Is Beachbody a Scam and Pyramid Scheme?

I'm sure by now, YOU, your spouse or someone you know has thrown some comment or article on the web questioning why on EARTH would you join one of those SLEAZY "pyramid schemes" and give a huge list of reasons why.  Yes- as with ANYTHING on the web- you can find BAD PRESS about any of them.  And rightfully so.  But I'd like to also mention that in many cases, these folks are:

  1.  Misinformed about the real breakdown of the company.  They pull bits and pieces of information together to complete their "story" without a full representation of the company itself, or they are only interviewing disgruntled ex-coaches.  Where are all the successful coach interviews to give a BALANCED article? or...
  2.  They are FORMER Beachbody Coaches that failed miserably and gave up or broke a compliance policy and was asked to leave.  I believe the term is they have "sour grapes" and want to bash the company for their hardships, not their own behavior.

Beachbody is the ONLY MLM I've ever worked for so I can not fairly compare it to others.  I can compare it to my 17 years working for someone else in the corporate word, though.  Does it take WORK to build your Beachbody business?


I will assure you wealth is not going to come to you QUICK or EASY.  But if you stay consistent, it WILL COME.  I am in circles of coaches that ALL joined in as little as 1-4 years ago and are earning well over six figures a year.  None of them have an MLM background, or even a sales background.  You won't hear any of US  complaining about the company or the model because we are too busy WORKING at being successful.  What I have seen for certain is that it doesn't matter when you start, anyone can grow at the rate they choose.  So it's not when you get in, it's how much you want it.  And to be honest, if Im going to work my butt off, why would I do it for someone else???  Id rather do it on my own terms.

First it's important to know and understand what a PYRAMID Scheme is and what the Federal Trade Commission labels as one.  There will also be people that say Beachbody is a CULT.  

I wanted to share these two really great Beachbody Business perspectives.  Both of these men I admire greatly and unlike me,  have a lot MLM experience to offer as a comparison and are sharing their thoughts on one writer's negative article regarding Beachbody:

Pete Pena, Founding Beachbody Coach and Millionaire:

"Get used to people posting crap about MLM's. The average person doesn't and won't understand. There are many layers to this beautiful industry. And yes we're a MLM company but we're the best. I have studied so many comp plans and as for longevity the future is bright with our company. You have to be a student of the game. These so called professionals are chasing the right company to grow. If this is your first go round consider yourself very fortunate because we're the beast on the block. Others might try to copy but they can't because they can't do what Carl Daikeler does he is the beast of infomercials."

Cim Carver, Beachbody Corporate:

"I've seen these same arguments trotted out time and again. Unfortunately, there are companies that conduct themselves in such a way as to make these arguments ring true to the uninformed. However, and I state this EMPHATICALLY, we are not one of those companies. Aside from the apples-to-oranges comparison of products (sources, organic, natural v. synthetic) the argument about costing is a turd he's polished to a brilliant shine.

I would argue strongly that what a 'traditional' company spends on advertising, product placement, endorsements, shelf space, wholesalers, about what is spent on coach commissions. It's a wash as far as costs go, we just choose to direct that money at coaches who support our customers with a level of customizable attention they can't even fathom. Furthermore, and while we don't disclose the exact number (to my knowledge) the vast majority of our sales via TBB go to customers. CUSTOMERS.

A huge difference between us and Herbalife is that Herbalife doesn't have a legitimate 'Customer' position in their plan. On the investor call that kicked up all their recent legal troubles, they were asked about this and said that they didn't have 'transparency' down that far in their business. They said they only tracked the sale to their reps and that they enforced a '70%' rule (meaning, that 70% of the inventory a rep purchased had to go to their customers), but that they really couldn't say exactly how much went to customers. Ouch.

We don't have that issue. We do have a lot of coaches who purchase for the discount, true (which is what screws up this guy's income disclosure BS, along with some other flawed polished-turd logic) but the number of pure customer purchases give us a level of 'transparency' that other MLMs fantasize about. Seriously, like 90's-teenage-boy-Pamela-Anderson-level fantasy.

For what it's worth, I've not only been a rep for lots of other MLMs in the past, I grew up in a Network Marketing household and I've been around in the industry full time for the past 15 years. You'd be tough pressed to show me something in this industry I haven't seen. So, when I say that TBB is better damn we'll know it's true.

We call ourselves MLM because of how we distribute commissions, but that's where any similarities die a quick death. We are so unique, we'd make Yao Ming look short and Steven Hawking look like a grade schooler. We are DIFFERENT to such a degree that these tired arguments don't apply (or shouldn't, as long as we stay true to who we are). Seriously, the fact that there is an entirely other arm of this company, with its own cost structure that ISNT FACTORED into the cost of your Shakeology, but that drives incredible awareness of what you're doing and knocks down barriers everywhere you look for our coaches and instantly gives them more credibility than 99.999% of every other frickin' MLM out there is incredible.

Our coaches walk plowed fields of brand awareness and brand equity such that while your latest gimmick or jewelry deal spends most of their time just trying to convince you they're legitimate, our people are making commissionable sales and changing lives with something that really works. Does this mean it's easy for a TBB coach? Hellz no, but I gotta tell you, the grass we stand on is as green as it gets my friends....friggin' neon green. Don't let the hype-driven, fear-tactics of the shiny-object of the moment cause you to take your eye off the ball. The only cure for ignorance is the courage to try, to LEGITIMATELY try...and while there will always be those in the peanut gallery willing to cast their stones...remember their life's choices have put them in the stands, not in the arena...and the words of a coward tossed from the comfort of the crowd of mediocrity should hold no sway on the hearts and minds of those in the arena...those who have the courage to bloody their hands in the effort of greatness and leaving a legacy. It's not worth our time."