pm-international-pyramid-scheme-review

If you are reading this article, you might be wondering about the PM International pyramid scheme allegations.

You were probably approached by a friend or family member about an exciting home business opportunity that you can do part time, in your spare time.

And you’re probably interested, but decided to do some research first before just blindly jumping into something new.

Good for you!

Starting a business is a big decision, and it’s always good to have all the facts before getting started.

So in this PM International review, we are going to be explaining:

  • How the business works
  • What you would be selling
  • How the compensation plan works
  • How to be successful

I’ll give you some resources so that you can learn how to put together an effective PM International marketing plan so that you can get a quick start…

IF you decide that this is a business you want to pursue.

The reality is, not everything about this business is good.

There are good and bad aspects of the PM International business, and we will be covering everything you need to know.

Most of the PM International reviews you will find online are very biased and don’t really tell the whole story.

Some might share only the good stuff…

While others share only the bad stuff.

My goal for this article is that I want you to have a balanced perspective after you’re done reading so that you can make an informed decision…

And move ahead with confidence and conviction.

Long story short:

Is PM International legit?

Yes. 

It’s not some type of scam or pyramid scheme.

So before we get into the meat and potatoes of this review, let’s go over a brief history of how this company got started.

PM International | History

PM International was founded in 1993 by Rolf Sorg in Germany. 

They manufacture and sell dietary supplements and cosmetic products via a business model known as network marketing (more on that later).

Shortly after the company was founded, they opened an additional office in Poland. 

In 1994, their international holding company was set up in Luxembourg. And since 2015, PM International headquarters has been located in Luxembourg.

PM International Earnings

PM International has seen pretty consistent growth since they were founded in 1993. 

Today they operate in more than 40 countries across the globe. In 2021, the company generated over $3 billion in revenue.

PM International Products

picture of pm international products

PM International products are marketed under the FitLine brand name. The company supplies its FitLine products to various sports teams and associations all over the world. 

Here is a list of the official partners that FitLine supplies and works with:

  • Alpine Canada
  • Korea Table Tennis Association
  • German Athletics Association
  • Olympic Base Hamburg 
  • German Ski Federation
  • Austrian Ski Federation
  • Italian Winter Sport Federation
  • Swiss Handball Association
  • WorldVision
  • Allianz

PM International is also a member of the DSA (Direct Selling Association).

We are not going to do a deep dive on the FitLine products in this article. There are many other PM International products reviews online that cover this in great detail.

But let’s just briefly cover the products that this company sells. 

FitLine products come in three main categories:

FitLine Skin

The skin products sold by PM International include cleansers, moisturisers, anti-ageing creams and peeling masks.

The latest FitLine skin product released is called Activize. The company claims that the serum will vitalise your skin via its Guarana, Vitamin C and Vitamin B complex.

Here’s a short marketing video released by PM International.

Please note: I have no affiliation with this company… the video is here for informational purposes only.

FitLine Triple Lift

This is an elixir that PM International claims will remove small wrinkles and tighten skin.

According to their website, this product will perform the following:

  • Supports skin firmness and elasticity
  • Refines pores
  • Supports an even skin tone
  • Supports an even skin structure
  • Improves the skin’s moisture content for a radiant complexion

Here is a quote from their website in regards to the Triple Lift product:

Experience the unique feeling of perfected and defined facial contours – instantly.

I have never personally used this product so I can not speak from personal experience…

But any company that claims instant results when they are making a claim about one of their products is reason for pause.

For me, that’s a red flag.

But if you personally know somebody that has used this product and they can vouch for it, who am I to disagree?

Just take their extravagant claims with a grain of salt until you know for sure.

FitLine Nutrition

The FitLine Nutrition line consists of shakes, drinks, lotions, and vitamin tablets.

The products appear to be manufactured in Germany, under heavily regulated settings.

This company is not nearly as well known as competitive brands like Herbalife or Shaklee, so online reviews are sparse.

But there are a few reviews on Amazon, and they are mostly positive.

How To Use FitLine Products

I have received quite a few questions about how to use FitLine products. 

Since I’ve never personally used them myself, I can’t answer that question with a lot of authority. 

However, here are a few videos that PM International published on their YouTube channel that might be helpful.

The video below shows how to use a product called FitLine Basics:

And this one shows how to use FitLine Cell Set:

Pretty lively information videos, I know!

FitLine supplements claim to use a proprietary technology called The Nutrient Transport Concept (NTC®).

According to PM International, this technology ensures that nutrients are delivered exactly when and where they are needed in your body.

I was not able to find a lot of real information as I was doing the research for this article…

But I will update this page from time to time and share any new information or sources that I find in the future.

What Is PM International?

diagram of pm international business model

The first thing to understand about the PM International business model is that it is not a job.

If you decide to move forward with this opportunity, you will not be an employee.

You will be an independent sales contractor.

This means that if you do not perform, you will not make any money.

It’s important to understand this before getting started because the reality is, this type of business is not easy.

It takes a lot of hard work, time, and dedication.

In the beginning, you will likely be way underpaid and overworked. But if you put in the time and effort, you could eventually become OVERpaid and UNDERworked.

That’s the dream anyway.

Don’t expect to make any money right out of the gate unless you manage to make sales right away.

How Does The PMI Business Work?

PM International uses a business model known as network marketing, commonly referred to as direct selling or multi level marketing (MLM).

This means that instead of paying millions of dollars in advertising costs and retail fees, they choose instead to pass profits down to their own customers and independent sales reps.

So if you are looking to purchase products from this company, you will need to buy them through a PMI rep… they are not available in any retail stores.

So if you decide to join the PM International network marketing business…

You will earn commissions by selling products.

You will probably be taught to reach out to friends and family and attempt to sell your products to them.

The commissions are not very high.

In fact, it would be very difficult to build a life changing income stream just by selling products.

But there is another way to earn income with this business.

diagram of network marketing structure

 

You can actually build a team of sales reps who will make sales and earn commissions for you. 

This practice is known as recruiting.

This is the real power of the PM International direct selling business model.

Not only can you earn commissions from products that your team members sell, but your team members can actually build their own teams…

Of which you will earn commissions too.

Down to seven generations deep.

For a full understanding of network marketing, check out my deep-dive analysis of the business model.

Before we move forward with this PM International review, let’s go a bit deeper on how this works and how the commission payouts are structured.

PM International Compensation Plan Explained

money meme

In order to qualify for earning commissions on your sales, you will need to sign up as a distributor.

This will cost you €9.90. 

You will then have the option to buy a Quick Start Kit. 

There are 2 different kits to choose from. You will have different benefits depending on which kit you choose to buy.

There are 2 options:

  • Distributor kit: €90
  • Manger kit: €400

The Distributor kit qualifies you to receive 30% commissions on sales you make.

The Manager kit qualifies you to receive 40% commissions on sales you make.

As we discussed already, there are 2 ways for you to earn income with PM International:

  • Sell products and earn commissions
  • Build a sales team to earn commissions for you

You will want to spend time on both of these earning paths in order to take full advantage of the PM International compensation plan.

Now let’s say you are a manager and you recruit a distributor.

You will earn a 10% commission from each distributor that you sign up.

If you are a manager and you recruit more managers into your team, you will earn between 3% and 21% commissions depending on the circumstance and products purchased.

But let’s say one of your managers starts recruiting managers of their own…

Well you can earn commissions from them as well, down to the 7th generation.

I hope that makes sense!

Have a look at the image below for clarification.

pm international compensation plan diagram

 

This is a very simplified explanation of how the PM International distributors are paid.

To be honest, this is one of the most complex and confusing MLM pay plans I have found.

There are a lot of nuances and complexities that would require its own article. If you really want to know all the details, you can learn them here.

But really all you need to know is that you make money by doing 2 things:

  • Making sales
  • Adding people to your team

If you decide to move forward and join the PM International MLM, then it might be worth putting in the time to fully understand the compensation plan.

Until then, all you need to know is that it’s really complicated…

But it really is lucrative and many people are earning a lot of money.

You just need to focus on selling products and recruiting distributors.

Before we talk about how to succeed with this business, let’s address some of these pyramid scheme allegations.

PM International Lawsuit

picture of gavel on money

In 2017, PM International sued a Norwegian TV show called TV2’s Health Control program.

The program claimed that PM International was selling products containing sugar powder under a pyramid scheme business model.

While I could not find any hard data in terms of the sugar content in PMI’s products…

I was able to find enough information to conclude that this business does not fall under the category of “pyramid” scheme.

After the program aired on Norwegian television, PM International filed a “defamation” complaint…

But it was ultimately ruled that the program was not defamatory enough to be taken off air.

PM International filed an appeal in Norwegian courts. It was denied and they were ordered to pay the lawyer costs for the TV2 television network.

A few months later, they filed another appeal, which was also denied. Again, they were ordered to pay all the costs for TV2.

A third appeal has been filed but the outcome is yet to be determined due to delays caused by the COVID-19 pandemic.

Stay tuned… this article will be updated when more information becomes available.

PM International Reputation

After TV2 aired the show where they claimed “pyramid scheme” activity by PM International, they saw an almost immediate decline in sales.

Ultimately, this is really not surprising.

The network marketing industry has been a target for these allegations for several decades now.

Other MLM giants such as PrimericaAmway, and Nu Skin have faced these types of claims and even faced class action lawsuits and investigations by the United States government.

So if network marketing is a legitimate profession, why is it that they are constantly under high profile scrutiny?

PM International Pyramid Scheme Allegations Addressed

office space pyramid scheme meme

So let’s talk about these PM International pyramid scheme allegations…

Is PM International a scam?

No.

So why is it that so many people believe that the network marketing business model is a pyramid scheme?

Listen, there are hundreds of network marketing companies that are publicly traded on the NYSE (New York Stock Exchange).

If these companies were all pyramid schemes, do you really think they would have passed the regulatory scrutiny to make it onto the most commonly traded stock exchange in the history of humanity?

I really don’t think so.

Here’s the problem…

There have been many illegal Ponzi and pyramid schemes in the past that have masqueraded as legitimate network marketing companies.

They operated under the disguise of network marketing when they were actually operating an illegal and unsustainable business model.

Tragically, many innocent and unsuspecting people collectively lost millions of dollars.

And these pyramid schemes received a lot of very bad, noisy publicity.

Leading the public to believe that network marketing in general is a scam.

So what’s the difference between a pyramid scheme and legitimate MLM?

In a pyramid scheme, there are no valuable products and services sold into the real economy.

You simply pay for a spot in a pyramid shaped organisation and are incentivised to bring more people into the pyramid so that you can make money.

The people at the top of the pyramid get rich, while the people at the bottom lose all their money when it inevitably collapses.

In a pyramid, there is no real value being exchanged between people.

And that’s really the problem.

In a legitimate business, people are simply trading value for value.

In reality, network marketing is not actually that different from the traditional business model.

People are exchanging value (goods and services) for value (money).

The only difference is the marketing and distribution methods used.

Another Reason For PM International Scam Accusations

picture of unprofessional network marketer

Another reason that many people are so sceptical of network marketing is because of the way the business model is commonly represented by distributors.

You see, many distributors who start a business like this are not professionals.

They are simply people who are stuck in a job they hate and are desperate to quit.

So when they find network marketing, they start to become extremely pushy when they are trying to sell their products to friends and family.

They overstate the use cases of the products they sell, and they misrepresent the business opportunity as a way to get extremely rich very quickly.

Frankly, many new and inexperienced network marketers are outright obnoxious and annoying.

I know I was when I first got started!

And the people who are on the receiving end of these obnoxious messages become very suspicious.

They think to themselves:

If it sounds too good to be true, it probably is. Poor Mike got roped into a cult.

You really can’t blame people for thinking this.

You’ve probably been pitched a network marketing opportunity multiple times in your life, right?

So you probably know what I’m talking about.

And you can understand how the general public starts feeling like network marketing is some type of cult.

In my opinion, this is how many of the PM International scam rumours are born.

Ultimately, there are many folks who buy and use PM International products regardless of the business model attached.

They don’t care about making a side income…

They just love using the products.

This would never happen with a pyramid scheme.

PM International Business Plan

pic of business leaders demonstrating teamwork

So let’s talk about how to succeed with this business if you have no previous business experience.

The first thing you should understand about network marketing is that the folks that are above you in the organisation have a vested interest interest in you succeeding.

Think about it…

If you make money, they make more money too!

So you can trust that they will not steer you wrong.

At least not internationally.

The incentives are properly aligned in this business model.

The most important thing for you to understand about network marketing is this:

Duplication.

Duplication is key to building a sales organisation that will eventually become so big, that it will continue to grow without your own efforts.

You must focus on building in such a way that your new sales reps can easily duplicate what you did to recruit them.

Here are 3 things to focus on when you first get started.

I. Commit

Don’t fall for the hype.

If someone tries to tell you that network marketing will allow you to get rich very easily and quickly, they are either lying or misinformed.

You must go into this new venture with the right expectations.

In the beginning, you will make very little money.

But this is a long term plan…

I recommend you commit at least a year and expect that first year to be very difficult.

This way, you won’t get discouraged when the tough times inevitably come your way.

II. Build The Foundation

It will be very important for you to follow the instructions that you are given by your team.

The strategies you will be taught might seem too simplistic or straightforward, but they are intentionally designed.

They are designed in a way that will allow you to make sales and recruit reps in as simple a way as possible.

And you must follow these steps so that the people you recruit will do the same.

Think about it…

If you go out and learn how to do high pressure closing techniques, you might recruit a ton of people initially.

But they will be unable to duplicate your results and build a team of their own.

Which completely takes away the leverage that network marketing creates.

The people that you bring into your team will be looking to you for guidance.

And if they see you succeeding by following the guidance you are given, then your team will be way more likely to do the same.

Don’t overcomplicate this.

The business is certainly not easy…

But it is simple.

III. Learn, Do, Teach

One of many misconceptions in network marketing is that this is a sales business.

It’s not.

It’s more of a teaching and training business.

As Randy Gage says in his latest book:

You don’t grow your team. You grow your people, and THEY will grow your team.

So in order for you to teach your folks how to succeed, you must first learn how to succeed yourself.

It’s not enough to just have the knowledge in your head though…

You must ACT on that knowledge so that your team will do the same.

So if you want to have long lasting, stable success in network marketing, you will need to commit to a life of learning, taking action, and teaching others how to do the same.

Learn, do, teach. 

Do these 3 things simultaneously, and you will have success in this business.

If you are looking for a deep dive guide on how to succeed with MLM, be sure to check out this comprehensive article.

PM International Online Marketing Plan

digital marketing graphic

One of the best things about network marketing is that it can be largely done from home, using technology.

Let’s face it…

We live in a digital world.

And you can take advantage of this so that you can spend more time at home with your family or frankly, wherever you want.

As long as you have internet access, you can continue to build your business.

Now you might be thinking that you could never do internet marketing because you don’t know how to code a website.

Fear not!

There are so many tools available to us now that anyone can build a business online with very little technical know-how.

If you know how to use Facebook or Twitter, you have the technical ability required.

But there are certain strategic actions that you must take if you want to succeed with building an MLM business online.

Let’s cover the 3 main things you should know:

I. Build An Audience

We all know how much information is available to us on the internet.

We consume it all day long.

In fact, you can get a university level education (minus the official accreditation) just from YouTube!

So instead of just being a consumer of content, you must become a creator of content.

Remember what we said about “learn, do teach”?

Well, whenever you learn something new that you find helpful, you can create content online that will teach it to others.

You can do this with a YouTube channel, Facebook or Twitter profile, or a blog like this one.

Think about it this way…

When somebody is asking themselves a question about how to do something in their business, YOU want to be the person that comes to their mind as someone who could help.

If you publish enough content online that truly aims to help folks, you will start to build a loyal following that watches or reads every bit of content you produce.

II. Build a List

As you start to build a following online, you will need to capture their contact information.

Building an email list is the most effective way of doing this.

Here are the 2 things you need to do in order to incentivise people to join your list:

  • Provide a free gift – This free gift should provide a LOT of value. It can be in the form of a video course or PDF book.
  • Collect email address – In order for people to receive this gift, they will need to enter their email address into a form. Then they will be added to your list.

III. Make Sales and Recruit Reps

Once you have folks on your email list, you should continue to build trust and provide value.

Send out emails on a regular basis.

The emails should be entertaining or educational… preferably both.

If you do this correctly, the folks on your list will eventually look forward to receiving your emails rather than just deleting it without a second thought.

But you have to make money too, right?

Every now and then you can sprinkle a call to action in your emails.

Whether it is to buy a product or get onto the phone to talk about your business opportunity…

If you have done a good job of building trust and credibility, your folks will be very interested in what you have to say.

Listen…

This is a very simplified explanation of internet marketing.

There is more to it than just these 3 steps…

But it is doable if you are willing to learn and have access to the right information.

Check out this deep dive internet marketing guide I put together for you.

PM International Pros and Cons

picture of pros and cons arrows

As we talked about earlier, not everything about PM International is good.

While I personally like the network marketing business model, there are certainly downsides that you should be aware of.

So first, let’s talk about the good stuff.

PMI PROS

There are four main advantages I would like to highlight about the PM International business.

No Income Cap

Unlike a job, the network marketing business model allows you to effectively build an income stream with unlimited earning potential.

It’s because of the leverage the business model provides.

Think about it…

You have only a finite amount of time available to you.

But if you can leverage a team that can grow with no limits, where countless other people are earning commissions for you, the sky’s the limit.

Passive Income

When you’ve grown your team to a critical mass…

Where your team is growing larger and larger without you putting in any more effort…

That is true time freedom.

While it won’t be easy to get to this point, it will be so worth it when you do.

Your income could potentially keep growing year after year without you putting in any more effort of your own.

Low Barrier To Entry

Unlike any other type of business, starting a network marketing business does not require a massive financial investment.

If you were to start a franchise business like McDonalds, you would need to invest hundreds of thousands of dollars in order to get started.

Network marketing allows you to get started for as little as a few hundred dollars.

Can Be Done Part Time

Back to the McDonalds example…

If you were to start your own McDonalds, you would need to go all in.

You can’t keep your current job while running a restaurant.

If the McDonalds restaurant fails, you lose everything.

With network marketing, you can keep the temporary security of your day job while building your network marketing business on the side.

It takes a lot of the pressure off.

PMI CONS

I don’t want to paint too much of a rosy picture…

You shouldn’t get the idea that everything about the PM International business is perfect.

It’s not.

Stigma

The network marketing profession really does have a pretty bad reputation.

When you talk about your business with your friends and family, you probably encounter a lot of resistance.

You will need to grow a thick skin.

People will try to convince you that you’ve fallen for a scam.

Or they might even accuse YOU of being a scammer.

You must prepare for this and don’t let it discourage you.

Strained Relationships

I’ve seen this time and time again.

As a brand new network marketer, you might start to see your friends and family as a target.

You will be a tiger, hunting for people to recruit into your business.

And when you speak to your loved ones about your business opportunity, you might become frustrated and even angry when they fail to understand the business the way you do.

Don’t let this happen to you.

Recruiting for network marketing is simply a numbers game.

Only a small percentage of people will see the opportunity for what it is…

But most won’t.

Don’t let all the “nos” negatively affect your relationships.

After all, your relationships are the most important thing in your life.

Cult-like

One of the things I dislike the most about network marketing is that many people get TOO excited.

They start to think that their network marketing business can solve every single problem on the planet.

And they start obsessively talking about it every chance they get.

It can be very annoying to the people in your life.

Some people just don’t care, and that’s OK!

I know how exciting it can be when you first get started in this business…

But try to have a balanced perspective so that you can preserve your personal relationships.

Pure Results Based Compensation

This can be a good thing, or a bad thing.

It all depends on your time horizon.

But unlike a job, you will not immediately be making money with network marketing.

This can be very discouraging to a brand new network marketer.

This is why it’s so important to come into the business with realistic expectations and an understanding of what the business is and how it works.

PM International Review | Conclusion

summary meme

 

So what’s the conclusion?

In summary, I am a fan of the network marketing business model, even though it does have some flaws.

While I do not personally have any experience with PM International, I would feel comfortable recommending the products or business opportunity.

But whether you should move forward with this business is ultimately up to you.

Ask yourself…

Do you have a passion for health and wellness?

If you don’t, this might not be the right business for you.

One of the first network marketing companies I ever joined was a health and wellness MLM.

It was a good company, with quality products and stand-up people.

While I still use the products to this very day over a decade later, I was not able to make the business work for myself.

And it’s because I didn’t have a passion for health and wellness.

I was not able to put forward a compelling sales pitch because I just didn’t have the passion required.

But if you do, this could be a good option for you.

I hope that after reading this, you will be able to move forward with confidence, whether or not you decide to move forward with PM International.

Reach out to the person who introduced you to the business to get more information.

And if you have any questions that I failed to answer, feel free to leave them in the comments below and I’ll get back to you as soon as I can.

author: johnny

Written By:

Johnny Friesen

 

Just a blue collar guy passionate about finance, network marketing, and writing. When I'm not working on a car, you'll find me working on various side hustles and sharing my musings with the world.

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