is SeneGence a scam? Does the compensation plan work? Can you earn a full-time income online, from home, with their opportunity? Continue reading this SeneGence review to learn the shocking truth about this company.
SeneGence Review Summary:
Pros: Decent selection of products, most consumers like them.
The Cons: Expensive entry fees and other fees not mentioned, such as shipping fees. Pressure to sponsor as many people as possible. Steep sales requirements. Complicated terms, and non-transparent business. Sales must be done in-person.
The Bottom Line: Not something we recommend. Very similar to a pyramid scheme, with even more entry fees. If you're looking for a better way to make money online, check out our recommended product below.
What is SeneGence?
SeneGence is a multi-level marketing company in the skincare and cosmetic industry, similar to many other MLM companies. Founded in 1999 , SeneGence is one of the oldest MLM companies out there. Though they do have a long history, that doesn't necessarily mean they're the right fit for you.
In short, SeneGence offers a wide range of cosmetic products, their flag-ship being a Lip Sense, a long-lasting style of lipstick. Products span nine categories:
- Skin Care
- Sene Derm Solution (Treatments)
- and Perfume.
As you can imagine, there are plenty of products to promote, as well as "Collections" that include a combination of the above products. From a consumer perspective, their product line seems decent, and plenty of women around the world claim to use and love SeneGence products.
Similar MLMS (Click for Reviews):
The idea is if you love the products, then you can make money promoting them as a distributor. Is that a good idea? Can you make enough money as a distributor or will you spend more than you make? Let's take a look.
SeneGence uses the typical MLM structure with the radically original Volume system for tracking sales and other activity. Before you can start, can you guess what you need to do first? That's right. Buy a kit and pay an enrollment fee.
- $55 Enrollment Fee.
- Purchase a Distributor Kit - ($75 - 1,195)
- Earn $200 in Sales a Month (Increases depending on your rank)
- Fast Start Pack - $1,195
- Significant SeneSeller Pack - $795
- Qualified Distributor Pack - $345
- Glamour Pack - $295
- Lips Pack - $75
Now that you know what is needed, let's move on to the income opportunity.
Making Money with SeneGence:
It starts with a chart that looks like it was made with MS Paint by a 8 year old.
If you're having trouble following the arrows, it basically represents what we mentioned earlier; people can choose to either become a customer or a distributor.
- 0 - 99.5 PV = 20%
- 100- 299.5 = 30%
- 300 - 749.5 = 40%
- 750 + = 50%
1 PV equals to 1/2 of 1 Suggest Retail USD.
And what is the suggested retail USD? That's unclear. It feels unnecessarily complicated. Why can't one PV represent one USD? Why do we need to solve all these formulas to get an idea of how much we can earn? Very confusing!
Commission Income & Down-Lines:
Now, this is the other side of the compensation plan that focuses more on recruitment and team bonuses. The goal is to build a down-line, and sponsor as many people as possible, so that you can earn commissions from their sales and activity on the site.
Instead of using a right and left leg-system, SeneGence uses a five-slot system. In other words, the idea is to sponsor five people, and then get those people to sponsor five more people, etc.
Wait a Minute!
Promoting a MLM Company is NOT a good idea.
Each five-person line is called a Generation, and the first line is your 1st Generation. The second generation are the people your people sponsor, and the third is the people they sponsor, and so forth.
Since the commission rate increases depending on your generations, the idea is to get as many generations of people under you as possible.
Here are the rates:
- 1st Generation (or First Line) - 10%
- 2nd - 20%
- 3rd - 30%
- 4th - 40%
- 5th - 5% (Max)
As we know, it's hard enough getting one line of active people under you, so getting passed the third generation is an incredible challenge. In most cases, the average distributor only has a handful of sponsored people. Not everyone wants to stick to these opportunities forever.
Group Sales Bonuses
Naturally, there's the option to earn further bonuses from your group's activity. These bonuses are available on sponsored distributors who place products orders worth 101 PV or more. Here are the bonuses:
- 1st Line - 10%
- 2nd Line - 6%
- 3rd Line - 4%
- 4th - 3%
- 5th - 2%
Keep in mind, to earn these bonuses you need to have distributors who place at least 300 PV or more.
To wrap it up:
The compensation plan unnecessarily complex, but the point is you need to sponsor as many people as possible, and make sure they stay active, while meeting your own requirements.
P.S. This company is almost identical to MaskCara, read our Maskcara review here.
Is SeneGence a Scam?
No. I personally believe that Senegence isn’t a scam since they distribute real products. In addition, there are those who testify that the products are effective but in contrast, some says they are horrible.
Practically speaking, however, these products are pricey. Above all, there are comparable products in the market that are way cheaper than this brand.
The business model that SeneGence promotes is the same with other MLM companies. In fact, the cost for mere signing up with them is already expensive and has to be paid every year. One would really need to shell out a huge amount of money in order to start the business. It also looks identical to a pyramid scheme.
Nevertheless, it's not something I recommend, for reasons below:
The Cons with SeneGence?
Why don't we recommend SeneGence? What's wrong with their opportunity?
1. Products Regularly Out of Stock:
One of the most common complaints about this company is their products are often out of stock. It is rather difficult to make money when you can't even make sales in the first place. Since sales are supposed to be conducted in person, when a customer places an order that the sponsor can't fulfill, it's not great.
2. Personally Pay Shipping Fees:
Oddly enough, free shipping doesn't apply, even if you live near a center. Distributors will need to pay for the shipping fees out of their pocket, which can add up to quite a lot of cash.
Something that is not mentioned when you're looking to enroll. Not to mention the minimum sales requirements, either. Chances are you'll be operating on a negative income.
3. Expensive to Join:
Though the Kit is only $55 you still have to pay another $55 to enroll as a sponsor, bringing the minimum to $110. Of course, the first kit is inadequate - it only contains a few samples - if you want more promotional material you'll have to get a better kit. The enrollment fee is annual too.
4. Not Transparent:
No income disclosure statements and no annual earnings reported, either. The company does a good job at hiding their income reports, which is strange. Transparent companies are a breathe of fresh air, unfortunately, SeneGence is not one of them. An income disclosure statement would be nice.
But it's not all bad...
Here's what we liked.
1. Long-Standing Company:
I was surprised when I discovered the company was founded in 1999, making it (at the time of this writing) 20 years old. That's a long time. Most people use the companies life-span as an argument for it being legitimate. Yes, it might be legitimate, but that doesn't mean it's worth your time. There are much better opportunities out there.
Thanks to the Internet, I'm constantly getting at least 20 new leads per day without doing any cold calling, hard selling or recruiting.
I've already achieved financial independence after working 1 year in affiliate marketing by earning a 4-Figure Passive Income Online.
3. Decent Selection of Products, Positive Reviews:
As far as the products are concerned, most consumers actually like them, and there are plenty of positive SeneGence reviews. What people like most about the products is their application time, no need to re-apply the lipstick or makeup - it sticks for a good portion of time.
On the other hand, some people did report allergic reactions, such as inflammation and rashes, so it's best to proceed with caution.
A Better Way to Make Money Online!
I rarely recommend MLM companies, mainly because they're far too expensive to get started (and for many other reasons you can read about in my MLM vs Affiliate Marketing comparison) but I do recommend affiliate marketing - it's how I make money online.
Here's Why it Works:
- Affiliate Marketing is cheaper. Free, most of the time.
- You don't need to pressure people into buying from you.
- You can promote anything that you want.
- No sales requirements.
If you want to learn more about how to build your own successful affiliate marketing empire, click the link below.
Thanks for taking the time to read this is SeneGence a scam review. Leave a comment if you have any questions or feedback. Thanks.
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