Avon MLM Review 2022: Is Avon a Pyramid Scheme?

Avon MLM

What kind of scheme is Avon? is Avon a pyramid scheme? Can you make money with Avon? All these queries are answered in this Avon MLM review.

I’m Somraj Mondal, Founder, and CEO of Noni4all.com. On this website, I have reviewed almost 200 direct selling, MLM, and affiliate marketing companies on this blog.

After in-depth research about Avon, a UK-based direct selling company, in this article, I am reviewing Avon MLM Company.

So, let’s dive right in.

What Is Avon?

Avon is a multi-level marketing company that sells Makeup and Beauty Products. David McConnell founded Avon MLM Company in 1886 and is one of the most well-known MLM companies.

To be precise, this company was not a multi-level marketing company when it started. Only in 2005, did Avon moves from direct selling to MLM. Now, Avon is the 5th largest beauty company and 2nd largest MLM company in the world.

Avon has around 6.5 million representatives worldwide, so it seems they are doing pretty well. Then LG bought Avon in 2019. This again has caused a lot of change and turmoil for the company, but many representatives seem more optimistic. 

History of Avon

Avon was founded by a man named David McConnell (and that’s 77 years before Mary Kay was founded). Mr. McConnell was a bookseller. Basically, while he selling books door to door, he realized that many women preferred to smell better than to read. That’s why he started a new Business in Manhattan New York in 1886. The company was named California Perfume Co., after its partner who lived in California.

Though In 1886, the business model of the company is very radical, McConnell believed in the power of community and was committed to empowering women economically. And, McConnell change the company name to “California Perfume Company” in 1892. His Business Partner suggested this name.

  • 1894: Alexander D. Henderson joined the company as vice-president and treasurer, helping to shape its policies and contribute to its growth.
  • 1897: Avon company set up its own laboratory in Suffern, New York.
  • 1909: The company signed an incorporation Certificate for the California Perfume Company in the state of New Jersey, USA.
  • 1916: The California Perfume Company was incorporated in New York State. Company officers were listed as McConnell, Henderson, and William Shelley.
  • 1939: In this year, The California perfume company changed its name to Avon Products Inc.
  • 2014: The Global Revenue of Avon MLM Company has fallen for five straight years, and North American revenue fell 18 percent.
  • 2016: Avon has completed the separation of its United States, Canada, and Puerto Rico divisions as New Avon LLC, which also operates under the name “Avon”. And, Avon Company has moved its headquarters to London, UK as part of a three-year plan.
  • 2020: The company launched a new ad campaign titled “Watch Me Now” featuring new brand visuals with a new Avon logo.

Avon Company Profile

Company NameAvon Products, Inc
CEOAngela Cretu (Jan 2020)
Started1886
Head OfficeLondon, United Kingdom
ProductsCosmetics, Skincare, fragrance, and personal care 
Websitewww.avonworldwide.com
Email Id[email protected]

Avon Products

These are the wide range of categories of Products the Avon Company Produced;

  • Makeup
  • Fragrance
  • Jewelry
  • Skincare
  • Bath and Body
  • Health Wellness

Basically, Avon Company doesn’t really have a “flagship” or stand-out product because they offer so much.  The most popular category of the Avon Product is Lipstick.

Some of the benefits of lipstick are:

  • Designed for every skin tone.
  • Full coverage with True Color technology.
  • Formulated with shea butter, omega-6, vitamin E, and sunflower seed oil.
  • Conditions and moisturizes lips.
  • Paraben-free, sulfate-free, talc-free.

Is Avon A Good Product?

Yeah, the Product Quality of the Avon is Good. In terms of quality and brand value, Avon is up against the likes of L’Oreal and Estee Lauder in the cosmetics market. For over 130 years, Avon is manufacturing Beauty and Cosmetics Product for the people. 

The company even boasts of having an Avon Research and Development Center in New York. They have a team of scientists and researchers on staff who help develop new beauty products.

Is Avon A Good Skincare Brand?

Avon is a Good Skincare Brand. Avon got Protinol technology the silver in the advanced skincare category which is is presented by the Edison Awards.

Protinol, which is used in Avon’s ANEW skincare line, is said to help regenerate both forms of collagen in healthy skin, collagen 1 and collagen 3, mimicking the perfect collagen ratio found in baby skin.

How Does Avon MLM Work?

Actually, Avon makes a wide range of Personal Care and Makeup Products and sells them in MLM Model. They offer people an opportunity to make money by promoting and selling products to earn a commission.

These representatives or Direct Sellers used all kinds of sales tactics like knocking on people’s doors while drinking coffee or “hosting parties” or sharing products with mom. By doing this method, Avon company saves money on their marketing cost and helps people to earn money from home.

How to Join Avon MLM Company?

If you are serious to make money from Avon MLM Company, first you have to buy some products to become a Representative of the Company.

The company has a Started Kit. Some samples and other marketing materials to try to help you sell. It starts at $50 per month and goes up to $200 per month for certain “ranks“.

In some cases, if you can not sell Avon Products which is worth $50, then you must purchase $50 of Avon products yourself or your account will be suspended. Any future sales you make will not accrue to you. If you sell $50 worth of products per month you don’t have to buy anything yourself, but many people don’t realize that when they join.

 Avon Compensation Plan

Basically, In Avon MLM Company, there are the 2 ways you can make money as an Avon representative:

  1. Product Selling
  2. Recruiting People

Note: Recruiting People and making downline look like Pyramid Scheme. So, to avoid this Avon says, You don’t get paid to hire someone. You only earn bonuses from buying them or selling them. In this way, Avon company ensures that they are not technically a pyramid scheme and avoids being shut down by the FTC.

There are 7 ways you can earn money with Avon:

  1. Retail Commission (20%-50%)
  2. Qualified new recruits ($20 bonus if they spend $150 in their first 2 months)
  3. Sponsoring (3% bonus on new recruit sales)
  4. Promotion (as you move up the ranks)
  5. Mentor (as you move up the ranks)
  6. Generation Bonus (You get a bonus on 70% of your team’s sales)
  7. Leader Bonuses (bonuses on sales to “leaders” in your downline)

Is Avon a Pyramid Scheme?

No, Avon is not a pyramid scheme. Avon Provides high-quality Makeup and Cosmetic Products and  It has a good history and track record that can be trusted. Avon company has long continued its business and made a good image in Direct Selling Market.

The company has unwittingly given credibility to multi-level marketing schemes that market dangerous health scams. Basically, some of the companies are shit down for new rules and regulations and some are Financially Bankrupt.

Anyone who has ever challenged the legitimacy of a multi-level marketing company has faced the counter question, “Are you claiming Avon is fraudulent?” So, As a Member of the DSA of the UK, Avon Company is the de facto ambassador of the MLM.

Is Avon MLM a Scam?

No, Avon is not a Scam. When you sell Avon products, you will make money. You need to put a lot of effort to make money. And typically, the way they make a lot of money from Avon is through aggressive recruiting.

Also, Avon clearly makes unspeakable and irresponsible marketing claims to recruit members. Therefore, some people consider Avon MLM is a scam.

(Legal) Issues with the Avon

Probably, you have heard, that Avon company for testing the ingredients of their products on animals. By the way, now they stopped all testing on Animals, worldwide.

For Doing this, In China, Avon apparently violated China’s anti-pyramid scheme laws. However, Over the past 15 years, Avon Company is on Scrutiny mode. The company is accused of corruption by bribing foreign government officials.

Avon Pyramid Scheme Review on Reddit

On Reddit, there are a few comments on “Why aren’t network marketing companies like Avon and Mary Kay considered pyramids?”

The Notorious Poster: “I’m usually wary of businesses that ask people to join membership programs, but all my friend does is sell to her friends and neighbors, and if they say no, she stops bothering about their products. He said it was just for a little extra cash.”

The Notorious Poster: “My mom couldn’t hire to save her life, but she made money with Avon for birthdays and Christmas money.”

Pros and Cons of Avon Company

Pros:

  • Avon is Well established company. Avon is World’s oldest direct selling company.
  • The Join Fees of Avon is $25 which is very reasonable.
  • Avon Operates in over 100 countries.

Cons:

  • In MLM, whether, it is Avon or another company, there is a low potential of earning a good amount of Money.
  • The company is on many Controversy (Bribery, PETA…).
  • Selling online requires additional SEO knowledge and a unique website (due to SEO optimization). Imagine having the same website as a million other “peers”.

Conclusion

So, this is my conclusion from the Avon MLM review. Overall, I do not recommend joining the Avon MLM company. As We already know that MLM success rate is only 0.4% and it takes more than thousands of days to build a strong network. I hope you got full information about Beautycounter from this review.

Now, I want to know from you:

Do you want to join Avon MLM company to make money?

Let me know in the comments section now.

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