Our Readers Speak Out on Multilevel Marketing Operations

After Travel Agent reported on an agent's open letter to suppliers in which he warns them about multilevel marketing companies, a slew of readers flocked to our site to share their comments.

MindyM wrote:

I am surprisd that Travel Impressions is willing to take such a chance with it's reputation - really, doesn't American Express recognize the danger of dealing with such people?!

LISTMASTER stated:

This is stupid for Travel Agent Central to put such a large print like this out there. I disagree, but understand. The same things I have heard about MLM's, I have heard about othe Non-MLM's. Travel companies that have run off with hundred of thousands of dollars, hired unexperienced travel agents and the likes to save a few dollars and with the same results. Business is business, if you do it wrong, that industry suffers, if it is done right, everyone profits from it. I started out in an MLM Travel, earned my credentials as a CTA and continue to do training every year to maintain those credentials while in an MLM, I chose to focus on the travel and my clientele and it has worked out well with me. I have contact with my suppliers, and no I don't make money from a tender. There was an article a couple of months on AMEX bilking their clients, but no one made a fuss about that and there un-professionalism. I'm gone!

Terence Blackett said:

As a European, we are seeing the demise of the traditional way of doing business. The High Street business is being replaced by a virtual world where our shop and business now pave the internet boulevards and high streets.
The 21st century will be the death of many who want to stay stuck in their traditional business ways.
If we have learnt anything from the "global economic crisis" is that we need to recognize that the old way of doing things must go.
We must REFORM!
We must have higher and deeper levels of accountability and transparency.
But businesses must diversify their business model and be more transparent or be left behind as in smoldering heap of bankruptcy rubble.Travelstar/Joystar is like any other business. Merrill Lynch's CEO for all intents ran a good company into the ground and should be made to face the music just like Bernard Madoff who conned innocent people out of $50 billion.

HT ABEL commented:

Before I became a member of a direct sales travel provider, I was engaged in the floral industry. I worked hard, offered great customer service, studied my profession and hired top-notch designers. Suddenly, the market was filled with grocery stores, WalMarts, Coscos (sic), Sam's and countless gift shops and convenience stores who began selling flowers. Did it hurt my business.... Yes. Did it anger me.... Yes. Did I have a right in our free market climate to try to obstruct them... absolutely not. All I could do is tighten up my organization, notch up my customer service and make my organization the best it could possibly be. Both industries, the floral and travel, are service oriented entities each have organizational trade groups they may join. That being said, instead of whining and complaining how about focusing in our own back yards? If the competition can't survive because of inferior service and product, it seems to me, all the windmill fighting is merely an exercise in futility.

Sylvia Schenk wrote:

I signed up 3 yrs ago with an MLM. I had been a travel agent years ago, even had my own brick-and-mortar. I was enticed by the fact I could work at home. The cost was tremendous and ongoing. After researching several true Host Agencys, I finally left the MLM. The hidden costs, no support, fighting for your commissions...no way!! If you were ever in the travel business before you can see how the MLMs are making money and maybe you will be lucky to break even.

We'd like to hear more from our readers on this hot topic. Please share your opinions and join the discussion by posting your comments below.