You’ve likely stumbled across DoTERRA, maybe seen the slick essential oil bottles pop up on your feed, or perhaps a friend has pitched you on ‘wellness’ and ‘financial freedom’ with them, leaving you wondering what the actual deal is behind the pretty packaging and enthusiastic testimonials.
Let’s ditch the fluff and get straight to peeling back the layers of how this machine works, because understanding the nuts and bolts of its structure, compensation plan, and product claims is the first step in figuring out if it’s a path worth considering for you, whether just buying a bottle or into the business side.
Product | Type | Primary Use/Claim as marketed/discussed | Size Typical | Approx. Wholesale Price as discussed | Key Ingredients briefly | Scientific Backing as discussed in text | Link |
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DoTERRA Introductory Kit | Kit | Beginner sampling, introduction to oils | 3 x 5ml | ~$19.50 | Lavender, Lemon, Peppermint | Varies by oil. Kit itself is introductory, not therapeutic | Link |
DoTERRA Lavender Essential Oil | Single Oil | Relaxation, sleep, skin soothing | 15ml | ~$21.00 | Lavender | Some plausible evidence for relaxation/sleep via aromatherapy. limited for other claims. | Link |
DoTERRA On Guard Protective Blend | Blend | Immune support, air purification, protective benefits | 15ml | ~$34.00 | Wild Orange, Clove, Cinnamon, Eucalyptus, Rosemary | Strong in vitro science for components. limited human clinical evidence for typical use. | Link |
DoTERRA Breathe Respiratory Blend | Blend | Clear airways, easy breathing | 15ml | ~$26.00 | Laurel Leaf, Peppermint, Eucalyptus, Melaleuca, Lemon, Ravensara, Cardamom | Peppermint/Eucalyptus offer subjective relief/some traditional use. limited clinical evidence for blend for respiratory conditions. | Link |
DoTERRA Serenity Calming Blend | Blend | Relaxation, restful sleep, calming environment | 15ml | Price not detailed for this size/blend | Lavender, Cedarwood, Ho Wood, Ylang Ylang, Marjoram, Roman Chamomile, Vetiver, Sandalwood, Clary Sage | Some scientific basis for lavender for relaxation/sleep via aroma. limited specific to the blend. | Link |
DoTERRA Deep Blue Rub | Topical Rub | Soothing support for muscles/joints | 4 oz tube | Price not detailed for rub | Deep Blue Blend oils Wintergreen, Camphor, Peppermint, etc. in lotion base | Plausible for temporary localized relief based on active components menthol, methyl salicylate. | Link |
DoTERRA DigestZen Digestive Blend | Blend Often Ingestible | Digestive support, soothing upset stomach | 15ml | Price not detailed for this size/blend | Ginger, Peppermint, Tarragon, Fennel, Caraway, Coriander, Anise | Some basis for individual ingredients for minor occasional issues e.g., peppermint for IBS. limited specific to blend. | Link |
Read more about Is DoTERRA a Scam
Decoding DoTERRA’s Business Model: Is it MLM or More?
Alright, let’s cut to the chase.
You’re probably here because you’ve encountered DoTERRA, maybe a friend or family member is selling it, or perhaps you’ve seen the glossy photos of essential oils on social media and wondered, “What’s the deal? Is this legit, or is there something else going on under the hood?” When you look at DoTERRA, you see essential oils, diffusers, health claims, and a whole lot of talk about “wellness” and “financial freedom.” But peel back a layer, and you find a structure that looks suspiciously like a lot of other companies where earning money seems less about selling a product directly to a customer off the street and more about building a team.
This is where the “MLM” question comes in, and it’s crucial to understand the nuts and bolts of how this machine is designed to run, because that design dictates where the money flows and whether the opportunity is what it appears to be on the surface.
We’re going to put DoTERRA’s operational blueprint under the microscope, looking not just at the pretty packaging but at the engine driving the whole operation.
Understanding any business starts with understanding how it makes money and, crucially, how you, as a participant, are supposed to make money. In the world of multi-level marketing, or MLMs, this isn’t always straightforward. The model is complex, often involving multiple ways to earn, which can make it difficult to grasp the real effort and success metrics. DoTERRA operates within this space, promoting both the sale of its products and the recruitment of new distributors called Wellness Advocates. So, the question isn’t just if it’s an MLM – it clearly uses an MLM structure – but how that structure functions in practice and whether the emphasis tilts towards genuine product sales to end consumers or towards recruitment and internal consumption by participants. Let’s dive into the mechanics to see what drives this engine and what it means for someone considering getting involved, whether just buying a DoTERRA Introductory Kit or trying to build a full-blown business selling bottles of DoTERRA Lavender Essential Oil.
Understanding Multi-Level Marketing MLM Structures
So, what is an MLM, truly? At its core, multi-level marketing, also known as network marketing or direct sales, is a business model where compensation is derived from two potential revenue streams: direct sales of products to customers and commissions earned from the sales of other people you recruit into the business your “downline”. It’s designed as a hierarchical system where you earn a percentage not just from your own efforts, but from the cumulative efforts of the team you build below you. This structure isn’t inherently illegal. it becomes problematic and is often labeled a pyramid scheme when the primary emphasis and source of income shift from selling products to actual customers outside the system to recruiting new participants and encouraging them to buy product, often just to stay active or qualify for commissions. The Federal Trade Commission FTC watches this closely, looking for whether compensation is based on retail sales or recruitment.
Think of it like this: In a traditional sales job, you sell widgets, and you get a commission on each widget sold. Simple. In an MLM, you sell widgets direct sales commission, but you also get a cut of the widgets sold by Steve, whom you recruited, and a smaller cut of the widgets sold by Sarah, whom Steve recruited, and so on down several levels. This multi-tiered commission structure is the defining characteristic. Legitimate MLMs must emphasize retail sales to actual customers, not just sales to other distributors within the network. The challenge often lies in the practical reality: is it easier to make money by finding external customers who just want to buy DoTERRA On Guard Protective Blend once in a while, or by recruiting someone who is incentivized to buy product regularly often monthly and build their own team? This incentive structure is where the line between a legitimate business and a recruitment-driven scheme can blur for participants. According to studies and reports from organizations like the AARP and the FTC, a vast majority of MLM participants earn very little, with some estimates suggesting over 99% either make no profit or lose money after accounting for expenses.
Here are some key characteristics of MLM structures:
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Multi-tiered Compensation: Earnings are based on your sales and the sales of your downline. Cause Of Athletes Foot
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Recruitment Focus: Participants are actively encouraged and often incentivized to recruit new distributors.
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Participant Inventory/Purchases: Distributors may be required or strongly encouraged to purchase product themselves to qualify for commissions or maintain active status.
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Training/Support provided by Upline: Your recruiter and those above you in the hierarchy often provide training and motivation, as your success contributes to their earnings.
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Income Potential Emphasis: A significant part of the appeal is often the potential for passive or residual income through building a large team, rather than just the profit from direct sales.
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A study by the AARP Foundation in 2011 found that 47% of MLM participants lost money, 27% made no money, and 26% made a profit. Of those making a profit, the median gain was just $2,400 per year before expenses.
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A report from the FTC in 2015 analyzed compensation data from ten MLMs and concluded that over 99% of participants earn less than minimum wage.
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Attrition rates in MLMs are notoriously high, often exceeding 50% annually, meaning half the people who join leave within a year, often having failed to make significant income.
Understanding these fundamental characteristics and the typical financial outcomes is the first step in evaluating any company operating under this model, including DoTERRA.
You need to see if the rubber meets the road in terms of product sales to real customers versus the internal churning of product within the distributor network.
DoTERRA’s Compensation Plan: A Deep Dive
Alright, let’s crack open the DoTERRA compensation plan. This is where the mechanics of how money flows become clear. DoTERRA, like most MLMs, offers multiple ways for Wellness Advocates to earn income. It’s not just a simple percentage of what you sell directly. It’s a layered cake, and you need to understand each layer to see where the incentives truly lie and how difficult it might be to slice off a profitable piece. The core idea is that by selling products and enrolling others who also sell products and enroll others, you can build a growing stream of income. But achieving significant income typically requires reaching higher ranks, and those ranks are heavily dependent on the volume generated by your entire team, not just your own sales. Cant Get Rid Of Jock Itch
Here are the primary ways Wellness Advocates can earn income, according to DoTERRA’s plan:
- Retail Profit: The simplest way. Buy product at wholesale price, sell it at retail price, keep the difference. Customers can order directly from your website at retail price, and you get the profit margin typically 25% difference.
- Preferred Member Bonus: Customers can sign up as “Preferred Members” to get a discount often around 10-15% off retail. While not as profitable as retail, it encourages repeat customers. You might earn a small bonus on their orders.
- Fast Start Bonus: This is a recruitment bonus paid weekly on the sales volume of newly enrolled Wellness Advocates and Preferred Members during their first 60 days. You earn 20% of the PV Personal Volume of someone you personally enroll, 10% of the PV of someone they enroll, and 5% of the PV of someone the third level enrolls. This bonus heavily incentivizes recruitment.
- Power of 3 Team Bonus: This bonus rewards team structure and consistent monthly ordering. You get $50 if you and your immediately sponsored Wellness Advocates and Preferred Members place a combined 600 OGV Organizational Group Volume, with at least three people on your front line having 100 PV each including yourself. This bonus can grow: $250 if three teams below you achieve the $50 bonus, and $1500 if three teams below them achieve the $250 bonus. This strongly encourages a specific team structure and requires consistent group volume, often driven by participants’ own monthly orders.
- Unilevel Bonus: This is the core residual income component. It’s paid monthly based on the total Organizational Group Volume OGV of your downline after the initial 60-day Fast Start period ends. The unique aspect of DoTERRA’s Unilevel is that it pays a higher percentage on deeper levels levels 4-7 than on the upper levels levels 1-3. For example, you might earn 2% on level 1, 3% on level 2, but 5% on levels 4, 5, 6, and 7. This is designed to encourage building a deep, stable organization, but it means you earn very little on the people you directly enroll and more on the people they enroll, and the people they enroll, several layers down.
- Leadership Pools: As you reach higher ranks Silver, Gold, Platinum, Diamond, etc., you qualify to participate in bonus pools based on global company revenue. These pools are where the significant “residual income” often comes from, but they require substantial OGV and successful legs downline teams with individuals who have reached certain ranks.
To qualify for any commissions beyond basic retail profit, a Wellness Advocate typically needs to maintain a minimum monthly Personal Volume PV, often 100 PV, which equates to roughly $100-$120 worth of product at wholesale price. This 100 PV is a critical number. If you don’t sell $100 worth of product to customers each month and many don’t, you are incentivized to buy it yourself to remain commission-eligible. This is often facilitated through the Loyalty Rewards Program LRP, which rewards monthly auto-ship orders with points and free product.
Let’s look at the rank requirements and approximate monthly OGV needed to reach just the initial leadership ranks where pool bonuses become available:
Rank | Required Structure | Approximate Monthly OGV | Potential Monthly Income Estimate ranges widely |
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Manager | 100 PV | 500 OGV | $50 – $500 |
Director | 100 PV | 1000 OGV | $100 – $800 |
Executive | 100 PV | 2000 OGV | $200 – $1,500 |
Elite | 100 PV | 3000 OGV | $300 – $2,000+ |
Premier | 2 Legs of 100 PV, 2000 OGV Each | 5000 OGV | $500 – $3,500+ |
Silver | 3 Legs of Elite 3000 OGV each | 9000+ OGV | $2,000 – $9,000+ Includes Leadership Pool |
Gold | 3 Legs of Premier 5000 OGV each | 15000+ OGV | $4,000 – $18,000+ |
Platinum | 3 Legs of Silver 9000+ OGV each | 27000+ OGV | $9,000 – $30,000+ |
Diamond | 4 Legs of Silver 9000+ OGV each | 36000+ OGV | $17,000 – $60,000+ |
Blue Diamond | 5 Legs of Gold 15000+ OGV each | 75000+ OGV | $38,000 – $120,000+ |
Presidential Diamond | 6 Legs of Platinum 27000+ OGV each | 162000+ OGV | $100,000+ – $300,000+ |
Note: OGV numbers are approximate and can vary based on specific volume distribution. Income ranges are estimates based on various public sources and DoTERRA’s income disclosure statements when available. They represent gross income before expenses.
What should jump out at you here is that reaching the ranks where substantial income is possible Silver and above requires building and maintaining multiple successful teams legs, each achieving significant volume and developing leaders themselves. It’s not about selling a few bottles of DoTERRA Breathe Respiratory Blend a month. it’s about managing and motivating a large organization. The compensation plan is heavily weighted towards rewarding this organizational building and volume accumulation throughout the downline.
The Reality of Recruiting and Sales Targets in DoTERRA
Let’s talk about the elephant in the room for many in MLM: recruitment and the pressure to hit targets.
The DoTERRA compensation plan, as we just saw, clearly rewards building a team.
The Fast Start bonus is a direct incentive to bring new people in, and the Unilevel and Leadership Pools require substantial OGV generated by your downline. This isn’t a secret. DoTERRA encourages enrollment.
They call Wellness Advocates “enrollers” and celebrate new enrollments.
The narrative is that by helping others discover essential oils and the business opportunity, you are growing your own business. Best Way To Get Rid Of Jock Itch Overnight
And in the structure of an MLM, that’s financially true – your income potential scales dramatically based on the size and productivity of your team.
However, the reality on the ground for many Wellness Advocates involves significant pressure to recruit continuously and to ensure existing team members and yourself meet monthly volume requirements, specifically that 100 PV threshold to qualify for commissions.
If you or someone in your downline drops below 100 PV in a month, you lose commissions on their volume or potentially your entire downline’s volume if you don’t meet your own requirement. This system inherently incentivizes purchasing product, even if you haven’t sold it to a customer, just to “stay active” and not miss out on potential earnings from your team.
This leads to the common phenomenon of the “garage qualified” distributor – someone whose garage or closet is full of product they bought themselves to hit their numbers.
The Loyalty Rewards Program LRP exacerbates this, encouraging a monthly auto-shipment, often set at 100 PV or more, because it offers points back essentially cash back on your own purchases and qualifies you for other perks.
It’s a system designed for high monthly volume within the distributor base.
Consider the typical path:
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You join, often buying an enrollment kit DoTERRA Introductory Kit or a larger kit.
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Your upline encourages you to make a list of everyone you know and host classes in-person or online to introduce oils and the business.
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The focus quickly shifts to enrolling new people, not just selling individual bottles of DoTERRA Serenity Calming Blend here and there. Best Medicine For Ringworm Treatment
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You are encouraged to educate your new enrollees on the benefits of the LRP and the business opportunity, creating your own downline who are also placing monthly orders and recruiting.
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To earn from your growing team, you must maintain your 100 PV, and ideally encourage your key team members to do the same.
Here’s a breakdown of the target pressures:
- Personal Volume PV: Minimum 100 PV/month to earn most commissions. If your sales to non-enrolled customers don’t cover this, you buy it.
- Organizational Group Volume OGV: The cumulative volume of your entire downline. This is crucial for advancing in rank and unlocking higher income tiers. If your OGV drops, you lose rank and income.
- Enrollment Targets: While not always explicit “targets” in terms of a quota you must hit or be fired it’s your “own business,” right?, the entire system is built on growth through recruitment. If you stop enrolling, your team growth stagnates, and your future income potential is limited. Your upline is also incentivized by your enrollment efforts via the Fast Start bonus, so they are likely encouraging you strongly.
Data points often cited about the realities of MLM participation include:
- A significant percentage of product volume within MLMs is purchased by distributors themselves, not by retail customers. Some estimates put this figure as high as 70-90%. This is a key indicator the FTC looks at – is the business primarily fueled by internal consumption or external sales?
- The constant need to recruit new people to replace those who drop out high attrition and to increase OGV means this is a perpetual task. It’s not a “build it once and passive income flows” scenario. it requires ongoing effort to maintain and grow the base.
- Many distributors find themselves spending considerable money on samples, marketing materials, hosting events, and products for personal use or to meet PV minimums, expenses that can quickly eat into any potential profits, often resulting in a net loss.
So, while DoTERRA sells products and encourages retail sales, the structure of the compensation plan heavily rewards recruitment and the generation of volume through a downline, including volume purchased by distributors themselves. This creates an inherent pressure to recruit and maintain monthly purchases, which is a defining characteristic and a significant challenge for most participants in the MLM model. You can buy a bottle of DoTERRA Deep Blue Rub as a customer, but participating in the business is a different ballgame driven by building a network.
DoTERRA Product Pricing and Value: Are You Getting Your Money’s Worth?
Let’s pivot from the business mechanics to the actual goods being sold: the essential oils.
You’ve seen the bottles, heard the claims about purity, sourcing, and therapeutic benefits.
But when you look at the price tag, especially compared to what you might find at a health food store or online from non-MLM brands, you might raise an eyebrow.
Essential oils, generally speaking, can be expensive, depending on the plant source, extraction method, and yield.
It takes a massive amount of plant material to produce a small bottle of concentrated oil. Best Cream For Ringworm Infection
However, the question here is whether DoTERRA’s pricing reflects a commensurate value in terms of quality, uniqueness, or just the overhead inherent in the MLM distribution model.
Are you paying for the oil itself, or are you also subsidizing the compensation plan? We need to break down the costs of some key products and compare them to the market.
Evaluating value isn’t just about the price tag. it’s about what you get for that price.
With essential oils, this involves factors like purity, sourcing transparency, testing, potency, and the overall user experience.
DoTERRA emphasizes its CPTG Certified Pure Tested Grade standard, suggesting a high level of quality and testing. This is part of their value proposition.
But translating that proposition into whether the price point is “worth it” requires looking at specific examples and seeing how they stack up.
Is the premium price for DoTERRA On Guard Protective Blend justified by verifiable quality or results compared to a similar blend from another reputable supplier? This section will take a practical look at what your dollar buys in the DoTERRA ecosystem.
Analyzing the Price Point of DoTERRA’s Introductory Kit
Let’s start with the gateway drug for many: the DoTERRA Introductory Kit. This is often the first purchase people make, either as a customer curious about oils or as someone signing up to be a Wellness Advocate.
It’s designed to give you a taste of the most popular oils and introduce you to the world of essential oils. Best Antifungal Spray For Feet
But is it a good deal? Let’s look at what’s typically inside and what it usually costs.
The standard DoTERRA Introductory Kit usually contains three 5ml bottles of single oils:
- DoTERRA Lavender Essential Oil
- Lemon Essential Oil
- Peppermint Essential Oil
It also often includes a small booklet describing uses. The retail price for this kit is typically around $26.00. As a wholesale customer or Wellness Advocate, you get it for less, around $19.50. A 5ml bottle contains approximately 85-100 drops.
Let’s break down the value here.
You get three of the most common, generally least expensive single oils.
Lavender, Lemon, and Peppermint are workhorse oils, useful for diffusion, cleaning Lemon, soothing Lavender, and invigorating Peppermint. Getting them in a small kit is convenient for beginners. However, consider the volume. A 5ml bottle is quite small.
Many other companies sell 10ml or 15ml bottles as their standard size.
Now, let’s think about what this costs per milliliter or per drop compared to buying larger bottles or comparing across brands which we’ll do in the next section. A 5ml bottle is expensive on a per-unit basis compared to a 15ml bottle, regardless of the brand, due to packaging and overhead.
So, while the kit price of $19.50 wholesale might seem modest, you’re paying a premium for the small size.
Is getting three small bottles and a booklet worth roughly $20? For someone completely new, the curated selection and information booklet might add value. Best Antifungal Cream For Tinea Cruris
But if you know you’ll use a lot of lavender or peppermint, buying a larger bottle is significantly more cost-effective.
The DoTERRA Introductory Kit serves primarily as an accessible entry point into the DoTERRA ecosystem, less as a deep value proposition on the oils themselves compared to buying larger quantities or different products.
Cost-Effectiveness of Individual Oils Like DoTERRA Lavender Essential Oil
Alright, let’s pick one specific, widely-used oil and look at its price point within DoTERRA: DoTERRA Lavender Essential Oil. Lavender is a staple – used for relaxation, sleep, skin soothing, and more. DoTERRA sells it in a 15ml bottle. The typical retail price is around $28.00, and the wholesale price is around $21.00. A 15ml bottle contains approximately 250-300 drops.
Now, let’s think about cost-effectiveness.
How many drops do you use at a time? Diffusion might use 5-10 drops. Topical application often uses 1-3 drops diluted.
So, a bottle could last anywhere from 25 to 300 uses, depending heavily on how it’s used.
Let’s calculate the cost per drop based on the wholesale price of $21.00 and assuming 250 drops in a 15ml bottle:
- Cost per drop = $21.00 / 250 drops = $0.084 per drop
Is this cost-effective? It depends on your usage frequency and comparison points. If you use 10 drops daily in a diffuser, a bottle lasts 25 days, costing you about $0.84 per day. If you use 2 drops topically once a day, a bottle lasts 125 days, costing about $0.17 per day. Compared to many over-the-counter remedies or conventional products for similar purposes e.g., sleep aids, lotions, this might seem reasonable or even cost-effective on a per-use basis, if the oil provides the desired effect for you.
However, the real question of cost-effectiveness comes when you compare the price of DoTERRA Lavender Essential Oil to lavender oil of potentially comparable quality from other sources. This is where the MLM pricing model often comes into play. The price you pay as a customer or even a wholesale buyer needs to cover not just the cost of sourcing, testing, bottling, and company overhead, but also the commissions paid up several levels of the compensation plan. This built-in cost structure often means MLM products carry a higher price tag than similar products sold through traditional retail or direct-to-consumer models that don’t have to fund a multi-tiered commission structure. So, while the per-drop cost might seem low, the initial investment per bottle is often higher than non-MLM alternatives. Products like DoTERRA Deep Blue Rub or DoTERRA DigestZen Digestive Blend also follow this pricing pattern relative to their formulations and the MLM structure.
Comparing DoTERRA’s Prices to Other Essential Oil Brands
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Let’s compare DoTERRA’s prices head-to-head with some other reputable essential oil companies.
When we talk “reputable,” we’re looking for companies that also emphasize quality, sourcing, and testing, even if their business model is different.
We’ll compare common oils, usually in the standard 15ml size where available.
Let’s create a table comparing the wholesale price of a few popular DoTERRA oils as this is the price most engaged customers or Wellness Advocates pay to the prices of 15ml bottles from a couple of well-regarded, non-MLM essential oil companies prices are approximate and can vary:
Oil | DoTERRA Wholesale, 15ml | Brand X e.g., Plant Therapy, Edens Garden 15ml | Brand Y Another Non-MLM 15ml |
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DoTERRA Lavender Essential Oil | ~$21.00 | ~$12.00 – $16.00 | ~$10.00 – $15.00 |
Peppermint Essential Oil | ~$22.00 | ~$10.00 – $14.00 | ~$9.00 – $13.00 |
Lemon Essential Oil | ~$11.00 | ~$6.00 – $9.00 | ~$5.00 – $8.00 |
DoTERRA On Guard Protective Blend 15ml | ~$34.00 | Comparable “Immune” Blends: ~$15.00 – $25.00 | Comparable Blends: ~$12.00 – $20.00 |
DoTERRA Breathe Respiratory Blend 15ml | ~$26.00 | Comparable “Respiratory” Blends: ~$14.00 – $22.00 | Comparable Blends: ~$11.00 – $18.00 |
Frankincense Essential Oil | ~$69.75 | ~$25.00 – $50.00 depending on type/grade | ~$20.00 – $45.00 |
Note: Prices are illustrative averages. Specific prices vary by company, sourcing, and promotions.
As you can see from the table, DoTERRA’s prices, even at wholesale, are significantly higher than those from many other reputable non-MLM companies for comparable single oils and blends.
For common oils like Lavender, Peppermint, and Lemon, DoTERRA’s wholesale price can be anywhere from 50% to over 100% higher.
For blends like DoTERRA On Guard Protective Blend or DoTERRA Breathe Respiratory Blend, the premium is also substantial when compared to blends with similar ingredients and intended uses from other brands.
And for more expensive oils like Frankincense, the price difference can be quite dramatic.
DoTERRA often justifies this premium by emphasizing their sourcing practices Co-Impact Sourcing, their CPTG testing protocol, and the purity of their oils. Athletes Foot On
While these factors contribute to cost, other reputable companies also invest heavily in sourcing, quality control, and third-party testing, often providing testing reports like GC/MS readily accessible to consumers – something DoTERRA doesn’t always do proactively for every batch without a specific request.
The significant price difference is largely attributed to the cost of funding the multi-level compensation plan.
A substantial portion of the product price is allocated to commissions and bonuses paid up the line, a cost structure that traditional retail or simpler direct-to-consumer models don’t have.
So, are you getting your money’s worth with DoTERRA products in terms of just the essential oil itself? Based on price comparisons, it’s clear you are paying a significant premium compared to other brands that also claim high quality and provide testing.
This premium isn’t necessarily reflective of the raw material cost or typical business overhead alone, but rather includes the cost of the elaborate commission structure.
Whether that premium is “worth it” to you depends on whether you place a high value on their specific sourcing stories, believe their purity is unmatched despite other companies having robust testing, or if you are also engaged in the business opportunity and see the product purchase price as part of that ecosystem.
For a customer solely interested in the most cost-effective way to buy high-quality essential oils like DoTERRA Lavender Essential Oil or a good respiratory blend comparable to DoTERRA Breathe Respiratory Blend, there are likely more budget-friendly options available from non-MLM companies that still meet high-quality standards.
The Science Behind DoTERRA Essential Oils: Fact vs. Fiction
Let’s shift gears entirely and talk science. Essential oils are powerful plant extracts, and they certainly can have physiological and psychological effects. The aroma of peppermint can be invigorating, lavender calming. Some oils have shown antimicrobial properties in lab dishes. The question isn’t whether essential oils do anything – they do. The question is whether the specific health claims made for DoTERRA’s products, often related to treating or preventing diseases, are supported by robust scientific evidence, particularly for the way these products are commonly used diffusion, topical application, or even ingestion, which DoTERRA promotes for some oils. This is a critical area because relying on unproven claims for serious health issues can be ineffective, delay proper medical treatment, and in some cases, be harmful.
DoTERRA makes specific claims about the benefits of their blends and single oils. They talk about “immune support” for DoTERRA On Guard Protective Blend, “respiratory support” for DoTERRA Breathe Respiratory Blend, and “calming” effects for DoTERRA Serenity Calming Blend, among many others. These claims often go beyond general wellness and edge into therapeutic territories. As a savvy consumer or someone considering recommending these products, you need to look past the marketing and ask: “Where’s the data? Are these claims backed by independent, peer-reviewed research on the actual product and the recommended methods of use?” This is where we separate rigorous science from anecdotal evidence or wishful thinking.
Athlete’s Foot What To DoScrutinizing DoTERRA’s Claims for Products like DoTERRA On Guard Protective Blend
DoTERRA On Guard Protective Blend is one of DoTERRA’s signature and most popular products. It’s positioned as a blend for “protective benefits,” “supporting healthy immune function,” and “purifying the air.” It contains Wild Orange, Clove, Cinnamon Leaf, Cinnamon Bark, Eucalyptus, and Rosemary essential oils. These are all oils that, individually, have shown various properties in laboratory settings – clove and cinnamon, for instance, demonstrate significant antimicrobial activity in vitro in a test tube or petri dish. Eucalyptus and Rosemary contain compounds studied for their effects on the respiratory system or antioxidant activity.
However, the leap from “individual ingredient shows promise in a lab study” to “the blend supports healthy immune function when diffused or applied topically” is a massive one, and it’s where the scientific backing often falls short. Scientific support for essential oil blends used in the manner DoTERRA suggests diffusion, topical application, ingestion of some for specific systemic health benefits like “immune support” in humans is limited. While the aroma of certain oils might have psychological effects that indirectly influence well-being, and topical application might have localized effects like warmth from cinnamon, there’s generally a lack of clinical trials demonstrating that inhaling or applying a blend like On Guard prevents illness, boosts immune cell activity, or cures infections in humans. Regulatory bodies like the FDA and FTC have sent warning letters to essential oil companies, including MLMs, cautioning against making unsubstantiated drug claims, particularly in the context of infectious diseases.
Here’s a breakdown of the scientific status for some On Guard components related to common claims:
- Clove/Cinnamon: In vitro studies show potent antimicrobial and antioxidant properties. This is solid lab science. Fiction for typical use: This does not translate to effectively killing airborne viruses when diffused in a room or boosting systemic immunity when applied to the skin or ingested. The concentration, delivery method, and human physiology are vastly different from a petri dish.
- Eucalyptus/Rosemary: Contain compounds like 1,8-cineole eucalyptus and camphor/borneol rosemary that have traditional uses and some research interest for respiratory support or cognitive effects. Fact limited context: Inhaling eucalyptus vapor can subjectively feel like it’s helping clear airways or loosen mucus often due to activation of cold receptors, not actual physiological clearance. Fiction for typical use: Diffusing or applying a blend containing these doesn’t prevent respiratory infections or act as a bronchodilator for conditions like asthma.
- Wild Orange: Contains limonene, studied for mood effects. Fact: Aromas can influence mood. Fiction: It doesn’t contribute to “immune protection” in a physiological sense.
The key takeaway is this: while the individual oils in DoTERRA On Guard Protective Blend have interesting properties studied in various contexts, there is little to no independent, peer-reviewed clinical research specifically on the On Guard blend itself demonstrating that diffusing it, applying it topically, or taking it internally as is possible with their softgels or beadlets provides the level of immune support or protective benefits often claimed by distributors. The claims often outpace the available scientific evidence for typical patterns of use in humans. It’s powerful stuff in a lab, but that doesn’t mean it works like a drug in your body when you diffuse it.
Verifying the Efficacy of DoTERRA Breathe Respiratory Blend and Similar Products
Next up, DoTERRA Breathe Respiratory Blend. This blend is marketed for supporting “clear airways” and “easy breathing.” It contains Laurel Leaf, Peppermint, Eucalyptus, Melaleuca Tea Tree, Lemon, Ravensara, and Cardamom.
Like On Guard, these are oils with histories of use and some individual research.
Peppermint, with its high menthol content, is known for creating a sensation of openness in the nasal passages.
Eucalyptus is traditionally used for respiratory complaints.
Let’s look at the components and claims:
- Peppermint Menthol: Inhaling menthol vapors is scientifically known to stimulate cold receptors in the nasal passages, creating a subjective feeling of improved airflow, even if actual airflow doesn’t change. This is well-documented. Fact: It makes you feel like your airways are clearer. Fiction: It doesn’t clear congestion, reduce inflammation, or treat the underlying cause of respiratory difficulty.
- Eucalyptus: Contains 1,8-cineole, which has been studied for its mucolytic mucus-thinning properties and potential bronchodilatory effects, though much of this research involves ingestion or specific nebulization protocols, not typical diffusion or topical use of an essential oil blend. Fact limited context: Some research suggests potential benefits. Fiction for typical use: Diffusing or applying Breathe topically is not a scientifically validated treatment for asthma, bronchitis, or severe congestion. It doesn’t replace an inhaler or prescribed medication.
- Melaleuca Tea Tree: Primarily studied for antimicrobial properties, often topical. Fact: Has shown efficacy against certain microbes in vitro. Fiction for respiratory use: Not primarily used or studied for opening airways or lung function when inhaled or applied to the chest.
- Other ingredients Laurel Leaf, Lemon, Ravensara, Cardamom: These contribute to the aroma and may have some traditional uses or individual studies, but robust clinical evidence supporting their use in a blend, inhaled or topically applied for treating or significantly improving respiratory conditions in humans is lacking.
The claims made for DoTERRA Breathe Respiratory Blend, while playing on the traditional uses of the ingredients, often exceed the proven science for the blend itself, particularly regarding efficacy for actual respiratory conditions. Using it might provide a pleasant sensation or temporary subjective relief like the menthol effect, which can feel helpful for minor congestion associated with a cold. But presenting it as a treatment or significant support for more serious respiratory issues crosses the line into making unsubstantiated health claims. Again, there’s a lack of specific clinical trials on the Breathe blend used via diffusion or topical application that demonstrates objective improvements in lung function, reduced congestion duration, or treatment of respiratory diseases in humans. Relying on it instead of seeking medical care for serious breathing difficulties would be ill-advised and is not supported by scientific evidence. Athlete’s Foot Treatment Time
Investigating Scientific Backing for Products like DoTERRA Serenity Calming Blend
Let’s move on to DoTERRA Serenity Calming Blend. This blend is marketed for promoting relaxation, restful sleep, and a calming environment. It contains Lavender, Cedarwood, Ho Wood, Ylang Ylang, Marjoram, Roman Chamomile, Vetiver, Hawaiian Sandalwood, and Clary Sage essential oils. Compared to the “protective” or “respiratory” blends, claims around relaxation and sleep are perhaps areas where essential oils have the most plausible scientific backing, primarily through the mechanism of aromatherapy impacting the olfactory system and, subsequently, the limbic system in the brain, which is involved in emotions and memory.
Here’s what the science says about some of these individual oils and the claims:
- Lavender: This is arguably the most studied essential oil for relaxation and anxiety. Numerous studies, including some clinical trials, have investigated inhaled or topically applied lavender for reducing anxiety, improving mood, and enhancing sleep quality. Fact: Several studies suggest lavender aromatherapy can have a statistically significant calming effect and improve sleep quality in various populations e.g., students, elderly, post-partum women. The evidence is not uniformly strong across all studies, but the body of research is promising and supports a potential benefit as a complementary approach.
- Roman Chamomile/Ylang Ylang/Vetiver/Sandalwood: These oils also have traditional uses for relaxation and anecdotal evidence. Some limited studies exist exploring their effects on mood or stress, often showing positive results, though the research is less extensive and conclusive than for lavender. Fact Limited: Some evidence and traditional use support claims of calming effects. Fiction Broad Claims: They are not a substitute for clinical treatment for anxiety disorders, insomnia, or depression.
- Cedarwood/Ho Wood/Marjoram/Clary Sage: These oils may contribute to the overall aroma profile, and some have limited research or traditional uses related to calming or balancing effects. However, their contribution to the efficacy of the blend for deep relaxation and sleep isn’t strongly supported by specific studies on their use in this context.
The key difference here is that the scientific backing for the concept of lavender aromatherapy for relaxation and sleep is relatively stronger than for using blends like On Guard for immune support or Breathe for respiratory conditions. However, there are still caveats. Most studies focus on single oils, primarily lavender. There is a lack of independent, peer-reviewed clinical trials specifically on the DoTERRA Serenity blend itself demonstrating its efficacy for sleep or anxiety compared to a placebo or other interventions. While the blend contains oils that have some individual scientific support for calming effects especially lavender, the specific combination and its synergistic effects haven’t been rigorously tested in clinical trials to the extent that would justify strong therapeutic claims.
Furthermore, the scientific evidence supports these oils as complementary approaches to potentially help with mild anxiety or sleep disturbances. They are not presented in the scientific literature as cures or primary treatments for clinical insomnia, anxiety disorders, or stress-related medical conditions. Relying solely on DoTERRA Serenity Calming Blend for serious issues would be scientifically unsupported and potentially harmful if it delays appropriate medical care. The claims made by DoTERRA and its distributors often lean heavily on the more promising but still often preliminary or limited research on individual components and anecdotal evidence, sometimes overstating the proven efficacy of the blend for specific health outcomes.
Potential Risks and Downsides of DoTERRA’s Business Opportunity
Alright, let’s talk turkey about trying to make money with DoTERRA.
We’ve looked at the business model and the product pricing.
Now, let’s combine that with the practical realities of being a Wellness Advocate and evaluate the potential risks and downsides.
Because while the pitch often involves “be your own boss,” “financial freedom,” and “sharing wellness,” the experience for many participants is quite different from the success stories highlighted at company events.
The structure itself creates inherent challenges that can lead to financial loss and personal strain.
The allure of passive income and building a large team earning commissions while you sleep is powerful. It’s a core part of the dream sold in MLM. But statistically, that dream becomes a reality for a tiny fraction of participants. The vast majority encounter significant hurdles, ranging from difficulty making sales and recruiting to the costs associated with maintaining their business and the pressure to perform. Understanding these potential pitfalls before signing up is crucial for setting realistic expectations and determining if the opportunity is truly viable for you, or if the deck is stacked against the average person. Let’s dissect the financial realities, the inventory trap, and the sticky issue of health claims when trying to sell these products. Athlete’s Foot Medicine For Ringworm
Financial Realities: Income Potential and the Challenges of Building a DoTERRA Business
This is where the aspirational marketing meets the harsh light of day. DoTERRA, like other MLMs, typically publishes an income disclosure statement or has in the past. availability and format can vary. These statements are critical for understanding the actual financial outcomes of participants at different ranks. And they almost always paint a picture far less glamorous than the one presented in recruitment meetings. The fundamental financial reality for the vast majority of MLM participants is that they earn very little or lose money.
Here’s what income disclosure statements from DoTERRA or comparable MLMs usually reveal:
- Vast Majority at Low Ranks: The overwhelming percentage of participants are at the lowest ranks Consultant, Manager, Director, Executive, Elite.
- Minimal Average/Median Income: The average or median annual income for participants at these lower ranks is typically very low, often only a few hundred dollars per year before expenses.
- Significant Losses are Common: When business expenses product purchases, samples, training materials, event tickets, website fees, travel are factored in, a large percentage of participants make no net profit or incur a net loss.
- High Incomes Concentrated at the Top: The six or seven-figure incomes often advertised are earned by a tiny fraction of participants at the very highest ranks Diamond, Blue Diamond, Presidential Diamond. These ranks require building massive organizations with substantial monthly volume. In a typical MLM income disclosure, often less than 1% of participants reach these ranks, and sometimes significantly less than 0.1%.
Let’s look at a hypothetical snapshot based on typical MLM data as specific, consistently available DoTERRA income disclosures can be hard to pin down year after year, but the pattern across MLMs is remarkably consistent:
Rank Illustrative % | Approx. % of All Wellness Advocates | Average Annual Gross Income Estimate |
---|---|---|
Consultant/Builder | 60-70% | $50 – $500 |
Manager/Director/Executive | 15-25% | $500 – $3,000 |
Elite/Premier | 5-10% | $3,000 – $10,000 |
Silver and Above | < 1% | $20,000+ Varies dramatically |
Note: These percentages and income figures are illustrative based on typical MLM income disclosure patterns and should not be taken as exact current DoTERRA figures unless verified by a specific, recent disclosure. Gross income before expenses.
The challenges in building a profitable DoTERRA business are numerous:
- High Attrition: People join and leave frequently, requiring constant recruitment just to maintain your existing volume.
- Recruiting Difficulty: Not everyone wants to join an MLM or sell products. Recruiting successfully and training new people takes significant time and skill.
- Market Saturation: As more people join, the local market of friends, family, and acquaintances becomes saturated. Selling requires reaching beyond your warm market, which is harder and more expensive.
- Competition: You’re competing not only with other essential oil brands but also with other DoTERRA distributors.
- Significant Time Investment: Building a large team and generating consistent volume is not passive. it requires substantial effort, networking, training, and sales activity.
- High Expenses: As mentioned, the costs of running the business – buying product, marketing materials, attending events, potentially travel – can easily exceed commissions earned, especially in the early stages and at lower ranks. Many participants effectively pay for the privilege of being distributors, purchasing products they wouldn’t otherwise buy just to qualify for commissions or maintain rank.
The reality is that for most people who join DoTERRA as Wellness Advocates, it functions more like a discount buying club where they might earn back a small percentage of what they spend, rather than a lucrative business opportunity.
Achieving the level of income often showcased requires extraordinary effort, specific circumstances, and being among the tiny elite at the very top of the pyramid.
The financial risk of losing money after expenses is very real for the vast majority.
The Pressure of Maintaining Inventory and Sales Targets
One of the most significant and often overlooked risks in the MLM model, including DoTERRA, is the pressure to maintain inventory and hit monthly sales targets, often fulfilled by personal purchases.
As discussed in the compensation plan section, to be eligible for commissions and bonuses, a Wellness Advocate must typically maintain a minimum Personal Volume PV each month, usually 100 PV. Athlete’s Foot Moisturizer
This 100 PV translates to approximately $100-$120 worth of product at wholesale price.
If you consistently sell $120+ worth of product to actual retail customers each month, fantastic. But for most people, especially those starting out or struggling to find external customers, achieving this volume purely through third-party sales is difficult. This is where the pressure comes in. To avoid losing eligibility for commissions you might earn from your burgeoning or stagnant downline, and to potentially qualify for rank advancements or bonuses like the Power of 3, you are strongly incentivized to purchase product yourself to meet that 100 PV requirement.
The Loyalty Rewards Program LRP further encourages this behavior.
By placing a monthly auto-ship order, often conveniently set at 100 PV or more, you earn points like store credit back on your purchase, and eventually, you can get free product and qualify for other benefits.
While presented as a benefit, the LRP system creates a powerful incentive for distributors to become their own best customers, buying product monthly regardless of whether they’ve sold their existing stock.
This leads to several problems:
- Accumulating Inventory: Without consistent retail sales, the monthly LRP order or personal purchases to meet PV minimums result in a buildup of product. This stock represents money tied up in inventory that hasn’t been converted back into cash profit. You end up with closets or garages full of oils DoTERRA Lavender Essential Oil, DoTERRA Breathe Respiratory Blend, DoTERRA On Guard Protective Blend, etc. that you paid for but haven’t sold.
- Financial Strain: Consistently spending $100+ per month on product, in addition to other business expenses, can be a significant financial burden, especially if you’re not generating offsetting income from sales or commissions. This is how many people end up losing money – their expenses dominated by product purchases outweigh their earnings.
- Pressure from Upline: Your upline leaders are incentivized by your volume and rank advancement. They are likely encouraging you to “max out your compensation plan” by hitting that 100 PV and enrolling others who will do the same. This adds social pressure on top of the financial incentives structured into the plan.
- Focus Shifts from Selling to Buying: The system can inadvertently shift the focus from finding external customers to simply ensuring you and your downline are placing enough internal orders to qualify for commissions.
The pressure to meet sales targets, effectively translated into personal purchase minimums via the PV requirement, is a significant risk in the DoTERRA business model.
It can lead to distributors becoming the primary consumers, stocking up on product they don’t need or can’t sell, resulting in financial losses despite the theoretical income potential outlined in the compensation plan.
This is a common trap in MLMs that prospective Wellness Advocates need to fully understand. Athlete’s Foot Drug
Buying an DoTERRA Introductory Kit to start is one thing.
Committing to $100+ in purchases every month is another entirely.
Evaluating the Legitimacy of DoTERRA’s Health Claims for Products like DoTERRA Deep Blue Rub and DoTERRA DigestZen Digestive Blend
Let’s revisit the product claims, but this time through the lens of risk for the business opportunity.
As a Wellness Advocate, you are selling products often associated with health and wellness.
While DoTERRA corporate provides marketing materials, the line between permissible product description and illegal medical claim is often blurred by enthusiastic distributors eager to sell product or recruit.
When claims cross into diagnosing, treating, curing, or preventing disease, they become drug claims subject to strict regulation by bodies like the FDA and FTC.
Making such claims puts both the distributor and the company at risk.
Consider products like DoTERRA Deep Blue Rub and DoTERRA DigestZen Digestive Blend.
- DoTERRA Deep Blue Rub: This is a topical cream containing the Deep Blue essential oil blend Wintergreen, Camphor, Peppermint, Ylang Ylang, Helichrysum, Blue Tansy, Blue Chamomile, Osmanthus plus other ingredients in a lotion base. It’s marketed for providing “soothing support,” a “soothing massage,” and “helping to reduce tension.” The ingredients like Wintergreen and Peppermint contain methyl salicylate and menthol, respectively, which are common active ingredients in over-the-counter topical pain relief creams like Bengay or Icy Hot. These compounds work by creating sensations cooling/warming that can distract from pain and may have some localized analgesic/anti-inflammatory effects. Legitimacy: Based on the known properties of its active components methyl salicylate, menthol, it’s plausible that DoTERRA Deep Blue Rub can provide temporary, localized relief for minor muscle aches and soreness, similar to other rubs containing these ingredients. This is a more scientifically grounded product use compared to some other oil claims. However, claims that it treats conditions like arthritis, fibromyalgia, or chronic back pain would likely be unsubstantiated drug claims.
- DoTERRA DigestZen Digestive Blend: This blend Ginger, Peppermint, Tarragon, Fennel, Caraway, Coriander, Anise is marketed for “supporting healthy digestion,” “soothing occasional stomach upset,” and helping with gas, bloating, or indigestion. Some of the individual oils have research backing for digestive support. For example, peppermint oil often in enteric-coated capsules is supported by research for helping with symptoms of Irritable Bowel Syndrome IBS. Ginger is known for helping with nausea. Fennel, Caraway, and Anise have traditional uses for digestive complaints. Legitimacy: There is some scientific basis for the individual ingredients assisting with occasional or minor digestive discomfort. Ingesting dilute amounts of these oils, as recommended by DoTERRA for DigestZen, might provide some symptomatic relief for issues like bloating or gas for some individuals, aligning with traditional uses and some preliminary research on components like peppermint or ginger. However, claims that it treats conditions like IBS, GERD, Crohn’s disease, or acts as a cure for chronic digestive disorders are not supported by robust clinical trials on the blend itself and would constitute illegal drug claims.
The risk for a Wellness Advocate comes from the pressure to sell and the culture within MLM that sometimes encourages testimonials and claims that go beyond what is legally permissible or scientifically substantiated.
Excited distributors, sharing personal stories or extrapolating wildly from limited information, can easily make illegal medical claims about products like DoTERRA On Guard Protective Blend for immune support during flu season, DoTERRA Breathe Respiratory Blend for asthma, DoTERRA Serenity Calming Blend for clinical anxiety, or even DoTERRA Deep Blue Rub for chronic pain conditions or DoTERRA DigestZen Digestive Blend for serious digestive diseases. This isn’t just unethical. Antifungal Cream Between Toes
It’s a compliance violation that can lead to warnings or enforcement action against both the distributor and the company.
While DoTERRA corporate has compliance guidelines, enforcing them across a massive network of independent distributors is challenging, and distributors eager to make a sale may ignore them.
Therefore, a significant risk for anyone joining is the potential for inadvertently or intentionally making unsubstantiated health claims, with the associated legal and ethical consequences, while trying to sell products that have legitimate, but often more limited, applications than are sometimes presented.
DoTERRA’s Transparency and Legal Compliance
When evaluating any company, especially one operating in a space often scrutinized like MLM and natural health products, transparency and a history of legal compliance are key indicators of legitimacy and ethical operation.
How open is the company about its business model, its product sourcing and testing, and the actual earnings of its participants? How has it interacted with regulatory bodies like the FTC? What do customers and former distributors say about their experiences, particularly regarding complaints and issues? And if things don’t work out, what are the policies for returns or getting your money back? Looking at these aspects provides crucial insight into the company’s integrity and the potential risks involved for participants and customers.
A company’s track record and its openness speak volumes.
In the MLM world, where recruitment and income claims are central to the business, how those claims are managed and disclosed is paramount to staying on the right side of the law and ethical business practices.
Similarly, in the health and wellness space, the legitimacy and substantiation of product claims are critical.
We’ll dig into DoTERRA’s history with regulators, examine common themes in customer feedback, and look at their return policies to shed more light on the operational reality and trustworthiness.
Examining DoTERRA’s FTC Compliance History
The Federal Trade Commission FTC is the primary body in the U.S. tasked with protecting consumers and ensuring fair business practices. They pay close attention to MLMs, particularly concerning two key areas: unsubstantiated income claims promising high earnings when few achieve them and unsubstantiated product claims making health claims that aren’t scientifically proven, effectively marketing products as unapproved drugs. The FTC has taken action against numerous MLM companies over the years for operating as illegal pyramid schemes where income is based primarily on recruitment, not retail sales or for deceptive marketing practices.
DoTERRA, like other large essential oil MLMs, has received scrutiny from regulatory bodies.
Notably, during the COVID-19 pandemic, the FTC, along with the FDA, sent warning letters to several essential oil companies, including DoTERRA, regarding claims made by their distributors that essential oils could treat or prevent the virus.
The warning letter sent to DoTERRA cited specific examples of income claims made by distributors on social media that the FTC deemed potentially deceptive, along with health claims suggesting their products, including blends like DoTERRA On Guard Protective Blend and DoTERRA Breathe Respiratory Blend, could address viral infections.
- FTC Focus Areas: The FTC primarily targets misleading income claims e.g., implying passive, easily achievable wealth and illegal health/medical claims e.g., product treats specific diseases.
- Warning Letters: Regulatory bodies often issue warning letters as a first step, requiring companies to take action to stop prohibited claims by their distributors. Companies are held responsible for the claims their distributors make.
- Company Responsibility: DoTERRA has compliance policies in place, training materials, and systems to monitor claims. However, effectively controlling the messaging of hundreds of thousands of independent distributors, especially on personal social media, is a massive challenge. The fact that warning letters are issued suggests that, despite policies, problematic claims still propagate widely within the network.
- Income Disclosure Scrutiny: While DoTERRA has published income disclosure summaries, they are often subject to interpretation, and critics argue they may not always clearly convey the net income after expenses or the extremely high percentage of people earning little to nothing. The FTC requires income representations to be truthful and not misleading.
The warning letter history indicates that DoTERRA has faced regulatory attention regarding common MLM pitfalls: distributors making unsubstantiated health claims and potentially misleading income claims.
While receiving a warning letter isn’t the same as a court ruling that the company is an illegal pyramid scheme, it signals that the company’s compliance efforts haven’t always been sufficient to prevent problematic marketing from its sales force.
For prospective participants, this history highlights the risk of being involved in a business where marketing practices by peers can draw regulatory attention, and where the line between enthusiasm and non-compliant claims is often blurred.
It underscores the need for distributors to be extremely cautious and fact-based in their product representations for items like DoTERRA Deep Blue Rub or DoTERRA DigestZen Digestive Blend, sticking only to approved language.
Analyzing Customer Reviews and Complaints
Looking at customer and former distributor reviews is like getting intelligence from the field.
While individual experiences can vary wildly, and online reviews can be skewed, patterns in complaints across different platforms can reveal systemic issues.
For DoTERRA, reviews and complaints often fall into two main categories: product experiences and business opportunity experiences.
Let’s break down common themes you might find on sites like the Better Business Bureau BBB, Ripoff Report, Reddit forums discussing MLMs, and general product review sites for specific items like the DoTERRA Introductory Kit or DoTERRA Lavender Essential Oil.
Common Customer Complaints Product-Related:
- Price: As discussed, high cost compared to other brands is a frequent complaint. Customers feel they are overpaying.
- Efficacy: Products don’t always live up to the hype or claims made by distributors. Users might not experience the promised results for sleep DoTERRA Serenity Calming Blend, respiratory issues DoTERRA Breathe Respiratory Blend, or pain DoTERRA Deep Blue Rub.
- Shipping/Ordering Issues: Problems with auto-ship orders LRP being difficult to modify or cancel, unexpected charges, or shipping delays.
- Customer Service: Some users report difficulties dealing with customer service, particularly regarding returns or billing issues.
Common Distributor Complaints Business Opportunity-Related:
- Lack of Income/Financial Loss: This is perhaps the most prevalent complaint. Distributors find they earn very little or lose money after accounting for expenses, especially mandatory monthly purchases 100 PV.
- Pressure to Buy Product: Feeling pressured by upline or the compensation plan structure to purchase product monthly to maintain eligibility the “garage qualified” phenomenon.
- Recruitment Pressure: Feeling pressured to constantly recruit new people, often straining relationships with friends and family.
- Misleading Income Promises: Feeling that the income potential was overstated during recruitment, leading to unrealistic expectations.
- High Expenses: Costs associated with running the business product, events, travel, materials adding up and exceeding earnings.
- Difficulty Leaving/Returning Product: Issues with the buyback policy or returning unsold inventory upon leaving the business we’ll cover this next.
Analyzing these complaints provides a more grounded perspective than just hearing success stories.
While many customers are happy with the products and some distributors do succeed, the volume and consistency of complaints about financial loss, pressure to buy/recruit, and difficulty achieving promised income levels are significant red flags often associated with the practical realities of the MLM model for the majority of participants.
Complaints about product price and efficacy also suggest that for many, the premium cost is not perceived as delivering commensurate value or results, especially when compared to other options available in the market.
Understanding DoTERRA’s Return and Refund Policies
So, what happens if you buy products or sign up as a Wellness Advocate and change your mind, or end up with unsold inventory? A company’s return and refund policies are a key aspect of its transparency and fairness, particularly in an MLM where participants might accumulate significant product stock.
DoTERRA, like other MLMs, has policies in place, but navigating them and understanding the conditions is crucial.
DoTERRA’s policies generally distinguish between returns by retail customers and returns by Wellness Advocates distributors.
For Customers:
- Retail customers can typically return products for a refund.
- There is usually a time limit e.g., within 30 days of purchase for a full refund, maybe longer for product credit.
- Products may need to be unopened and in resalable condition for a full refund of the purchase price. Returns of opened products might receive a reduced refund or product credit.
- Shipping costs are usually not refunded.
For Wellness Advocates Distributors:
- Policies for Wellness Advocates are more complex, especially regarding inventory buyback upon cancellation of their account.
- DoTERRA has a buyback policy, which is often required by state laws like the FTC’s Business Opportunity Rule suggesting buyback policies.
- If a Wellness Advocate cancels their account, they can typically return unsold product that is in resalable condition.
- The refund amount is usually less than the purchase price, often 90% of the wholesale price paid.
- Crucially, the company may only buy back inventory purchased within a specific timeframe e.g., the past 12 months.
- Shipping costs for the return are usually the responsibility of the distributor.
- Any bonuses or commissions earned related to the returned product may be deducted from the refund amount.
Practical Implications and Downsides:
- Inventory Trap: If a distributor has accumulated a large inventory of product over time by meeting the 100 PV minimum each month via LRP orders, and some of that inventory is older than the buyback timeframe e.g., 12 months, they may not be able to return it for any refund.
- Financial Loss: Even for eligible product, the 90% buyback on the wholesale price means the distributor takes a 10% loss on the product cost itself, plus they likely paid shipping to get it, and now have to pay shipping to send it back. When you factor in the expenses of running the business, attending events, etc., the net loss for a distributor who leaves with inventory is often substantial.
- Condition Requirements: The “resalable condition” clause means damaged packaging, opened bottles DoTERRA Lavender Essential Oil, DoTERRA On Guard Protective Blend, or expired products are usually not eligible for buyback.
- Complexity: The process can be bureaucratic and time-consuming.
While DoTERRA has return and buyback policies, as required for legitimate MLMs, the reality is that they may not fully protect a distributor who has accumulated significant inventory due to the structure of the compensation plan and the pressure to meet monthly PV targets. The buyback policy helps, but it doesn’t guarantee recovery of the full amount spent on product, especially if the inventory is old or the distributor’s overall business expenses were high. This reinforces the risk of the inventory trap and contributes to the financial losses experienced by many who attempt the DoTERRA business opportunity and eventually decide to leave. It’s crucial to understand these policies and the potential for financial loss on product purchases before getting involved, whether starting with a small DoTERRA Introductory Kit or headfirst into building a team and stocking up on DoTERRA Serenity Calming Blend and other products.
Frequently Asked Questions
Is DoTERRA actually an MLM? The article says it “clearly uses an MLM structure.” What does that really mean?
Alright, let’s get straight to it, just like the article says. Yes, based on the structure detailed in the text, DoTERRA clearly operates using a Multi-Level Marketing MLM model. What this boils down to is a business where participants, called Wellness Advocates, don’t just make money by selling products directly to customers though that’s one way. A significant part of the compensation, and the structure of the business, is built around earning commissions from the sales made by other people you recruit into the business, and the people they recruit, down multiple levels. The article breaks down the mechanics: multi-tiered compensation, a focus on recruitment, and participants often needing to buy product themselves to qualify for commissions. This hierarchical system, where your earnings potential is heavily tied to the volume generated by your “downline,” is the defining characteristic of an MLM. It’s not just about moving individual bottles like DoTERRA Lavender Essential Oil to external buyers. it’s deeply embedded in building and managing a network of other distributors.
How does DoTERRA’s compensation plan actually work? What are the main ways to earn money?
The DoTERRA compensation plan, as the article dissects, is a multi-layered system, not a simple percentage of your own sales. You can earn in several ways: first, there’s Retail Profit, where you buy wholesale and sell retail, keeping the difference. Customers can also order retail from your site. Second, there’s a small bonus if someone signs up as a Preferred Member. The core earning methods designed to incentivize network building are the Fast Start Bonus, which pays you weekly on the sales volume of new recruits and their recruits for their first 60 days strongly pushing recruitment, the Power of 3 Team Bonus, which rewards specific team structures and consistent group volume often fueled by monthly participant orders, and the Unilevel Bonus, which is the main residual income, paying monthly commissions based on your entire downline’s volume after the Fast Start period. Interestingly, the Unilevel Bonus pays higher percentages on deeper levels 4-7 than on upper levels 1-3, encouraging deep team building. Finally, there are Leadership Pools for higher ranks Silver and above, where you share in global company revenue, but hitting these ranks requires substantial organizational group volume and building successful ‘legs’ or teams. It’s a plan heavily weighted towards rewarding recruitment and team volume, requiring participants to hit a monthly Personal Volume PV threshold, often 100 PV, to qualify for most commissions.
Is the 100 PV monthly requirement mandatory to make money in DoTERRA?
Based on the article’s analysis of the compensation plan, maintaining a minimum monthly Personal Volume PV, typically 100 PV, is indeed critical if you want to earn most commissions beyond basic retail profit.
This 100 PV is roughly $100-$120 worth of product at wholesale price.
If you don’t meet this threshold in a given month, you generally lose eligibility for commissions earned from your downline’s volume.
The article points out that for many Wellness Advocates, achieving this volume purely through sales to external, non-enrolled customers is challenging.
Therefore, the system inherently incentivizes purchasing product yourself to meet that 100 PV minimum to “stay active” and qualify for potential earnings from your team.
This mechanism, often facilitated by the Loyalty Rewards Program LRP, is a key driver of internal consumption within the distributor base and is where the “pressure to buy product” comes from.
What is the Loyalty Rewards Program LRP and how does it influence Wellness Advocates?
The Loyalty Rewards Program LRP in DoTERRA is designed to encourage consistent, monthly ordering, typically through an auto-ship program.
As the article explains, it rewards participants who place regular monthly orders, often set at or above the 100 PV mark, with points that can be redeemed for free product.
While presented as a benefit earning back points and getting free products, the LRP system acts as a powerful incentive for Wellness Advocates to place monthly orders regardless of immediate customer demand.
By placing that 100 PV LRP order, you ensure you meet the minimum volume requirement to qualify for commissions from your downline and participate in bonuses.
This creates a cycle where distributors become their own best customers, purchasing product every month to maintain eligibility, which can lead to accumulating inventory if they aren’t selling it to others.
It’s a mechanism that drives consistent volume within the network.
How much money can the average person expect to make as a DoTERRA Wellness Advocate?
Drawing from the data points cited in the article regarding typical MLM income disclosures and reports from organizations like the AARP and FTC, the reality for the vast majority of DoTERRA Wellness Advocates is that they earn very little. The article suggests that in typical MLMs, including DoTERRA based on the compensation structure, the overwhelming percentage of participants are at the lowest ranks. The average or median annual income for participants at these lower levels is usually only a few hundred dollars per year before accounting for expenses. When you factor in the costs of running the business – product purchases especially the required monthly PV, samples, marketing materials, event tickets, travel – a large percentage of participants make no net profit and often incur a net loss. The high incomes sometimes showcased are earned by a tiny fraction of participants at the very highest ranks, often less than 1%. So, for the average person, the expectation should be minimal earnings, with a significant risk of losing money.
What are the typical expenses a DoTERRA Wellness Advocate faces?
Becoming a DoTERRA Wellness Advocate isn’t just about buying the initial DoTERRA Introductory Kit. The article highlights that significant expenses are involved in trying to build the business, and these costs can easily outweigh any commissions earned, especially at lower ranks. Key expenses include the mandatory monthly product purchases the 100 PV requirement, approximately $100-$120/month, often via LRP, the initial cost of enrollment kits, purchasing samples to share, marketing materials flyers, business cards, website fees if applicable, hosting events like classes, either in-person or online, attending company trainings and conventions which often involve travel and ticket costs, and general business overhead. The article emphasizes that these cumulative expenses, particularly the cost of purchasing products to meet monthly volume requirements, are a primary reason why many participants end up with a net financial loss.
The article mentions “garage qualified.” What does that mean and why is it a problem?
“Garage qualified” is a term, common in the MLM world and referenced in the article, that describes a distributor who meets their monthly Personal Volume PV requirement often 100 PV by purchasing product themselves, rather than selling it to external retail customers. The reason it’s a problem is that it indicates the business is not being fueled by genuine retail sales to end consumers outside the network, but rather by internal consumption by the distributors themselves. This can lead to distributors accumulating large amounts of unsold product in their homes “filling their garage”, tying up their money in inventory they cannot move. The article explains this phenomenon stems from the compensation plan’s requirement to hit PV minimums to earn commissions. if sales to others aren’t sufficient, the system incentivizes buying it yourself to stay eligible, facilitated by programs like the LRP. It’s a symptom of the business model potentially emphasizing internal volume over true retail sales.
How does DoTERRA’s Unilevel Bonus differ from other MLMs?
The DoTERRA Unilevel Bonus structure has a specific twist mentioned in the article. While it’s the core residual income component based on your downline’s volume after the initial Fast Start period, it pays a higher percentage on deeper levels levels 4-7 of your organization than on the levels closer to you levels 1-3. Most MLMs pay a higher percentage on the first few levels. DoTERRA’s structure, paying more on levels 4-7, is designed to incentivize building a deep, stable organization rather than just enrolling people directly below you. However, the article notes that this means you earn very little initially from the people you personally enroll, and significant income from this bonus requires your team to recruit extensively and build several layers deep, generating substantial volume further down the chain.
What are the Leadership Pools in DoTERRA, and how do you qualify for them?
Leadership Pools are bonus pools that Wellness Advocates can qualify for once they reach higher ranks in the DoTERRA compensation plan, specifically Silver and above.
The article mentions these pools are where significant “residual income” potential often lies.
Qualification requires reaching and maintaining specific ranks, and these ranks are dependent on achieving substantial Organizational Group Volume OGV and successfully building and maintaining multiple “legs” – downline teams where individuals within those teams reach certain ranks themselves e.g., Silver requires 3 legs of Elite. These pools represent a share of the company’s global revenue that is distributed among qualifying leaders.
However, reaching these ranks and consistently qualifying for the pools demands building and managing very large, productive organizations, which, as the article notes, is achieved by a tiny fraction of participants.
Is it true that over 99% of people in MLMs, including DoTERRA, earn less than minimum wage?
The article cites data points from reports by the FTC and the AARP Foundation indicating the challenging financial reality for MLM participants. According to a 2015 FTC report analyzing ten MLMs, over 99% of participants were found to earn less than minimum wage. A separate 2011 AARP Foundation study found that a large majority lost money or made no profit after expenses. While specific, consistently updated DoTERRA income disclosure figures can be hard to pin down, the compensation plan structure and the data cited in the article strongly align with this broader MLM trend. The overwhelming concentration of participants at the lowest earning tiers, coupled with significant business expenses like mandatory product purchases, means that yes, statistically, the vast majority of people involved in MLMs like DoTERRA earn very little, often below minimum wage, or even lose money after accounting for costs.
How does DoTERRA’s pricing compare to other essential oil brands?
The article makes a direct comparison of DoTERRA’s prices to those of other reputable, non-MLM essential oil companies.
The conclusion is clear: DoTERRA’s prices, even at the wholesale level, are significantly higher.
For common single oils like DoTERRA Lavender Essential Oil, Peppermint, and Lemon, DoTERRA’s wholesale price can be 50% to over 100% higher than comparable oils from other brands.
Similarly, blends like DoTERRA On Guard Protective Blend or DoTERRA Breathe Respiratory Blend carry a substantial premium compared to similar blends from competitors.
The article attributes this significant price difference primarily to the cost of funding the multi-level compensation plan – a large portion of the product price is used to pay commissions and bonuses up the distributor hierarchy, a cost structure that traditional retail or direct-to-consumer models don’t have to support.
Why are DoTERRA’s products, like the DoTERRA Introductory Kit, so expensive compared to others?
The article argues that the premium price tag on DoTERRA products, including entry points like the DoTERRA Introductory Kit and individual bottles like DoTERRA Lavender Essential Oil or DoTERRA On Guard Protective Blend, is largely due to the overhead of the MLM business model.
While DoTERRA emphasizes its quality standards CPTG, sourcing Co-Impact Sourcing, and testing, the article notes that other reputable companies also invest heavily in these areas.
The significant price difference, however, is primarily needed to fund the multi-tiered commission structure.
The price you pay as a customer or distributor needs to cover the commissions paid to potentially several levels of upline distributors, not just the costs of production, sourcing, and typical business operations.
This inherent cost of funding the elaborate compensation plan is seen as the main driver of the higher price point relative to non-MLM competitors.
What does DoTERRA’s CPTG standard mean, and is it unique?
DoTERRA promotes its CPTG Certified Pure Tested Grade standard as an assurance of the quality and purity of its essential oils.
The article mentions this is part of DoTERRA’s value proposition.
It indicates that the oils undergo testing to ensure purity and potency.
However, the article also implies that while this contributes to cost, other reputable essential oil companies also invest heavily in quality control, sourcing, and testing, often providing testing reports like GC/MS readily accessible to consumers – something DoTERRA isn’t always as proactive about sharing for every batch without a specific request, according to the text.
So, while CPTG signifies DoTERRA’s internal quality control process, the concept of testing and ensuring purity is not unique to DoTERRA.
It’s a practice followed by many quality-focused essential oil companies in the market, regardless of their business model.
Are the health claims made for products like DoTERRA On Guard Protective Blend scientifically supported?
The article scrutinizes the scientific backing for claims made about DoTERRA’s products, particularly for blends like DoTERRA On Guard Protective Blend, which is marketed for “immune support.” While the individual oils in On Guard like Clove and Cinnamon have shown antimicrobial properties in vitro in lab dishes, the article stresses that this does not translate to proof that diffusing, applying topically, or ingesting the blend effectively kills airborne viruses or boosts systemic immunity in humans. The leap from lab study results to health benefits in humans using typical methods is not supported by robust clinical trials on the blend itself. The article concludes that for claims like “immune support,” the claims often outpace the available scientific evidence for typical human use. Regulatory bodies like the FTC and FDA have sent warnings to companies, including MLMs, about making such unsubstantiated drug claims.
How effective is DoTERRA Breathe Respiratory Blend for respiratory issues according to science?
Regarding DoTERRA Breathe Respiratory Blend, marketed for “clear airways” and “easy breathing,” the article analyzes its ingredients. It notes that components like Peppermint menthol are scientifically known to create a subjective feeling of improved airflow by stimulating cold receptors, which can feel helpful for minor congestion. Eucalyptus has some research interest for respiratory support, but often involving methods other than typical diffusion. However, the article emphasizes that despite these points, there’s a lack of independent, peer-reviewed clinical trials specifically on the Breathe blend demonstrating objective improvements in lung function, reduced congestion duration, or treatment of respiratory diseases in humans when used via diffusion or topical application. While it might offer temporary subjective relief for minor issues, presenting it as a treatment or significant support for more serious respiratory conditions is not supported by science and constitutes making unsubstantiated health claims.
Does science back the claims about DoTERRA Serenity Calming Blend for relaxation and sleep?
The article suggests that claims around relaxation and sleep for products like DoTERRA Serenity Calming Blend containing oils like Lavender, Roman Chamomile, etc. have relatively more plausible scientific backing compared to immune or respiratory claims, primarily through the mechanism of aromatherapy. Lavender, in particular, has multiple studies suggesting it can have a statistically significant calming effect and improve sleep quality when inhaled or applied topically, although the evidence isn’t uniformly strong across all research. Other ingredients also have some limited study or traditional use backing for calming effects. However, the article points out there is a lack of independent clinical trials specifically on the DoTERRA Serenity blend itself demonstrating its efficacy compared to a placebo. While the concept of using these oils as complementary approaches for mild anxiety or sleep issues has some scientific basis, the claims often made by distributors may overstate the proven efficacy of the blend for clinical conditions like insomnia or anxiety disorders. It’s complementary, not a cure.
What risks are involved in joining DoTERRA as a business opportunity?
The article highlights several significant potential risks and downsides for someone joining DoTERRA as a Wellness Advocate, particularly when trying to build it as a business. The primary risk is financial loss. Due to the low average/median income for most participants and significant expenses especially mandatory monthly product purchases, many people earn very little or lose money after accounting for costs. There’s also the risk of the inventory trap, where the pressure to meet monthly PV minimums leads to accumulating unsold product. The business requires significant time investment for recruiting, training, and sales, which may not yield proportional income. There’s the challenge of high attrition, requiring constant recruitment. Finally, there’s the risk of inadvertently making unsubstantiated health claims about the products, which can lead to compliance issues with regulatory bodies like the FDA and FTC, putting both the distributor and the company at risk.
Is it difficult to recruit people into DoTERRA?
Yes, the article implies that successful and consistent recruitment is a major challenge in MLMs, including DoTERRA, despite it being heavily incentivized by the compensation plan like the Fast Start bonus. The business model relies on recruiting new distributors to build the downline and generate organizational volume OGV, which is essential for advancing in rank and earning substantial income.
However, the reality is that not everyone is interested in joining an MLM or selling products.
Finding, recruiting, and successfully training new team members takes considerable time, effort, and skill.
Furthermore, the article notes that high attrition rates in MLMs mean you need to recruit constantly just to replace those who leave, making sustained growth through recruitment a perpetual, demanding task rather than a one-time effort.
Market saturation among friends and family also makes reaching beyond your “warm market” difficult and expensive.
Why do many DoTERRA distributors end up losing money?
The article clearly explains why many DoTERRA distributors end up with a net financial loss.
It primarily boils down to the combination of low earnings for the majority of participants and significant business expenses.
The compensation plan, while offering theoretical high income potential at the top, results in minimal actual earnings for the vast majority at lower and mid-level ranks.
Simultaneously, distributors face recurring costs, most notably the requirement to purchase approximately $100-$120 worth of product each month 100 PV to qualify for commissions.
If they don’t sell this product to external customers, they buy it themselves, leading to accumulated inventory and money tied up.
When these mandatory product purchases and other business expenses like marketing, events, travel are greater than the commissions earned, the distributor experiences a net loss.
The article highlights that this is a very common outcome for most MLM participants.
What is DoTERRA’s history with regulatory bodies like the FTC?
The article mentions that DoTERRA, like other large essential oil MLMs, has faced scrutiny from regulatory bodies, particularly the Federal Trade Commission FTC and the Food and Drug Administration FDA. During the COVID-19 pandemic, both the FTC and FDA sent a warning letter to DoTERRA.
This letter specifically cited instances where DoTERRA distributors were making unsubstantiated claims that essential oils could treat or prevent COVID-19. The letter also pointed out potentially deceptive income claims made by distributors.
This history indicates that despite having compliance policies, DoTERRA has faced regulatory attention because its network of independent distributors has made problematic health and income claims that are not compliant with federal regulations, demonstrating a challenge in effectively controlling messaging across a large MLM sales force.
What kind of customer complaints are common regarding DoTERRA products?
Based on the article’s analysis of customer feedback, common complaints about DoTERRA products often revolve around price. Customers frequently feel the products, even common ones like DoTERRA Lavender Essential Oil or blends like DoTERRA On Guard Protective Blend and DoTERRA Breathe Respiratory Blend, are significantly overpriced compared to alternatives from other reputable brands. Another frequent complaint relates to efficacy – users feel the products don’t live up to the often enthusiastic or amplified claims made by distributors for specific health benefits like for sleep with DoTERRA Serenity Calming Blend or pain with DoTERRA Deep Blue Rub. Issues with shipping, ordering especially LRP, unexpected charges, and difficulties with customer service regarding returns or billing are also mentioned as common themes in complaints.
What do former DoTERRA distributors complain about most often?
Former DoTERRA distributors’ complaints, as analyzed in the article, often focus heavily on the challenges and financial realities of the business opportunity itself. The most prevalent complaint is lack of income or net financial loss, stemming from earning very little while incurring significant expenses, particularly the cost of mandatory monthly product purchases. Related to this is the feeling of pressure to buy product to meet PV minimums and qualify for commissions, leading to accumulated inventory the “garage qualified” issue. Recruitment pressure, straining relationships with friends and family, is another frequent complaint. Many feel that the income potential was overstated during recruitment, leading to unrealistic expectations and disappointment. The cumulative nature of business expenses adding up and exceeding earnings is also a major point of contention. Finally, some former distributors report difficulty leaving the business or returning unsold product, finding the process complex or the buyback policy insufficient to recoup their investment.
How do DoTERRA’s return and refund policies work for customers?
For retail customers, DoTERRA typically has a straightforward return policy allowing them to return products for a refund within a specific timeframe often 30 days for a full refund of the purchase price, sometimes longer for product credit. The article notes that products usually need to be unopened and in resalable condition to receive a full refund.
If a product has been opened, the refund might be reduced or given as product credit.
Shipping costs for the return are generally the customer’s responsibility and are not refunded.
It’s a relatively standard return policy for direct sales, focused on ensuring customer satisfaction with the physical product itself.
What happens if a Wellness Advocate wants to leave DoTERRA and return unsold inventory?
If a DoTERRA Wellness Advocate decides to cancel their account and leave the business, they can typically return unsold product inventory based on the company’s buyback policy, as discussed in the article. This policy usually allows the return of product that is in resalable condition. However, the refund amount is typically less than what the distributor paid – often around 90% of the wholesale price for the returned goods. The policy may also limit returns to inventory purchased within a specific timeframe e.g., the last 12 months. The distributor is usually responsible for the shipping costs to return the product. Furthermore, any commissions or bonuses previously earned on the returned product may be deducted from the refund. The article highlights that this means distributors often cannot recoup the full amount they spent on product, especially if they have accumulated older inventory or if their total business expenses significantly exceeded their earnings.
What are the potential downsides of DoTERRA’s inventory buyback policy for distributors?
While DoTERRA has a buyback policy for departing Wellness Advocates, the article points out significant potential downsides.
The main issue is that it doesn’t guarantee a full recovery of money spent.
Distributors only get back a percentage often 90% of the wholesale price on eligible items, meaning an automatic loss of at least 10% on the product cost itself.
Crucially, only inventory purchased within a recent timeframe e.g., the last 12 months may be eligible for buyback, leaving distributors with older, unsellable stock.
The requirement for product to be in resalable condition excludes damaged or opened items DoTERRA Lavender Essential Oil, DoTERRA Breathe Respiratory Blend, etc.. When you add the costs of shipping the product back, plus all the other non-product business expenses incurred events, travel, materials, etc., the net loss for a distributor leaving with inventory is often substantial, contributing to the overall picture of financial loss for many participants.
The article mentions unsubstantiated health claims. How does this affect a Wellness Advocate?
Making unsubstantiated health claims about DoTERRA products, even inadvertently, is a significant risk for Wellness Advocates, as highlighted by the article.
Regulatory bodies like the FDA and FTC consider claims that a product can diagnose, treat, cure, or prevent a disease to be drug claims.
If a product is not approved as a drug and essential oils are not, making such claims is illegal.
The article gives examples related to claims about DoTERRA On Guard Protective Blend for immune support during illness, DoTERRA Breathe Respiratory Blend for respiratory conditions, DoTERRA Serenity Calming Blend for clinical anxiety/insomnia, or even specifics about DoTERRA Deep Blue Rub for specific chronic pain or DoTERRA DigestZen Digestive Blend for serious digestive diseases.
While DoTERRA provides compliance guidelines, excited distributors sharing personal testimonials or extrapolating beyond approved language can easily cross this line.
This puts the distributor at risk of receiving warning letters or facing other enforcement actions.
It’s an ethical issue as well, potentially misleading consumers and delaying proper medical treatment for serious conditions.
Is DoTERRA Deep Blue Rub scientifically legitimate for muscle aches?
According to the article’s analysis, the potential efficacy of DoTERRA Deep Blue Rub for minor muscle aches and soreness is one area with more scientific grounding compared to some other product claims.
The rub contains ingredients like Wintergreen and Peppermint, which contain methyl salicylate and menthol, respectively.
The article notes that these compounds are common active ingredients in over-the-counter topical pain relief creams and are known to create sensations cooling/warming that can distract from pain and may offer some localized relief.
So, based on the known properties of these components, it is plausible that DoTERRA Deep Blue Rub can provide temporary, localized comfort similar to other rubs containing these ingredients.
However, the article cautions that claims about it treating serious conditions like arthritis or chronic pain would likely be unsubstantiated drug claims.
Can DoTERRA DigestZen Digestive Blend help with digestive issues?
The article examines DoTERRA DigestZen Digestive Blend, which includes oils like Ginger and Peppermint, marketed for supporting digestion and soothing occasional stomach upset. It acknowledges that some individual oils in the blend have research backing for digestive support – for instance, peppermint oil is used for IBS symptoms, and ginger is known for helping with nausea. Other ingredients have traditional uses. The article concludes there is some scientific basis for the individual ingredients assisting with occasional or minor digestive discomfort. Ingesting dilute amounts might provide some symptomatic relief for issues like bloating or gas. However, it clearly states that claims that DigestZen treats conditions like IBS, GERD, or chronic digestive diseases are not supported by robust clinical trials on the blend itself and would constitute illegal drug claims. It might help with minor, occasional issues based on traditional use and limited research on components, but it’s not a treatment for serious conditions.
Is DoTERRA a pyramid scheme?
The article addresses this directly by explaining the difference between a legitimate MLM and an illegal pyramid scheme. An MLM becomes a pyramid scheme when the primary emphasis and source of income shift from selling products to actual customers outside the system to recruiting new participants and encouraging them to buy product, often just to maintain active status or qualify for commissions. The FTC watches for whether compensation is based on retail sales to end consumers or recruitment. The article states that DoTERRA “clearly uses an MLM structure” and details how the compensation plan heavily rewards recruitment and volume generated by the downline, including volume purchased by participants themselves the 100 PV requirement, LRP, etc.. While the article doesn’t explicitly label DoTERRA a pyramid scheme a legal determination the FTC makes, it strongly implies that the practical reality and financial outcomes for the majority of participants, coupled with the incentive structure favoring recruitment and internal consumption over external retail sales, raise concerns and exhibit characteristics often associated with the effects of pyramid schemes for participants at the bottom, where earning is extremely difficult and financial loss is common.
How does the high attrition rate in MLMs like DoTERRA affect participants?
The article notes that attrition rates in MLMs are notoriously high, often exceeding 50% annually.
This means that more than half the people who join often leave within a year, frequently having failed to make significant income.
This high attrition rate is a major challenge for existing Wellness Advocates trying to build a team.
It means you are in a constant state of needing to recruit new people not just for growth, but just to maintain your existing team size and organizational volume.
If people in your downline leave, their volume disappears, potentially affecting your rank and income.
This requires perpetual effort and recruitment activity, making it very difficult to achieve the kind of stable, passive residual income that is often promoted.
The cycle of recruiting new people to replace those who quit adds significant pressure and work.
Does DoTERRA disclose how much its distributors earn?
The article states that DoTERRA, like other MLMs, typically publishes an income disclosure statement or summary. These statements are intended to show the range of incomes earned at different ranks. However, the article also notes that the availability and format of these disclosures can vary year to year, and critics often argue they may not clearly convey the net income after expenses are factored in or clearly highlight the extremely high percentage of participants who earn very little or lose money. While a disclosure exists to show the potential at various ranks, the article emphasizes that the raw numbers in these disclosures, when fully understood, reveal that the aspirational high incomes are achieved by a tiny fraction of people at the very top, while the vast majority earn minimal amounts before expenses.
What is “Organizational Group Volume” OGV and why is it important in DoTERRA?
Organizational Group Volume OGV is a critical metric in the DoTERRA compensation plan, as explained in the article.
It represents the total cumulative volume usually measured in PV or a related point system generated by your entire downline organization within a specific period, typically a month. OGV is paramount for advancing in rank in DoTERRA.
As you move up the ranks Manager, Director, Elite, and especially Silver, Gold, Diamond, etc., the OGV requirement increases significantly.
Achieving higher OGV unlocks higher income tiers and access to leadership pools.
The article shows that reaching ranks where substantial income is possible requires tens of thousands or even hundreds of thousands of OGV monthly, which necessitates building and maintaining a very large and productive team beneath you, often involving multiple successful ‘legs’ or sub-teams.
How does the Power of 3 Team Bonus incentivize specific behavior?
The Power of 3 Team Bonus, as detailed in the article, specifically rewards a particular team structure and consistent monthly ordering.
You earn bonuses $50, $250, $1500 by ensuring you and a specific number of people directly sponsored by you meet minimum PV/OGV requirements in a particular configuration.
For instance, the initial $50 bonus requires you and at least three people on your front line to have 100 PV each, and your combined OGV including your own must be 600. This bonus strongly encourages Wellness Advocates not only to place their own 100 PV monthly order but also to recruit others who will do the same, specifically structured in a way that builds a foundation for team volume and reliance on monthly purchases within the network to unlock these bonuses.
Is DoTERRA’s Co-Impact Sourcing unique, and does it justify the price?
DoTERRA emphasizes its Co-Impact Sourcing initiative, where they work directly with farmers and distillers around the world, often in developing countries, aiming for ethical sourcing and community development. The article mentions this as part of DoTERRA’s value proposition and something that contributes to cost. While working directly with sources is a practice some companies engage in for quality and ethics, the specific “Co-Impact Sourcing” branding and its scale may be a point of distinction for DoTERRA. However, the article argues that while these sourcing practices contribute to the overall cost of the product, they don’t fully explain the significant price premium compared to other reputable brands. The larger driver of the price difference is attributed to the cost of funding the multi-level compensation plan. So, while the sourcing might be a point of differentiation and adds some cost, the article implies it doesn’t solely justify the significantly higher retail/wholesale prices.
Does joining DoTERRA mean you have to sell to friends and family?
The structure and common practices within MLMs, including DoTERRA as described in the article, often lead to significant pressure to sell and recruit among friends and family, especially when starting out.
You are often encouraged to make a list of everyone you know and host classes or presentations to introduce the oils and the business opportunity like the DoTERRA Introductory Kit. While it’s theoretically possible to build a business solely through reaching strangers online marketing, events for the public, it’s often harder and more expensive.
The system incentivizes leveraging your existing relationships, and the pressure from upline leaders who benefit from your recruitment can be significant.
The article notes that the focus often quickly shifts to enrolling new people from your network, rather than just selling individual bottles like DoTERRA Serenity Calming Blend or DoTERRA Deep Blue Rub as a traditional retailer would.
For many, navigating these dynamics with personal relationships becomes a major challenge and source of strain.
Is the potential for “passive income” in DoTERRA realistic for most people?
The allure of passive or residual income earned from a large team’s volume is a significant part of the MLM dream, often highlighted in recruitment.
However, the article’s analysis of the financial realities and the challenges of the business model suggests that achieving truly passive income is not realistic for the vast majority of DoTERRA participants.
The low average earnings, high attrition rates requiring constant recruitment to maintain volume, and the need for ongoing effort to manage and motivate a large team mean that building a sustainable, high-earning organization requires perpetual work, not passive oversight.
The income potential is concentrated at the very top ranks, achieved by less than 1% of participants, and even for them, maintaining those ranks and the associated income requires significant ongoing effort.
For most, the dream of passive income remains just that – a dream used in marketing, not a practical outcome of participation.
Are there ethical concerns associated with DoTERRA’s business model or practices?
Based on the article’s examination, ethical concerns often arise in the MLM model and have been raised regarding DoTERRA’s operations.
These concerns include the significant financial losses experienced by the vast majority of participants, which critics argue is an inherent outcome of a structure that may prioritize recruitment and internal consumption over genuine retail sales.
The pressure to purchase product monthly to maintain eligibility can be seen as exploitative.
The overstating of income potential during recruitment is another ethical issue, setting unrealistic expectations that lead to disappointment and loss.
Furthermore, the propagation of unsubstantiated health claims by enthusiastic distributors, often going beyond what is scientifically proven or legally permissible for products like DoTERRA On Guard Protective Blend or DoTERRA DigestZen Digestive Blend, raises ethical questions about misleading consumers about product efficacy and potentially delaying proper medical care.
Can I just buy DoTERRA products as a customer without joining as a Wellness Advocate?
Yes, the article mentions that you can purchase DoTERRA products as a retail customer.
Customers can order directly from a Wellness Advocate’s website at the retail price.
This is one of the ways Wellness Advocates can earn income the retail profit. You don’t need to sign up as a Wellness Advocate or commit to monthly purchases like the 100 PV requirement or the LRP to buy a bottle of DoTERRA Lavender Essential Oil or a DoTERRA Introductory Kit. However, as the article notes, buying retail means paying a higher price than the wholesale cost available to Wellness Advocates or Preferred Members.
For someone solely interested in using the products without any interest in the business opportunity, purchasing retail or exploring the Preferred Member option for a discount are the ways to go, avoiding the business-related pressures and complexities discussed in the article.
What is the difference between a Wellness Advocate and a Preferred Member in DoTERRA?
The article briefly mentions Preferred Members as a customer category that gets a discount often 10-15% off retail. A Retail Customer pays full price. A Preferred Member pays a fee often annual to get a discount, typically around 10-15% below retail, but does not participate in the compensation plan or earn commissions. A Wellness Advocate, on the other hand, pays a higher enrollment fee, gets access to wholesale pricing typically 25% off retail, and is eligible to participate in the compensation plan, earning commissions and bonuses by selling products and recruiting others. Wellness Advocates are the ones who can build a business, with the associated requirements like meeting monthly PV minimums to qualify for earnings. Preferred Members are simply discounted customers who may benefit from programs like LRP for points on their purchases, but they are not part of the sales and recruitment structure.
Why is it important to look at income disclosure statements before joining an MLM like DoTERRA?
Looking at the income disclosure statement or a representative one if a current, specific DoTERRA one isn’t readily available or clear is critically important before joining any MLM, as strongly implied by the financial analysis in the article. These statements provide a snapshot of what participants actually earn at different levels of the business, not just the aspirational figures presented in recruitment meetings. The article’s use of data showing that over 99% earn very little highlights why these documents are essential. They reveal the harsh statistical reality: the vast majority of participants are concentrated at the lowest earning tiers, often making only a few hundred dollars a year before expenses, meaning most lose money. Understanding this distribution allows prospective participants to set realistic expectations about their own likelihood of success and the significant financial risk involved, counteracting the potentially misleading income promises often made during recruitment pitches.
What are the red flags that an MLM might be operating like an illegal pyramid scheme?
The article outlines characteristics that distinguish a legitimate MLM from an illegal pyramid scheme, focusing on what the FTC looks for. The main red flag is when the primary emphasis and source of income shift from genuine retail sales to actual customers outside the network to recruiting new participants and encouraging them to buy product often via mandatory purchases or high inventory loading simply to stay active or qualify for commissions. If compensation is primarily based on recruitment fees or purchases made by recruits rather than sales of product to people who are not distributors, it’s a major warning sign. The article points to the high percentage of product volume purchased by distributors themselves estimated at 70-90% in some MLMs as a key indicator the FTC examines – is the business truly fueled by selling products to the public, or by churning products internally within the distributor base? The pressure to buy product to qualify for commissions, as seen with the DoTERRA 100 PV requirement, can contribute to this shift in focus away from external retail sales.
How can I evaluate the quality of essential oils from different brands, including DoTERRA?
While the article focuses more on the business model and price comparison, it touches on quality by mentioning DoTERRA’s CPTG standard and the fact that other reputable companies also test their oils.
To evaluate essential oil quality across brands, you generally look for transparency in sourcing, testing, and purity.
Reputable companies provide detailed information about where their plants are grown and how the oils are distilled.
They also invest in rigorous testing, such as Gas Chromatography-Mass Spectrometry GC/MS testing, to verify the oil’s chemical composition, purity, and absence of contaminants like pesticides or synthetic additives. Many high-quality, non-MLM brands make their GC/MS reports readily available for consumers, often for every batch.
While DoTERRA promotes CPTG testing, proactively providing specific batch test results for all oils without request isn’t always standard practice compared to some other brands, according to the text.
Comparing GC/MS reports if available and understandable and looking for companies that are transparent about their sourcing and testing processes is a key way to evaluate quality beyond marketing claims.
Price alone isn’t an indicator of quality, as the article demonstrates the high price of DoTERRA is largely due to the MLM structure.
The article compares DoTERRA’s blends like DoTERRA On Guard Protective Blend and DoTERRA Breathe Respiratory Blend to similar blends from other brands. What should I look for in those comparisons?
When comparing DoTERRA blends like DoTERRA On Guard Protective Blend an immune blend or DoTERRA Breathe Respiratory Blend a respiratory blend to similar formulations from other brands, the article suggests focusing on price and claimed quality/efficacy.
Other reputable essential oil companies offer blends with similar ingredients like Cinnamon, Clove, Eucalyptus, Peppermint, etc. and intended uses immune support, respiratory support. The key takeaway from the article is that DoTERRA’s blends are often significantly more expensive, even at wholesale, than comparable blends from non-MLM companies.
When comparing, look at the ingredients to see how similar they are, compare the volume ml, and most importantly, compare the price per ml.
While DoTERRA may emphasize their specific sourcing or testing, other brands also prioritize quality and testing.
The comparison shows you can often find blends with similar ingredients and quality standards from other companies at a much lower price, suggesting you are paying a significant premium for the DoTERRA brand and the MLM distribution model.
Why are testimonials from distributors about health benefits or income potential potentially misleading?
The article implicitly and explicitly warns about the unreliability of testimonials, particularly in an MLM context.
Distributor testimonials about health benefits for products like DoTERRA Serenity Calming Blend or DoTERRA Deep Blue Rub are often based on anecdotal evidence, not rigorous scientific proof.
While personal experiences are valid for the individual, they are not substitutes for clinical research on efficacy and safety.
Eager distributors might exaggerate or make illegal claims based on personal stories, which can mislead potential customers into believing the product can treat serious conditions, potentially delaying proper medical care.
Similarly, income testimonials showcasing high earnings are often from a tiny percentage of top earners and don’t reflect the typical experience of the vast majority of participants who earn very little or lose money.
The article underscores that the FTC scrutinizes misleading income claims, highlighting the disparity between the few success stories and the widespread reality of financial loss for most.
Testimonials, while powerful marketing tools, should be viewed with significant skepticism and are not a substitute for scientific evidence about product efficacy or statistical data about income potential.
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