So someone has introduced you to this opportunity to make money from home. It was probably an old friend or even a family member.
It sounds like it has great CBD oil and seems like it could be a great way to replace a full time income.
But something is still making you question if the Kannaway MLM program is a pyramid scheme or scam.
I'll let you know right now that Kannaway isn't a scam.
But is it the best opportunity to work from home for you?
This unbiased Kannaway review, with videos, will explain the costs of joining the company and outline the pros and cons. This will help you make an informed decision if it is the right opportunity for you.
The overview and rankings
Founders: Christopher Hussey and Jeff Rogers
Website URL: kannaway.com
Type: Healthy & Wellness Hemp Oil MLM
Products (Including Pricing): 40 out of 100
Success Stories: 5 out of 100
Price To Join MLM: $54.98 per year
$24-$110 per month to hit sales quota (depending on your rank and you can sell this to offset the cost) (75 out of 100)
What To Look For In An MLM:
Summary: Kannaway is a Hemp based MLM company. They have created a really good CBD oil that seems to be helping a lot of people as there are many positive reviews about the products.
However, they have expensive prices (you can get the same thing for $50 cheaper elsewhere).
The focus on recruiting means that you can only make good money as an "ambassador" for Kannaway by recruiting more people into the company. Therefore, it has many signs of being a pyramid scheme in disguise.
Make Time Online Rating: 40 out of 100
What is Kannaway?
Kannaway is a Multi-Level-Marketing company that specialises in "hemp-infused" products, such as CBD oil.
It was founded in 2014 by the current CTO, Christopher Hussey, and Jeff Rogers, the current CEO.
Their vision was to provide the "controversial benefits" of the cannabis plant in a safe and legal way.
The focus is on manufacturing hemp oil, which is different to marijuana. Tetrahydrocannabinol (THC) is the compound that gives the high sensation in marijuana. Hemp oil only has 0.3% THC compared to marijuana's 20%+.
They also provide a way that everyday people can make money from the company by selling the products and recruiting more people into the company.
The 3-minute promotional video below explains more about Kannaway...
Since the legalisation of cannabis for medical and recreational use in Canada and a growing number of US states you may think this could be a great company to get involved with.
But before we dig into that you may still be wondering...
Is Kannaway a pyramid scheme?
Kannaway is not a pyramid scheme.
They sell legit products and pay their "ambassadors" commissions for selling the products.
However, the right question for MLM companies should be...
Is Kannaway a pyramid scheme in disguise?
What is a pyramid scheme?
A pyramid scheme doesn't sell any products or services and promises their members payment for recruiting more people into the company.
They are illegal in most countries because they are not sustainable and impossible for everyone to make money with this model. Just see the diagram below...
However, some MLM companies sell a product or service to "hide behind". They focus on getting their members to recruit rather than sell the products.
Just like the diagram above, this is not sustainable and means a lot of members lose money.
This Kannaway MLM review will reveal the truth about the company later.
For now, you can learn what to look out for with a pyramid scheme in disguise in the 5 minute video below...
Success is hard to find at Kannaway
It's not just Kannaway that doesn't have many success stories. It's most MLM companies.
Did you know that research has proven that between 73% and 99.9% of all MLM representatives lose money?
There are many reasons for this and not every MLM company is equal.
But one of the main reasons is that many MLM companies sell expensive products compared to the market. Then they force their representatives to keep purchasing these expensive products or hit a sales quota to "remain active".
Not everyone can hit that sales quota so oftentimes representatives have to purchase the products themselves.
Unfortunately... Kannaway is one of these companies as you will learn later in this Kannaway MLM review.
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What is Kannaway MLM?
Kannaway's multi-level-marketing business works like this...
They produce hemp based products. Their "ambassadors" help them to sell these products and recruit more people into the company.
So Kannaway saves costs on marketing...
And everyday people get the chance to make money from home.
It sounds like a win-win!
But if you're looking to get involved the first thing you need to do is understand more about the products, as this is really what you will need to focus on selling.
There is a large range of products at Kannaway under the following categories:
- CBD products- liquids, capsules, salve, vape- $40-$511
- Nutrition- protein, supplements - $59-$79
- Skin care- salve, cleanser, mask - $40-$54
- Essential oils- $43.19
- Lifestyle- bag, scarf, beenie, T-shirt - $10-$45
- Hempy's- Backpack, leggings, socks etc. - $14-$63
- Echo- charity donation- connecting sick children and families with CBD - $5-$100
- Business tools- Magazine, gift cards, different nationalities info pack - $6-$50
There is a lot going on but it's crucial to understand more about their flagship product... the "pure gold" help oil.
Kannaway CBD Oil
Healthline shows that there are a lot of benefits to using CBD oil including:
- Can relieve pain (although studies suggest that cannabis with THC works best for diseases like multiple sclerosis & arthritis)
- Reduce anxiety
- May alleviate cancer symptoms (more research is required to assess how effective and safe this is)
- Can reduce acne
- Neuroprotective properties (ease epilepsy and Parkinson's symptoms)
- Could benefit heart health (reduce blood pressure & prevent heart damage)
Whilst these benefits may sound pretty amazing it's important to be aware of some potential side effects too such as:
- Changes in appetite and weight
The research is not conclusive in any of these findings but it clearly shows there is a place and a need for the healing properties found in CBD oil.
Learn more about Kannaway's CBD oil in the 5-minute video below...
It's safe to say that the research and products offered by Kannaway appear to be amazing and it's very impressive what they are doing.
However, is the business opportunity right for you?
You can find all the products on offer in the Kannaway shop.
It is important to realise that the CBD MLM market is already very saturated. There are tons of companies that offer a very similar product line such as:
- HealX Nutrition
- My Daily Choice
- Touchstone Essentials
- Emris International
This will make it harder to sell these products as there are a lot of companies trying to sell the same thing.
So you may be asking yourself...
How to make money with Kannaway MLM
Right let's get down to business then.
There are 2 ways you can make money from Kannaway as an "ambassador":
- Sell their products and earn commission
- Recruit more people into the company and earn commission on their sales
It's important to note this now... you do not earn money for recruiting people... you earn commissions from the sales they make!
So before we dig into the Kannaway compensation plan...
How much does it cost to join Kannaway MLM?
It costs $54.98 every year.
This gives you access to:
- Replicated website
- Back office
- Training and support tools
- Admin support
But if you really want to do well at the company then it's wise to try the products yourself.
Also you can get a range of value packs that gives you a big discount so you can sell some of these products in person to get up and running.
It's not compulsory but you can guarantee the person who introduced you to this will "recommend" that you buy something (remember they only make commission on anything you purchase or sell).
These packs range from $210-$1,280.
Kannaway MLM monthly costs
But the costs do not end there.
The second requirement you need to meet to stay "active" as an ambassador is hitting the required monthly sales quota PV (personal volume)
When you start this will be 28 PV per month and this increases as you "rank up".
1 PV equals around $1 so you need to account for an extra $28 per month.
Yes you can sell this to offset the cost, but so many people have to stump this cost up themselves when they start as they struggle to sell anything!
So the total cost you need to get started for 1 year is:
- $24 x 12
Year 1 expenses: $600.98- $1,670.98
It's nothing compared to starting a bricks and mortar business but remember this doesn't mean the opportunity necessarily suits you.
Kannaway MLM compensation plan
OK, for some reason MLM companies like to make their compensation plan harder to understand than solving a rubriks cube blindfolded whilst holding your breath under the sea.
So I will do my best to keep this simple.
There are 11 ways to earn money...
- Customer sales programs
- Customer programs
- 3 for free
- Direct sales commissions
- DSC check match
- 10 levels of team commissions
- Rank infinity commissions
- Coded infinity commissions
- Lifestyle commissions
- Rank advancement commissions
Do you notice that all of these methods really only involves you doing two things?...
- Sell products
- Recruit people
In reality, that's all you need to know to get started. Once you start making money then it may be worth trying to understand this.
But here's the brutal truth...
To make any good money (over $1,000 a month) you will HAVE to recruit people into the Kannaway MLM business.
You can learn more about the compensation plan in the 9-minute video below...
Or you can find the full compensation plan here.
Is Kannaway MLM a scam?
Is the Kannaway MLM a scam?
No, it's not a scam.
They provide legit products and pay their ambassadors exactly like they say they will.
The thing you need to be aware of is that the person who introduced you to the program probably hasn't told you everything you need to know to get started... chances are that they don't understand everything they need to know!
Once you finish reading this Kannaway MLM review you will understand exactly what to expect and you can make an informed decision if it's right for you or not.
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.
What I like about Kannaway MLM
There are a couple of things that I like about the Kannaway MLM program.
- Pyramid Scheme – recruits members via a promise for payment from referring others to the service 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 reviews of Kannaway products
The products clearly have a good reputation and it seems like they have literally changed people's lives.
This really is amazing and the founders should be super proud of what they've produced.
However... this still doesn't make it a good business opportunity for YOU!
#2 Inexpensive to start
It's another great thing about most MLM programs.
They are pretty low cost to start...
$54.98 is all you NEED to spend to start making money from the company.
But in reality if this is your first business venture, you won't make a penny by only spending that amount and without more education or support.
This leads us onto...
What I don't like about Kannaway MLM
I actually think the idea behind Kannaway MLM is great.
But there are a lot of hidden truths about the business opportunity, which you may not be aware of.
Everyone should know this before they decide to join the program...
#1 Expensive products
This is the first thing I check out when I'm looking into MLM programs.
The reason for this is because it usually gives me a sign that the program is operating as a pyramid scheme in disguise.
This is especially the case when there is a "sales quota" to reach each month like Kannaway has.
Just think about it... why would a customer buy Kannaway products if they could get the same thing for half the price elsewhere? Not many people would (apart from die hard fans). That is the first sign that the "ambassadors" will be encouraged to recruit people to join the company, rather than sell the products.
- Kannaway hemp CBD oil = $46.75 per fl oz
- Highly rated hemp CBD oil on Amazon = $2-$20 per fl oz
Unfortunately Kannaway is like many other MLM's and offers products that you can pick up for a fraction of the price elsewhere. It's over 150% more expensive than similar products with high ratings on Amazon.
Now I know what you're thinking...
But it "probably is a bit different" especially with something like CBD oil for your health and potentially a cancer cure!
Well check this out...
Medical Marijuana purchased Kannaway in 2015.
They show the common brand names of "RSHO-Gold" sold by HempMeds and "Pure-Gold" sold by Kannaway are EXACTLY the same thing.
Yet Kannaway still costs 27% more ($50 more for the same thing)!
If this isn't a suspicious sign then I'm not sure what is!
#2 It has signs of being a pyramid scheme in disguise
OK so as I briefly explained in the previous concern, Kannaway has signs of acting like a pyramid in disguise due to the excessively high prices and "sales quota" requirements.
But when you dig in, it gets even worse.
Here are some more signs that Kannaway is recruitment focused and the only way ambassadors make good money is by recruiting (not selling the products):
- 8 out of 11 ways to get paid involves recruiting
- The "deeper your downline" the better your commission (encouraging you to focus on recruiting)
- You need to recruit quickly to receive any fastrack bonuses
The whole compensation plan is totally recruitment focused.
So much so that it doesn't ever make it clear what your commissions will be when you sell the products.
I worked out the commission are somewhere between 0-30% but it seems more like you make around $15 per sale no matter what they spend... like I say it's confusing but the best MLM companies are products focused.
#3 Lack of control
You won't really own a business at all by joining Kannaway. Here are some reasons why:
- You'll be reliant on the people you recruit (and who recruited you)
- You have no say over your website (it's just a replica and you won't be able to get free traffic to it from Google)
- You can't control the product prices or what happens to them
- Kannaway can suspend you at any time, without giving you a real reason (the most common is if you don't hit your sales quota)
This is a huge issue if you ever end up relying on this as your full time income.
#4 Poor support & complaints
I want to start by saying there really are a lot of positive reviews and comments about the products. I really think they have something good going here from what people say (but you can pick up the same thing for much cheaper!)
However, there are so many complaints that I came across online it's not even funny!
The most common types were to do with customer support like these...
But some of the more concerning ones were about it ruining relationships with family and friends... like this...
And I think Donna sums up the company brilliantly...
It's always a worry when any company gets a lot of complaints but some of these were so detailed it was clear that Kannaway has upset a lot of people over the years.
#5 Losing popularity
So CBD oil and the legalisation of Marijuana in certain places is still quite a big topic.
However, when you check Google to see how many people are searching for Kannaway, the results don't look so good.
It's already had its initial "boom" which many MLM companies tend to do in the early days in 2014. But since 2018 the searches have been slowly declining every month.
When you compare this to companies that are still in the early momentum phase such as Farmasi, you can see that Kannaway is like betting on a dead horse.
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My opinion - Kannaway MLM
I think Kannaway has developed a really good CBD oil that seems to be doing a lot of good for people that need it.
But as a MLM business opportunity that could potentially replace your full time income?
Here's what I think...
To have any success you will need to recruit a lot of people into the MLM company. So if you know some people that are looking for a stay at home business and believe in CBD oil, maybe it could work.
But most people do not know that many people that would be interested. Which means you will need to network 24/7 and you will need to really believe in the products.
And if you want to build a business ethically it will be hard to do knowing that the products you are trying to sell can be picked up for a fraction of the price elsewhere!
How I make passive income online
First of all I want to point out that not all MLM's are bad.
Some people can make serious money from them and the focus on personal development is only a good thing.
However, once I started to understand affiliate marketing I realised MLM's couldn't compete for a few reasons:
- You completely control an affiliate marketing business
- You can start for free and it costs less than most MLM companies to maintain it
- Friends and family will thank you as you never need to try and sell anything to them!
I had no idea about affiliate marketing in 2018.
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.