You are welcome to my Lyconet Review. Can you make Money with Lyconet MLM? Is Lyconet a Scam? Or, Is Lyconet a Pyramid Scheme?
I know you are here to confirm if you can make Money with Lyconet USA as a Marketer.
It is good you are doing your investigation; this is how to discover legitimate online business and avoid scam.
Know that I am not an allied of Lyconet MLM anyway; therefore, expect and unbiased and a thorough review of Lyconet business opportunity.
Please keep read.
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Lyconet at a Glance
Product Name: Lyoness Network Marketing
Industry: Multi-level marketing
Products & Services: Service (Cashback)
Founder: Hubert Freidl
Headquarters: Graz, Austria
Recommended: No. (Check Out My #1 Recommendation On How to Make Money Online)
Summary of Lyconet USA Review
Lyconet is a direct sales networking company, also referred to as MLM.
With Lyconet MLM, you will be able to run your loyalty program such that you can acquire downlines for the international Shopping Community.
As a Lyconet Marketer, you make Money by promoting the Cashback World Customer loyalty program.
You recruit more online customers (members) for the Cashback World eCommerce and International shopping community.
You earn a percentage from every cashback earn by your downlines.
But, can you make Money with Lyconet MLM as a marketer? Is Lyconet legit or a scam? Or is Lyconet a pyramid scheme?
Why You May Not Make Money with Lyconet MLM
A finding and investigation that took years have shown that only 0.3% of the member of any MLM company that will make money, i.e., 99.7% of members of any MLM company, will lose their Money or will not make money at all.
Mr. Jon Taylor studies direct sales companies for years and came up with a book named “Multi-level Marketing Unmasked. “
These findings summarize that the MLM companies are only rewarding the people at the top of the scheme.
Only the high-rank people at the top of the network that earn big. If you are joining today, you will just be used to working for them, making you earn pennies later.
These findings and his book have been endorsed by all major regulatory bodies both within and outside the USA.
Can I prove that this applies to Lyconet MLM also?
Just look for Lyconet USA Income Disclosure Statements (Many MLM companies will hide this from the public domain because that is where the truth lies.
The latest Lyoness Income Disclosure Statement in the public domain at the time of writing the review is 2017.
See the breakdown of the average annual income made by each Lyconet marketer.
- 97% of Marketers made an average of $72.14.
- 2% of Marketers made an average of $2,048.10.
- < 1% of Marketers made an average of $7,241.31.
- < 1% of Marketers made an average of $18,830.02.
- < 1% of Marketers made an average of $31,685.29.
Lyconet/Lyoness Income Disclosure Statement
You can download the recent Income Disclosure Statement of Lyoness in PDF format here.
You can see that very few Lyconet Marketers are making Money, while 97% of the Lyconet MLM members earned an average of $72 in a whole year, i.e., $6 monthly!
Is Lyconet MLM worth it?
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What do you think of my Lyconet review?
Can you make Money with Lyconet MLM? Do you believe Lyconet is a pyramid scheme?
Or you believe Lyconet is a scam? Let me have your opinion.
What is Lyconet?
Lyoness was founded in 2003 by Hubert Fried in Austria. It is a subsidiary of a former cashback MLM company called “Lyoness.”
The parent company was split into Lyconet, the MLM aspect of the business, and Cashback World for the cashback features.
In the Company 20 years, it has established itself as a name within the cashback consumers market.
Lyoness allows marketers to earn a share of their referrals made through the loyalty program. It also offers an investment opportunity.
While Lyconet itself is not a scam, the parent company, Lyoness, has had some controversy in the past.
It has been tagged as a pyramid scheme in many countries and legit in others.
The Company is similar to DubLi, which is another cashback MLM company.
Lyconet Product Line
Technically, Lyoness does not have any product because they are just a platform where customers and merchants can connect.
The feature that resembles a “product” is the Cashback Card, which the company issues.
The card lets marketers redeem their Lyconet Cashback and shopping points.
Lyoness claims that an affiliate buyer receives a 5% cashback, but their return is around 2%.
The website's homepage also claims the Company is in partnership with over 90 merchants across the globe. By downloading their mobile application, a buyer can get a Lyconet CashBack Card to receive discounts on their shopping.
Lyconet CashBack and Shopping Points
The Lyconet CashBack and Shopping Points are benefits that accrue to the Lyconet Marketers when you purchase any Lyoness loyalty merchant center.
Also, the benefits you get will depend on the merchant and the conditions of such an e-commerce store.
The shopping points you get will be used to get a discount on every purchase and shopping point deals referred to as vouchers.
Lyoness will credit the bank account of every registered member of Lyconet.
Every Lyconet marketer will receive 5% of Lyconet Cashback for every purchase at Loyalty Merchant Online Shop or Lyoness Loyalty Merchant store.
You will also accumulate shopping points (SP) for your purchase, and you get these points redeemed for great Shopping Point Deals at the Loyalty Mall on the Lyoness website.
Also, you also get a reward for every referral that makes a purchase online or offline of the Lyoness Loyalty Merchant. You will get both direct and indirect Friendship Bonus of 0.5%.
Each of your bonus will be transferred to your bank account or your Prepaid Lyoness MasterCard.
What do you think of my review of Lyconet? Can you now make money with Lyconet MLM? Is Lyconet a Pyramid scheme or scam? What do you think?
Lyconet Compensation Plan
Lyoness ‘s business model looks more like an affiliate marketing plan than an MLM.
The compensation plan has something called the “Friendship Bonus” Program.
Unlike other MLM programs, Lyoness does not compensate you for recruiting new members.
However, you will get a 0.5% commission from your recruits' purchases and another 0.5% commission from their recruits as well.
Bonuses are acquired as points, and then these points are converted to units in the balance category.
The amount you earn is transferred to your bank account, or you could opt for the Prepaid Lyoness MasterCard.
How to Join Lyconet Business Opportunity?
Interested Lyconet marketer can join by creating a profile on their website. It is FREE to Join.
What Is Cashback World Partner
One of Lyconet Marketers' core duties is promoting and selling the Cashback World's customer loyalty program.
The Lyconet Marketers employ the opportunities to earn more points from every Lyconet CashBack discount made by their Cashback World referrals.
Cashback World is a massive opportunity for shoppers community worldwide to get discounted purchase and safe cash.
Lyconet Marketers' jobs are the recruitment of merchants to become a member of Cashback World Shopping Community.
Who Is Lyconet Network Marketing Good For?
Lyconet Network Marketing business opportunity is for anyone who likes to earn Lyconet Cashback by recruiting people to make purchases online or in-store via the Lyoness various merchants.
How Lyconet Network Marketing Work
The Lyconet Network Marketing is made up of three primary service centers:
- Shopping Community
- Customer Loyalty Program
- Network Marketing Program
Cashback World rewards the consumers and many international Shopping Communities that love to save money while making purchases online.
These people receive Cashback and Shopping Points either the purchase is made online or in-store using their Cashback World card and loyalty merchants.
You can also download the Cashback App as a digital Cashback World card.
Customer Loyalty Program
The Lyconet Cashback Solutions brand is a solution for every Loyalty Merchants that help them run the day to day operation seamlessly; it is made for large retailers and online shops.
It provides an excellent shopping experience for members while they earn Lyconet Cashback.
This solution help Merchants to attract and retain both new loyal customers that help them increase sales while members earn Lyconet Cashback
Lyconet Network Marketing Program
This program helps many Lyconet Marketers promote retail shopping to friends and family, and in return, they get reward points that are converted to cash by direct credit to their bank account or their Prepaid cards.
How Much does it Cost to Join Lyconet Business Opportunity?
It is FREE to join and become a Lyconet Marketer.
On the other hand, small-medium enterprises that intend to participate as merchants pay an up-front fee covering administration and equipment expenses.
There is also a 1-2% fee per transaction.
How to Make Money with Lyconet USA
According to their compensation plan, there are three main categories of people who can make money with Lyconet.
People are interested in using Lyconet to save Money while shopping.
When shopping at a partner store of Lyconet (both offline & online), consumers enjoy a 1-5% cashback reward by using their Cashback Card.
They are also awarded shopping points with every purchase at partnered stores, which can be redeemed as cash bonuses or discounts.
Merchants that like to benefit from an international platform of potential buyers and loyalty program
Affiliates who sign up for the network marketing opportunity
How Much Money Can You Make with Lyconet MLM?
The only income disclosure related to the Lyconet brand you can get belongs to its parent company Lyoness.
According to the income disclosure, “97% of Marketers received earnings between $0.01 and $1,000.00 with average earnings of $72.14.
“It raises the red flag that you'd earn less than $100 in a year after buying products and expecting a cashback.
Are Lyconet Marketers Making Money?
The answer is No! Even from its income disclosure; you can tell that less than 0.1% of the Lyconet Marketers earn enough to pay their bills.
Lyconet USA Support /Customer Service
The Company provides support on their Facebook page and can be reached via email.
Facebook page: Lyconet
What is Good About Lyconet?
- Free: The cost of joining Lyconet USA is free as a customer, and I did not see any upsells in my research.
- It is commendable; because MLMs typically have something to pitch you.
- Lifetime membership to a large shopping community
- Group Shopping is better when compared to similar platforms like Groupon.
- Rewards: This includes cashback and shopping points that can be redeemed.
Issues with Lyconet
The Company is a legal nightmare waiting to happen.
There have been several class-action suits against the parent company in the past.
Focused on referral
To make a reasonable amount of Money, Lyconet Marketer has to recruit others since they get a percentage/cut from their referral earnings.
This is explained in their compensation plan.
Low Earning Potential
95% of all the Lyconet Marketers do not make any real money.
Think about it: 1-2% cashback on your shopping even worth it unless you spend at least five figures in a store?
There are several accusations of scam and not making any real money on the Company's Facebook page.
Major Online/Offline Complaints of Lyconet USA
One Lyconet Marketer claims that although she has been with them for months; she disagrees with their marketing format.
Another marketer adds her voice, stating that after recruiting almost 500 members; she now earns £2 per month, which is funny.
However, most complaints come from dissatisfaction with its recruitment method; making it seem more like a pyramid scheme. What do you think of my Lyconet Review?
Lyoness has a history of legal problems dating back to its parent company.
There are over 150 court verdicts against the Company.
They even changed their name and restructured the features of the business.
In the last ten years, the parent company, Lyoness; has been investigated by these countries:
Is Lyconet a Pyramid Scheme?
Please know that Lyconet Is not a Pyramid scheme. Why is that?
First, what is a Pyramid scheme, and does it work?
The pyramid scheme is fraudulent, and it is a crime in many countries.
It is a marketing process that will require you to continue recruiting people in an un-ending way.
A pyramid scheme is needed to recruit people to make money from fees that pay to join; the people you recruited will also be required to refer people to get paid.
Mostly the pyramid scheme marketing claims that the fee paid is for the training of members.
Therefore; it is an un-ending referral program without any product and services where members are making money.
This process is called a pyramid, because at each stage and level, investors increases.
So, Is Lyconet a Pyramid Scheme?
No, in my opinion, and from years of reviewing of online programs, Lyconet is not a pyramid scheme for this reason below.
Lyconet MLM will make you recruit a prospective online shopper that is required to use the various shopping outlet to earn cashback.
As they earn cash back; you will earn points that will later be converted to earnings.
In Lyconet MLM, you are getting paid for every downline that earns cashback on their online purchase. Therefore, service is involved.
Lyconet is not a Pyramid Scheme because there is a service involved.
But the truth is that you won't make money because; the MLM system is a scheme to reward the business owners and the people at the top of the MLM scheme.
Do you think Lyconet is a scam? What do you think of my Lyconet review?
Do you think you can still make Money with Lyconet MLM? Is Lyconet USA worth it?
Please note that the Federal Court has also decided that the loyalty program run by Lyoness/Lyconet Australia Pty LTD is not a pyramid scheme.
See it here by the Australian Competition and Consumer Commission (ACCC).
Is Lyconet a Scam?
No, Lyconet is not a scam in any way.
However, Lyconet is an MLM business opportunity that helps Lyconet marketer earn points that can be rewarded for cash.
As far as legitimacy is concerned, there is a logic behind the cashback feature of Lyconet.
The platform brings customers to the merchants, and the merchant offers discounts; this happens all over the world, and it is a conventional practice.
Though, authorities in many countries have deemed Lyconet a pyramid scheme or at least a borderline pyramid scheme.
But, Lyconet is not qualified to be called a pyramid scheme because there is a service involved.
Is Lyconet a Pyramid Scheme? But what do you think about Lyconet USA and its business opportunity? Is Lyconet a scam?
Is Lyconet USA worth It?
Thanks for reading my Lyconet review. Do you think you can now make Money with Lyconet MLM? Is Lyconet a Pyramid Scheme? Is Lyconet a Scam?
According to the Lyconet MLM business model, to make Money with Lyconet USA, you must be ready to recruit massively.
However, if you love to get some Lyconet Cashback from your purchases, you can try the Lyconet business opportunity.
But, what is my take about Lyconet business opportunity for you? I will not subscribe to becoming a Lyconet Marketer. Therefore I will not advise you to start one.
Why is that? Because you will not make Money with Lyconet MLM.
It has been discovered from years of research and investigation that MLM companies will only reward the Company's owners, the major investors, and the people at the top of the MLM scheme.
If you are joining now, I am sorry that you will not make money and waste your time.
What do you think of my Lyconet review? Can you make Money with Lyconet MLM? Is Lyconet a Pyramid Scheme? Is Lyconet a Scam?
Have you tried the Lyconet business opportunity before? What was your experience with the Lyconet cashback program? Kindly share with me in the comments section below.
Lyoness/Lyconet Cashback Review – Video
It is great to meet you finally. John is my name, and I'm the owner of Amazing Profits Online. I am a Full-Time Affiliate Marketer at Wealthy Affiliate, a community that teaches anyone to earn a full-time income online with their own passion-driven online business. No Credit Card Is Needed. It is FREE to Join. You can also Click here to get to know more about me.