Oriflame

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Founded1967
HeadquartersSchaffhausen, Switzerland
Trust Score85/100
Views377

About Oriflame

Oriflame Holding AG is a Swedish cosmetics and personal care direct-selling company headquartered in Schaffhausen, Switzerland. Founded in 1967 by brothers Jonas and Robert af Jochnick, along with Bengt Hellsten, in Stockholm, Sweden, Oriflame has grown into one of the world's leading beauty companies by sales force size. The company operates in over 60 countries with approximately 3 million consultants worldwide. Oriflame's product portfolio spans color cosmetics, skincare, fragrance, hair care, body care, and wellness products, all developed with a focus on Swedish natural beauty traditions and scientific innovation. The company was listed on Nasdaq Stockholm until 2019, when the company was taken private. Annual revenues are approximately $1.1 billion. The company has a particularly strong presence in emerging markets including Russia and CIS countries, India, and Southeast Asia. Oriflame's sales model is built around catalogues and digital selling, with consultants earning income through retail margins on products sold to friends and customers. Team leaders earn additional commissions and bonuses based on their team's cumulative sales volume. Oriflame has a strong culture of recognition events, global trips, and incentive rewards for top performers. The company is deeply committed to sustainability, with targets for 100% natural or organic origin fragrance formulas and significant reductions in plastic packaging.

Compensation Plan

PLAN TYPE: Unilevel Direct Sales

HOW IT WORKS:
Oriflame consultants earn income by purchasing beauty products at consultant price (30% below the catalogue price) and selling to customers at full catalogue price. Team leaders and managers earn additional bonuses and commissions on their team's combined sales volume over each 3-week catalogue period.

KEY QUALIFICATION STEPS:
• Consultant: Entry level — purchase at 30% discount, sell at catalogue price
• Junior Manager: Build a team generating 10,000 BV (points) per period
• Manager: 20,000 BV team performance per period
• Senior Manager through Executive Director: Increasingly large team volume requirements

CATALOGUE SELLING MODEL:
Oriflame operates on a catalogue/brochure-based selling cycle (approximately 18 campaigns per year, each 3 weeks). Consultants share catalogs with friends and family and take orders. Digital tools and a personal Oriflame website have supplemented the traditional catalog model significantly in recent years.

INCOME STREAMS:
• Retail Margin: 20-30% on personal catalogue sales
• Sales Support Bonus: Additional % bonus for exceeding personal sales targets
• Leadership Bonus: 2-9% override on team members' sales volume
• Level Bonus: Rewards for maintaining Manager and above for consecutive periods
• Car Program: Luxury car for Senior Manager and above
• Annual Global Conference: Top performers invited to international recognition events

TYPICAL MONTHLY EARNINGS:
• Active Consultant: $100-$400/month
• Junior Manager: $400-$1,500/month
• Senior Manager: $1,500-$5,000/month
• Director: $5,000-$20,000+/month

Trust Score

85
/ 100
Low Risk
Flags & Notes
  • Heavy reliance on Eastern European/CIS markets
  • Russia-Ukraine conflict impacted business significantly

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