The Company

XanGo is a privately-owned company started in 2002 by six entrepreneurs who learned of the healing properties of the mangosteen fruit – and became the first company to develop and market world-wide a drink made to share its benefits.  The company started in Utah with 14 employees and now operates in 20 international markets with over 750 employees and a million distributors in its global network.  XanGo is intent on being a leader in nutrition and wellness-based products.

The Products

The premier product of XanGo is its namesake XanGo juice, made primarily from the mangosteen fruit that grows in tropical Southeast Asia.  The small, purplish fruit has numerous beneficial properties because of the xanthones found in its pericarp, or rind.  Xanthones are natural chemical substances that demonstrate a number of pharmaceutical properties.  Some claim that xanthones may help maintain intestinal health, support the immune system, and neutralize free radicals in the body.  Xango juice contains all parts of the mangosteen fruit plus several other fruit juices (and a preservative) to enhance its taste.  XanGo now sells multi-vitamins and a line of natural, personal-care products along with the juice.

The Program and Compensation

The XanGo business opportunity is a standard multi-level marketing program that pays out 50% of all profits to the distributors.  These commissions are paid on the products you sell and on products sold by those you have recruited (down to nine levels) in addition to other bonuses for volume, etc.  For $35 you can become an independent distributor and buy the product at the wholesale price to sell at the retail price.  For this you get a Distributor Kit with sales tools and support materials, plus access to a basic back office for reports, etc.

Analysis

So have there been problems with XanGo juice?  The answer is yes and no.  In 2006 the US Food and Drug Administration warned the makers of XanGo juice to stop making health claims because of “serious concerns” about those statements.  XanGo responded that the brochures in question that made the misleading claims were produced and promoted by a third party, and not by the company itself.  XanGo now states on its website that the beneficial properties of the juice have not been evaluated by the FDA.  Whether Xango juice has healing properties or not — like the FDA — I have serious concerns about the business opportunity involved with the product.  While the health and wellness industry is still booming and XanGo has a very impressive website, the chance for a distributor to make a solid six-figure income from these products is not promising.

One reason for this is the cost involved with the juice itself.  To make any money you are going to have to sell a heavy volume of this expensive juice.  XanGo retails for $39.99 for a 25-ounce bottle, while other companies sell similar products with higher mangosteen content and no preservatives for less than half that price.  And while the initial investment is low, to get the Premium Back Office, which gives you a replicated website, you will pay a monthly fee.  And to get their recommended training system you will pay another $30 per month for CDs and videos.  And, of course, you will need to buy cases and cases of juice to sell.  But the biggest drawback to this opportunity is the ultra-traditional marketing system from such a seemingly cutting-edge company.  To promote your business you are asked to give away samples, have home meetings, go to conventions, sell to family and friends, and drink lots of juice so others will ask you about it.  So if these methods appeal to you and you are natural salesperson, then XanGo may be the right fit for you.  If you are more interested in a business that will not require selling to family and friends, will mentor you to create success, and will rely on the Internet to drive global demand, then continue your home business search.

**Keith Hartung strives to be a servant of God, a committed husband, and a loving dad.  He is also an internet marketer and home business coach, working with people around the world to create financial success in their lives by leveraging the power of the Internet. To see how Keith is making money online enter your information in the form on the right.

The Company and Products

Developed by Jay Kubassek, a rags-to-riches entrepreneur and online marketer, this company offers a replicated website that advertises a business opportunity, but then charges $49 (that is the “funded” part) for prospects to find out information about the business. Once a prospect pays the $49 they receive a DVD — an interview with Kubassek that gives an overview of the company — and 30 days access to their website. During this one-month period the company calls the prospect to sign them up for the Business in a Box ($400), which is a set of 3 DVDs and two marketing manuals that teach personal development and online marketing techniques. To keep the membership active you will need to pay a $150 subscription fee at the end of the 30 days (and every month thereafter) for access to the back office where their other training is located. Once you have your BiB, then the company wants you to purchase the products that Wealth Masters International sells: DVDs, courses, and seminars on personal development, tax strategies, asset protection, and other investing topics. These are M1 ($1,995 for another set of DVDs), M2 ($8,995 for a wealth conference), and M3 ($12,995 for a special wealth group); but are generally sold as packages. The Platinum Package includes M1 and M2 and is $8995, and the Platinum Plus includes M1, M2, and M3 and is $19,995.

The Program and Compensation

When you are set up and paid you have a replicated website and the ability to earn commissions off of the sales your website makes. All Carbon Copy Pro asks you to do is advertise your website and drive as much traffic there as possible to start the cycle over again. They have a call center that then takes your applicants and attempts to sell them these same products. The company advertises that you will never have to speak to a prospect to make a sale. The compensation plan is multi-tiered so that the commissions you earn depend upon the level that you joined. For example, you can’t make a commission on a M2 or M3 sale if you joined at only an M1.

Analysis

Carbon Copy Pro offers a respectable product and people are making money with it. The positives for the opportunity are that you get an automated business that you don’t have to create, and it takes the fear of selling out of the equation since you never have to have contact with any prospect. However, I see several flaws in the system. The first and most obvious is the cost. The average person looking for an online opportunity will not have the $3000 to $20,000-plus to get involved and market this opportunity. Secondly, while the products can definitely help the online marketer learn more of the trade, they are standard financial advice and personal development tools that are available other places on the web for much less — and would not stand alone outside of the business opportunity. Also, while taking the personal touch out can be helpful to some, I think that you will always need some follow-up to build your business. Lastly, by getting the “carbon copy” website, you have now thrown yourself into a sea of thousands of identical sites on the internet, all selling the same thing. There is no personal branding at all, except for branding Jay Kubassek. To market anything online I believe that you need to stand out, and personal branding is an essential part of this. If you are looking for an opportunity with a more desirable product, branding that will set you apart, and a lower entry cost I suggest that you continue your search.

**Keith Hartung strives to be a servant of God, a committed husband, and a loving dad.  He is also an internet marketer and home business coach, working with people around the world to create financial success in their lives by leveraging the power of the Internet. To see how Keith is making money online enter your information in the form on the right.

The Company and Products

Founded in Vermont in 1997, Green Mountain Energy is the leading retail provider of “cleaner” electricity products in the US. Now based in Texas, this company formed to change the way power was made after deregulation of the public utilities in many states. Since electricity generation is the number one form of industrial pollution in the US, Green Mountain Energy is positioned to take advantage of the Green movement going on today. Green Mountain Energy offers electricity 100% generated from new renewable wind resources and sells Residential and Commercial Electricity plus Carbon Offsets (that allow commercial sector clients to improve their environmental position).

The Program and Compensation

Green Mountain Energy Network is a traditional network or Multi-Level Marketing program that pays to seven levels. For a fee of between $329 (plus $25/month) to $999 you can become an independent representative and market the product and the program. The goal is to register yourself, then get ten electricity customers and three business partners (down-line), and then teach your down-line to replicate that to seven levels. The company provides an online back office to help you keep track of your business. Each representative receives a one-time commission on all recruited down-line reps and a very small percentage of all electricity customers’ monthly bills. The company claims that with just three reps and two customers each down to seven levels you can make $10,000 in one-time bonuses and $12,000 per month in residual income from the electricity customers. This amount grows as you add more reps/customers per level.

Analysis

The method for attracting representatives to your down-line is apparently passing a DVD presentation along to your warm market (friends, family, and acquaintances) or getting an independent website that can draw other prospects. The method for attracting electricity customers is talking to that same warm market and using other tactics like trying to recruit customers outside of shopping malls, etc. The reps seem to be on their own once they sign up, with no apparent training from the company — relying instead on the reps to train their own down-line. One downside to the opportunity is that Green Mountain Energy is one of the more expensive options for retail electricity, and you must keep all of your customers through your down-line in order to make the 5-figure residual income per month claimed. Another ironic point that the company reveals is that even if you pay for Green Mountain Energy, the majority of your personal electricity still comes from traditional fossil-fuel production. This is because of the nature of electricity delivery, as all of the capacity produced goes into one bucket (the grid) and is distributed evenly to all customers. While the product that Green Mountain Energy sells is a positive for the environment and would make any rep feel that they were making a difference, I believe that the average person will struggle with this system. The big money makers will be seasoned professionals that can sell to anyone. If you are passionate about the environment or enjoy talking to friends, family, and strangers about changing their electricity or joining you in a business opportunity, this might be right for you. If you believe that you would need more extensive training or a better support system, I suggest you look elsewhere.

**Keith Hartung strives to be a servant of God, a committed husband, and a loving dad.  He is also an internet marketer and home business coach, working with people around the world to create financial success in their lives by leveraging the power of the Internet. To see how Keith is making money online enter your information in the form on the right.