Is Modere a Pyramid Scheme or Legit? [FULL REVIEW]

Is Modere a pyramid scheme? It’s probably one of the first questions that sprung to your mind when you were approached with the opportunity to become a “social marketer” for Modere.

It’s a fair question.

After all, “social marketer” sounds different to (and perhaps more legitimate than) the usual “independent stylist” or “brand partner” that multi-level marketing companies use to describe their commission-only salespeople.

So what’s the go with Modere?

In this Modere review, I’m going to take a deep dive into the company and the Modere business opportunity and share my honest opinion on whether I think you should consider becoming a Modere Social Marketer or steer clear.

Modere Review Summary

Company Name: Modere

Product Type: Wellness Products

Founders: Thomas Mower and Leslie D. Mower

Price: $39.99 enrollment fee with additional purchase requirements

Best For: The Owners of Modere

Summary: Modere is a health and wellness company owned by a private equity firm. The company sells directly on their website and through “social marketers,” who receive a commission for products they sell and can earn bonuses and shopping credits. Modere encourages their social marketers to acquire customers, build a team and develop leaders in order to “excel with Modere.”

Rating: 30/100

Recommended: No

What is Modere?

Modere is a privately owned company that sells wellness products.

Modere’s slogan is:

Created by nature.
Crafted by Modere.
A new approach to modern health.

According to Modere, their mission is to “…to create healthy homes around the globe” by “…helping you reduce or eliminate your exposure to controversial chemicals.“

The Environmental Working Group (EWG) website, a non-profit organization that researches ingredients in personal care products and ranks them according to their health concerns, currently has five Modere products listed (1).

The Modere Toothpaste REFRESH and the Modere Mouth Rinse REFRESH are both EWG Verified, meaning they do not contain EWG ingredients of concern, amongst other criteria.

The other 3 Modere products listed range from a score of 1 (low hazard) to 4 (moderate hazard.)

It’s possible to go directly to the Modere website to purchase products.

However, the companies primary method of promotion is through their “social marketers.” Social marketer is the term Modere uses to describe their commission-only salespeople who have been recruited to promote Modere products.

What Does Modere Sell?

Modere sells a range of personal care products, weight loss products, nutritional supplements, and cleaning products.

Unlike many other MLM weight loss products, Modere’s M3 Body System seems to have fairly favorable reviews by experts like registered dietitian Abby Langer (2).

Modere also seems to push their “Liquid BioCell” products fairly strongly, most likely due to the current “collagen” trend sweeping social media.

Modere History – Who Are They?

Modere has gone through multiple owners and three name changes since they were founded. Here’s the backstory:

Modere was founded in 1987 under the name “Images and Attitudes.” In 1992, the company was renamed “Neways” and was acquired in 2006 by a private equity firm called “Golden Gate Capital.”

Interestingly, Golden Gate Capital also used to own another MLM company you’ve probably heard of – Herbalife.

The company was restructured in late 2011/early 2012. It is now known as “Modere” and is owned by private equity firm Z Capital Partners, LLC.

Modere’s Commitment to Health and the Environment

Modere does seem to practice what they preach. According to a 2016 press conference (3), Modere supports the following:

• 100% of the manufacturing activities at the manufacturing facility at headquarters in Springville, Utah is offset by wind power
• EPA-Recognized Hines Green Office awarded for use of differentiated waste collection, recycled-material based utensils, energy saving (motion activated and timed light switches), green packaging and supplies and employee engagement
• Greywater-certified household cleaning products
• Biodegradable household cleaning products
• Recycled packaging is used wherever possible

In addition, Modere supports the “Vitamin Angels” program which provides life-saving nutrients to underprivileged mothers and children around the world.

Unlike many MLM companies, Modere is a company I would actually consider purchasing from, thanks to their commitment to the environment, their philanthropic efforts, and their higher-quality products.

Having said that, let’s take a look at the “business opportunity” side of Modere to see if it’s a good idea to join as a social marketer.

Modere Compensation Plan

If you’re thinking of joining Modere as a social marketer, then you’re probably interested in learning more about the Modere compensation plan.

Be warned – the Modere Compensation Plan is one of the most complicated MLM compensation plans I’ve read through.

Pictured below are the various levels of the “Modere Career Path.”

When you join Modere as a Social Marketer, you can choose to become a “Social Marketer Builder,” “Social Marketer Promoter,” or both.

Social Marketer Builders focus on both selling products and growing a “team” – commonly known as a “downline” in MLM lingo.

Social Marketer Promoters do not build a team – they simply sell Modere products for a commission, which is similar to affiliate marketing.

There are a number of “levels” you can progress through, depending on which option you choose.

If you choose to become a Social Marketer Builder, these are the levels:

• Consultant
• Senior Consultant
• Team Leader
• Senior Team Leader
• Director 1
• Director 2
• Director 3
• Elite 1
• Elite 2
• Elite 3

For Social Marketer Promoters, the levels are as follows:

• Promoter
• Bronze
• Silver
• Gold
• Platinum
• Platinum 1
• Platinum 2
• Platinum 3

All Social Marketers start earning a commission of 10%. As you rise through the ranks of the company, you’re able to earn a maximum of 36% commission on the products you sell.

In addition, Modere offers the following bonuses, all with varying requirements:

• Customer POD Bonus
• Live Clean Shopping Credits
• Promoter Development Bonus
• First Order Bonus
• Monthly Team Builder Bonus
• Generational Unilevel
• 4 & More Elite Bonus
• Leadership Development Bonuses

As with all MLM companies, building a team allows you to earn commissions on the sales of your team, along with various bonuses.

This is why people who join multi-level marketing companies often aggressively try to recruit others into the company.

If you’d like to view the full compensation plan, click here.

How Much Does it Cost to Join Modere as a Social Marketer?

It currently costs $39.99 to enroll as a Social Marketer with Modere.

However, according to Modere’s website,

“to be eligible for the XM Program, add products totaling up to 500 points on your first order and 75 points on SmartShip. The XM Collections automatically satisfy this requirement.”

The XM program offers various rewards for meeting specific goals during your first month with Modere.

To meet the 500 point requirement on your first order, you can purchase an “XM Launch Pack” which costs $359.99.

This brings the total cost to $400. You’ll also have to have 75 points worth of products on monthly auto-ship.

Is Modere a Pyramid Scheme?

Modere is a multi-level marketing company, and while it does have several characteristics similar to pyramid schemes, Modere is not a pyramid scheme.

According to Investopedia, multi-level marketing (the banner under which Modere falls) is a legal business practice as it involves the sale of tangible goods (4.)

However, don’t confuse “not a pyramid scheme” with “profitable business opportunity.”

How Much Money Can You Make With Modere?

99% of people who join a multi-level marketing company lose money.

The Federal Trade Commission published a study on MLM companies. Here are some direct quotes from the study:

“…MLM as a business model – with its endless chain of recruitment of participants as primary customers – is flawed, unfair, and deceptive.”

“…the vast majority of commissions paid by MLM companies go to a tiny percentage of TOPPs (top-of-the-pyramid promoters) at the expense of a revolving door of recruits, 99% of whom lose money.” (5)

Doesn’t sound too promising, does it?

If you have a massive network or a huge social media following that loves buying wellness products, then there may be an opportunity for you to make money with Modere.

If you don’t, the answer to “how much money can you make with Modere?” is, probably nothing.

Should You Join Modere?

In my opinion – no, you should not join Modere as a social marketer.

As mentioned above, sadly, 99% of people who join an MLM company lose money.

I think it’s safe to assume that losing money is not your goal, in which case I would avoid joining any MLM company.

Final Thoughts

Modere is a well-established health & wellness company that seems committed to its values, including a manufacturing facility offset by wind power, biodegradable household cleaning products, and supporting the Vitamin Angels program.

Overall, I’m impressed with the company.

Having said that, Modere does use multi-level marketing to promote their products, and I recommend steering clear of joining a multi-level marketing company, as you have a 99% chance of losing money. Those aren’t great odds.

If you have a large, engaged social media following who loves natural products, then you can tap into this and promote products via affiliate marketing.

Legitimate affiliate marketing does not require you to pay the company anything to promote their products and earn commissions.

_{1. EWG’s Skin Deep. Retrieved from https://www.ewg.org/skindeep/search/?utf8=%E2%9C%93&search=modere}

^{2. Modere M3 Body System Review – Slick Marketing or Straightforward Truth? Abby Langer. July 3, 2017. Retrieved from https://abbylangernutrition.com/diet-review-modere-m3-body-system-slick-marketing-or-straightforward-truth/}

^{3. Local Office Celebrates Eco-conscious Initiatives at Grand Opening. Nov 18, 2016. Retrieved from https://www.prnewswire.com/news-releases/local-office-celebrates-eco-conscious-initiatives-at-grand-opening}

^{4. Andrew Bloomenthal. May 7, 2020. What is a Pyramid Scheme? Retrieved from https://www.investopedia.com/insights/what-is-a-pyramid-scheme/}

^{5. Jon M. Taylor, MBA, Ph.D. (nd.) MLM’s Abysmal Numbers. Retrieved from https://www.ftc.gov/sites/default/files/documents/public_comments/trade-regulation-rule-disclosure-requirements-and-prohibitions-concerning-business-opportunities-ftc.r511993-00008%C2%A0/00008-57281.pdf}