Xango MLM Business Reviewed

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  • Author Brian Horwitz
  • Published October 19, 2009
  • Word count 617

One of the most widely known MLM business opportunities you'll find today is Xango. It is marketed as a dietary supplement that highlights the beneficial effects of the Mangosteen fruit. With over 100,000 distributors and international operations that have gone beyond the US to Canada, Mexico, Japan, Germany and Malaysia, Xango has been able to sustain its growth despite some persistent concerns about how it is marketed.

The Company

The company that owns and distributes Xango is a privately run business based in Utah called Xango LLC, founded by Joe Morton. Over the years, Xango LLC has expanded its product line as it now includes, among other things, a Gel Cleanser, a Serum, a Toner, a Moisturizing cream and a lotion - all of which are derived in some way from Mangosteen.

Xango LLC also enjoys good public relations thanks to its initiative in setting aside 7% of profits and donating it to children's charities like Operation Kids. It has also partnered with NGOs and other organizations to benefit children around the world, encouraging distributors to also participate in philanthropic activities.

The Compensation Plan

As far as the compensation plan goes, Xango LLC pays out 50% on all commissionable volume on each Xango product sold. Payment is sent out monthly, with bonuses for distributors who qualify as "Premiers" or higher and share in 3% of global sales each quarter. Like many MLM business opportunities, distributors can also earn directly from retail sales and are given a startup bonus (called "PowerStart") for their initial sales order. It's a fairly straightforward plan with achievable goals compared to other MLM compensation plans.

The Product

So what's the catch? The main criticism about Xango centers on how their products are marketed. For one, the marketing literature gives the impression that Mangosteen, and by extension Xango juice, is an all purpose cure all for everything from joint pains to cancer, but their website includes a disclaimer that "These statements have not been evaluated by the FDA. This product is not intended to diagnose, treat, cure or prevent any disease." This might seem like a weasel tactic, but it hasn't dissuaded Xango distributors from earning fat commissions even if each bottle of Xango costs $32.50.

The Verdict

No MLM business is perfect. Even legitimate MLM business will have some aspects that will not sit well with some, but really aren't that big a deal for others. It's a decision that only you can make. However, I will say that a product like Xango does need to be marketed properly if you hope to make it a significant source of personal income.

Think about all the competing juice beverages in MLM and how your fledgling MLM business can compete against all of them. Think about how you'll handle your network efficiently so your days aren't spent on the phone or in front of a computer answering a ton of questions each and every day. Think about how you'll go beyond your "warm market" of friends and family who can only buy and drink so much Xango juice in a month!

A consumable product like Xango requires consistent effort each month to sustain sales. Without the right marketing know-how to leverage the most powerful marketing tools right at your fingertips, then even the most attractive MLM compensation plan won't produce the income you were hoping for.

If I were marketing a Xango business, I would no doubt take advantage of the biggest marketplace on the planet, the Internet. Instead of chasing friends, family, or anybody you happen to meet on the street, tap into the web and figure out how to attract "qualified" prospects to your business. This will make your make your Xango experience that much more profitable guaranteed.

Brian and Krysti Horwitz are professional Internet Marketers that coach hungry entrepreneurs how to use free and paid advertising online to seriously profit in business. They are the authors and creators of BulletProof Marketing, a "must-have" lead generation training tool for any network marketer, home business owner or entrepreneur. Gain access to their Free training right here: BulletProof Marketing

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