Zinzino Pyramid Scheme, Fake Or Legit MLM?

Zinzino Pyramid Scheme, Fake Or Legit MLM
Picture Of Beauty Products.

Have you been approached by someone promoting Zinzino products and an opportunity to make money doing the same? Now you are wondering; is Zinzino a Pyramid scheme, fake or a legit MLM (Multi-level marketing company).

Disclaimer; l am not affiliated with this company and it is not yet available here in South Africa. This review contains affiliate links, which means l am paid a small commission if you click on the links inside this article and purchase any products. Of course, without any extra costs to you.

In this review of Zinzino, l will look at the founders, what it is all about, the products and compensation plan. Wrapping it off, l will tell you if the company is a pyramid scheme or legit MLM.

Most newbies label MLMs pyramid schemes just because of the structure of the compensation plan. Yet, an MLM becomes an illegal scheme if it breaks the 49% to 51% sales rule (more on this later).

What Is Zinzino All About?

Zinzino Hungary, Germany, Australia, Czech Republic, Finland

Bergheim Pettersen is the founder of the health and wellness company. It is based in Sweden. The company was formed in 2005. Coffee pods were their main product until 2013 when health supplements and meal replacement products were added to the inventory.

The company sells its health and wellness products using the multi-level marketing business model. This means that you can earn commissions by selling Zinzino nutritional products. You can also recruit people into joining the company and earn money from the sales generated by your recruits.

According to the website analysis using a third party too, similarweb.com, the company is popular in Hungary, Germany, Australia, Czech Republic, and Finland. This is interesting because it is not popular in Sweden where it was founded and launched. It is also gaining traction in Canada, United Kingdom.

There is a promise that Zinzino will be launched in South Africa in 2021.

Popular Health, Wellness, and Skin Care Products.

  • Balance Oil AquaX, Orange, Lemon, Mint, and Vegan – Regulates the optimum balance of Omega-6 to Omega-3 essential oils in your body. Leads to the improvement of the general wellness of the body.
  • BalanceTest – This is one of their flagship products. You can check your levels of fatty acids including Omega 3 using a blood sample extracted from your finger. The results are used to recommend Zinzino products which is certainly a conflict of interest.
  • Skin Care Serum – Recommended for reducing wrinkles and as an anti-aging lotion. It is said to be vegan.
  • Viva, Xtend, and Protect – Brain boosters, reduce stress and act as nutritional supplements.
  • Lean Shakes, ZinoBiotic, and Energy Bar – Act as appetite suppressants while providing the body with essential nutrients. This will eventually lead to weight loss.
  • ZinoBioatic Fiber Blend – A blend of filling dietary fibers.
  • Dosage Cups – These are sold as accessories that help in taking the correct dosage of supplements. Includes a Zonzino mobile App to record consumption of supplements.
  • Zinzino coffee machines– although when the company was selling coffee machines and pods, it seems as if it discontinued supplying these products. This is also partially because Rombouts was also selling the same machines at a cheaper price directly to customers. The very reason why some people label Zinzino, fake.

Zinzino Compensation Plan.

Distributors or partners are awarded credits which can be converted into cash at $1.35 each. Credits allow the standard calculation of commissions and bonuses without the hustle of considering currency exchange rates across different countries.

Zinzino affiliates qualify for MLM commissions by generating 20 credits over their first three months.

From the fourth month onward an affiliate must generate at least 20 credits a month as well as 4 Customer Points.

A one-time 10% Cash Bonus is paid when retail customers sign up for an auto-ship order.

Customer Points are generated via retail customer orders:

A retail customer with a minimum 3 credit auto-ship order generates 1 Customer Point.
Additional 3 credit or more retail product orders generate one Customer Point each.
Generated Customer Points are valid for ninety days.

If a Zinzino affiliate doesn’t generate Customer Points via the above criteria, they can still earn one Customer Point if the sum total of their retail customer orders is 3 credits or more over a rolling ninety-day period.

Sales Rep – you sign up as an affiliate and promote products to earn commissions but you don’t enjoy MLM benefits.

Level Credits/month

 Customer Points (20 credits in total) a month.

Bronze – 4

Silver 750

Gold 1500

Executive 3000

Platinum 6000

Diamond 12,000

Director 24,000

Crown 48,000

Royal Crown 80,000

Black Crown 130,000

Income Centres.

  • Ambassador – qualify for two income centers with at least 10,000 in monthly credit volume, and generate at least 150,000 credits a month across your downline
  • Royal Ambassador – maintain two income centers generating at least 20,000 credits a month each, and generate at least 200,000 credits a month across your downline
  • Black Ambassador – maintain two income centers generating at least 30,000 credits a month each, and generate at least 250,000 credits a month across your downline.
  • President – qualify for three income centers generating at least 40,000 credits a month each, and generate at least 300,000 credits a month across your downline
  • Elite President – maintain three income centers generating at least 80,000 credits a month each, and generate at least 500,000 credits a month across your downline
  • Global President – maintain three income centers generating at least 130,000 credits a month each, and generate at least 1,000,000 credits a month across your downline
  • 1 Star Global President – qualify for four income centers generating at least 130,000 credits a month each, and generate at least 2,000,000 credits a month across your downline.
  • 2 Star Global President – qualify for five income centers generating at least 130,000 credits a month each, and generate at least 3,000,000 credits a month across your downline.
  • 3 Star Global President – qualify for six income centers generating at least 130,000 credits a month each, and generate at least 4,000,000 credits a month across your downline

Are Zinzino Products and Opportunity Good?

  • Small Inventory: when compared to other companies in the same space, the company has a limited number of products which may limit sales.
  • Price Increases: according to the website, ”We will implement a price adjustment on January 1, 2021”, this means customers must pay extra money for the same products and partners must work harder to get sales.
  • Not Food and Drug Administration approved: you take the nutritional products at your own risk.
  • Zinzino oil side effects: some people complained of stomach ache, nausea, and skin problems after taking the oil.
  • Expensive products: this is an inherent challenge with most MLM products as the company needs to take care of bonuses and the lavish commissions awarded to members.
  • Forced Autoship: it is free to join but to earn commissions and qualify for bonuses you need to join the auto-ship program costing you +$70 per month.
  • Steep competition: the health, skincare, and wellness niche is associated with breakneck competition, the high prices of MLM products make it extremely difficult to sell the products.
  • Customer to Competitors: you are encouraged to perpetually
    turn customers into your own competitors which is only good for the company.
  • Terms and Conditions: There are many customers who are pushed into the 6 monthly mandatory auto-ship programs without the parters explaining the T & S. Customers only realize that you must pay €50 or equivalent to cancel the subscription.

The Good.

– You can join for free and promote the products without signing up for the auto shipment program or buying any of the starter kits.

 

Kits.

Training Kit worth $60
Basic Body Kit worth $219
Advanced Body Kit worth $649
Ultimate Body $949
Zinzino4Free Kit on AutoOrder $44 to $109 a month.

You can read about similar health MLM companies by reading my article on What Is Young Living Essentials About?

Is Zinzino A Pyramid Scheme?

According to Swedish law, as long as 51 % of an MLM company’s products are being sold to ordinary consumers, it is not a pyramid scheme. Therefore, only 49% of the products can be sold to distributors or partners.

The main problem is when MLM companies do not put safeguards to maintain this sales ratio. This can be done by paying bonuses based on the number of sales to external customers than focusing on recruitment-based rewards. This will encourage distributors to focus their energy on selling products instead of the recruitment of new members.

In my 10 years of creating wealth online, l have witnessed flourishing MLMs that were audited by the Federal Trade Commission and were busted as pyramid schemes. Some companies such as ….. were not so lucky and they got closed. Others who are lucky such as Herbalife were slapped with penalties running into millions of dollars.

Wrapping it up, it is safe to say that Zinzino is not a Pyramid Scheme until it has been audited and the balance of sales between external customers and distributors is established. Of course, most lame reviews, label MLMs as pyramid schemes just because the compensation plan ”looks like” a pyramid.

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