Misleading free Vemma “BMW or Benz”

Don’t get me wrong, this is a great bonus and I was very close to to finally buying it (I had been saving up for my down payment)! As usual with Vemma, however, it’s misrepresented.

Stop me if you’ve heard this pitch before, either as a potential brand partner or a current brand partner:

“. . . and when you hit Diamond, you get up to a 50k BMW or Mercedes paid for by the company. How many kids your age do you see driving a car like this that they paid for themselves?”.

In the VAST majority of presentations, the only mention of the car is the rank you must hit to qualify for it. On occasion, they will tell you that you must have a paid as gold on either side of your business as well in order to receive that qualification.

NOW, I’m sure that many of you immediately began dreaming of the car you would get or even started building your car online to tease yourself . . . but there’s some things you should know.

1) You’re still technically paying for it

Me, along with many first time recruits, probably imagine the company simply taking car of the car payments and stuff while you drive around promoting your business. No financial commitments or transactions on your part


In reality, what they do is cut you a bonus check worth around $450 from which you will pay for your car. Admittedly this isn’t that big of a deal since you’re still technically getting the money from the company for your ride. But doesn’t $450 a month for up to a 50k luxury German engineered car seem a little low? Well you should know . . .

2) $450 is enough to cover LEASING a 50k BMW or Mercedes, not buy it

If you actually want to OWN a 50k BMW or Mercedes with the Vemma logo slapped on the side, it’ll cost you between $750 and $900 a month. So Vemma’s car bonus only pays for between 50 – 60% of it.

Remember that according to Vemma’s income disclosure in 2011 seen here, a diamond ranked brand partner made about $1000 a month on average including any bonus checks they received!

To be diamond, you must complete 20 business cycles a month with each business cycle being worth $20 – 25 (for a further explanation, please refer to my analysis of the compensation plan here). The next rank up is platinum, which is 50 cycles  a month.

Let’s split the difference and say the average diamond brand partner completes 35 cycles a month and that they received $25 per cycle (to be as generous as possible).

$25 * 35 = $875 purely from the cycles.

Now let’s assume that they also qualify for the car bonus (having two paid as golds on each side) and they pick a reasonable car within around 42 – 43k and pay for it over 5 years.

Bonus check = $450, Car Payment = $750 . . . . $750 – $450 = $300 a month out of pocket.

$300/$875 = 34%

The average diamond brand partner must spend over 1/3 of their residual earnings if they wish to OWN the Vemma car rather than lease! This is a little bit of a problem because . . .

3) Vemma only cuts a bonus check for the car payment

Insurance? Repairs? Detailing?

ALL of that is out of pocket, which for an average diamond brand partner is sometimes difficult.

CONCLUSION: While the car bonus is alluring and certainly something to strive for, the Vemma reps themselves usually fail to disclose vital information. They fail to disclose that Vemma’s “payment” of the car is technically the brand partner’s bonus check, that the check is only enough to cover a lease and not a car, and that none of the other expenses associated with automobile ownership are covered. When looking at the average income of a diamond brand partner, it can be concluded that buying a car is irresponsible and misrepresented.

It is unethical to brag about how you “only have to be diamond” to qualify for the car when it is NOT fiscally responsible or feasible for most at that rank. Along with disclosing all the information listed above, Vemma reps should revert to making Platinum rank needed for car qualification.


UPDATE: There is actually a little update to that story which you can read by following this link: http://yprpariah.wordpress.com/2013/10/11/misleading-vemma-bmw-or-benz-update/

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7 thoughts on “Misleading free Vemma “BMW or Benz”

  1. Pingback: WakeUpNow Vs Vemma! The Shocking Truth About Vemma [Exposed] | JaylinGrahamHQ.com

  2. You only went up to diamond. Your money for the car will doible as you rank up. You make more then what the cycle bonuses, try $1500 a month.

    • Would you mind providing me the literature on that?

      The car bonus is $450 a month at diamond with two golds . . . and around $800 – $850 when you hit the elite rankings.

      I’ve never heard of the $1500 car bonus?

      • he’s talking about what you make. there’s more than the cycle bonus involved.

      • I know, there’s the cycle bonus, the tier/matching bonus, the momentum bonus, etc.

        I disregarded matching bonus because not everyone gets it. But the momentum bonus IS the car bonus (platinum club $450 a month). I thought he was implying there’s a platinum bonus ON TOP of that.

  3. Fantastic job. You are precisely proving the smoke and mirrors strategy that Vemma functions on.
    Love it.

  4. Frankly this is bull**** any way. Vemma should be PAYING YOU ALL for putting the logo on the vehicle, not only as your sales incentive.

    A full wrapped vehicle is worth about $400 a month to advertisers… just for driving to/from popular routes/locations. Vemma’s logos, being the icon for “brand partners” and great for recruitment, should be worth at least $100.

    Translation: everybody who got a car bonus is being CHEATED $100 a month, while thinking they’re GETTING a great deal.

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