This is a snip from an open letter to Efusjon Distributors from Kevin Thompson, Attorney for the Class Action lawsuit:
…With eFusjon, there are absolutely zero requirements of outside sales before distributors can earn bonuses from downline volume. This leads to a sales culture that will resort to any trick to sponsor distributors en masse. This is particularly true in eFusjon’s case. The outlandish rumors from the field i.e. eFusjon is buying facebook, the facebook app will explode the matrix, the matrix pay plan that people are familiar with such as the facebook app rumor are not the real problems behind the eFusjon business. Instead, these rumors and misrepresentations are symptoms of the problem, with the problem being a pay plan that’s fueled almost exclusively by recruitment and internal consumption.
With every respondent to our request for information form, 100% of them said they no longer purchase the products. It’s a very telling statistic. As we alleged in our lawsuit, the vast majority of eFusjon distributors purchase the products primarily to stay qualified, which is indicative of a token product designed to conceal the nature of the scheme. If distributors were purchasing out of need or want, many distributors would still be buying. The product volume is driven by the pay plan.
Efusjon Hype Picture from Jonathan Budd.
Efusion is rather typical of most MLM hype.
The illusion is always far greater than the reality. Like winning
BMW’s as rewards. Reality is car awards are only temporary usage of a leased car done on the awardees credit if they have any.
Millionaires and 7 figure income claims are a dime a dozen.
SHOW MY THE MONEY. LET US SEE THE SCHEDULE C’S
Unfortunately it is this exact situation which gives MLM it’s less than desirable reputation. The actions of the distributors reflect on the opportunity and on the entire industry.
Another interesting point mentioned above is that most distributors focus exclusively on recruiting. What ever happened to marketing products in this industry?
For me… opportunities that require their distributors to be their customers encourage this “recruiter only” mindset. I think the focus should be on regulating the distributor who demonstrates unethical behavior versus punishing the parent company.
Lets face it…regardless of the structure some will take advantage of it.
@Matt I totally agree that situations like this cast a shadow on the entire profession of MLM.
Company culture flows from the top down, not bottom up. The 110% hype recruit, recruit, recruit message that the individual distributors come to market with start at the top. Monkey see, monkey do.
Efusion is going down fast. They just laid of the majority of their employees at their corporate office in Bend, Oregon, leaving only managerial staff.