Deceptive Income Claims – How Not to Market Your MLM Business
How income claims, even truthful ones, can be deceptive when marketing the MLM business opportunity.
The first thought that came to mind when I saw the title “LuLaRich” of Amazon Prime’s four-part series on California-based clothing Multilevel Marketing – a way of distributing products or services in which the distributors earn income from their own retail sales and from retail sales made by their direct and indirect recruits. LuLaRoe was: Why “Rich” when the vast majority of the company’s distributors never turn a profit? Now having watched the series, which runs about three hours in total, I am firmly of the view that LuLaRuined would have been a more apt title for the documentary, which chronicles the rapid rise and equally hasty fall of the company and its thousands of failed distributors.
While the series doesn’t uncover anything that hasn’t already been published about LuLaRoe or its distributors, it does effectively synthesize information that TINA.org has been providing to consumers for the past four-plus years. Specifically, since 2017 TINA.org has written numerous posts detailing how the company deceptively markets its business opportunity and the fallout from its various dodgy practices. For those interested in learning more, below are some of our posts that shed light on the deceptive marketing and business practices of LuLaRoe:
- What You Should Know about LuLaRoe
- LuLaRoe Wants to Silence Critics
- Lawsuits Against LuLaRoe Keep Mounting
- 7 Signs LuLaRoe is Sinking
- LuLaRoe Distributors in Bankruptcy as Founder Touts Financial Freedom
- Court Unseals Revealing Docs in LuLaRoe Pyramid Scheme Case
- LuLaRoe to Pay $4.75 Million to Settle Pyramid Scheme Allegations
- LuLa-No: Clothing MLM Violated Court Order
Prime’s LuLaRich series ends right around the time that the company settles with Washington state over pyramid scheme allegations. What the documentary fails to address is what’s next for LuLaRoe and its dwindling distributors? For that information, stay tuned to TINA.org because I can assure you that we will continue to follow this company while simultaneously working to hold it accountable.
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