Welcome to my Stemtech review!
Is Stemtech a scam? Or are they offering a legitimate business opportunity?
You might have these thoughts as one of your family members or friends introduce them to you.
It might have aroused your curiosity, and want to know more.
If this is your concern, then this content is what you’re looking for.
In this review, I provide an analysis of their business opportunity and help you determine whether it’s a good investment of your time and money with them or should look for other income opportunities.
So without further delays, let’s begin…
Stemtech Review
- Name: Stemtech
- Website: stemtech.com
- Founder: Ray Carter and Christian Drapeau
- Price: The membership package will cost you from $35 to $399.
- Recommended?: Nope!
What is Stemtech?
Stemtech is an MLM (Multi-Level Marketing) that sells health and nutrition products, particularly stem cell nutrition-related.
It was founded in 2005 in Miramar, Florida, by Ray Carter and Christian Drapeau.
Their line of products includes skin care and nutrition that’s supposed to improve your overall health.
They also have eco-products such as EMF filters that can be used on your phone.
I’ve also reviewed MLMs engaged in health and wellness in the past. You may check them out if you like—Usana, HB Natural, Farmasi US, and Bonvera, just to name a few.
I won’t be discussing their products any further since our main focus here is their business opportunity, whether it’s a good investment or not.
So once again, is Stemtech a scam? Or are they legitimate?
Let’s continue…
The Stemtech business opportunity
The primary distinction of Multi-Level Marketing is its complex and almost incomprehensible compensation plans.
It is very convoluted that it seems like you need an expert finance person to decipher the entire thing.
The compensation plan for Stemtech is no different. Although they made an effort to make their compensation plan a little straightforward, it is still hard to understand.
The only things you only have to bear in mind when dealing with MLMs is that their income stream is only based on two factors—
- Retail sales – the representative earns retail commissions as a result of making sales from retail products.
- Recruitment – it is the bread and butter of MLMs. They have to recruit for them to earn any sort of income continually.
MLMs usually make their compensation plans as complicated as possible to prevent potential recruits from asking many questions.
And to completely save their selves, they would just show you how high potential income is.
It’s a little bit sketchy, but effective nonetheless.
In the following section, I have simplified them for you to understand them a little better…
What are its income streams?
Retail commissions
I did not find any clear indication of how this feature works.
How the compensation plan of Stemtech is really confusing. But it seems like that the
Team Building
Recruitment is the lifeblood of businesses engaged in Multi-Level Marketing.
This type of business model is all about creating a large network so you could potentially earn any sort of income.
The mechanics of this bonus was also not explained in an organized or clear manner. I will explain the bonus here based on my understanding.
But the main idea is that the MLM representative earns commissions anytime they are able to recruit new members under their network.
In addition, the MLM representative also gains profits if they helped their personally recruited lower network to perform better as well.
The potential income based on their compensation plan is also as follows—
- A representative who is able to recruit earns them $75.
- A qualified business partner earns a $120.
- They also earn a $150 Turbo TeamBuilder Bonus.
- A 50% Matching Bonus that would amount to $60 or $75.
- A $75 enroller bonus is also given to MLM representatives that receive a Team Builder Bonus.
The representative is qualified to receive the following bonus if the personally recruited representative the $650.
Prosperity Bonus Program
The representative earns a commission of 7% to 10% every time their lower network makes purchases. This applies to their downline up to seven levels deep.
How much the representative earns depends on their ranks. Therefore, the higher their ranking is, the higher the income should be.
Lifestyle Leadership Bonus Program
The top leaders of the organization receive a monthly commission of 1% to 10% depending on their ranks and whether they reached specific requirements.
VIP Customer Program
The representatives earn a 2% commission from autoships from personally enrolled customers.
Vehicle Bonus Program
No, it isn’t literally a car bonus. Rather, it is cash assistance to help you finance the car you’ve been dreaming of.
Unfortunately, this bonus was not indicated on the website of Stemtech.
In the 2015 edition of their compensation plan, it mentions that the company will provide a $300 up to $1,200 assistance if certain requirements are met.
Please take note that the following is from 2015, so they may have already changed it. I can’t say for sure because it wasn’t clearly stated in their website, and 2015 was the latest compensation plan I can—
How much will it cost me to join them?
To become a representative of Stemtech, you have to avail one of the two following membership packages—
Business Kit package
This package would cost a potential new representative $35.
By availing this membership pack, they receive the following—
- Welcome letter
- Membership guide
- Sales receipts
- Personalized website
- Retail shopping cart
- Access to Stemtech’s back office
- Marketing collaterals
- And many more…
Team Builder Pack
This package would cost a potential new representative $320.
By availing this membership pack, they receive the following—
- Marketing materials
- Personalized website
- Retail shopping cart
- Company products—Migrastem, StemFlo Advanced, and Stem Release 3
- They become eligible to buy products at wholesale price
- The representative also qualifies for TeamBuilder Bonuses
All Product Business package
This package would cost a potential new representative $399.
By availing this membership pack, they receive the following—
- Personalized website
- Management tools
- Retail shopping carts
- The representative become eligible to buy products at wholesale price
- They also qualify for TeamBuilder Bonuses
Team Builder Couples pack
This package would also cost a potential new representative $399.
By availing this membership pack, they receive the following—
- Personalized business website
- Welcome letter
- They will have access to the back office of the company
- Company products
I also have noticed that the membership plan may vary depending on what region the representative is living in.
For example, people residing in the Oceanic region like Australia and New Zealand only have two membership plans.
If you want a cheaper and better option, then you have to check out the following description—
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Is it a reliable source of income?
Success in Multi-Level Marketing is extremely rare. Just ask the Federal Trade Commission about it.
According to their research, it was found that 99% of people who join MLMs are more likely to incur losses than gain any income.
This was elaborately discussed in Jon Taylor’s book, “Multi-Level Marketing Unmasked.”
It was further added that MLMs fail to meet to expectation because of the following factors—
Capitalization
Have you heard of the term Garage Qualified?
It is a special term used to describe MLM representatives that tend to over-purchase company products for the sake of improving or maintaining their personal sales volume.
This becomes problematic if they keep on spending but not earning any income.
It often leads to them becoming inactive and eventually giving up the business opportunity altogether.
Recruitment
As mentioned, recruitment is the bread and butter or, to put it more accurately, the lifeblood of Multi-Level Marketing.
It is so because the income of the consultant is based on recruitment and how extensive their lower network is.
Such a business model makes them extremely flawed because it will collapse eventually as soon as people at the bottom were unable to recruit sufficient people to keep the structure alive.
Imagine this—if MLM representatives are failing to recruit, it means that they aren’t earning anything.
In addition, they have to pay monthly expenses if they want to maintain or improve their status in the company.
If they aren’t earning but still having expenses regularly, then it spells losses for them. As a result, it leads to them becoming inactive and then quitting the business altogether eventually.
This cycle will continue up to the next upper level following the bottom of the pyramid. It will continue up until the entire structure collapses.
If you’re looking for a better source of income, then you have check out the description below—
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Is Stemtech a scam?
I did not find any reason to believe that Stemtech is a pyramid scheme or scam.
I believe that they are a legitimate Multi-Level Marketing that specializes in selling health and wellness products.
But some of you might argue that MLMs are essentially pyramid schemes that disguise themselves as a direct selling company.
Although I agree to some extent, MLMs are technically different from the pyramid on the basis of legality.
Multi-Level Marketing is technically legal because they offer something of value in return for your payment for the initial membership fees.
And these values are apparently the retail merchandise that the MLM representative can resell for profits. This somehow reduces the risks compared to a pyramid scheme, but still a high risk nonetheless.
On the other hand, a pyramid scheme is prohibited and banned in certain countries because they are high risk, and it is purely money with the chances of losing money is more probable than earning any sort of income.
What I Don't Like About Stemtech
Success is recruitment-based
The only for you to succeed in this type of business model is when you have a large network.
It’s not really about the products you’re selling, but the business opportunity.
Flawed business model
Your chances of earning any significant income from them are very slim.
What I Like About Stemtech
Simple compensation plan
Although it seems like that the compensation plan is not organized and explained in a clear manner, they made an effort to explain it more straightforward and easy, as you can see in the compensation plan on their website.
Final thoughts
I hope my content has provided you sufficient information in answering the question—is Stemtech a scam? Or is it a legitimate business to engage in?
As you can see, the income potential is low, and your chances of losses are more likely than gains.
Continue to the next section and discover how you can achieve financial freedom online…
Why I choose Affiliate Marketing over Multi-Level Marketing?
Affiliate Marketing is a better option than Multi-Level Marketing for few apparent reasons—
Affiliate Marketing Is Better Than MLMs Because...
Cheaper & Way More Profitable! You Don't Need To Recruit or Harass Your Friends To make Money!No Start-up Costs or Confusing Compensation Plans! You Don't need to buy any starter kit or product!
Promote any Product (or multiple products) you are interested in!
No House Parties or Facebook Classrooms!
Interested? Click On The button Below To Get My Free Step-By-Step Guide!
Yes, what you’ll basically be doing is to promote a brand using an affiliate link through your online site.
And then, you earn commissions anytime someone engages the link you’ve provided and use it to avail the products or services offered on the landing page of the brand you’re promoting.
Of course, the success of this endeavor also relies on the quality of traffic being driven into your online site.
If this is your concern, then worry no further because I have the perfect solution for you…
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So that’s just about it!
Thank you for reading my review, and hopefully, it helped you answered the all-important question—is this business opportunity a good source of income? Or is Stemtech a scam?
I hope to see you next time!
Peace!
