Is Monat a Pyramid Scheme? A Comprehensive Review of the Controversial MLM Company

Adrienne Farricelli
3 min readMay 31, 2023

What is Monat?

Is Monat a Pyramid Scheme? Well technically Monat is a company that sells hair care products. They offer a range of shampoos, conditioners, and styling products. Monat’s products are made with natural ingredients and are designed to promote healthy hair. They claim to improve hair growth, reduce hair thinning, and enhance overall hair quality.

Monat uses a direct selling business model, which means that individuals can become independent distributors and sell Monat products to earn commissions. As a distributor, you can host parties or events, share product samples, and build a network of customers.

One key feature of Monat is their VIP Customer program, which offers discounts and special perks to loyal customers who enroll in a monthly auto-ship program. This program encourages repeat purchases and customer loyalty.

Overall, Monat aims to provide high-quality hair care products that promote healthy and beautiful hair, while also offering individuals the opportunity to earn income through their distributorship program.

What is a Pyramid Scheme in Multilevel Marketing?

A pyramid scheme is a type of business structure where people are promised big profits for recruiting others into the scheme. It works by requiring participants to pay money to join and then earn money by recruiting more people.

The focus is on recruiting rather than selling actual products or services. As more people join, the person at the top of the pyramid earns more money, while those at the bottom struggle to make any profit.

Eventually, the scheme collapses because it becomes impossible to recruit new members. Pyramid schemes are illegal in many countries because they are unsustainable and can cause financial harm to participants.

Is Monat a Pyramid Scheme?

To determine whether Monat is a pyramid scheme, we can consider information from different sources. One argument supporting the view that Monat is a pyramid scheme comes from a blog post on Peaches and Blush.

The post claims that Monat operates as a pyramid scheme. However, it is important to note that a single blog post may not provide a comprehensive understanding.

On the other hand, a verified.org article states that Monat is technically not a pyramid scheme. This article suggests that Monat does not meet the specific criteria of a pyramid scheme. Additionally, a review on nobsimreviews.com concludes that Monat is not a pyramid scheme.

Considering these sources, it appears that there are conflicting opinions about Monat being a pyramid scheme. While the blog post raises concerns, the verified.org article and the review on nobsimreviews.com argue against it.

It is crucial to conduct thorough research, analyze multiple perspectives, and consult reputable sources when forming an opinion about whether Monat is a pyramid scheme or not.

Conclusion

Finding a legitimate multi-level marketing (MLM) company can be challenging, as many MLMs have become infamous for their controversial business practices and some have been revealed to be illegal pyramid schemes. Click on the free E-book below to properly prepare yourself for success in direct sales. However, there are ways to identify legitimate MLMs. Here are some tips from the search results:

  1. Look for a focus on product sales: Legitimate MLMs sell their products primarily to consumers, not just to their members who must recruit new members to buy their products.
  2. Check for market saturation: Investigate whether the market is already saturated with the product you would be selling.
  3. Research the company: Look up the company’s reputation and history, and check if it has been involved in any legal issues or controversies.
  4. Ask about compensation: Legitimate MLMs pay compensation based on actual sales to real customers, rather than based on recruitment.
  5. Be wary of promises of wealth and independence: Many MLMs appeal to new recruits with promises of wealth and independence, but these promises may be unrealistic or misleading.
  6. Watch out for red flags: Signs of an MLM scam include high-pressure sales tactics, a focus on recruitment rather than product sales, and a lack of transparency about the company’s structure and compensation plan.

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Adrienne Farricelli

Hello all, thank you for reading my material. I am a pet enthusiast and have been working as a Dog Behaviorist for ten years.