April 7, 2021

Is XanGo a Scam? A Health MLM Pyramid Scheme?

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You are here most likely because you have been told about this opportunity of working from home.

But you’ve asked yourself… is XanGo a scam? Well, to put you out of misery…

Nope, XanGo is not a scam.

But is this a legit opportunity to make money from home and leave your career behind?

This XanGo review with images, videos, and pros and cons, will reveal all there is to know about this company called XanGo so that you can make the right decision.

XanGo Review

The overview and rankings

Name: XanGo

Founder: Joe Morton, Gordon Morton, Aaron Garrity

Type: Health and Wellness MLM

Products (Including Pricing): 20/100 ($37.5)

Success Stories: 3/100

Price To Join MLM: $30 subscription + $100 starter kit + $120/monthly

What to look for in a MLM:

  • Low start-up fee & maintenance cost
  • High-quality affordable products
  • You don’t have to carry inventory
  • An affiliate-like system 
  • Generous compensation plan
  • Company is in the early momentum phase

XanGo Pros

  • Positive product reviews

XanGo Cons

  • Expensive products
  • Hidden monthly expenses
  • Pyramid scheme in disguise?
  • Lawsuits
  • Only 1 in 183 members earn over $18k a year

Summary:

XanGo is an MLM company that sells nutritional juice and other health supplements made from mangosteen.

They also have their own affiliate program where members can sell products and earn from it.

Make Time Online Rating: 20 out of 100 

Recommended: No

What is XanGo?

XanGo is a health and wellness Multi-Level-Marketing company that sells health supplements such as juice products that are made from mangosteen.

The company was founded by Joe Morton, Gordon Morton, and Aaron Garrity in 2002 at Utah.

Their goal and mission was to provide a healthier lifestyle to everyone with the help of the many health benefits of mangosteen, which is the main ingredient of their products.

Here's a 10-minute video that tells you more about Xango...

Lawsuits and Rebranding

The company started out smoothly. But after a couple of years, they began to draw flack from the government due to their alleged deceptive marketing strategies.

I discovered that they were warned by the FDA back in 2006 when they were said to deceptively marketed their products saying that it had huge health benefits to users, even if it wasn’t proven.

Their sales fell, which eventually led to the management deciding to merge and be acquired by Zija International.

The merger happened in 2017. And since then, Zija became the company that sold their products.

Is XanGo a pyramid scheme?

Nope, XanGo is not a pyramid scheme because their members can earn money from selling their mangosteen juice products without the need of gaining recruits.

But a better and more fitting question to that is… Is XanGo a pyramid scheme in disguise?

What is a pyramid scheme?

A company that is promising payment to members who recruit other people into the company. This is the main aim instead of the actual selling of a product or service.

This has been banned in the country and around the globe as it is impossible for all of the members to earn money in a company which only pays for recruitment.

Check this diagram from Wikipediato learn why...

There are members who make some money, but they don’t do anything other than recruit as hard as they can by means of selling the idea of a “business opportunity.”

But if you were to closely look at the diagram above, you can see that not everyone can make good money in a system like this as you will just be running out of members that you can recruit.

Learn more on how you can spot these “pyramid schemes in disguise” in this 5-minute video below...

Let's move into knowing why...

Success is rare with XanGo

Success is indeed rare when you’re with XanGo, or more generally speaking, with any MLM.

Did you know that 94.61% of XanGo members lose money? And what’s more is that around 72.5% to 99.9% of all MLM representatives lose money as well!

This always happens because these MLMs have a “sales quota” where members must sell a minimum number of products monthly to remain eligible for receiving bonuses and commissions.

If they can’t reach the quota, then they have no choice but to just buy the products themselves just to stay active.

This is why tons of members lose lots of cash from their own pockets before they can get a single recruit into the company.

We’ll be digging deeper into the income disclosure of XanGo later in this review...

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I created a passive income online within a year. I had no marketing skills or online experience when I started. 

How does XanGo Work?

XanGo sells nutritional products such as juice and supplements made from mangosteen, which is known to be one of the most nutritious fruits.

The company is also offering normal people an opportunity to earn money from their home by simply selling the products and receiving commissions from them.

If you were to look at it, you must say that it’s a win-win situation…

But what’s really happening here is that XanGo saves marketing and advertising costs because they let their members do all the hard work in promoting and marketing the products they sell.

Before we see if that is really what is happening here, let’s know more about...

XanGo products

Before moving further, it’s necessary that you understand what the MLM is all about, especially the products they are selling before you join them.

Frankly speaking, if you don’t use the products or at least understand them, then there’s no denying you’ll have a hard time in selling… But if you can’t use them, then at least learn about them!

XanGo’s products are all made from mangosteen. They come in the form of juices and nutritional supplements.

Here are a few of their best-selling products:

  • Favao Pro ($35) - An all-natural formula that is served in small sachets. They boost energy and can help strengthen bones and muscles.
  • Eleviv ($55) - Energy capsules that give you an energy boost. It also helps improve focus and concentration.
  • Juni ($37) - Personal care treatment regimen that improves skin complexion and gets rid of wrinkles and dark spots.

Be aware, though, that there are multitudes of other brands out there that are offering the same stuff.

Some of the most popular and notable ones are:

All these MLMs claim that they are special and that they stand out from one another. When in fact, they just offer the same opportunity and products to their users!

So if that is what’s happening here, then what makes XanGo special?

XanGo flagship product

XanGo Juice ($37.5) - This is the main product of XanGo. It comes in the form of a ready-to-drink juice that improves respiratory, intestinal, and joint health. This also strengthens the immune system.

Check out this 3-minute video to learn more about the XanGo Juice...

So, let's get straight to the point and learn if...

Can you make money with XanGo?

Yes, but it’s hard.

There might be a few who do, but they just earn an income that’s similar to minimum wage, even lower. And they work like full-time sales managers for it!

What’s more is that their income disclosure shows that hardly anyone is earning good money from XanGo.

How to make money with XanGo

You have 2 things to do if you like to make money from XanGo:

  • Sell juice products
  • Recruit members

And take note that the bonuses and commissions you earn aren’t from merely recruiting members, but from the sales of your recruited members.

It’s a smart move for these companies as this is how they avoid being called a pyramid scheme.

Before diving into XanGo’s compensation plan, let's learn...

How much does it cost to join XanGo?

You need to pay $35 for subscribing as their member. This makes you an official XanGo affiliate member.

You then have to purchase their starter pack worth $100, which includes the products you are going to sell, of course, at a much higher price.

XanGo monthly cost

In order to stay as an active member, you need to maintain at least 120PV monthly.

This means selling at least $120 worth of XanGo products monthly.

Here are the expenses you are going to incur for the first year:

  • $35
  • $100
  • $120 to $240 x $12 = $1,575 to $2,880

Minimum costs for year 1 = $980 - $3,015

Also take note that the costs for training and your travel, gas, food, and other miscellaneous expenses aren’t yet included there...

XanGo compensation plan

MLM companies have confusing compensation plans. Well, XanGo, unsurprisingly, is one of them. But don’t worry as I’ll simplify it for you…

XanGo offers 4 main ways for you to earn money as one of their members:

  • Retail Commission - Earn 10% to 20% from every sale.
  • PowerStart Commision - Earn 15% to 30% bonus once newly recruited members make their first purchase.
  • Unilevel Commission - Earn 2% to 5% bonus every time you get promoted in rank.
  • Bonus Pools - High ranking sales agents earn 2% of the global sales volume quarterly.

I know you’re still confused. MLMs have fancy names for their business models so that people will think that they have a lot of opportunities to earn from their compensation plans.

When the fact is, there are just 2 things a member can do:

  • Sell
  • Recruit

Anyways, you might want to give this 5-minute video of their compensation plan a look to have a better understanding of it...

Or maybe just check the full XanGo compensation plan.

Is XanGo a scam?

Xango is not a scam. Xango sells legit products and they pay their members based on what is stated on the deal.

So, why are there many people calling the company a scam?

Well, that has to do with their experiences, because after a few months of becoming a member, they discover that they are losing instead of earning money because of the sales quota.

This is why they dismiss XanGo as a scam.

The rest of this review will dig deeper into that for you to make an informed decision about the matter...

Just to be fully transparent with you, I am not a distributor myself and I do not endorse it in any way.

I have researched the website, testimonials and information on the Internet to get to the bottom of what this program genuinely does. This is because I have been burnt from programs just like this in the past and I want to prevent others from making the same mistakes. If you’d like to learn how to “Spot an Online Marketing Scam” then click the highlighted text.

Tired of MLMs? Check out how I make money online here!

What I like about XanGo

Key Terms:

  • Pyramid Scheme – recruits members via a promise for payment from recruiting others into the company rather than providing a product
  • Affiliate Marketing- Connecting a customer to a product they are looking for and receiving a commission for doing so
  • Red Flag - A warning sign

#1 Positive product reviews

XanGo has good products, well, based on the reviews that I found on the internet…

Based on these, you can say that you’ll have an easier time selling the products because of the many testimonials out there saying that their products actually are effective.

What I don't like about XanGo

#1 Expensive products

XanGo sells expensive products.

To show proof of this, here are other nutritional supplements and juices being solid:

As you can see, they’re way cheaper than XanGo’s mangosteen juices.

This means that you are going to have a hard time selling them because people already know that there are cheaper alternatives in the market, and with the same or even better benefits and effects.

#2 Hidden monthly expenses

You must sell 120 PV every month just to stay as an active member.

PV means personal volume, or in simpler words, the amount of products you need to sell monthly. 

120 PV means you must sell at least and more than $120 worth of XanGo products monthly.

If you are unable to, then you have no other choice but to buy them yourself. But that’s if you still want to become an active member and be eligible in receiving commissions and bonuses...

Here is the fact that MLM companies don’t want their members to know…

And that is their biggest client base is their members who must keep on buying their products hoping that they’ll be their own boss soon.

#3 Is XanGo a pyramid scheme in disguise?

There is only one way to avoid spending $120 a month, and that is by recruiting other people.

Here is a diagram that explains just that:

By recruiting, you’ll have downlines, which will then save up your hassle of having to reach 120 PV monthly.

Sounds fishy, eh? Well, that’s because this is a clear sign of a pyramid scheme in disguise...

#4 Lawsuits

XanGo has been through a rough history as they’ve experienced numerous complaints and lawsuits before.

One of these was when the FDA warned them for their deceptive marketing methods in promoting their products to have numerous medical benefits even if it wasn’t confirmed.

XanGo was also sued by Angel Investors for mismanagement. They even had to sell their company to Zija International to avoid bankruptcy.

These aren’t a good thing to hear especially if what you’re after is a sustainable business opportunity...

#5 Only 1 in 183 members earn over $18k a year

Based on the income disclosure of XanGo, 88% of members earn lower than $432 annually.

Meanwhile, 98% of their members earn just $1,956 every year and have an average expense of $1,296 every single year.

In short, only 1 in 183 XanGo members earn over $18,000 annually...

Ready to make passive income online?

I've created a growing passive income online with no previous marketing skills or online experience... 

I've made a special video for you to explain exactly how I did this. 

My opinion - XanGo

XanGo sells a seemingly revolutionary and legitimate product that is infused with mangosteen, a fruit known to be rich in nutrients and minerals.

However, they sell overpriced products. And their business opportunity?....

The fact that the only way you can earn good money is if you focus on recruitment means that there is something wrong with the business model.

You even have to sell the idea of a business opportunity and becoming your own boss just to entice people into joining.

And then only waiting for them to discover that they’re just losing money...

How I make passive income online

MLMs are not scams or illegal. However, I'm not a fan of them because of the restrictions to the expensive products you have to promote.

Once I learnt about affiliate marketing, I realised it's a far superior business model because:

  • You can promote anything you want and truly own the business
  • You never need to sell to friends and family
  • It's completely free to start

In 2018 I had no idea what affiliate marketing was.

But I went from a full time PE teacher to making a passive income online within one year...

If you want to discover how I did it then check out this special video I created which explains exactly how. You can also get your free 7-day bootcamp to get started.


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