Is Success By Health A Scam?(A FTC Recognised Pyramid Scheme?!)

It’s likely that you have come across Success By Health through an email list, on social media or got it recommended by a friend or family member.

Is Success By Health a scam? The reasons why you’re here is because you have want answers right so, that’s what I’m going to provide for you within this Success By Health review.

First and foremost I must commend you for actually doing a bit of extra research before committing to joining Success By Health. For all you could have known, the company could be a major scam so the fact you’re here right now, researching whether or not that’s the case is a pretty smart move on your part.

To be fully transparent with you, I am personally not a member of Success By Health so I can assure you that I will not attempt to sell you it unless of course it’s worth investing in.

What I will aim to do is provide you with an unbiased 3rd party look at Success By Health that will hopefully help you to make the best decision you can in the end.


PRODUCT NAME: Success By Health (SBH)

OWNER/S: Jay Noland

TYPE OF PRODUCT: coffee based MLM

PRICE: $49 + $500 – $1995 + monthly autoship

SUMMARY: According to the FTC there is a good chance that Success By Health may officially be recognised as pyramid scheme and a scam at the writing of this review, mostly due to their bad practices within the business but, if SBH do attempt to fix these issues, it may not be one in the future.

However, even if the company were to fix up, recruitment would still be essential for success, the expensive membership costs would also likely remain the same and of course the really low success rates MLM’s show wouldn’t change either.

That’s why I personally would not recommend joining SBH because there would still only be a small chance that you’d find success with it, pyramid scheme or otherwise.

FINAL RATING: 1/5

RECOMMENDED: No


WHAT IS SUCCESS BY HEALTH?

Success by health logo

Success By Health is a coffee based health and wellness MLM founded in 2017 and is a subsidiary entity of another company called Success By Media LLC. As for SBH’s acting CEO, its a guy named Jay Noland who also happens to have quite a bit of experience within the coffee side of things in the MLM industry.

Before becoming SBH’s CEO, he used to work with another very popular coffee company called Organo gold where he was a co-owner however, in 2014 he had a bit of a falling out with them and ultimately left.

Also before leaving, in 2009 he created another company called Synergy, which is once again a coffee based company but this time instead of falling out with the company he sold it off to another institution in 2015. After selling synergy he still remained the active chief sales officer till October 2016 after which he left.

But, before leaving he began creating his other company, namely success by media llc in 2015, which is an online marketing training platform before officially registering and starting up the subsidiary coffee based company in SBH, which of course is an industry that Jay knows a lot about.

Jay seems like an experienced MLM guy and seems to have a wealth of experience within it but, whether or not his experience translates to providing a solid business opportunity for most, hopefully I can help you find the answer to that question throughout the rest of this review.

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SUCCESS BY HEALTH PRODUCTS

SBH’s coffee based products seem to use ganoderma lucidum (A reishi mushroom) along with other Myco herbs. Ganoderma is actually an ingredient that was used within Organo gold products too, and supposedly has the following benefits :

  • Enhance the immune system
  • Prevent or slow down cancerous tumors
  • Regulate blood pressure
  • Alleviate allergies
  • Decrease inflammation
  • Aid in digestion, etc…

Of course these ingredients have side effects such as lowering an individuals blood pressure or even resulting in a bleeding disorder but, these are side effects that will only occur if there is too high a dosage of the ingredient so, for the most part you shouldn’t be too concerned about them.

However, side effects are still more so dependent on a case by case basis meaning there is a chance it could happen to you, even if the chances are really low.

Success by health products

As for the products sold by SBH, there are 2 main line products with the first line up being MycoCafe which includes the following items :

  • Gourmet Black Coffee – “will bring your senses to life with the rich smooth flavor and full aroma of the most enjoyable tasting coffee you have ever experienced”, retails at $20 for a pouch of thirty single-serve sachets (also available at $560 for a case of thirty pouches)
  • Gourmet Latte – “we begin with our superior gourmet black coffee and then bring to life the blended flavor of top quality creamer and natural sugar, along with our proprietary blend of Organic Ganoderma”, retails at $22 for a pouch of twenty single-serve sachets (also available at $620 for a case of thirty pouches)
  • Gourmet Chai Tea – “a naturally caffeine-free beverage made with Organic Rooibos Tea, high quality creamer, natural sugar, and special spices, combined with an exclusive and proprietary blend of our Organic Ganoderma”, retails at $23 for a pouch of fifteen single-serve sachets
  • Rooibos Tea – “made with Organic Rooibos Tea combined with an exclusive and proprietary blend of Organic Ganoderma”, retails at $22 for a box of twenty single-serve sachets
  • Gourmet Mocha – “dessert in a cup coffee that brings heaven to your mouth, as this smooth blend of coffee, cream, and cocoa dance with taste sensations”, retails at $22 for a pouch of fifteen single-serve sachets
  • Gourmet Hot Chocolate – “a rich deep blend of the finest Central American Cocoa, fine cream and natural sugar”, retails at $22 for a pouch of fifteen single-serve sachets
  • Gourmet Green Tea – an “organic source of Green Tea, together with a blend of organic Ganoderma”, retails at $22 for a box twenty single-serve sachets

The second main line products SBH sell are called nutraceuticals, which are supplement based items and include the following items :

  • Aller-G-Stop – “a comprehensive nutritional supplement that helps to provides maximum natural allergy relief support”, retails at $39 for a bottle of sixty capsules (also available at $429 for a case of twelve bottles)
  • G-Burn – “designed for adults that are serious about making rapid progress with their weight loss program and/or rapidly increasing work out results”, retails at $59 for a bottle of sixty capsules (also available at $649 for a case of twelve bottles)
  • G-Clear – a “proprietary herbal combination, designed to help support the natural relaxation mechanisms in the body”, retails at $39 for a bottle of sixty capsules (also available at $429 for a case of twelve bottles)
  • Fruit & Veggie Power Plus – “packs the essential dense nutrients from 22 powerful vegetables and 7 powerful fruits, along with Organic Ganoderma”, retails at $59 for a bottle of ninety capsules (also available at $649 for a case of twelve bottles)
  • G-Shield – “a powerful trace mineral formula with added synergistic naturals, which provides a rich source of nutrients known for cellular protection”, retails at $39 for a bottle of sixty capsules (also available at $429 for a case of twelve bottles)
  • G-Drops – “designed to help support nutrient absorption, help increase cellular detoxification, help rejuvenate the endocrine system, help normalize intestinal elimination supporting the body’s own healing ability, and help with support superior hydration to the body”, retails at $29 for a 2 fl. oz. (59.14 ml) bottle (also available at $319 for a case of twelve bottles)
  • Ganoderma Essential – “provides a daily dose of pure Organic Ganoderma in convenient capsule form”, retails at $39 for a bottle of sixty capsules (also available at $429 for a case of twelve bottles)
  • Life 120 – “one of the most powerful, complete full spectrum multi-mineral, multi-vitamin, and daily whole food complex supplement in the world!”, retails at $79 for a bottle of 120 tablets (also available at $790 for a case of twelve bottles)

The number of products SBH sell are quite vast and seem to be somewhat expensive starting at around $20 and going as high as $79 but, these items are also not the most expensive items I’ve ever seen.

Nevertheless, I’m sure it’ll be quite difficult to convince a fair few people to invest $20 on coffee when there are so many significantly cheaper alternatives out. there


HOW DO YOU MAKE MONEY WITH SUCCESS BY HEALTH?

As is the case with pretty much all MLM businesses there are 2 ways to make money with them, SBH being no exception.

1. The first method is by directly selling the product to other individuals and in return make a commission for the sales

2. You make money through your recruits and downline, by getting residual income by following and meeting certain criteria as well as make money through bonuses and incentives due to meeting company set goals.


HOW TO GET STARTED

If you want to join SBH whilst only being a member that doesn’t make money from their compensation plan, it’ll set you back $49.

On the other hand, if you want to be eligible to earn from the compensation plan, you’ll need to purchase one of their promotional kits.

  • SBH Affiliate Accelerator Pack – $500
  • SBH Affiliate Super Accelerator Pack – $1995

On top of that, the more you’re willing to pay for the promotional kits, the more tiers you’ll be able to earn from within the compensation plan :

  • SBH Affiliate Accelerator Pack “opens up 5 tiers of commissions”
  • SBH Affiliate Super Accelerator Pack “opens up all 6 tiers of commissions” and “maximize(s) profit potential”

Beyond this there are additional costs too such as an undisclosed monthly payment for a “SBH Social Selling System” along with a monthly autoship.

So SBH is far from an affordable MLM to join if for soem reason it’s caught your eye.

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COMPENSATION STRUCTURE

If you’re serious about joining SBH, it will be very important for you to study the different ways to make money with it. In this section I will only be covering the more beginner oriented aspects of the plan but, if you are planning on joining, I definitely would recommend studying the compensation plan in more detail.

Retail Commissions

Retail commissions are the most basic of ways to make money with any given MLM and its not very a very different experience here either. Simply put, every time you personally sell a SBH product you’ll earn a certain percentage of its retail sale value in commissions.

In this case that commission rate will be the difference between the wholesale value of a purchased product and the recommended retail value that you should sell said product at.

SBH claims that the average profit per retail customer is $45 within their compensation plan. What they mean by that is every customer you bring in should make you roughly $45 in profits in their lifetime but, don’t be completely engrossed by these stats as the real world profits will likely be a lot different.

Recruitment Commission

Whenever one of your personally recruited members purchases one of the 2 promotional kits, you’ll be eligible to earn a specific commission amount, which is the following :

  • recruit an Accelerator Pack affiliate and receive $125
  • recruit a Super Accelerator Pack affiliate and receive $400

On top of that, if an affiliate is also able to recruit 3 individuals within 7 days, they’ll receive a further $50 bonus for doing so.

Residual Commissions

SBH pays its affiliates residually using a unilevel structure. If you don’t know how a unilevel structure works, in simple terms it means that horizontally an affiliate will be able to recruit and earn infinitely from recruits but vertically the earning potential will be capped.

In this case the the unilevel structure’s earning potential is capped at level 5.

As for how the payments work, an affiliate will be paid a percentage of the sales volume generated within each level, where the percentages paid out include the following :

  • 10% on level 1 (personally recruited affiliates)
  • 6% on level 2
  • 4% on level 3
  • 3% on level 4
  • 2% on level 5

There are various other bonuses and incentives offered by SBH but, they’re areas that I won’t be covering here as they are more so designed for the higher level affiliates within SBH. However, if you still want to see how the other methods work, I’d suggest watching Jay’s video discussing the compensation plan down below.


THE NOT SO GOOD THINGS

Recruiting Is Essential For Success

Although you can make money through retail sales, the core way to make money with SBH will be through recruitment.

The income from both recruitment commissions and more importantly residual commissions will be generated due to the likely mandatory autoship plan affiliates have to pay for in order to remain an active member within SBH are just way more profitable than selling retail items on a regular basis, not to mention the fact that the more individuals you have in your team the less work you’ll need to do later down the line, unlike with retail commissions.

This is simply the reality of most if not all MLM’s out there. Even if you can make decent money with a MLM through retail sales, recruitment is more or less always the best way to make a lot of money with them and SBH is no exception.

It’s Really Expensive To Join

The starter kits and the need for other fees in the form of autoship costs and other miscellaneous costs does mean SBH could run you back well over $1k simply to run and maintain throughout the year.

The starting costs alone can run you back $1995 + $49 in order to get the most out of the compensation plan so, adding other costs on top means you’ll need to be willing to take a huge risk in order make the most out of the opportunity, which may not be something you’d consider doing after reading the next not so good thing.

Success By Health Appears To Be A Pyramid Scheme According To The FTC

This article by the FTC seems to discuss the potential of Jay’s opportunity being a pyramid scheme along with how back in 2002 he was actually a part of an illegal pyramid scheme as well.

The reason for this statement by the FTC is because they’ve found 2 major red flags indicating Success By Health is a pyramid scheme and gives them enough reason to go after the company.

The first major red flag is that SBH seems to violate “the Mail, Internet, or Telephone Order Merchandise Rule by often failing to ship products to Affiliates and other consumers who place product orders, and failing to offer and give consumers refunds.”

The second violation is “the Cooling-Off Rule, which gives consumers a three-day right to cancel certain sales made at a consumer’s home, workplace, or a seller’s temporary location,” which of course according to the FTC, is something SBH has failed to do.

Theae aren’t the only areas SBH have crossed but, it sure does give a solid reason to be very cautious of the company.


THE GOOD THINGS

There aren’t very many positive things I can say about SBH especially if according to the FTC, the company is a pyramid scheme but, if I were to say one positive thing about the company, I guess it would be that atleast the owner seems to be quite the experienced MLM entrepreneur, even if a somewhat shady one.

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IS SUCCESS BY HEALTH A PYRAMID SCHEME/SCAM?

According to the FTC there is a good chance that Success By Health may officially be recognised as pyramid scheme and a scam at the writing of this review, mostly due to their bad practices within the business but, if SBH do attempt to fix these issues, it may not be one in the future.

However, even if the company were to fix up, recruitment would still be essential for success, the expensive membership costs would also likely remain the same and of course the really low success rates MLM’s show wouldn’t change either.

That’s why I personally would not recommend joining SBH because there would still only be a small chance that you’d find success with it, pyramid scheme or otherwise.


MY PERSONAL RECOMMENDATION

I personally will always recommend against using a MLM business model to make money, not because you can’t make money through it (you totally can) but, the system has always seemed shady to myself and is kinda synonymous with the likes of a pyramid scheme or scams (MOBE and Digital altitude).

Instead I prefer working with something created through ones own means and is ultimately dependent on yourself and your work ethic alone.

This method I’m talking about is affiliate marketing. 

The reasons as to why I recommend it over MLM based structures are because

– there is no need to recruit constantly

– it is a legitimate method that has been working consistently and continues to grow as more businesses want individuals to promote products

– and because it is free to start up, no unnecessarily large start up funds needed.

The service I recommend is Wealthy Affiliate. It’s free to sign up to and will get you set up and ready to start your affiliate marketing journey within minutes, as it did for me when I begun my journey.

If you have any questions that you would like to ask me regarding SBH, feel free to do so in the comments section below and I will get back to you as soon as I can. If you have your own thoughts about SBH and would like to talk about it, again feel free to do so in the comments below!

Thanks

Amhil

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