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Is Scout And Cellar A Pyramid Scheme? Make Money Selling Wine Or Another Scam?
Welcome to My Scout And Cellar Review!
Multi-level marketing (MLM) left a bad stigma on many people to the point that they think it’s a downright scam. However, the business model itself is legit and has actually helped people to earn money in their free time.
Perhaps, what makes it sound like a pyramid scheme is the bold claims that are often displayed on their websites and their members’ social media accounts.
Also, the lifeblood of this business model is recruitment and unless you know how to do it, you’re less likely to make money.
XXX Review Summary
Name: Scout And Cellar
Founders: : Sarah Shadoni
Product Type: Multi-Level Marketing
Price: $249 For The Membership Fee
Quick Summary: Scout And Cellar is a network marketing company that sells "clean crafted wine" while offering an opportunity to earn an income by becoming its distributor.
It's a relatively new company with potential but there are issues. What are those? Let's find out in this review!
Overall Rating: 4/10
So before you join any MLM platforms, be sure to know how it works and it’s really worth your time.
In this post, we’ll talk about Scout And Cellar, a network marketing company whose main product is wine. Will it help you make money and unwind at the same time or is it a complete waste of time?
Is Scout And Cellar a pyramid scheme or a legit MLM online?
What makes it different from similar programs?
Let’s find out in this honest Scout And Cellar review.
What Is Scout And Cellar About?
Scout And Cellar is an MLM company that distributes wine and an opportunity to make money by promoting their products and through recruitment.
It was founded in 2017 by Sarah Shadonix and is headquartered in Texas, USA.
The founder, Sarah Shadoni, has solid experience in a legal career as an attorney before building her own business.
But before building Scout And Cellar, Sarah joined Wine Country Connect, an e-Commerce company that links wines to consumers.
While she was there, she realized that the chemicals and pesticides in the wine made her feel sick and that gave her the idea of producing wines that are free of chemical additives and synthetic pesticides.
To meet these strict criteria, they have “two rounds of independent lab testing” for her own brand, Scout And Cellar.
Wine may not be a popular product for MLM companies but Scout And Cellar’s definitely not the first to distribute it. On our website, we’ve reviewed similar brands, such as:
Scout And Cellar Product Line
As mentioned, the main product of Scout And Cellar is wine, and they have varieties to choose from, such as Red, White, Rosé, and Sparkling. They offer it in bottles and in cans, which is kind of unique.
As for the pricing, the cheapest is around $16 while the most expensive is $54.
They also offer merchandise, such as face masks, shirts, can buckets, serving boards, and more.
Is Scout And Cellar A Scam?
Scout And Cellar is not a scam. It’s a legit MLM company that produces quality wine and an opportunity to make money.
While it requires recruitment to make extra cash, members do not solely rely on it to earn an income. They can sell their wines and merchandise and if they want to obtain more, of course, that’s when they could focus on recruitment.
Unlike typical scams or low-quality programs, Scout And Cellar have a real owner who’s not hiding under a pen name.
Also, I’d like to commend their marketing which is focused on their products and not flashy lifestyles. I mean, most MLM companies showcase luxury cars and vacations and photos of holding a massive amount of cash to lure more members but with Scout And Cellar, they exhibit their wine and talk about their purpose and values.
It’s far from pyramid and Ponzi schemes and in case you’re confused about these three, here’s a quick explanation.
MLM Vs Pyramid Scheme Vs Ponzi Scheme
Multi-level marketing or also known as MLM, networking, or network marketing is a legit business model, as mentioned above. The main source of income comes from selling products, digital or tangible, and services.
There is recruitment but then again, it’s not the sole source of income.
A pyramid scheme, on the other hand, is illegal. It has no other source of cash other than the investment made by its members. That being said, it’s unstable because if there’s no recruit, then there’s no cash.
Some pyramid schemes may present themselves as MLM, posing with products or services but when you look at it and compare it to legit ones, they only use the products as a disguise but their main goal is still to recruit people to join their platform.
Meanwhile, Ponzi schemes are downright illegal. While there’s little to no recruitment involved, what they do is look for investors and promise them a big return of investment.
What’s suspicious here is that there are no products or services to sell so it’s questionable how they will grow their money.
Both pyramid and Ponzi schemes are illegal so don’t join these two at all cost.
Is Scout And Cellar A Pyramid Scheme/Ponzi Scheme?
As mentioned above, Scout And Cellar is a legit MLM platform and not a Ponzi or pyramid scheme.
It has products to make money from and while members can build their team, they don’t get compensated directly just for inviting another person instead, they earn when their downline earns first.
It’s relatively new but so far, it has no sign of being a scam.
Scout And Cellar Compensation Plan
With all the good news above, let’s talk about what would make or break your decision -- the income.
The commission depends on the total amount of your sales. If you reach up to $499, you will earn 12% commission; 15% for sales worth $500 to 1,499; 20% for sales worth $1,500 to $2,999, and 25% for sales over $3,000.
Sounds like a big deal but if you think of it, do you think it’s easy to reach $3,000 for selling a wine knowing that there are better or well-known alternatives in the marketplace?
Well, if you can’t rely on personal sales, you can grow your team and earn from your downline’s sales instead. That’s one reason why it’s good to build a team when joining an MLM, you can achieve a passive income as long as your downline’s motivated and skilled to sell expensive products.
The challenge, of course, is the recruitment part.
It’s not easy to encourage someone to join MLM, especially because they have to spend a huge amount to become a member.
Perhaps, Jon M. Taylor’s study is still significant today, and that is about 99% of MLM distributors losing money.
Anyway, if you want to learn about Scout And Cellar’s compensation plan, you can watch the video below:
How Much To Join Scout And Cellar?
To join Scout And Cellar, you have to pay $249 first. Aside from the membership, it also includes the following:
4 wine bottles
Insulated wine carriers
1.5 oz. pouring spout
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Unique Selling Point
Scout And Cellar markets their brand as clean crafted wine, which is somehow new to the market. This might give them an edge over their MLM competitors but still, their wine is a bit pricey and I don’t think people who drink alcohol really care if they are drinking something healthy or not.
I mean, it’s alcohol and you can’t simply claim that it’s healthy and essential.
One good thing about Scout And Cellar is that its owner, Sarah, is a real person and not someone hiding in another pen name. She’s credible and has good experience and knowledge about wine, too.
Expensive Membership Fee
This is not a surprise when joining MLM since it’s really an expensive business model. If you want to get your $200+ worth of investment back, you should learn how to sell costly wines and recruit people, too.
Before you become a distributor for Scout And Cellar, you have to know which states you can sell to first since some state's rules don’t allow them.
It’s because their wine includes toxic components, such as HTC, which might lead to feeling high.
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Scout And Cellar provide training to their members, which is usual in MLM companies.
That’s better since this business model is more challenging than the usual ones so it’s best to pack yourself with the right skills and knowledge.
Scout And Cellar is a good MLM company because it’s legit and has quality products to start with. It can be an option for those who are passionate about wine and recruitment.
As a challenging business model, it would take patience, time, and money before you can succeed here. There’s also a risk of losing your money so before you join, check your commitment with it first.
It’s not that I don’t recommend Scout And Cellar and MLM in particular, it’s just that it’s not for everyone. It’s ideal for those who have experienced selling in this kind of industry and not for those who have little to know about it.
Is it possible to make money without recruiting other people? The answer is yes! Recruitment, other than being hard, is often frowned upon so it’s best if you can find an opportunity that won’t require it.
And if you’re looking for one, I suggest that you join my top-recommended program and have access to the following:
- One-on-one coaching
- Comprehensive guide
- The best business tools and support you need
- Webinars and training resources
- And many more!
Thank you for reading my Scout And Cellar review. If you have any questions or comments, please feel free to share them below.