Is It Works A Pyramid Scheme? UGLY TRUTH Revealed!

Hey, welcome to my review of It Works. I’m pretty sure many of you have seen someone promoting It Works on social media or even being approached to buy their products. If you’re thinking of joining them, you might be thinking “Is It Works a pyramid scheme“?

If you’re thinking of buying their products OR even joining them as a distributor to make money, you NEED to read this post first!

In today’s post I’m going to go through what It Works really is and give you my own personal review, from someone who’s not associated with It Works.

Yes, you will be getting my unbiased, 3rd party review here.

But before I start my review, I must congratulate you for taking the action of reading up on reviews on courses or programs of how to make money.

Especially MLM companies, because they can absolutely give you a blind spot if you don’t do proper reviews and look at the company carefully.

If you’re here to find whether It Works is legit company to make money from, well let’s get on to it.

Is It Works a pyramid scheme? Here’s the truth..

It Works Summary

Product: It Works
Founder: Mark & Cindy Pentecost
Product Type: MLM selling Weight Loss & Beauty products
Website: itworks.com
Price: $99 upfront + miscellaneous fees!
Rating: 20/100
Recommended: No

Summary: It Works is a multi-level marketing company that primarily sells beauty and weight loss products. They are famous for their Wrap Pack product that is “known” to show weight loss results fast. Other products include Keto Coffee, Skinny Brew, and other beauty supplements.

That being said, as It Works is an MLM company, there are a lot more things you will need to know before buying its services OR becoming one of its distributors.

If you’re tired of finding ways to make money, here’s my #1 favorite way of making money online that’s sustainable and won’t need you to find recruits under you:

What Is It Works?

It Works was founded in 1995 by Mark & Cindy Pentecost and started off the business by introducing the It Works! Wrap. If you have seen any promo materials from It Works, I’m pretty sure you have seen before and after photos of people trying out this wrap.

is it works a pyramid scheme
Photo taken from itworks.com

This company has expanded to many parts of the world and has set up offices in well-known cities such as Canada, Australia, South Korea, Dublin etc.

If you go to their website, you can see that they have grown a lot ever since introducing their famous It Works wrap.

Now, they have various categories such as Weight Loss System, Brews as well as skincare products.

There are a lot of reviews given by customers on how these products work – but I do have my reservations.

First and foremost on their famous It Works wrap – it’s been known that if you do wrap your body even with plastic wrap for a period of time, you will experience water loss and this can give you an appearance of a slimmer body.

But once you start eating and drinking as per normal, your body will go back to the normal state.

Secondly, on their supplements, you need to know that they have not been evaluated by the FDA. Do you still want to consume things that have not been tested and approved? I surely don’t.

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Even with their skincare line, they do promote the hair and nail supplement – that hasn’t been evaluated by the FDA. Again, do ask yourself first before taking this supplement for the sake of beauty.

They have recently come up with a new skincare line with Dr. Nassif – the famous plastic surgeon from Botched. I watch Botched and I like Dr. Nassif. BUT, this doesn’t mean that I would buy it.

The thing is, I used to work in corporate and I used to work with ambassadors to run marketing campaigns. They DON’T necessarily are THE person that created the products. This could be the same as this skincare line.

Even though they partnered up with Dr Nassif, Dr Nassif might not be the one who actually created those skincare products. Plus those products are NOT cheap.

is it works a pyramid scheme

So, enough with It Works products. Let’s get on to the next topic.

How It Works Makes Money?

Like any other MLM company out there, you need to know how they make money:

  1. Selling their products (wraps, brew, skincare line)
  2. Recruiting distributors to promote their products (upfront fee, monthly & annual fees)

Is It Works A Legit Company?

Well, It Works is a legit company. They are operating under the multi-level marketing model, therefore they have 2 sources of income.

They have been around for 20 years – it can give you a bit of comfort knowing that they have made it for 2 decades. But to me, it’s still early to tell.

Before we go any further, let’s just cover the title of this post “Is It Works A Pyramid Scheme?

Since they are well-known as an MLM company, one has to wonder whether or not they are a pyramid scheme before joining to become one of their distributors.

Is It Works A Pyramid Scheme?

Now you need to know what is a Pyramid Scheme first. If you’re not sure how to differentiate, watch the video below:

When a company’s income is mainly associated by recruiting more people instead of selling their or any products, they can be deemed as a pyramid scheme.

So, the question “Is It Works A Pyramid Scheme” will now be answered.

They are NOT a pyramid scheme. They have other sources of income with their products that keep on growing every year.

Even though It Works is known to be a multi-level marketing company, they are very, very close to becoming a pyramid scheme.

Now if you’re reading this review because your primary reason is to make money with It Works, read my next section.

How To Make Money With It Works?

Like any other MLM company, It Works DOES NOT pay you salary.

If you’re thinking of replacing your day job today by becoming a distributor for It Works, well I’m afraid you have to think twice here.

Getting Started With It Works

Before you can ever start earning money with It Works, you have to pay $99 upfront fees – and this is not refundable. Other than the upfront fee, you have to pay additional money to run a website promoting It Works.

$20 monthly website fee + $35 annual renewal fee

On top of that, you have to maintain a certain number of sales every single month JUST to qualify for commission.

Meaning that, if you’ve joined them to become a distributor but you didn’t hit the target of getting X amount of sales, you’re not qualified to get any commission even though you did sell some products. And this is for every, single, month.

You need to hit the target every, single, month to be qualified to earn commission.

And many distributors actually bought the products themselves to qualify for commissions. The products are not cheap, mind you. Therefore on top of the expenses and fees you need to pay, you at times have to fork out your money again to qualify for commissions…

This is what you need to do to become “Commission Qualified”. You need to do one of these 2 things:

  • Process minimum 80 BV auto-shipment (Cost: $100)
  • Have at least 150 Personal Bonus Volume for the month (ONLY from your + distributors sales. Not from their downlines).

In total, for the first year where you are running this “business” as a distributor, you will be spending at least $1,634!

I can give you a whole lot of ‘notha way to make money.

It Works Compensation Plan

There are basically 3 ways for you to make money with It Works:

  • Retail Commission

 This is pretty straight forward whereby you promote It Works products, and if someone buys them, you will get a cut from the sales.

  • Loyal Customers

This is when you get a customer that’s on a subscription plan for 3 months. They will get products shipped to them for 3 months and again, you will get a cut from the sales. If you’re able to get 2/4/6 of them within 30 days, you will get a cash bonus.

BEWARE: If your loyal customer doesn’t like the product and want to cancel, they have to pay a fee of $50. Now you tell me as a consumer, whether you will be okay if this happens to you.

  • Downline Commissions

This is when you grow your team or downline and can get bonuses and a cut of their sales. The bigger and stronger your team, the more you earn. They actually mentioned this on their statement. Also, the more people you recruit, the higher you will be in terms of your ranks.

This starts to sound like a pyramid scheme already….

Anyway, if you want to check out the compensation plan in detail, explain by another distributor, you can check out below. I don’t endorse the video, it’s only for your information.

BUT, if you want to check out the video from a former distributor who’s been promoting It Works for a year and quit, you can watch the video below on the REAL compensation plan you will get.

What I Like About It Works?

I actually don’t like a lot of things about It Works.

BUT if there’s one thing I should give them a credit for, would be the way they promote the products.

They have started fully utilizing digital platforms like social media and websites. Especially during this time, where lockdown is happening in a lot of countries in the world, digital platforms can be a very good tool to promote.

That being said, if you want to have better training creating a website AND promoting products that you LOVE and know works, you can check out my post here.

What I DON’T Like About It Works?

There are a lot of things I actually don’t like about It Works. But let’s start looking at it as a consumer point of view.

1. Questionable Products

A disclaimer, I don’t like MLM companies. Simply because I’ve joined them and I’ve had enough experience of them to never join one again.

BUT, I can give way and still purchase their products if their products are any good, like Amway. I don’t join them as an agent but as a consumer, I will still buy their products because some of their products are good to me.

But, with It Works, not only the compensation plan is laughable but the products are very unattractive to me. Hear me out.

Weight loss products are not simple. And losing weight as a person is no walk in the park.

But there are 2 main easy things you can do to lose weight (I have done this many times) which are eating healthy and exercising more. That’s it.

If you don’t have time to exercise, just looking at what you’re eating and stop overeating can actually go a long way.

I personally don’t believe in the Wrap that they are promoting. Even if it “works”, they are not the long-term solution for your weight loss.

I don’t believe in taking supplements to lose weight. There are far more ways for you to lose weight naturally. Taking supplements can only give a lot more side effects. Read below for more reviews on their supplements.

is it works a pyramid scheme
is it works a pyramid scheme

And, probably the most important part – they have NOT been evaluated by the FDA. I don’t know how many of us will actually take the supplements if we know that they haven’t been tested.

I don’t want to put myself at risk so with that, I will NOT take any of their products here to lose weight.

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2. Expensive Products + To Start

The products are not cheap guys.

For example their Keto coffee pods, Skinny Brew, Sleepy Tea all started at $49. I would just buy a box of green tea that’s already good for detoxing and far, far cheaper than these products.

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Their supplements are also the same. They are not cheap. You can get cheaper price if you’re a loyal customer but that only means you need to subscribe to them for 3 months. If you want to cancel, you will need to pay a fee of $50 – which to me is just a no no.

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Other than the products, if you want to join as a distributor, it’s also expensive for you to start.

Even though it says you only need to pay $99 upfront fee, you need to take into account other miscellaneous fees and expenses that will incur. See my statement above.

Also, think about the time that you will need to invest in this business. On average, if you want to make to make more than $1,000 a month, you need to be in the company and doing this business for at least 12 months.

12 months for $1,000. Promoting subpar products.

3. Recruiting People

If you’ve read my other MLM reviews, you know that I don’t like to keep on recruiting people. It’s energy draining and I honestly don’t think it’s worth my time to do that.

There are other better ways to promote products other than building your downlines.

I’m an ambivert (mix of an extrovert and introvert) and I already hate this part of MLM. So if you’re an introvert, just drop this idea all together.

Another part is that, because It Works teaches people to cold outreach prospects on social media, it can get a bit annoying at consumer’s POV.

Not only that, it’s the same copy and paste template they use to reach out to people.

I like building businesses and promoting products that I LOVE and have people come at me instead. I don’t like wasting my time to reach out to cold consumers with a template promoting products that are questionable.

If I know the products have not been evaluated by FDA – I will not promote them to other people.

4. Many Don’t Actually Make Money

This is just the truth about MLM. If you’re at the top and start early, yes you can make some money and perhaps get big.

But the (ugly) truth is that, it’s a VERY small percentage. Like less than 1%. Take a look at the Income Disclosure Statement by It Works for 2019.

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85% of the distributors are only making $48 per month on average.

$48.

But you’re spending on average $136. Not taking into account the time you’ve invested in this.

Is this worth your time and energy? Well, you ask yourself.

Should You Go With It Works?

First thing first, It Works is not a scam company.

They are a legit MLM company selling weight loss and beauty products. And perhaps to some, these products could be seen as something that they would like to try.

That being said, after reading my review here, you’ll know that I don’t recommend this business venture at all given the complaints, questionable products and compensation structure that doesn’t benefit its members.

However, this is my personal opinion. You are free to make your own.

A Better Way To Make Money

If you want to promote the product that you LOVE and get users to come to you instead, you will want to learn how to do so with affiliate marketing.

This is what I’m doing to earn money online and it’s A LOT more sustainable than joining MLM.

  • I DON’T need to constantly recruit people.
  • I DON’T need to only promote a set of products that I don’t like.
  • I get to do it as a side hustle today and still make money years later.

If you want to learn how to make money and create an online business in an organic, truthful, no BS way, where people and money come to you instead, get my FREE Training here.

It’s 7 days of training, no credit card details required, I will take you step-by-step on how to get started and you will have private access to me and other super affiliate marketers.

Learn how a newbie like me has been getting passive income from different online assets and how other have been making 6-figure business using the same technique and system.

Again, there’s no recruiting and there’s not credit card details required, there’s no hidden fees. It’s risk-free.

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