So, you’ve been approached by a Monat Market Partner who has suggested that you join their team and start selling Monat.
It sounds fantastic, right?
Get discounted haircare products, recommend them to your family and friends and receive commissions when they buy something – who wouldn’t want some extra cash, especially the kind of ‘passive income’ that Monat offers?
However, you want to know the facts before you sign up, specifically, how to make money with Monat in the first place.
It costs a minimum of $148 to sign up to Monat even if you DON’T purchase a Product Pack, and $148 isn’t a small amount of money, especially if you have kids to feed or debts to pay off!
So then, how do you make money with Monat?
More to the point, can you make money selling Monat?
Let’s find out.
How to Make Money With Monat – A Look at Monat’s Compensation Plan and Income Disclosure Statement
What is Monat?
First, let’s get into exactly what Monat is, just in case you’re not actually familiar with Monat as a company!
Monat is a multi-level marketing company that sells haircare and skincare products. It was founded in 2014 by Luis Urdaneta. Rayner Urdaneta is the CEO and Stuart A. MacMillan is President of Monat.
These products are not sold in stores, but online, through ‘Market Partners,’ on social media, using the products themselves and making videos talking about how the products have benefited them.
Monat Market Partners do not receive a salary, but they do receive a commission if they sell Monat products to people that they know, and they also receive extra bonuses and commissions if they sign up other Monat reps and help those people sell Monat products and recruit people.
The more people that a Monat rep recruits, the higher their commissions get, and this money also turns into passive income as you are profiting from other people’s sales rather than having to do the work yourself.
Pyramid scheme allegations
Monat has frequently come under fire from those in the anti-MLM community for sharing many similarities with a pyramid scheme.
Here at Not Your Boss Babe, I actually provided a more in-depth analysis of Monat as a company and found that Monat does indeed resemble a pyramid scheme in many ways, including the fact that Monat’s compensation plan is based on recruitment and ‘growing a team’ rather than product sales, and also that the biggest customers of Monat products are actually Monat distributors themselves.
However, that’s not what this article is about.
This article is about whether you can actually make money selling Monat, and how much you can expect to earn if you become a Monat Market Partner.
How do you make money with Monat?
If you’re wondering how to make money with Monat, you need to take a long, hard look at their compensation plan.
Monat’s compensation plan is pretty complex (I believe that MLM compensation plans are intentionally complex in order to bamboozle people and prevent them from understanding the nitty gritty, but I digress).
However, there are several ways to make money with Monat:
- Selling Monat products to retail customers and VIP customers.
- You will receive a bonus if you convince 4 people in a month to sign up as VIP customers.
- If you recruit people into the company, you will receive a percentage of their commission, provided that you meet minimum sales targets yourself (known as PV)
- You receive bonuses for rising within the ranks at Monat. The way to increase your rank is by recruiting other people.
- If you recruit somebody and persuade them to purchase a Product Pack in the registration stage, you will receive a bonus.
What this tells us is that Monat are really keen to push product sales on Monat Market Partners instead of retail customers, and that there is a lot of cash to be made from growing an enormous team.
Can you make money selling Monat?
While there are several ways to make money with Monat, it isn’t actually as easy as you might think to make a decent income selling Monat.
The vast majority of people in Monat are not making a liveable income, or even an amount that could be seen as a ‘side hustle’ kind of income.
Monat’s Income Disclosure Statement from 2018 shows that, in the year 2018, 47% of Monat distributors earned nothing at all. This is because they were deemed ‘inactive,’ either because they didn’t try to sell any products, or because they managed to sell some products but didn’t meet the required target and so didn’t receive their commissions for those products.
This means that almost half of people in Monat earned nothing in 2018.
Of the people that did earn money with Monat, 94.03% of them earned an average of $183 in 2018.
In fact, when we look at the chart, we see that individuals in the first 7 ranks of the company all earned less than $40,000.
This means that 99.89% of Monat reps earn less than you could in a full time job.
In other words, only 1 in every 909 people make a real living from Monat.
These numbers do NOT take into account the costs of running a Monat business.
These costs include:
- Website fee of $49 each year
- $99 Starter Kit
- Product Pack when you sign up – $199-$799
- Products for personal use
- Money spent on giveaways, promotional materials, equipment needed to promote your business (for example a ring light or webcam)
This means that the 94% of active Monat reps that earned $183 in 2018 likely didn’t take any money home, because the sign-up fees alone cost almost this amount ($148, if they decide not to purchase any Monat products).
How to Make Money With Monat | Final Thoughts
There is a reason that Monat’s income disclosure statement shows that half of Monat reps make no money and 94% of the ones that DID make money made less than 200 bucks – no matter which network marketing company you look at, the average earnings of participants are always the same.
This is because, on average, 99.6% of people in MLM companies lose money or make no money due to the way that the business model is structured.
If you read the income disclosure statements for other MLM companies like Isagenix or Color Street you will see very similar figures.
This is why Not Your Boss Babe does NOT recommend joining Monat, or any MLM company.
An alternative to Monat
If you’re looking for a side hustle or a work from home job, you may find these articles helpful:
Advantages and Disadvantages of Blogging
Easy Freelance Jobs for Beginners
Best Side Hustles for Single Moms
How to Sell Feet Pics Online
Secrets to Selling on Poshmark
Profitable Digital Products to Sell on Etsy
How to Become a Micro Influencer
That’s about it for today, but as always, if you have any questions then don’t hesitate to leave them in the comments section below and I will get back to you!
Until next time,