Were you contacted by someone hoping to recruit you into Primerica? Primerica describes itself as a great opportunity for people to achieve their dreams. In this review, I reveal what it takes to succeed with Primerica and the statistical odds of success if you try.
Company Name: Primerica
Product: Direct Marketing Business Opportunity
Opinion: Not Recommended.
Is Primerica a Scam?
Primerica is a publicly traded multi-level marketing company that sells life insurance and financial services. Primerica representatives are financial advisors licensed to sell life insurance and mutual funds.
Whether or not Primerica is a scam is immaterial. The better question to ask is, “Is Primerica right for you?”
This review shows you what you need to know to answer that question honestly.
Primerica Sells a Dream.
Like every Multi-level marketing organization, Primerica builds its sale force and finds new clients by selling a dream of financial independence.
In other words, they use emotion to hook people into their scheme.
Unfortunately, for most people who join an MLM, their dream of financial independence often turns into a humiliating and expensive nightmare.
Primerica is no different.
Selling the dream of financial independence stirs deep emotions. When our emotions are triggered, we cannot make a logical decision. It’s like falling in love, we can’t see the other person’s faults.
It’s the same with Primerica. If they can get you to fall in love with them by selling you a promise of financial independence, you won’t see their obvious faults.
Exploiting Your Emotions.
Incidentally, the compensation plan is intentionally difficult to understand so your logical mind can’t engage with it, forcing you to make critical decisions using only emotion when logic would serve you better.
Likewise, the exciting meetings are designed to keep you in an emotional state.
In this article, I show you the hidden dangers waiting for you inside Primerica and the MLM industry.
I only ask that you take off the rose-colored glasses you might be wearing, take a deep breath and determine for yourself if my words ring true.
Your Odds with Primerica are Near Zero.
Wanting to be financially independent is an honorable dream, one I share with you. Thanks to the internet, it has never been easier to become financially independent. In a moment, I’ll show you what I mean.
For now, please understand the odds of you becoming financially independent with Primerica or any other MLM is near zero.
Statistics compiled by the Consumer Awareness Institute prove you have better odds of winning in Las Vegas than succeeding with MLM in any form. To learn more about the dark side of MLM, read The Heartbreak of MLM.
The Average Payout.
According to the Primerica website, Important Disclosures page, in 2017, the average payout to representatives was $6,030.
Considering that each representative also had expenses, it is safe to assume the average representative makes less than $6,000 a year.
That’s a far cry from financial independence.
It’s important to understand that average in this case means the total payout divided by the total number of licensed representatives.
That means a lot of licensed representatives did not make anything at all.
Because of how the MLM channels money to the top of the organization, I would estimate that the majority of the licensed representatives did not make money. Most probably lost money.
NOT the Place.
Outside of Primerica, in the financial planning industry where MLM is not the norm, the average financial planner makes $60,000 a year.
If you want to be a financial planner, Primerica is NOT the place to do it.
First You Need License.
Before you can make a nickel with Primerica, you must be licensed to sell life insurance. Licensing requirements and fees vary from state to state and country to country.
Most require several hours of structured training. To advance in Primerica, you will also need a license to sell mutual funds.
It can take months to complete the training and to get the proper licenses. It can cost a lot of money too. The point to remember is as a Primerica representative, you will be spending a lot of time and money long before you make a penny in return.
Your Upline Steals Your Warm Market.
When you first join Primerica, you will be asked to make a list of everyone you know and everyone in your family and extended family. Call this is your warm market.
Because these people know you and trust you, you have the best chance at selling to them. Except that you can’t sell anybody anything because you don’t have the licenses.
Your Sponsor will ask you to introduce them to your warm market, so they can show you how to make sales.
If there is a sell to be made in your warm market, your sponsor will make the sell and earn the commission.
All you get is the experience and points.
Later, when you’re licensed, you either must steal the warm market of someone you recruited into the business or attempt to sell to strangers.
Poaching Your Downline.
In other words, if you hope to succeed with Primerica, you must continually recruit large numbers of people and poach their warm market. An ugly truth, but it’s not the ugliest truth. There’s more to come.
Can You Do This?
The turnover in MLM is huge. Those who succeed with Primerica are recruiting machines that build huge downlines.
Here’s what I feel is the ugliest truth about MLM: Less than 1% make a profit in MLM. Less than 1%! That means that 99% of the people who try MLM will lose money. (Source: Consumer Awareness Institute)
Can you look someone in the eye and convince them that they can find financial independence with Primerica knowing they don’t stand a snowball’s chance in Hell?
Can you do that every day for as long as it takes to succeed? If you’re not that kind of person, you’re only wasting your time and money if you join Primerica.
You’re NOT a Business Owner.
According to the Primerica Important Disclosures page, as a Primerica representative you are not a business owner. You’re an independent contractor building their business. They can cut you lose any time it suits them.
MLM is an Outdated Business Model.
MLM, Primerica’s business model, evolved out of the 1940s. It’s an outdated and highly inefficient method of delivering products.
When compared to the internet where products go straight from the warehouse to the customer, MLM doesn’t make sense.
The only reason MLMs are still around is because they are very profitable for the few people at the top of the organization.
In general, MLM, and specifically Primerica, promote a backward approach to marketing. This approach requires an enormous amount of energy and dedication. It is the least profitable sales strategy imaginable.
It requires you to convince family and friends to buy something they don’t want, weren’t looking for and probably don’t need.
Badgering your friends and family until they buy is a horrible marketing strategy. It’s bad Karma. Very quickly your friends learn to hide from you.
Why So Many Quit.
It’s difficult to keep trying to sell Primerica when you’re just bothering people. At some point, most representatives can’t do it anymore and quit. Often, they are left feeling humiliated.
Instead of chasing after your friends trying to talk them into buying Primerica’s insurance, why not learn how marketing is supposed to work?
When you understand marketing, you have an excellent shot at achieving financial independence within 3 to 5 years.
How Marketing Should Work.
Unlike what Primerica expects of you, selling is not about convincing someone that they need what you’re selling. It’s about finding people with a problem and then presenting them with a product that solves their problem.
It’s so much easier and rewarding that way. Call it problem-solving marketing.
For example, how hard do you think it will be to sell sandwiches to hungry construction workers? Not hard at all. When you solve people’s problems, they love to see you and to give you their money.
It’s good Karma that enriches your life, both spiritually and financially.
Your Financial Booster Rocket.
Imagine how lucrative it can be, if you combined simple problem-solving marketing with the global reach of the internet.
That’s where the true opportunity is. Call it affiliate marketing.
You can automate the process, so sales are made 24/7, even while you sleep. The income potential is unlimited. And, you can do it all from your laptop.
With intermediate affiliate marketing skills, your dream of financial independence is genuinely possible. And, you can get there within a few years.
Where to Learn.
My journey to success as an affiliate marketer began with the FREE starter level of the Online Entrepreneur Certification Course. That’s where I recommend you start too. The Starter Course doesn’t cost a dime. It’s free. No credit card needed.
When you sign up through the links on this page, I’ll be available to mentor you at no cost. To learn about the Online Entrepreneur Certification Course, Go Here.
How Much Does It Cost?
Not much. Compared to the cost of selling for Primerica, affiliate marketing doesn’t cost much at all.
As I mentioned above, begin with the FREE Starter Course. It will teach you the basics. It will also introduce you to a community of marketers who are eager to help you.
It costs very little to create and manage a profitable affiliate marketing business. In the beginning, you can get everything you need for about $50 a month, plus the cost of a domain name (about $15 a year).
Later, after you’re making money, you might want to get some additional tools that can boost your productivity and bottom line but wait until your profits can pay for it.
Anyone Can Do This.
Affiliate marketing is not difficult. Anyone who can write an email, goof off on social media or search online can build a six-figure affiliate marketing business, IF they get the proper training and IF they do the work. It does take work.
However, working online isn’t the same as working offline. It’s more like a video game. Once you learn the rules, you keep leveling up, making more money.
Compared to affiliate marketing, Primerica looks like a corporate dinosaur. If you want to be a financial planner, avoid Primerica and go the traditional route. You’ll make more money and enjoy the status of a professional.
However, if your goal is to find a legitimate path to financial independence, I recommend affiliate marketing. It’s the best way to earn more money and to enjoy more free time as well.
The place to start is the FREE Starter Level of the Online Entrepreneur Certification Course.
If you found this article helpful or have experience with Primerica , please leave a comment below.