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McGilli is suspected of pyramid schemes! The market chaos behind the star effect

author:Scavenger view of the world

In recent years, domestic skin care products have become popular, and there are celebrities and beauty bloggers on major online platforms, which has attracted many admiring people who want to get a piece of the pie. In fact, for entrepreneurs, the rise of many micro-business brands not only did not bring a glimmer of life, but also caused frustration and misfortune. Among them is the micro-business brand "McGillid", which regards itself as a high-end domestic skin care product. What is such a fast-growing brand relying on?

McGilli is suspected of pyramid schemes! The market chaos behind the star effect

Enterprise investigation data shows that McGilli Biotechnology Co., Ltd. (hereinafter referred to as "McGilli") was established on May 28, 2014, with a registered capital of 80 million yuan and a paid-up capital of 0. Guo Miao, the legal representative and actual controller, holds 99% of the company; Guo Yang, a shareholder, holds 1% of the shares.

Public information shows that In just a few years, McGilli has developed from scratch to 300,000 dealers and 800 offline counters, and many celebrities have recommended the brand's products for fans on Weibo. The heavy advertising campaign has made many people become the "ministers under the skirt" of this brand for a while.

However, under this gorgeous and glamorous appearance, there is chaos.

Multi-level distribution has been alleged to be involved in transmission.

It is understood that the operation mode of McGilli adopts a micro-business agent, and the agent level is divided into four levels, which are the first level agent (security deposit 10,000 yuan, the first batch of payment 150,000 yuan, the minimum replenishment of 20,000 yuan), the municipal agent (3,000 yuan, the first batch of loans 32,000 yuan, the minimum replenishment of 5,000 yuan), distributors (security deposit of 1,000 yuan, the first batch of payment of 9,000 yuan, the minimum replenishment of 3,000 yuan) and special dealers (deposit of 1,000 yuan, The first batch of goods is 4,000 yuan, and the minimum replenishment is 1,000 yuan).

McGilli is suspected of pyramid schemes! The market chaos behind the star effect

Through McGilli's operating model, it can be seen that the way to make a profit is to earn a difference between agents, and the huge price difference has attracted countless agents to throw themselves away. Taking the McGillis Suyan trilogy product as an example, the original retail price at the counter was 3160 yuan, and the discounted special price was generally 2800 yuan. The fourth-level agent takes a set of the product price of 1720 yuan, if the fourth-level agent sells the product according to the market price of 3160, it is equivalent to getting 1440 yuan of remuneration; the third-level agent takes the price of the product 1260 yuan, and the second-level agent takes the product for only 990 yuan. By analogy, the higher the "high-level" agent, the lower the price of the goods, and the price of the total generation level is less than 500 yuan.

Agents can not only sell goods to consumers, but also distribute them directly to the next level of agents. For example, if a third-level agent takes a set of McGillis Suyan trilogy for 1260 yuan, it can be sold to a fourth-level agent at a price of 1720 yuan according to the fourth-level agent, and can get paid 460 yuan. That is to say, a set of McGilli Suyan trilogy products, if the general agent takes the price of 500 yuan from the company, distributes it layer by layer, sells it to the director for 620 yuan, the director sells to the first-level agent for 780 yuan, the first-level agent sells to the second-level agent for 990 yuan, the second-level agent sells to the third-level agent for 1260 yuan, the third-level agent sells to the fourth-level agent for 1720 yuan, and the fourth-level agent sells to the consumer for 3160 yuan.

In the end, their respective profits were as follows: the general agent was paid 140 yuan, the director was paid 160 yuan, the first-level agent earned 210 yuan, the second-level agent earned 270 yuan, the third-level agent earned 460 yuan, and the fourth-level agent earned 1440 yuan. Through the model of "exploitation" layer by layer, the price of the goods that consumers finally buy is 6 times that of the total agent.

As a result, some people have made a lot of money through micro-business McGilli, but at the bottom, there are more agents who are complaining, so the chaos in the market has also begun to emerge endlessly. Some agents said on the Internet, "When you pay the deposit, you get it in minutes, and when you don't want to return, do a good job of preparing for half a year, one or two years, almost a year can't refund the deposit, all kinds of reasons to push!" At the same time, she also said, "Now There are too many price chaos in McGilli, which can't be done at all, and you can enjoy the price of the agent without being an agent, and there is no need to be an agent." Other agents also agreed, "The deposit can not be refunded at all, my agent has long expired, it has been almost three years, and the deposit has not been refunded until now." ”

According to the law, more than three levels of distribution may involve pyramid schemes. In practice, the sales level of individual micro-businesses far exceeds the third level, and in recent years, there are as many as a dozen levels of micro-business sales involved in transmission. In order to avoid pyramid schemes, many micro-merchants have adopted a superficial two-level sales model, which seems to be a legal level, but in fact, the essence is to transform the traditional vertical level into a horizontal level. For example, A development of the downline B, when B sales or development of the head to a certain number, will rise to the same level as A, at this time, A can be through a variety of names and then to B sales to obtain the proportion, so that the rebate model will be extended from the level infinitely, this horizontal rebate model, refers to the horizontal between the substantial formation of upper and lower line relationship, the line below the line performance as a rebate standard, accumulated more than twice, in fact constitutes a substantial pyramid scheme form.

In recent years, the popularity of micro-business in the mainland has gradually faded, and after that, where will McGilli, who has been frequently exposed and questioned, go? How long will the brand flaunt? We will continue to pay attention.

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