Almost everyone knows about Tupperware, it is after all a household name. Yet it's less common knowledge that they're one of the most successful MLM companies.
You might've recently discovered that Tupperware is an MLM brand. A friend might've messaged you about it. You might've also stumbled upon it yourself while looking into MLM companies.
Multi-level marketing (MLM) is a strategy where a company relies on members to market and sell products. Members earn through commissions from product sales.
This article will tell you all about Tupperware MLM. We at Legendary Marketer want to give the best information for anyone looking to be a successful marketer online. Read on to know about making money from selling Tupperware.
Tupperware Overview
Tupperware is an MLM company selling kitchen and home products. It's headquartered in Orlando, Florida with offices in New Mexico and South Carolina. Founded by Earl Tupper in 1948 after developing his airtight plastic container.
Tupperware has been operating for more than 70 years. This isn't surprising since Tupperware is one of the best MLM companies. Its longevity is something few MLM companies can boast since most don't last for more than 3 years.
Tupperware products were originally sold in stores and saw poor sales. In the early 50s Tupper and his Vice President for Marketing, Brownie Wise, started to adopt “the home party plan”.
At these house parties, a dealer demonstrated the products supported by the hostess. This started what we now know as Tupperware parties and put sellers front and center.
Tupperware Product Quality
Tupperware used to be all about storage containers. Now, their kitchen products range from containers to utensils. You can group them into these categories:
- Food storage
- On the Go
- Serveware
- Cookware and bakeware
- Kitchen tools
Tupperware products are durable which is also why the brand is still alive.
They're also on the more costly side compared to competitors. Prices for storage containers can range from $20 to upwards of $30. This is a bit expensive considering their use.
Competitors like Rubbermaid offer quite similar products for a lower price. With so much competition with cheaper products, Tupperware can be harder to sell. A potential selling point might be their commitment to the environment.
How Does Making Money from Tupperware MLM Work?
Members make money from Tupperware in only 2 ways. These are by selling products and recruiting new members.
Members can rank up and enjoy some “benefits”. To do this, they need to keep on recruiting. Commissions on sales can be up to 35% and active consultants can buy more products at a 35% discount.
In this setup, members earn more from recruiting than selling products. This helps consultant members make passive income.
Tupperware makes use of the direct selling method. Members organize parties or similar gatherings to showcase products. This saves Tupperware money since they won't need to pay for ads and marketing.
How Much Does Joining Tupperware Cost?
You can join Tupperware by buying their kits to get started. There are 3 options to choose from.
The first and cheapest is the Virtual Kit costing $15. It provides a Pro my.Tupperware subscription and a personal selling website.
The Basic Demo Kit includes products and a pack of 10 catalogs along with everything in the Virtual Kit. This option costs $60.
For a complete package, there's the Deluxe Demo Kit costing $109. It includes products like the Power Chef System and Microwave Breakfast Maker Set. It also includes everything in the Virtual Demo Kit.
Can You Make Serious Money From Tupperware MLM?
Considering the costs and the work needed, making money will be difficult at best. You also need a wide network you can tap into. Although Tupperware is a popular brand, its products can also be a tough sell due to being pricey.
Pros
Maintaining sales can be a bit easy. You need to maintain $600 in sales over a 6-month period. That's $100 monthly.
There's also an extensive catalog of products you can market. Tupperware plastics are also BPA-free since March 2010. They're recyclable and are a good selling point.
The demo parties can also be online. There's also the option of a catalog party that you can do in the workplace.
Cons
The Better Business Bureau reports that Tupperware gets plenty of complaints. These include warranty issues, shipping prices, to receiving wrong products.
Shipping charges can also be pretty expensive. Customers get charged 10% of the total sale with an extra 5% if the products ship straight to the customer.
Both consultants and customers pay the full price for taxes and shipping. The shipping expenses can eat a large sum from your commissions.
Is It a Pyramid Scheme?
If you're wondering “is Tupperware an MLM or a pyramid scheme”, the short answer is no. MLMs have real products to sell while pyramid schemes are only after your money.
MLMs are like regular companies except they use investors (members) as distributors and marketers. The strategy encourages existing members to recruit new distributors. They're then paid a percentage of their recruits' sales.
All the distributors also make money from direct sales of products to customers. There's plenty of work to do, from placing orders, shipping, to organizing demos. Sellers will also need to travel to different places to market the product.
Since members earn money from selling products and recruiting distributors, then it's not a pyramid scheme. Tupperware is also not a scam.
However, the downside to this strategy is that you're penniless before the first sale. This isn't a great starting point. Your success will depend on how much you sell and how many people you can recruit.
Learn to Market for Success
Selling and marketing for Tupperware MLM can be tough. Besides the work, there are also a lot of costs you'll be shouldering. Yet it isn't the only option.
In order for you to develop your skills, you should consider taking a free or paid marketing course. There are a variety of digital marketing courses you can take from businesses that can help you enhance your skills. As of writing this, over 80,000 new marketers have taken the Online Business Builder Challenge (only $7), and that might be a good starting place for you as well.
