About Nu Skin Enterprises
Nu Skin Enterprises is a global network marketing company based in Provo, Utah, founded in 1984. They offer personal care and nutritional products, including their well-known ageLOC anti-aging line and the BioPhotonic Scanner.
With around 1.3 million active customers and distributors, Nu Skin generated approximately $2.2 billion in revenue in 2022. Their business model is built on a stairstep breakaway compensation plan that rewards both sales and leadership development.
However, there are some concerns. Their Trustpilot score is 3.3/5, and income disclosure shows that most distributors earn less than $1,000 a year. Additionally, they've faced regulatory challenges in China.
Pros and Cons
✓ Pros
- Established Company
Nu Skin has been around since 1984, which means they have decades of experience in the MLM space. - A+ BBB Rating
Their A+ rating with the Better Business Bureau suggests they handle customer complaints well. - Diverse Product Range
They offer a variety of personal care products and dietary supplements, appealing to different customers. - Sales Performance Plan
The compensation plan allows for both personal sales and team-building, which can be motivating for some. - Global Presence
Nu Skin operates in many countries, giving distributors a wider market to tap into.
✗ Cons
- High Product Prices
Many products are priced higher than average, which can make them hard to sell to budget-conscious consumers. - Income Disclosure Issues
The income disclosure shows that most distributors earn less than $1,000 a year, which raises red flags about profitability. - China Regulatory Issues
They faced regulatory problems in China in 2014, which could pose risks for those looking to expand globally. - Recruitment Focus
Some critics argue that the business model places too much emphasis on recruitment over actual product sales. - Mixed Trustpilot Reviews
A 3.3/5 rating on Trustpilot indicates that experiences can vary widely, which is concerning for potential recruits.
Verdict: Nu Skin has its strengths, especially in stability and product variety, but potential recruits should be wary of income realities and high prices. It’s wise to do your homework before diving in.
Best for: This might suit those who are passionate about skincare and wellness and have a solid network. If you're looking for a quick payday, you might want to steer clear.
Risk Analysis
Nu Skin Enterprises has a solid reputation with an A+ BBB rating and a decent Trustpilot score. However, potential distributors should be cautious of the income disclosure and regulatory issues in China.
Key Concerns
- Most distributors earn under $1,000/year high
Income disclosure shows the majority of participants struggle to earn meaningful income. - Regulatory issues in China moderate
Past regulatory challenges in 2014 raised concerns about market stability. - High product prices moderate
Products are priced higher than average, which may limit customer base.
Positive Indicators
- Strong BBB rating
A+ rating indicates a history of resolving customer complaints effectively. - Established company
Founded in 1984, showing longevity and market presence.
Consumer Advice: If you're considering joining Nu Skin, carefully evaluate the income potential based on their disclosure statement. Be prepared for the reality that many distributors earn very little, and consider if the product pricing aligns with your market.
Frequently Asked Questions About Nu Skin Enterprises
Is Nu Skin Enterprises a legitimate MLM company?
Yes, Nu Skin Enterprises is a legitimate MLM company. Founded in 1984 and headquartered in Provo, Utah, it has a solid BBB rating of A+. However, like many MLMs, it’s essential to research thoroughly before joining.
What products does Nu Skin Enterprises sell?
Nu Skin Enterprises sells a range of personal care products, including skincare, supplements, and beauty devices. Their products are often priced higher than typical retail offerings, which some customers find off-putting.
How much can you make with Nu Skin Enterprises?
Earnings with Nu Skin Enterprises can vary widely. According to their income disclosure, most distributors earn less than $1,000 per year, so it’s crucial to have realistic expectations.
Are there complaints about Nu Skin Enterprises?
Yes, there are complaints about Nu Skin Enterprises, particularly regarding high product prices and the challenge of making significant income. Some distributors feel the compensation plan favors those at the top.
What is the compensation plan for Nu Skin Enterprises?
Nu Skin Enterprises uses a Stairstep Breakaway compensation plan. Distributors earn commissions based on personal sales and can build a team to generate additional income through override commissions.
What does it cost to join Nu Skin Enterprises?
To join Nu Skin Enterprises, you typically need to buy a starter kit, which can range from $25 to several hundred dollars. This initial investment can vary based on the products you choose.
What is Nu Skin Enterprises' BBB rating?
Nu Skin Enterprises has an A+ BBB rating, which indicates a strong level of customer trust and satisfaction. This rating reflects their commitment to resolving customer complaints.
Are there alternatives to Nu Skin Enterprises?
Yes, there are several alternatives to Nu Skin Enterprises, including companies like Arbonne, Pampered Chef, and Mary Kay. Each has its own product lines and compensation structures, so it’s worth exploring them.
Has Nu Skin Enterprises faced any legal issues?
Yes, Nu Skin Enterprises faced regulatory issues in China in 2014. While the company has since worked to address these concerns, it's a reminder to be aware of the potential risks in the MLM space.
What is the trust score for Nu Skin Enterprises?
Nu Skin Enterprises has a trust score of 89/100. This score reflects a combination of factors, including customer reviews and company reputation, suggesting a generally positive perception.
Compensation Plan
Plan Type
Nu Skin uses a Stairstep Breakaway plan. This means you can earn money not just from your own sales but also from the sales of your team members. As your team grows and performs well, you can reach higher levels and earn more.
How Earnings Work
- Retail Profit: You earn 25-30% profit on the products you sell. So if you sell a product for $100, you might keep $25-$30.
- Product Introduction Bonus: When someone you recruit makes their first order, you get 5% of that sale.
- Group Sales Performance Bonus: You can earn 9-15% from the total sales of your team, as long as they fall below the Executive level.
- Executive Sales Bonus: If one of your team members reaches the Executive level, you earn a percentage based on the sales of their independent group.
- Executive Matching Bonus: You get a percentage of the bonuses earned by Executives in your downline.
- Break-Even Bonus: If you qualify as an Executive, you can get a stability payment to help you cover costs.
Qualification Requirements
- To become a Distributor, you need to enroll and make a purchase.
- To reach Qualified Distributor, you need to achieve 200 Sales Volume (SV) points in a month.
- To become an Executive, maintain 100 SV monthly and have 5,000 group SV for three months in a row.
- To climb to higher ranks (Gold, Lapis, Ruby, Emerald, Diamond), you need more Executive-level team members.
Trust Score
93
/ 100
Low Risk
External Ratings
Flags & Notes
- China regulatory issues 2014
- high product prices
- income disclosure shows most earn under $1,000/year
