- in The Good by Caroline So
Is Discovery Toys A Scam? Pyramid Scheme Or Legit MLM Company?
Welcome to My Discovery Toys Review!
When it comes to multi-level marketing (MLM), the most popular products are nutritional supplements or slimming coffee that’s why when I encountered Discovery Toys, I became quickly interested.
Discovery Toys Review Summary
Name: Discovery Toys
Founders: Lane Nemeth
Product Type: Multi-Level Marketing
Price: $89 To $399 For The Business Kits + $100 Personal Volume Every Quarter
Quick Summary: Discovery Toys is a network marketing company that promotes educational toys. It also provides an opportunity to make money by selling the products and recruiting people to join the platform. Like typical MLM companies, distributors can host a party at their home or virtually.
Overall Rating: 5/10
Instead of the usual health essentials, this network marketing company is promoting kids' toys and not just any toys -- these are intended to make learning and development fun and creative.
Other than that, it comes with a business opportunity that involves recruitment.
The question is: is it worth your time?
Let’s find out in this honest Discovery Toys review.
What Is Discovery Toys About?
Discovery Toys is a multi-level marketing (MLM) company founded by Lane Nemeth in 1978. They “specialize in premium quality, kid-powered learning products” for kids. So basically, other than stimulating fun and curiosity, their toys are created for learning and development.
Headquartered in Livermore, California, the brand distributes education toys all over the USA and in Canada. But before turning into a big company, Discovery Toys was founded using a $5,000 worth of the family loan.
In 1982, the brand had over 2,500 sales consultants and in 1997, it gained $100 million in annual revenue. However, in 2011, Discovery Toys was acquired by Eos International Inc.
As of now, the current CEO of Discovery Toys is Jerry Salerno.
Discovery Toys Product Line
As mentioned, the brand promotes education toys for children and the popular one is called Marbleworks, which was released in 1982. These are colorful pipes designed differently to create a track for marbles.
I’ve personally seen one from another brand and I liked it for my kid as it encouraged him to think.
Other than that, there are many toys to choose from and you can check out their catalog for more details. For parents, the catalog is a huge help as it provides recommended toys based on the age of the kid.
Another good thing about Discovery Toys is that it’s also designed for kids and even adults with special needs. This is important for anyone with autism as these toys help them not only learn but also enhance their hand-and-eye coordination, develop their brain, and stimulate relaxation.
Overall, the brand seems to really emphasize their toys, making sure that each plays its purpose, especially for kids with special needs. The price ranges from $10 up to almost a hundred. Educational toys are usually more expensive than regular toys but since it’s from an MLM company, expect it to cost more than the ones you see online.
How To Make Money With Discovery Toys
The products that come with Discovery Toys are unique but when it comes to the opportunity, it’s almost the same as the other MLM companies, like Atomy, Sisel, Bellame, Zilis, and Life Force International.
There are two main ways to make money with Discovery Toys and the first one is by selling their toys. From this, you can earn a 25% commission.
When it comes to the pricing, the toys from this brand are more expensive than the ones found online, let’s say Amazon.
This is normal for MLM companies though and often, this is what distinguishes them from other businesses -- being overpriced.
So for distributors, this could be challenging unless the product is worth the price.
As for the reviews, Discovery Toys has received good feedback from moms and dads.
The other option, which often receives higher commissions, is to create a team. This means recruiting people to join your team and become your downline and expect them to do the same. However, since it’s a legit business model, you don’t get the compensation right after you successfully invited a new member rather, you earn a commission if your downline makes a sale.
Like other MLM brands, you can market the toys and opportunity by hosting a party, which can be done by inviting people to your home or doing it virtually.
Think Tupperware -- you invite people, especially moms and dads to your house and display the toys. You can also invite their kids because they are the main target market of the brand. So, that’s just one idea and as their distributor, you can give discounts or even freebies.
Of course, these freebies are not really free on your behalf. You have to accumulate a certain amount of sales to get at least a 10% discount. For example, if your party sales are around $100 to $250, you can get 10% discount; $250 to $500, you can get 15% discount, $500 to $700, you get 18% discount, and $700 or more, you can get 20% discount.
Anyway, when it comes to the compensation plan, the brand shares only a few details about it. One of the few things they mentioned is the 7% you’ll get from every sale that your downline makes.
Just like other network marketing companies, you need to increase your rank to increase your commissions, too. That either means selling more toys or inviting more people -- or both.
To learn more about Discovery Toys compensation plan, you can watch the video below:
Is Discovery Toys A Scam?
The brand has been in the industry for more than 30 years and until now, it’s one of the most popular toy brands in the US and Canada. The toys, although pricey, seemed to be patronized by many parents and that shows that they do provide quality. Otherwise, no one would buy it, or even if someone does, they won’t bother buying again.
That being said, Discovery Toys is a legit company that promotes education toys and an opportunity to make money from it, too. If you rely on the Better Business Bureau (BBB), you might be glad to know that it’s been accredited since 2013 with an A+ rating.
There are no major issues about the brand, too which is good. I’ve reviewed more than a dozen MLM companies in the past and most of which have scandals and have even been tagged as pyramid schemes in disguise.
As per Discovery Toys, it’s a good brand you can consider but just make sure to NOT expect a lot of things from it. Many MLM distributors have failed or had a hard time making money with this; what you can do if you really want to join Discovery Toys is to use it only as a side hustle and not as the main source of your income online.
To become a distributor of Discovery Toys, you have to purchase a Basic Startup Kit that costs $89 although sometimes, it costs $49 as part of their promotion.
There are other kits to choose from, such as:
- Business Launch Kit $129
- Business Builder Kit $399
On top of this, you have to maintain at least $100 in orders every three months (every quarter).
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Legit MLM Company
Discovery Toys has been operating for more than 30 years and MLM companies, this is a milestone because from what I’ve seen, this kind of business model is easy to be bombarded with controversies.
As with Discovery Toys, it’s good to know that they have a good reputation. Some people might have misunderstood the recruitment as a part of a pyramid scheme but unless they pay their people directly for inviting a person, I believe there’s nothing illegal about it.
Also, they don’t put heavy emphasis on recruitment as from what I see, they focus on building quality, educational toys.
Their educational toys are expensive, especially when compared to other stores online and offline but a lot of their patrons are happy with the quality so I guess the price is reasonable enough.
Low Income Potential
This is MLM in general. Since the products are expensive and there’s the need to recruit people, most MLM distributors are having a hard time making money, let alone get their investment back.
This is not a drawback actually, especially if you choose to join the right platform. However, you have to invest in training so you can enhance your skills and expertise and hopefully make money from it, too.
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Who Is It For?
This is ideal for parents who have bought their toys for their kids because there’s a chance that they see its value, thus making it easier to market. It’s also good for those who have experience with networking companies.
Overall, it’s good to know that there are companies like Discovery Toys, whose main goal is to produce almost unique quality toys. Their educational toys attend to almost everyone, even to kids and adults with special needs.
Even after 30 years, their brand has maintained a good reputation, too.
However, just like any MLM company, it can be tricky, especially if you only think about the incentives and not about the things that are needed to achieve it. You need to recruit people and expect them to do the same. You need to sell overpriced products and offer them to a limited market. You have to compete with other distributors, too.
So if you think that this is not for you, don’t worry, I have a better option.
Making money with MLM companies is almost impossible, there’s just a lot of things to do and products to purchase. You have to invite people otherwise, the selling alone won’t help you earn much commissions.
Therefore, I suggest that you try my top-recommended program because unlike networking companies, you don’t have to purchase products every month or every quarter. Plus, you have access to these things when you sign up now:
- Training resources
- One-on-one coaching
- Comprehensive guide
- Webinars to help you start your business online
- And many more!
Thank you for reading my Discovery Toys review. If you have concerns or clarifications, feel free to share it below.