MonaVie Active Review: “MLM”

MonaVie is the company that is acting as head cheerleader for the acai beverage craze.

MonaVie was launched in Salt Lake City, Utah, in 2005 by Monarch Health Services, who originally owned the MonaVie name. Dallin Larsen, MonaVie’s founder, is a longtime MLM business executive and previously worked for both Dynamic Essentials and Usana.

Larsen saw the world go mad for acai-berry-based products and decided to jump on the bandwagon.

He was no fool and knew that the American public really doesn’t care what the FDA has to say about something. And in fact, the FDA still has nothing much to say about acai berries.

But, that doesn’t stop people from buying. Acai is still big with the Oprah/Dr. Oz crowd. I think there could be a correlation there.

By late 2009, MonaVie was practically a household name and 18th on Inc. magazine’s list of fastest growing companies. And they were first on the food and beverage list. Not to be outdone by his predecessors, in June 2009 Larson won the Ernst & Young Entrepreneur of the Year award.

From a scientific standpoint, MonaVie’s products are not without controversy. Some independent studies show that MonaVie’s juice contains no more antioxidant properties than a glass of apple juice.

MonaVie also find itself in frequent litigation. They’ve gone toe to toe with Amway on several occasions regarding trademark infringement. The 2 companies found they could not play nicely in the sandbox after forming a brief partnership.

But, until the next best thing in dietary supplements comes along, acai beverages will sell.

But as I have said before, MonaVie is an MLM business and sells its products through distributors. And, as with most MLM companies, your profits aren’t totally sales driven.

A 2008 Hartford Currant article noted that MonaVie distributors aren’t exactly making a killing. With reported revenues of over $850 million, the newspaper estimated that only less than 1% of the distributors earned more than $3 million through MonaVie.

MonaVie’s claim is that as many as 14% of its distributors turn a profit. Because MonaVie is a privately held company, their financials are their business. This can make things a little dodgy as you look for real, concrete information regarding what the company has and what it can offer you.

We’re all smart people here. We understand that the $3-million MoneVie distributors didn’t get there by selling juice. The top guns in this business have multiple revenue streams and huge networks.

But MonaVie has some great marketing chops and sells a product people continue to buy. And really, what more can you ask for in an MLM business?

It does seem as if they’ll remain in a position of controversy due to stiff competition in the health beverage industry. When you’re up against companies like Amway, things tend to get a little sticky.

And don’t forget Oprah and Dr. Oz thinking acai berries were their invention.

It’s hard to tell what MonaVie’s future looks like. New super-fruit juices, like    pomegranate, are already edging acai beverages out. But in the meantime, MonaVie Active is making the most of it and shows no signs of stopping. Perhaps we’ll see new product offerings from them in the future that incorporate new super foods.