Is Nucerity a scam? Or is this a legitimate business that sells legitimate products?
I’m guessing that you are probably looking into this because you were approached by someone working for Nucerity and more than likely asked to join the business opportunity. This is what usually seems to make people question the legitimacy of such a business.
The best answer I can give you is that No, Nucerity it is not a scam… HOWEVER, there are definitely a few things that you need to know… Things that independent business owners working for Nucerity or more than likely not going to tell you.
What Is Nucerity?
Nucerity is a MLM company that sells antiaging products, such as moisturizers for your skin and hair, exfoliating cream, serum for wrinkle reduction around your eyes, etc. One of the more famous products is their “Skincerity” skin mask, which you rub into your skin and it creates a thin film to help lock in your body’s natural moisture.
Based on the research I have done it seems that their products are high-quality and work. I have found good reviews for them online in multiple different places, although I can’t leave a review of these products personally because I have not tried them.
The core of this post is not going to be about how will good these antiaging products are… The focus is more on the business opportunity that Nucerity distributors are going around promoting.
The Business Opportunity
As stated above, Nucerity is what you call a MLM, or multilevel marketing, business. This basically means that it has a pyramid-like structure where distributors can recruit in other distributors beneath them and earn money from their efforts.
In order to become a distributor you must first purchase a Starter Kit for $59. You may have also heard about these “activation packages” that cost either $500 or $1000, but I will get to that in a bit. The bare minimum is the $59 starter pack.
At the core of the compensation plan is a binary compensation structure. This is where there are two open positions below each person. Below you there are two positions, below each of those two positions there are two positions, and so on. So at each level going down the number of open positions doubles, although these positions don’t always get entirely filled.
You can see the diagram below to get a picture of what I am talking about here.
Binary compensation structures are very common with MLM businesses. With this you will earn a percentage of the sales from the “lesser leg” of the structure, meaning the side that had less volume.
Of course in order to start earning from this compensation plan you will first have to recruit in 2 other distributors. You also must stay active, which requires that you bring in at least 100 PV each month, along with the two distributors you just recruited in. PV just stands for “personal volume” in just means you must sell a certain amount of products each month.
Retail profits are pretty straightforward and there are two ways you can earn these.
First, you can buy Nucerity products at wholesale prices and then resell them at retail prices, thus earning you the price difference. Second you can just refer people to your replicated website where they can order Nucerity directly. Nucerity will handle the shipment of orders and everything like that.
If you get preferred customers to sign up you will be able to earn recurring commissions, which is much more desirable than making a one time sale.
Team Matching Bonuses
There is also a Team Matching Bonus that you can earn down to 8 generations deep at its max. You can see from the chart below that the number of generations you will be able to earn off of depends on your rank. The higher up the ranks you move, the more generations you earn off of.
And if you don’t know, generations are basically teams that have developed within your downline.
Okay… Now on to these high-priced “activation packages” that I mentioned. You may or may not have heard of these, but they are definitely pushed on you by Nucerity. These activation packages cost either $500 or $1000 and the point of them is to be able to earn large commissions. You first buy one of these expensive packages and then you recruit others to buy them, hopefully recouping your initial investment and more.
Sounds Like a Pyramid Scheme Doesn’t It?
actually isn’t but does resemble one if you don’t know, generations are basically if you don’t know
After seeing the compensation plan you are probably wondering if this business is even legal. It seems a bit like a pyramid scheme, doesn’t not? I mean you have the pyramid-like binary compensation structure as well as the team matching bonuses which is all about recruitment of other distributors into the business.
So is a pyramid scheme?
Well unfortunately the answer to this is complicated. The FTC basically describes a pyramid scheme as being such that focuses too much on recruitment of other distributors rather than product sales to the general public. The problem is that I have no way of finding out how much revenue is actually coming in from product sales to the general public vs recruitment of other distributors.
They do not provide any sort of earnings disclaimer or anything like that which would help in this manner. My best guess would be that they are not a pyramid scheme, just judging from the fact that they have been in business for quite a while.
That said, it doesn’t make it a great business opportunity and I will tell you why.
What Distributors Won’t Tell You
If someone approached you trying to recruit you into this business they probably made the opportunity sound amazing, but what you will probably not told is that the person trying to recruit you in wasn’t even making that great of money. There are people that make good money and MLM’s like this, but the large majority of people make a little.
The reason for this is simple… It’s all because of the pyramid -like structure that MLM’s have. The big pyramid structure takes away from those at the bottom and gives to those at the top. Money is funneled up from sales at the bottom to the pockets of those above them. Of course with a pyramid structure there are many more people at the bottom than there are at the top and this is something that is always the case… Which means that most people lose out with the MLM structure.
There is definitely a lot of potential when it comes to MLM’s, because there are so many ranks and there is a lot of room to move up within the businesses, but this downside is something that no one really tells you.
I have reviewed many different MLM opportunities and some of them provide earnings disclosures of their distributors, which always show that a very small percent make good money while the large majority make very little. Rain International, Beauty Counter and Asea are other very simily MLM’s I’ve reviewed.
Just Not That Great of an Opportunity
Just like a typical MLM opportunity Nucerity is promoted as some incredible way to achieve financial freedom. While this is achievable, it is definitely not the walk in the park that it may seem to be..
Recruitment Is Key
Success in these businesses pretty much all comes down to recruitment. If you can recruit people and continuously, and yes you do have to recruit in continuously due to the very high turnover rates, then you may be able to build up your team, move up the ranks, and make good money. If you are someone that wouldn’t be any good at recruiting others in then this is definitely not the business for you.
The focus of the compensation plan is largely on recruitment so this is key.
Final Thoughts – Scam?
I already said that Nucerity is not a scam. They probably are running a legal and legitimate MLM operation here, is just that the opportunity is in as good as most people will tell you it is. Some people excel in these types of businesses, but the majority fail… That is what it all comes down to.
It is also worth mentioning, for those of you just looking to purchase Nucerity products, that the products or more than likely inflated in price. This is common with MLM businesses because they want to make the business opportunity more lucrative for distributors, so they jack up the price a little bit to be able to pay out larger commissions.
Something Else You May Be Interested In
Personally I avoid MLM businesses just because of their difficulty in the fact that I wouldn’t really be any good at recruiting people in, as is necessary. If you are like me or just don’t think that a MLM opportunity like this is right for you, then all suggest taking a look at how I make a living working online. You might find that it is something suitable for you as well. I’m not going to get into it here, but you can click the button below to learn more…
Questions or comments? Leave them below and I’ll get back to you as soon as I can 🙂