Welcome to my Nefful review!
During this pandemic, you might be looking for products that could better improve your health and combat diseases around you.
As you’re searching for products you can use, you might have come across with a Japanese company called Nefful.
Aside from the products, their business opportunity might also have triggered your interest—is Nefful a scam? Or are they a legitimate source of income?
And if you’re looking for answers, then you have come to the right place.
In this review, I will provide a detailed analysis of their compensation plan and help you determine whether you should invest in them or look for other income sources.
So once again, is Nefful a scam? Or is it legit?
What is Nefful?
Nefful is a Japanese-based MLM (Multi-Level Marketing) that offers apparel and other home essentials that supposedly contains negative ions.
What they claim is that a person wearing them should improve health and overall happiness. They added that it’s supposed to combat diseases and other health conditions.
However, there is no conclusive scientific evidence to prove such claims.
Also, if you want to purchase their products, you may find out that you can’t directly get them from the company, but through their MLM representatives.
Anyway, Nefful was founded by Hisami Kamijo in 1973. As of today, the company is being managed by Toshiya Kamijo.
In the late 1980s, the company began expanding its business in Asia. It includes countries like Taiwan, Hong Kong, Malaysia, and Singapore.
They opened their business in the United States in 2002.
I have reviewed other MLMs in the past that are engaged in the health and wellness niche as well. You can check them out if you like—Longrich, Univia, VeloVita, Navan Global, HB Naturals, and Enagic, just to name a few of them.
Or, you may check the entire list here.
I won’t discuss their products any further, since our main focus here is their compensation plan—is Nefful a scam? Or is it a legit source of income?
Let’s continue and find out…
The Nefful business opportunity
The primary characteristic of Multi-Level Marketing platforms is their complex and almost incomprehensible compensation plans.
It seems like you’d even need a person that’s an expert in financing to decipher the entire thing.
But you only have to put two things in mind when dealing with MLMs—
Retail commissions – the representative earns commissions from retail sales.
Recruitment – it is the bread and butter of MLMs because it is where their commissions and bonuses are based from.
Anyway, Nefful currently rewards six ranks under their compensation plan—
Consultant –it is the basic membership plan of Nefful, wherein your main requirement is to avail the registration fee of $55.
Manager – the representative under this rank is required to reach 150,000 group volumes from their first three-level networks. And it must be maintained for at least three straight months.
Area Manager – the representative under this rank, is required to have at least two Managers directly under their network. They also must reach and maintain a group volume of 600,000 for at least three straight months.
Area Manager Plus - the representative under this rank, is required to have at least two Managers directly under their network.
Area General Manager – the representative under this rank, is required to at least have five personally recruited affiliates that have a rank of Area Manager or higher. Their network must also be generating at least 6,000,000 group volumes a month.
They also offer several ways to earn through their compensation plan, and it includes the following—
- Retail commissions
- Residual commissions
- Leadership Bonus
- Incentive Bonus
- NET Pool Bonus
In the following section, I’ll explain each of them so you could have a better overview of them.
What are its income streams?
Nefful does not sell products directly to retail customers. The transaction between the company and customers are made through the MLM representative.
They earn a 20% commission as a result of retail sales.
Nefful adapts a unilevel model of network marketing.
What this means is that two personally recruited representatives are directly under you.
And then, it branches out to the third level and so forth and so on.
The commission of the principal representative is based on their rankings. And the summary is as follows—
- Manager – the representative, earns a 10% commission. It applies up until another Manager is located under their network.
- Area Manager –the representative, earns a 25% commission based on sales volume generated by consultants under their network. It applies up to infinite generations. And then, a 15% commission is earned starting from the ranks of Manager and higher.
- Area Manager Plus or higher ranks - the representative earns a 30% commission based on sales volume generated by consultants under their network. It applies up to infinite generations. And then, a 20% commission is earned starting from the ranks of Manager and higher.
This bonus is based on the sales volumes generated by the representatives’ lower network.
But in order to qualify, the representative and his lower network must possess the same ranks.
In addition, the representative must also be at least in the ranks of the Manager to qualify.
The summary of the bonus is as follows—
- A representative with the ranks of a Manager shall receive 5% on the first generation, 2% on the second generation, and 1% on the third generation.
- If the MLM representative reaches the ranks of Area Manager, they shall receive 5% on the first generation, 2% on the second generation, and 1% on the third generation.
- A representative with the ranks of Area General Manager or higher shall receive 2% on the first generation, 1.5% on the second generation, and 1% on the third generation.
Once the representative reaches the ranks of Area General Manager or higher, they will receive an additional 2.5% based on the sales volume generated by your lower network.
And then, the bonus is applied to the entire network.
NET Pool is a bonus where the company rewards its top executives.
It is where the company takes a portion of its global profits and then shares the 0.5% to their high ranking representatives per month.
Does it sound promising? Does the potential income make you excited?
Well, it shouldn’t be!
According to the FTC, only 1% succeed in MLMs. I will explain more about this in the next chapters.
How much will it cost me to join Nefful?
You have to provide $55 in order for you to become a representative for Nefful.
But you have to maintain personal volume to keep your status in the organization. What this means is that you may have to spend on company products to improve your personal volume.
Take note that their products range from $96 to $1,800.
If you’re looking for a better source of income, then you have to check out the following description—
Is it a reliable source of income?
Success in Multi-Level Marketing is extremely rare.
According to research conducted by the Federal Trade Commissions, they found out that 99% of people who join MLMs are more likely to incur losses than gain any profits.
This instance was elaborately discussed in Jon Taylor’s “Multi-Level Marketing Unmasked.”
It was further added that MLMs fail to meet expectation because of two factors—
Have you heard of Garage Qualified?
It is a special term used to define MLM representatives that tend to over-purchase company products for the sake of improving or maintaining personal volume.
This can become problematic if the representative is not earning but still has to manage their personal volumes to keep their status in the organization.
Recruitment is the bread and butter of MLMs. Or to put a more accurate term, it is their lifeblood because it is where their bonuses and commissions are based from.
Without recruitment, the entire structure will collapse.
Imagine this scenario—if the people at the very bottom of the network were unable to recruit sufficient people under them, it would cause them not to earn anything.
Or worse, they’ll incur losses because of the need to maintain or improve their rankings.
This cycle will continue up to the next level, and then next, and so forth and so on.
It will continue up until the business is no more. As you see, MLM is not sustainable, which may eventually collapse.
Check out my best work-at-home recommendation below if you’re looking for a more reliable source of income—
Here Is My Best Work At Home Recommendation For Newbies!
Is Nefful a scam?
I did not find any reason to believe that Nefful is a scam. They are also not a pyramid scheme.
I believe that they are a legitimate MLM company that sells negative ion apparel, home essentials, and other accessories.
However, some of you might argue that Multi-Level Marketing is practically a pyramid scheme that disguises themselves as a direct-selling company.
Although I agree to some degree, they are technically different in legal terms. Multi-Level Marketing is legitimate because they exchange something of value in return for your investment.
And this value is in the form of retail merchandise which the representative can sell for profits.
A pyramid scheme is considered illegal and banned in many parts of the world because they do not give you anything in return—just a promise of returns in the future.
It is prohibited in countries like the United States, Germany, France, Albania, Japan, Australia, Finland, Romania, Iceland, the United Kingdom, Italy, Portugal, and the Philippines, just to name a few of them.
What I Don't Like About Nefful
Success is recruitment-based
Your chances of earning significant income in the business are dependent on recruitment.
The product claims bear no conclusive proof
The benefits of the negative ion, as it was claimed, are still inconclusive, and no solid scientific basis to back it up.
Loses are more likely than gains
As mentioned above, the FTC says that a person joining MLMs is more likely to experience losses.
High priced products
The product offering of Nefful is expensive
What I Like About Nefful
The company is in business for almost 50 years now.
I hope my review has provided you the answer to these all-important questions—is Nefful a scam? Or are they a good source of income?
Although the company is legitimate, I still don’t recommend them or any MLMs for the matter.
The risk is high, and incurring losses is more likely than gaining profits as a result of joining them.
Continue to the next section and discover how you can achieve financial stability online…
Why I choose Affiliate Marketing over Multi-Level Marketing
Affiliate Marketing is a better option than Multi-Level Marketing for few apparent reasons, and it includes the following—
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!
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No House Parties or Facebook Classrooms!
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Yes, what you’ll basically be doing is to promote a brand using an affiliate link through online.
And then you earn commissions anytime someone engages the link you’ve provided and use it to buy the products or services offered on the landing page of the brand you’re promoting.
Of course, the success of this endeavor relies on the quality of traffic being driven into your website.
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Well, I guess that’s just about it!
Thank you for taking time off and reading my “Is Nefful a scam” content!
I hope to see you next time!