Lyconet Review: Quick Summary
Description: Once referred to as Lyoness before changing its name to Lyconet, this rebranding did not change the fact that it is a company you should not get involved with.
Price: $300 + starter package(S2,000)
Is Lyconet a Pyramid Scheme?
When you invest to become a member of an MLM company and don’t receive any tangible products to sell, it is considered a pyramid scheme. Lyconet doesn’t offer anything to their members for reselling, therefore it is considered a scam. This is definitely not a company I would recommend joining.
- I’ll get back to you on that
- The Only Way to Earn is to Recruit
- Complex Compensation Plan
- Mostly Everyone Will Lose Money
Lyconet is a multi-level marketing company established in 2003.
As this company specializes in providing cashback incentives for consumers, you may have stumbled on this page because a family member or friend recommended you to join and referred to it as being a GREAT BUSINESS OPPORTUNITY!!!
The truth of the matter is that you have been presented with this opportunity by someone you know because the only chance to earn an income within Lyconet comes from recruiting others to join.
That fact leads to why an MLM company can be labeled as pyramid schemes, but I will not label Lyconet as such for now.
So to know whether or not this business opportunity is right for you, this post will provide full details on what is Lyconet about and all it has to offer. I must share the fact that I am in no way associated with the company and I am in a position to share this review due to past experience with another MLM company called World Ventures.
In striving to make a passive income in the past with World Ventures and other past business failures, internet marketing has proven to be a success and is the best way to go about marketing products and services.
MLM companies will turn you into that annoying friend that harasses everyone you come across to join or buy your products.
It’s a known fact that there is a low success rate for members within Multi-Level Marketing Businesses and if you consider joining it would be in your best interest to learn everything you can regarding marketing online to reach a wider audience instead of being limited to the people in your circle.
If you want to learn how to make money online for the best chance of establishing a passive income and live a more free lifestyle, subscribe and get weekly content and a free 7-day course for making money online.
Now it’s time to get to the review of Lyconet and see if it’s the right opportunity for you.
What is Lyconet About?
Based in Vienna, Austria, Lyconet was founded by Iwan J. Ackermann, Max Meienberg, and Uwe Proch. Through extensive research, I could not find much information on any of them. Lyconet was originally named Lyoness before being rebranded in 2014. This change happened as Lyoness was deemed to be a pyramid scheme, and even with a few tweaks, there are no products sold that Lyconet actually owns.
In offering cashback to consumers, Lyconet partners with various merchants so that you can refer people to them. When someone makes a purchase, members receive a cashback reward while Lyconect gets a certain percentage from the merchant as well.
That is basically similar to affiliate marketing, except with affiliate marketing you can become a direct partner to various merchants and make commissions or be rewarded all in one.
This is the most confusing MLM company I have ever reviewed.
Lyconet promises in connection with the Cashback World product:
- For purchases you get money back if you use the “cashback card”.
- You can recruit new companies that accept the cashback card.
- You can recruit further sales partners for the cashback card.
It costs $300 for a replicated website to manage a network of customers, companies and sales partners. In addition, it costs $2,000 for a “starter package”
The thing is, how can you receive a starter package when they have no tangible products to offer.
MLM companies usually have a compensation plan that is complex and hard to understand. Lyconet is especially confusing as a third party referral program.
For an understanding of how to get paid, all you must do is recruit new people into their network. There is no clarity on how much you get from each recruit. As this is one of the most perplexing MLM companies to consider joining, you can check out the video below detailing how to earn as a member of Lyconet.
Pros of Joining Lyconet
There is literally nothing good I can say about joining Lyconet.
Cons of Joining Lyconet
- Low Success Rate
- Expensive Business Opportunity
- The Only Way to Earn is By Recruiting
When it comes to training on promoting and selling products, Lyconet has the same problem as most multi-level marketing businesses. The problem most members face when becoming a member of these businesses is that you are lead to believe the opportunity presented is GREAT and STAND OUT from the REST and HOW GREAT it would be to INTRODUCE this to your FRIENDS and FAMILY!!!
Lyconet’s training methods are a big part of why most people fail, but then again these kinds of businesses are not set up for a majority to succeed. If you are an owner of any business, especially nowadays with the Covid situation, you need to know how to MARKET ONLINE.
Even with some training, the price to join is very expensive and with no clear cut product to market, people should be suspicious of this company.
Is Lyconet a Pyramid Scheme?
I hate to call a company an outright pyramid scheme, but the history of Lyconet dating back to when it was referred to as Lyoness suggests that people should steer clear of this business opportunity.
Anytime you invest a lot of money in a network marketing company without getting a product in return, then you got scammed. You will have to recruit people into Lyconet to get back your investment, and those recruits will have to go through the same cycle.
Lyconet is not an MLM company I would recommend joining. Recruiting a family member or friend can ruin a relationship which is something that happens every so often when talking about these types of businesses. Chances of this happening are greater due to the high cost to start.
With that said, there are plenty of opportunities to make an income online which will require less work and can eventually replace your day job. For a chance to make a passive income to change your life for the better and take control of your own fate instead of having to rely on recruiting…
Now that you know what is Lyconet about I wish you the Best of Luck In Your Business Endeavors.
If you have any experience with Lyconet feel free to leave a comment in the section below.