Breaking MLM News: Study Reveals 3.3% of U.S. Adults, or 7.9 Million, Purchased Herbalife Products for Personal Use in Last Three Months

Herbalife

LOS ANGELES–(BUSINESS WIRE)– Herbalife Ltd. (NYSE:HLF) today released the results of a study conducted to determine the penetration of Herbalife distributors and end users in the U.S. Herbalife engaged Nielsen, a leading global provider of information and insights into what consumers watch and buy, to conduct the research.

Herbalife

Conducted online during April and May of 2013, the survey was completed without intervention from Herbalife and the Company’s sponsorship was not disclosed. The survey was conducted among a nationally representative sample of entirely adults, aged 18 and over in the U.S., and balanced by key demographic indicators from the U.S. census, including age, gender, race, personal income and geographic region. With a sample size of 10,525 consumers, the survey had a margin of error of +/- 0.96%.

According to the research, 3.3% of the general population reported that they had purchased Herbalife products within the past three months, indicating that Herbalifecurrently has approximately 7.9 million customers when projected to the total U.S. adult population. Herbalife customers would include their distributor network, which totaled approximately 550,000 in the U.S. as of the end of the first quarter 2013.1

“This survey, conducted by one of the world’s most respected research organizations, confirms what we at Herbalife already know to be true: that Herbalife’s products have a broad consumer base here in the U.S. — nearly 8 million in the last three months — and that the majority of individuals that purchase Herbalife products do so for personal consumption,”1 stated Michael O. Johnson, Herbalife’s chairman and CEO. “Many of the national polls sponsored by major news organizations during the recent presidential election relied on sample sizes of 800 to 1,000 participants. Importantly, in this research, the sample size of more than 10,000 consumers and the corresponding very low margin of error give this survey strong credibility. Throughout our 33-year history, Herbalife has been committed to having a positive impact on the lives and health of our consumers while addressing global public health concerns: weight management and nutrition. We look forward to continuing to create meaningful results and value for all Herbalife stakeholders.”

Additional findings from the market research include2:

  • Past three month purchasers also claim to purchase Herbalife at a mean rate of every 2.2 months.
  • Weight Management is the most commonly purchased type of Herbalife product for personal use, with 95 percent of past three month Herbalife purchasers claiming to have bought this type of product.

Johnson concluded, “We believe the results of this study substantiate our belief that many of those who attack our model lack a clear understanding of the direct selling industry, and Herbalife in particular. Meanwhile, Herbalife continues to deliver record results in sales and profitability as our independent distributors go deeper into existing markets, developing more customers using our nutrition products every day.” (Click here for full report)

Troy Dooly is recognized internationally as an influencer in the areas of personal branding, leadership development, marketing campaigns, organizational expansion, and corporate launch strategies. Dooly is a speaker, results coach, and radio host. He is a founding member, show host (Beachside CEO) and News Director of the Home Business Radio Network. He is a founding member, and currently serves on the Board of the Association of Network Marketing Professionals