LoveWinx was founded in California in 2014. The company operates in the intimacy MLM niche.
LoveWinx provides extremely limited corporate information on its website. Jaime Lamp is identified as LoveWinx’s President.
Instead of providing a corporate bio however, LoveWinx attributes Lamp with a generic corporatey statement:
There is a distinct lack of information pertaining to Lamp’s role within LoveLinx out in the wild. This is from a 2016-2017 product catalog;
Jaimie Lamp has over a decade of experience within the direct selling industry.
LoveWinx affiliates cite Lamp as founder of the company. To independently verify both claims I had to look up a 2014 court case filed by Pure Romance.
Jaime Lamp … is the president, chief executive officer, and co-founder of Lovewinx Inc. – a corporation intended to compete directly with Pure Romance in the sale of intimacy products.
On January 19, 2014, Lamp became an independent consultant for Pure Romance, following Pure Romance’s acquisition of the company for which Lamp was previously an independent contractor, Slumber Parties, Inc.
Slumber Parties also sold similar intimacy products.
Lamp and other former employees and consultants of Slumber Parties have created LoveWinx, relying in critical part on Pure Romance’s trade secret information and its vendor and consultant relationships.
At the time Pure Romance sought relief
as a result of LoveWinx’s unlawful misappropriation of trade secrets and other confidential and proprietary business information, breach of contract, civil conspiracy, and tortious interference with Pure Romance’s business relationships.
unlawful misappropriation of trade secrets and other confidential and proprietary business information
In October 2014 Pure Romance’s lawsuit was settled via a mutually agreed upon injunction.
The injunction prohibited LoveWinx and Lamp from using Pure Romance’s trade secrets, confidential information and Policies and Procedures documentation.
The LoveWinx defendants were also barred from soliciting Pure Romance employees and affiliates, pursuant to any agreements with the company.
The settlement detailed a specific list of companies and individuals, that LoveWinx was prohibited from soliciting until after August 2015.
I was able to verify Jaime Lamp was a Slumber Parties affiliate as far back as 2008.
Read on for a full review of LoveWinx’s MLM opportunity.
LoveWinx’s Products
LoveWinx markets a range of essential oils and personal care products.
Blahblahblah, we both know you’re here for dildos. And I got you (well as much as I can, hello advertising guidelines!):
With that out of the way, at time of publication LoveWinx just released their 2022 catalog. There’s a lot in there, with products categorized as follows:
Most of the interesting stuff is towards the end. Full retail pricing for the US and Canada is provided.
LoveWinx’s Compensation Plan
LoveWinx’s compensation plan is tied to retail sales volume, however retail sales themselves aren’t detailed.
On the residual side of things you have a six-level deep unilevel team, with additional performance-based bonuses on offer.
LoveWinx Affiliate Ranks
There are seven affiliate ranks within LoveWinx’s compensation plan.
Along with their respective qualification criteria, they are as follows:
- Consultant – sign up at an affiliate and generate and maintain 100 PV a month
- Senior Consultant – recruit and maintain one Consultant and generate and maintain 300 PV a month
- Manager – recruit and maintain three Consultants, and generate and maintain 1200 PV and 2500 GV a month
- Director – recruit and maintain four Consultants and two Senior Consultants (or higher), and generate and maintain 2000 PV and 6,000 GV a month
- Senior Director – recruit and maintain seven Consultants and two Managers (or higher), maintain 2000 PV a month and generate and maintain 20,000 GV a month
- National Director – recruit and maintain twelve Consultants and three Directors (or higher), maintain 2000 PV a month and generate and maintain 60,000 GV a month
- Executive Director – recruit and maintain seventeen Consultants and three Senior Directors (or higher), maintain 2000 PV a month and generate and maintain 200,000 GV a month
PV stands for “Personal Volume” and is sales volume generated by an affiliate. This includes retail sales and their own purchases.
GV stands for “Group Volume” and is PV generated by an affiliate and their downline.
Note that from Director, no more than 50% of required monthly GV is counted from any one recruitment leg.
Retail Bonuses
LoveWinx offers three retail bonuses; “buying discount”, cashback bonus and free products.
The buying discount rewards an affiliate with a discount on product purchases:
- affiliates receive the standard 35% discount
- generate $800 in accumulated retail sales and receive an additional 5% discount rate
- generate $2000 in accumulated retail sales and receive an additional 5% discount rate
- qualify at Senior Consultant and receive an additional 2% discount rate
- qualify at Manager and receive an additional 2% discount rate
- qualify at Director and receive an additional 2% discount rate
- qualify at Senior Director and receive an additional 4% discount rate
The cashback bonus appears to pay 5% on a LoveWinx affiliate’s generated retail sales for the month.
To qualify for the cashback bonus an affiliate must generate at least $10,000 in retail sales volume for the month.
Note that for both the buying discount and cashback bonus, LoveWinx includes an affiliate’s starter kit purchase volume:
- signing up with Kit A generates $150 in retail sales volume
- signing up with Kit B generates $300 in retail sales volume
- signing up with Kit C generates $450 in retail sales volume
Free products are rewarded to affiliates based on monthly retail sales volume:
- generate $1000 in monthly retail sales volume and receive $50 in free product
- generate $2000 in monthly retail sales volume and receive $100 in free product
- generate $3000 in monthly retail sales volume and receive $150 in free product
- generate $4000 in monthly retail sales volume and receive $200 in free product
- generate $5000 in monthly retail sales volume and receive $250 in free product
- generate $6000 in monthly retail sales volume and receive $300 in free product
- generate $7000 in monthly retail sales volume and receive $350 in free product
- generate $8000 in monthly retail sales volume and receive $400 in free product
- generate $9000 in monthly retail sales volume and receive $450 in free product
- generate $10,000 in monthly retail sales volume and receive $500 in free product
Residual Commissions
LoveWinx pays residual commissions via a unilevel compensation structure.
A unilevel compensation structure places an affiliate at the top of a unilevel team, with every personally recruited affiliate placed directly under them (level 1):
(unilevel)
If any level 1 affiliates recruit new affiliates, they are placed on level 2 of the original affiliate’s unilevel team.
If any level 2 affiliates recruit new affiliates, they are placed on level 3 and so on and so forth down a theoretical infinite number of levels.
LoveWinx caps payable unilevel team levels at six.
Residual commissions are paid as a percentage of sales volume generated across these six levels based on rank:
- Consultants earn 2% on level 1 (personally recruited affiliates)
- Senior Consultants earn 2% on levels 1 and 2
- Managers earn 3% on level 1, 2% on level 2 and 1% on level 3
- Directors earn 3% on levels 1 and 2 and 1% on levels 3 and 4
- Senior Directors earn 4% on levels 1 and 2, 2% on level 3 and 1% on levels 4 and 5
- National Directors earn 5% on levels 1 and 2, 2% on levels 3 and 4 and 1% on level 5
- Executive Directors earn 5% on levels 1 and 2, 3% on level 3, 2% on levels 4 and 5 and 1% on level 6
Lifestyle Bonus
Senior Directors and higher ranked LoveWinx affiliates receive a monthly Lifestyle Bonus:
- qualify at Senior Director and receive $200 a month
- qualify at National Director and receive $400 a month
- qualify at Executive Director and receive $700 a month
Car Bonus
LoveWinx affiliates who generate $6,000,000 in unilevel team volume (across levels 1 to 6), receive a “yearly Mercedes car lease”.
Joining LoveWinx
Joining LoveWinx requires the purchase of a “starter kit”:
- Kit A – $195
- Kit B – $295
- Kit C – $495
Each starter kit comes with a selection of LoveWinx products.
LoveWinx Conclusion
So long as it’s consensual, what you get up to in your bedroom is your business.
With companies like LoveWinx, as an affiliate your job is to essentially insert yourself into other people’s bedrooms.
People are very interested in learning as much as they can about how to live a more passionate lifestyle. They desire as much information on this subject as possible.
LOVEWINX Consultants are trained to provide accurate and professional information regarding the enhancement of their sexual experiences as well as new ways to feel sensual daily.
LoveWinx’s marketing method of preference is home parties.
These are challenging enough without a global pandemic so that’s something to keep in mind.
Albeit a bit immature, I’ve been upfront about what I believe the core of LoveWinx is for a specific reason.
If any of this makes you uncomfortable, then MLM opportunities like LoveWinx are not for you.
You need to not only be OK with exploring sexual aids on your own, but also discussing them with and, more importantly, marketing them to others. LoveWinx is a business first and foremost.
The obvious entry-point here is a warm market. Given who you know, this could work out or go horribly wrong. That’s a “you call” based on your personal circumstance.
Pitching LoveWinx to personal strangers could be even harder than your warm market. You’re competing against the internet, which makes competitive knowledge difficult (LoveWinx’s 2022 catalog is 48 pages long and you better get to know it inside out).
Your advantage is the personal connection, which brings us back to potentially shaky “inserting yourself into other peopel’s business” territory.
Like anything, LoveWinx will work for some and not for others. This subject matter however does have one of the highest success ceilings to break through though.
On the compensation plan of things, LoveWinx do not provide compensation details on their website.
I did find official compensation documentation from 2017, which is the basis of “LoveWinx’s Compensation Plan” above. My first thought was the documentation had to be out of date but it’s from LoveWinx’s official Issuu account, which they just uploaded their 2022 product catalog to.
I also verified the Starter Kits are the same so I’m confident provided LoveWinx compensation info is up to date.
One thing noticeably absent is commissions explicitly tied to retail sales.
LoveWinx obviously track this because retail sales volume is used to calculate bonuses, but retail commissions themselves aren’t detailed.
I’d assume LoveWinx pay retail commissions out as the difference between retail and wholesale pricing. It’s a shame this isn’t emphasized as there’s a missed marketing opportunity with the buying discount (effectively a 20% bonus retail commission bonus if maxxed out).
Something I wasn’t a fan of was mislabeling an affiliate’s Starter Kit volume as “retail sales points”.
An MLM affiliate buying a starter kit is absolutely not retail.
And this might tie into the lack of retail commissions details. If we look at LoveWinx’s retail bonuses, they’re all geared towards rewarding affiliate purchases.
You have a buying discount, cashback (on your own purchases) and free product (100% discount on your own products).
Now the marketing idea is that these products are resold to retail customers. And there’s nothing wrong with that. But the compensation plan itself is triggered on affiliate orders.
Again, retail customers can order and you’ll be credited for it, but I’m basing my focus analysis on what’s in LoveWinx’s compensation documentation. That’s ultimately what the marketing will also be based on.
The justification for affiliate purchases is three-fold; self consumption/use, retail inventory and samples (which very much ties into home party marketing).
These are all fine – provided you are actually making retail sales.
The trap people fall into is purchasing product each month but failing to account for a lack of sales. This lends itself to inventory loading (accumulating of unsold product), which if widespread enough would lend itself to LoveWinx operating as a pyramid scheme.
LoveWinx doesn’t have any explicit retail sales qualifiers in their compensation plan. At least on the surface. Manager is only the third-rank but you’re looking at a 1200 PV requirement.
That’s a lot to buy yourself each month. On the flipside you also need 3 recruited Consultants at Manager. That’s a minimum. If you’ve got more you could be subsidising PV costs considerably.
One thing I need needs to absolutely be clarified is whether downline sales (purchases by recruited affiliates), counts towards “monthly personal retail sales” volume.
Normally I’d be able to verify this through a glossary. LoveWinx’s provided compensation documentation doesn’t have one.
The good news is verifying this yourself as a prospective LoveWinx affiliate is straight-forward.
No matter their rank, your potential upline has a monthly PV target to hit (100 to 2000). Note LoveWinx refers to this internally as “monthly personal retail sales”, so you might have to call it that if PV gets you a blank response.
What you want to find out is how much of that monthly PV quota is attributable to verifiable retail sales.
In an ideal world LoveWinx themselves would be verifying this volume but I couldn’t see any indication they do.
What you’re looking for is at least 50% of your potential upline’s monthly PV in retail sales. The more the better.
If it’s less, or worse the affiliate is buying and not selling, that would be indicative of a pyramid scheme.
As a recruit, you’d then also be buying product each month and not generating sales to offset and/or turn a profit.
There is an initial period where this might happen while you build your business. Set yourself a specific timeframe though (typically 3-6 months), after which you evaluate and go over the numbers (money in vs. money out).
One last thing, LoveWinx is absolutely not an MLM business you want to surprise on a significant other. It’s not all about sex toys but that’s the foundation of the company and a big part of it.
Definitely discuss before taking the plunge as, while LoveWinx might be your business, most partners are probably going to want some input.
I can’t tell you whether that input will be positive or not (depends on your partner), but I do think there’s a higher level of disclosure required over say a more “traditional” offering.
Think of it as a litmus test. If you can’t bring yourself to show your partner throbbing purple dildos, how’s that going to work with strangers?
Good luck!