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Apriori Beauty Review
The enterprise known as Apriori Beauty started back in 2009 as an MLM that focuses on personal care niche. The company operates in California and run by Susan Twellman, Elizabeth Vervynck and Candace Keefe, its founders.
We researched the three of them and found that Ms. Twellman worked for both UPS and Quest Software. As for Ms. Vervynk, she had a marketing and design business with her sister.
Ms. Vervynk's company had a client in MLM named Arbonne. Ms. Keefe worked as Product Development VP for them. Shortly after, she left along with Vervynch and founded Apriori Beauty.
Nevertheless, Ms. Keefe abandoned Apriori Beauty three years after it started when she had a disagreement with the company about her position.
Lawsuit
Our research found that Ms. Keefe filed a lawsuit for trademark infringement against Apriori Beauty. Both Ms. Twellman and Vervynck were the defendants for Apriori. The details of the case became public.
It seems like the company's operating agreement gives all CEO's powers as managers and full disclosure of Apriori Beauty info. That's where the controversy comes in, Keefe didn't have access to Apriori's financial information.
At some point, Ms. Keefe found that Apriori Beauty made transactions that she wasn't aware of. She asked Ms. Twellman for documentation and what she got was inconsistent with what she already knew.
Ms. Keefe claims that after she formally asked for the documents, Ms. Twellman and Ms. Vervynck hired a counsel behind her back to take Apriori Beauty decisions.
After that, neither Ms. Twellman or Ms. Vervynck talked to Ms. Keefe again. The counsel responded evasively to every one of Ms. Keefe requests. Everything went downhill for Apriori Beauty afterward.
A few months later, Ms. Twellman and Ms. Vervynck voted for a displacement of Ms. Keefe as CEO. Apriori Beauty sent a letter to Ms. Keefe's attorney to let her know about this decision.
After the court learned that there wasn't any agreement on the case, it ordered that Apriori Beauty couldn't use that name anymore as a brand or for marketing.
Nevertheless, Apriori Beauty didn't cease to use the name, likeness or brand. Ms. Keefe lawsuit continued and finally reached a settlement in 2013. Right now, there's no mention of Ms. Keefe anywhere in the Apriori Beauty website.
Apriori Beauty Products
Apriori Beauty does have products for retail. They market products for personal care such as hair care, body care, spanning skincare, health & wellness and color.
Apriori Beauty products also come in packages and sets.
The Compensation Plan
Apriori Beauty pays its members when they sell products to customers. Payments for residual commissions go through a uni-level tree that goes three levels deep, and they extend via a generational bonus.
If an Apriori Beauty member wants to receive commissions, he/she needs to qualify. Membership status is to be active and have Senior Consultant rank.
To get active status, an Apriori Beauty member needs to raise $150 a month in product sales including self-purchases.
Retail volume is otherwise known as “Personal Volume” (PV).
To get the Senior Consultant rank, a member needs two direct recruits to be active.
For some bonuses, there's a third qualification requirement called “Autoship Qualified.” To meet this criterion, a member needs raising at least $150 monthly in Apriori Beauty.
The Affiliate Ranks
The company has nine affiliate ranks within the Apriori Beauty structure. They go like this (with the respective qualification criteria):
- To get Independent Consultant rank, a member has to sign up as a member of the company.
- To get Senior Consultant rank, a member needs active status and a direct recruit that's active as well.
- To get Team Leader rank, a member needs to make 200 PV a month, be Autoship Qualified and two direct recruits who have the same status.
- To get Manager rank, a member needs to make 4000 GV a month (2500 GV if a direct recruit gets Manager rank in the same month), be Autoship Qualified and four direct recruits who have the same status.
- To get Executive Director rank, a member needs recruiting and maintaining – a minimum – one active Manager or higher ranked member.
- To get Silver Director rank, a member needs recruiting and maintaining – a minimum – two active Manager or higher ranked member.
- To get Gold Director rank, a member needs recruiting and maintaining – a minimum – three active Manager or higher ranked member (one Silver Director is mandatory).
- To get Platinum Director rank, a member needs recruiting and maintaining – a minimum – four active Manager or higher ranked member (one Gold Director is mandatory).
- To get Executive Platinum rank, a member needs recruiting and maintaining – a minimum – five active Manager or higher ranked member (one Platinum Director is mandatory).
GV means “Group Volume” and is essentially PV made by a member and his direct and indirect recruits in Apriori Beauty.
An Apriori Beauty member can keep his/her Manager rank raising 1000/1500 GV or more every month. Once a member qualifies for a rank, that's permanent. Active and Manager qualification must be monthly met in Apriori Beauty.
Retail Commission
Apriori Beauty pays members a retail commission when they sell the company's products to retail customers. Apriori Beauty packs volume in retail when a member buys. Apriori pays a retail commission on rebate like this:
- There's a 20% commission payment on the first $150 spent/made through retail orders every month.
- There's a 30% commission payment on the first $151 spent/made through retail orders every month.
Bonus
Apriori Beauty pays a bonus called First Order, and it works with a uni-level structure that goes down three levels.
First Order Bonus payment on the first Apriori Beauty order is placed by new members like this:
- Members in level 1 (direct recruits get 15%
- Members in levels 2 and 3 get 5%
Apriori Beauty Members that make $200 in GV a month, have Autoship qualification and recruited a minimum of two members who qualify for Autoship, get a 5% bonus on First Order Bonus based on these rates:
- Members on level 1 (direct recruits) get 20%
- Members on levels 2 and 3 get 10%
Downline Production Bonus
Apriori Beauty gives a Downline Production Bonus, and it uses the same three-level deep structure as the FOB (First Order Bonus).
The Downline Production Bonus is a just 8%. Payment goes down on continuous three-level deep orders after their first in Apriori Beauty.
Residual Commission
Apriori Beauty pays residual commissions to members ranked as Manager or higher through a uni-level compensation structure.
A uni-level structure puts an Apriori Beauty member at the top of the uni-level tree, with direct recruits placed beneath them:
When a level 1 member recruits, each new Apriori Beauty member goes to level 2 of the member's uni-level tree. If that happens with a level 2 member, they go on level 3. This situation may occur to infinity.
Apriori Beauty pays commission on generated GV (4% or 5%) in each uni-level leg until it finds another Manager or higher ranked member.
- Members that have Manager rank and qualify with 1000 GV get paid a 4% residual commission rate
- Members that have Manager rank and qualify with 1500 GV get paid a 5% residual commission rate
Director Bonus
Apriori Beauty gives a Director Bonus that uses the uni-level tree structure. A generation happens when a uni-level tree has a Manager or higher ranked member.
When it occurs, all residual commissions for that leg are capped, and a manager generation starts in Apriori Beauty. If it finds (the system's algorithm) another member that's ranked as Manager or higher deeper in the leg, generation one is capped and generation two starts.
By using this structure, a member can get on up to five generations per uni-level leg. The winnings of a member per generation are determined by his rank and monthly GV.
A member can rank-qualify for these by making 1000 to 1499 GV a month:
- A member who is Executive Director earns 4% on one generation
- A member who is Silver Director earns 4% on the first generation and 3% on the second.
- A member who is Gold Director earns 4% on the first generation, 3% on the second and third.
- A member who is Platinum Director earns 4% on the first generation, 3% on the second to fourth.
- A member who is Executive Platinum earns 4% on the first generation, 3% on the second to fifth.
A member can rank-qualify for these by making 1500 GV a month:
- A member who is Executive Director earns 6% on one generation
- A member who is Silver Director earns 6% on the first generation and 5% on the second
- A member who is Gold Director earns 6% on the first generation, 5% on the second and 4% o the third
- A member who is Platinum Director earns 6% on the first generation, 5% on the second and 4% on the third and fourth
- A member who is Executive Platinum earns 6% on the first generation, 5% on the second and 4% on the third to fifth
Luxury Cash Bonu
Apriori Beauty also hands out a Luxury Cash Bonus, that's a $5 payment bonus given to members ranked as Manager and higher.
A member gets $5 per active member put in the first three levels of the uni-level tree.
Joining In
To become a member, one has to purchase a $49 Starter Kit, and annual $30 payment. The Starter Kit has a wrinkle reducer and a skin cleanser creme.
After a member signs up, he/she can choose between product packages along with the required Starter Kit, and the price range goes from $249 to $659.
The Final Word on Apriori Beauty
Apriori Beauty MLM approach focuses strongly on retail sales, their model's named “The Retailistic Plan” and it's built for client sales.
This model may be legitimate, but deep down we found that the company relies upon on autoship recruitment.
Any Apriori Beauty member needs to get autoship if he/she wants to maximize the earnings via the compensation plan.
Proof of this is the First Order Bonus and the Team Leader rank (the last one requires $150 in autoship). Those same $150 is the exact amount that's required for retail sales.
This amount guarantees members to sign up for $150 (because of the autoship value) and recruit other members to do the same.
The variable retail commission may look as an incentive for raising retail sales. Unfortunately, it doubles as a rebate on member's orders.
In the end, Apriori Beauty works as an MLM that creates revenue from members (through autoship or monthly purchases), that's the typical fingerprint of a pyramid scheme.
A good indicator for legitimate retail sales activity is finding out how their retail works (either via PV or self-purchase), an MLM with low retail sales is illegal within the US.
If there's doubt about these kinds of activities with Apriori Beauty, proceeding with caution is always the right approach.
Aaron and Shara What Do You Suggest?
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