Herbalife Review

Herbalife International

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Herbalife

is a multi-level marketing company that sells nutrition, weight management and skin-care products. The company was founded in 1980, and it employs around 6,200 people worldwide. Herbalife reported net sales of US$3.45 billion in 2011 with a retail sales turnover of US$5.1 billion with an increase of US$1.1 billion retail sales on 2010. Though it is incorporated in the Cayman Islands, its corporate headquarters are in Los Angeles, California, United States.

This is my honest review about Herbalife affiliate program. It offers a home based business opportunity for distributing health related products. The company distributes its products in 88 countries (as of December 2012) through a network of approximately 3.2 million independent distributors, some of whom earn profit on product sales and additional commission from a multi-level marketing (MLM) compensation structure.

History of Herbalife

In February 1980, Mark Hughes began selling the original Herbalife weight management product from the trunk of his car. Hughes often stated that the genesis of his product and program stemmed from the weight loss concerns of his mother Joanne, whose premature death he attributed to an eating disorder and an unhealthy approach to weight loss. His goal was to change the nutritional habits of the world.

His first product was a protein shake designed to help people manage their weight. He structured his company using a direct-selling, multi-level marketing model which attracted thousands of distributors (Herbalife Independent Distributors) who sold its products door-to-door or through word-of-mouth, without relying on commercial distribution in retail stores.

The company’s slogan, “Lose Weight Now, Ask Me How,” became a marketing theme for distributors, featuring heavily on badges, flyers and posters. Early methods to recruit distributors included seminars, which would feature distributors giving health and weight loss testimonials on the Herbalife products and a keynote address by Hughes. By 1982 Herbalife had reached US$2 million in sales and had expanded into Canada.

Mark Hughes died at age 44. The company continued to grow after his death and in 2002 was acquired by J.H. Whitney & Company and Golden Gate Capital for US$685 million, who took the company private again.

Herbalife Products

Herbalife’s product range includes protein shakes, protein snacks, nutrition, energy and fitness supplements and personal care products. The Formula 1 protein shake, a soy-based meal-replacement shake, is the company’s number one product and was one of the first products sold by the company. The range also includes products for heart health, digestive health, skin care, and the new 24 sports line released in 2011. Some products are vegetarian, kosher, allergen free and Herbalife provides testimonials and advice from health professionals as part of their product marketing.

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