Usana

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Usana

20% weekly commission for distributors

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Usana is a Utah-based MLM company that makes skin care products, nutritional supplements, and other products that are geared towards health and wellness.

The products are manufactured at the West Valley City facility and sold in twenty different global markets. Usana associates sell the products through an MLM distribution network. Usana is the 20th largest MLM company in the world. They provide several products and sponsorships to various athletic organizations.

The company's athletic partnerships include the WTA tour, where $1 is donated towards a charitable organization every time a point is scored. Also, Usana has a notable agreement with United Concerts towards a concert and music naming rights agreement.

Potential distributors should compare Usana to other top MLM companies in the industry.

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Usana Logo Usana ›

5.8

Overall
Score

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The Good

  • Prices and Deals
  • Incentives, Bonuses, and Compensation

Prices and Deals

There were several things that we liked about Usana's business model. First of all, customers didn't necessarily have to go through a dealer to get Usana products, though great deals were often mentioned in reviews for customers that used Usana associates. Here are some of the products that we found on Usana's website:

  • Chocolate Whey Nutrimeal meal replacement shake, $32.95: Gluten and soy protein free for special diets, 8 grams of dietary fiber, 15 g of whey protein, and GMO-Free.
  • Gentle Daily Cleanser, $17.60: Soap-free, hydrating, and no-added chemical preservatives.
  • HealthPak, $129.96: Antioxidant protection and increased calcium.

While Usana's products were on the pricier side, we felt like Usana did a good job of designing products that achieved verifiable results and met FDA labeling guidelines. Preferred clientele can also get access to these products at wholesale prices.

Incentives, Bonuses, and Compensation

We also liked the compensation available for dealers through Usana. Here are some of the compensation options available that we liked:

  • Retail Sales: Usana lets associates set the retail price. The preferred price is at wholesale prices, but associates are able to set their retail price at 10 percent over the preferred price. This allows associates to set their own profit margin.
  • Weekly Commissions: Associates can get 20 percent of sales volume through their group sales network. Any extra group volume (over 5,000 points) carries over to the next week, ensuring a stream of income if you are in a Usana distribution network.
  • Other Incentives: Recruiting other distributors also guarantees you a small chunk of change through new distributor sales. There are also leadership bonuses and other revenue opportunities available.

The Bad

  • Legal Issues
  • Expensive Products

Legal Issues

In 2007, there was a lawsuit filed by a former employee. In a 500-page report leaked to the FBI and other government organizations, it was alleged that the Usana distribution network is a giant pyramid scheme. It was also discovered in 2007 that several Usana executives had made false statements on their résumés.

This discovery has brought the credibility of Usana into question in the last several years. We found a Forbes report that substantiated these claims. Here are some of the salient points from Forbes that call into questions Usana's legitimacy as an MLM company:

  • $20 to $50 for a starter kit from Usana (advertised as being only $30 on their website) making it hard to achieve entry into the market.
  • The report alleges that Usana's entry for new recruits is difficult: if Usana had 26 levels of its MLM model in place, it would exceed the number of households in the United States.
  • Usana has been in a tremendous amount of debt; under the Forbes report analysis, its debt ratio was 3.6 to 1.

We also have a problem, consistent in the industry, that Usana treats its distributors as end users. Even though Usana makes its products available to distributors at "preferred prices," it is difficult for new distributors to make a profit.

Expensive Products

We have some concerns with regards to the high prices of Usana products. The HealthPak listed above is $129.96. Assuming the "preferred price" is ten percent less, $116.97, distributors who purchase their own stock have to sell around $1000 worth of product in order to make up the profit of purchasing one item.

The Bottom Line

Things seemed to have simmered down since the Usana's lawsuit in 2007. We would recommend them for prospective distributors based on the following:

  • The efficacy of their tests completed through ConsumerLabs.com.
  • The compensation packages that are available to distributors.
  • The relatively low cost (in comparison to the rest of the industry) to become a dealer.
  • Resources and product knowledge available for items listed on their website.
  • The quality of products on their website.

Some things to consider when becoming a Usana distributor:

  • According to Forbes, there are many dealers in a somewhat saturated marketplace.
  • The ten percent recommended retail price might not be enough profit overhead to guarantee a sustainable living selling Usana products.

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User Reviews

Star Rating

4.9
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12 Reviews

Review Breakdown

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4 star
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Sentiment Criteria

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DAVID
July 30th, 2018 DETAILS
Value for your money
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Customer service
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Hi, I am new to USANA. So far 6 weeks in, I have seen results. 1. My ezcema is becoming a slow dying part on both of my foot. My diabetic SG level is avg 4 to 5.5 when it was around avg 6. 2. One of medication have been scratched off my prescription less. Yes baby !!! Which means less money spent on meds and more money on other usual things. 3. I am Diabetic T2 and my health report is pretty good according to my local GP. Proud associate of Global Galaxy ( Australia) and USANA !!

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Timothy Chen
August 9th, 2017 Flushing, NY

I have been involved with this company for 10 years. During the time of i have encountered many many other network marketing companies. Most of them aren't around anymore. Usana is always, and I mean ALWAYS put their soul into the quality of the products. It is a company truly commit to deliver the best to the clients. They went the extra mile of voluntarily registered with FDA. As far as I know, it is the ONLY network marketing company has it's name registered with FDA. It also meets cGMP stand which is the pharmaceutical grade of making products instead of the normal GMPs(food grade). It also has NSF(National Sanitation Foundation), TGA(Australian pharmaceutical grade), NHPD(Canadian Standard), Consumerlab.com, UNPA... etc. all these certificates and license. The products also listed on 11 different countrie's PDR(Physician Desk Reference) where used by millions of doctors. They are also the official supplier of 2600 elite athletes. 2000 of them are olympic athletes. every athlete has over 1 million dollar guarantee. With every clients and associates, Usana offers a mind blowing 12 month Guarantee where you can get 100% refund if you are not satisfied. This is unheard of!!! I don't see any other companies out there offer this kind of guarantee. With associates, even if you missed autoship, or credit card payment on your monthly order. Company allows you to recover(no questions asked) where most company makes a huge deal of it and wash associates' points. If an associate has not been active for a while they'll become preferred customer which means they don't need to pay renewal fee or any fee. If you want to head back to business at any point, you can resume just like that. The business itself cost less than $300 to start and all the money went into products. It has no pressure when you run the business, members feel comfortable of running the business. commission is easy enough to make if you only do a little work, where u can make a commission check every week. This company has never delay a payment through my 10 years times in the company. The compensation is far and balanced, many of my associates surpassed my position even years after they joined under my team. I am truely thankful for that. Over all, what I'm trying to say is, USANA is a humbled company. It is a science based company(not business driven). They research and develop and make all their products in their own factory to ensure quality. Through out the years, they won over 600 awards and they don't say much about that, their products even ranked No.1 for over 18 years straight since 1999. Not only in america, also ranked top in Australia, Canada, New Zealand, Columbia, Mexico. Even so, they never claimed those products can cure or prevent diseases, USANA is very very strict on their products. I am very proud of my company.

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dorothy
March 27th, 2017

All in all, USANA's products together with its complan and corporate really help me and my friends in improving their health and lifestyle. :)

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Pete Zdanis
March 20th, 2017 Huntingdon Valley, PA

I have been a USANA Associate for over 22 years. The products and compensation plan are excellent. I've received a weekly commission check from USANA for over 1,165 consecutive weeks so far. There is no equal to USANA in the network marketing profession.

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Joe Blattert
January 4th, 2017 Grandview, MO

Deposits come like clockwork - never a problem. On the health side - people think I'm over ten years younger. No ceiling on potential earnings.

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Heather
November 14th, 2016

Usana offers the best compensation plan in the industry. This is the most transparent, reputable company I have found in the MLM industry over the past 20 years. Their products are second to none with excellent customer service and guarantee. I have trusted my health to Usana for over 6 years now and will not trust any other supplement.

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Christine “Chrissie” Cope
September 13th, 2016

Extremely happy with USANA and all the products I've used. Very impressed with new range of Cell Signalling products introduced August 2016.

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Sarah Tafuna
May 31st, 2016

Best science in the world, products are amazing.

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Valerie
May 12th, 2016

USANA has a 30 day money back guarantee on all product and recently announced a 1 year money back guarantee on initials orders. USANA customer service is exceptional. I have seen them replace product that was damaged during shipment. USANA also has a million dollar Olympic athlete guarentee which guarantees their inutritional supplements will not be linked to banned substances. The pharmaceutical grade supplements, third party testing and validation and the focus on research make Thre USANA difference.

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Indalecio orozco
April 27th, 2016 Pittsburg, CA

Usana compensation plan is better than many other companies... They make every product excellent. Whit a high quality standards. And it is approved by the FDA.

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Jay
March 18th, 2016

Usana is a legit company. The full amount of your registration is converted to products in a discounted price for people to sell it on a mark up price. After you are able to sell the products the return of investment is almost 110-115%. The products are made with a high quality standard that is continuously being monitored by third party organization that gives their license and certifications. Vitamins, Minerals and Anti Oxidant are effective in reducing the chances of acquiring diseases with proper exercise and good diet. Their product of Vitamins, Minerals and Anti Oxidant are not your typical products sold at the grocery or pharmacy. There different due to their research to be the BEST.

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Max Valdez
December 7th, 2015

Usana is the best in terms of health and compensation plan