direct selling company that offers cosmetics, skincare, and fragrance products.
- Avon: Avon is a direct selling company that offers beauty and personal care products.
- Pampered Chef: Pampered Chef is a direct selling company that offers kitchen tools and cookware.
- Herbalife: Herbalife is a direct selling company that offers health and wellness products.
- Amway: Amway is a direct selling company that offers a wide range of products, including health, beauty, and home care products.
Our verdict
Longaberger is a legitimate direct selling company that offers its distributors the opportunity to earn income from retail sales and recruitment commissions. Longaberger also offers its distributors training and support resources, as well as the opportunity to earn bonuses for meeting certain sales goals. While Longaberger does require its distributors to purchase a starter kit and a certain amount of product each month, there is no monthly minimum order requirement. Longaberger is not a pyramid scheme.
If you're interested in joining a direct selling company, Longaberger may be a good option for you. We recommend that you research the company and its products before making a decision. You should also consider whether you have the time and resources to sell Longaberger products and build a team of distributors.
It's important to thoroughly research any multi-level marketing company you're thinking of joining. This research will help you determine whether the company is legitimate and whether it's a good fit for you.
Your research should include:
- The company’s website
- The company’s social media pages
- The company’s SEC filings (if it’s a publicly-traded company)
- Online reviews from current and former distributors
- Complaints or lawsuits filed against the company
Once you’ve done your research, you should be able to make an informed decision. I Buy I Review is one of the top sources of information about MLMs and other online programs and course that claim they will make you rich. We’re committed to providing unbiased, honest reviews to help you determine if a company is legitimate or a waste of your time and money.
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