The multilevel marketing (MLM) sector, particularly its nutritional product segment, is at a critical juncture. Recent year-end financial reports from two prominent players, Usana and Herbalife, offer a glimmer of optimism, suggesting a potential turnaround for an industry that has experienced a notable decline in recent years. However, a deeper dive into the data reveals a more complex picture, with some segments demonstrating resilience while others continue to grapple with contraction and evolving consumer preferences.
Herbalife, the undisputed behemoth in the MLM nutritional space, announced robust fourth-quarter earnings of $1.3 billion, a significant 6.3% increase compared to the same period in the previous year. This positive momentum carried through to its full-year results. The company, recognized as the world’s largest MLM solely dedicated to nutritional product sales, reported revenues of $5 billion. While this figure remained largely stable in absolute terms, experiencing a marginal increase of less than 1% year-over-year, it represented a more encouraging 2.5% gain when adjusted for currency fluctuations. This performance underscores Herbalife’s ability to maintain its market presence, even in a challenging economic climate.
Adding a significant layer of interest to Herbalife’s financial narrative is the recent announcement of a substantial investment from global football icon Cristiano Ronaldo. Ronaldo, a long-standing brand partner of Herbalife, has invested $7.5 million to acquire a 10% stake in Pro2Col Health, a newly acquired subsidiary. Pro2Col Health is positioned as a proprietary software platform leveraging artificial intelligence to deliver personalized health recommendations to consumers. This strategic move not only injects capital into a promising technological venture but also signals a potential future direction for Herbalife, integrating cutting-edge technology with its established network marketing model. The endorsement and investment from such a high-profile figure could also serve to boost brand perception and attract new distributors and customers.
Usana, another key player in the MLM nutritional landscape, also presented a strong financial showing for both its fourth quarter and the entirety of 2025. The company reported net sales of $226 million for the fourth quarter, marking an approximate 6% year-over-year increase. For the full fiscal year, Usana achieved net sales of $925 million, reflecting a robust 8% growth compared to the previous year. These figures indicate a healthy expansion for Usana, suggesting effective strategies in product development, marketing, and distributor engagement.
The Shadow of Decline: Evidence of MLMs Lagging Behind Global Growth
Despite the encouraging reports from Herbalife and Usana, a broader analysis of the nutritional MLM sector reveals a sobering trend of contraction over the past decade. Historically, this segment enjoyed decades of consistent growth, but more recent data paints a different picture. According to industry publication Direct Selling News (DSN), which compiles an annual "Global 100" list of the top MLMs across all sectors, the five leading MLMs primarily focused on nutrition – Amway, Herbalife, NuSkin, Usana, and Nature’s Sunshine – collectively generated $17.2 billion in annual revenue in 2019.
Fast forward to 2024, and the same five companies reported a combined annual revenue of $15.4 billion. This represents a decline of $1.8 billion in absolute terms over a five-year period. To contextualize this stagnation, global Gross Domestic Product (GDP) experienced significant growth during the same timeframe. The Council on Foreign Relations reports that global GDP expanded from $87.5 trillion in 2019 to $107.8 trillion in 2024. Had the combined annual sales growth of these top five nutritional MLMs merely kept pace with the growth of the global economy, their collective revenue in 2024 would have approached an estimated $21 billion. This stark comparison highlights a significant underperformance relative to the overall economic expansion, indicating that the nutritional MLM sector has lost market share and struggled to capture a proportional increase in global economic activity.
Is the MLM Swoon Finally Ending? A Nuanced Outlook
The question on many industry observers’ minds is whether the recent positive results from Herbalife and Usana signal the end of the MLM sector’s prolonged downturn. Nature’s Sunshine is also poised to report its year-end results in early March, having already demonstrated a strong third quarter, further fueling this optimism. These individual successes suggest that certain companies within the sector are finding ways to adapt and thrive.
However, a closer examination of Usana’s performance reveals a nuanced reality. A significant portion of Usana’s recent sales gains can be attributed to its direct-to-consumer supplement subsidiaries, which operate outside the traditional MLM framework. The company’s core MLM business, the direct sales network that has historically defined its model, has exhibited stagnant growth. This suggests that while Usana as a whole is growing, its primary MLM engine may not be experiencing the same revitalization.
The performance of other major players further complicates the picture. NuSkin, for instance, has reported disappointing results. Its full-year revenue for 2025 fell short of its 2024 figures by more than 16%. This decline underscores the challenges some established MLM companies face in maintaining sales momentum and adapting to evolving market dynamics.
Amway, although a privately held company, typically releases an annual earnings statement that has, in recent years, shown a pattern of declining revenues. For 2024, Amway reported revenue of approximately $7.4 billion, a 3% decrease from 2023. This marks a significant drop from its peak performance, when the company once generated nearly $12 billion in annual revenue, according to DSN. This downward trend at Amway, a company that has long been a cornerstone of the MLM industry, indicates that the challenges are not isolated to smaller players but are affecting even the largest entities.
Factors Influencing the MLM Landscape
Several interconnected factors are likely contributing to the mixed performance within the nutritional MLM sector. The rise of e-commerce and direct-to-consumer (DTC) models has fundamentally altered how consumers access products, including supplements. Many consumers now prefer the convenience and transparency offered by online retailers and brands that sell directly, bypassing the traditional MLM distributor network.
Furthermore, increased scrutiny from regulatory bodies and a growing awareness among consumers regarding the business models of MLMs have also played a role. Lawsuits and investigations into pyramid scheme allegations have cast a shadow over the industry, leading some consumers to be wary of direct sales solicitations. The emphasis on recruitment over product sales in some MLM operations has also drawn criticism and contributed to a decline in public trust.
The competitive landscape has also intensified. The supplement market itself is crowded, with numerous brands, both established and emerging, vying for consumer attention. Consumers have access to a wider array of product choices and information than ever before, making it more challenging for any single distribution model to dominate.
The Role of Technology and Innovation
The strategic investment by Cristiano Ronaldo in Herbalife’s Pro2Col Health subsidiary highlights the growing importance of technology and innovation in revitalizing the MLM model. AI-driven health recommendations, personalized wellness platforms, and sophisticated digital tools for distributors can potentially enhance customer engagement and streamline business operations. Companies that can effectively integrate these advancements into their offerings may be better positioned to navigate the evolving market.
The ability of MLMs to leverage technology for distributor training, customer acquisition, and personalized product recommendations could be a key differentiator. As consumers become more digitally savvy, MLMs that can offer a seamless online experience, coupled with the personal touch of a distributor, might find a renewed path to growth.
Looking Ahead: A Segmented Future
The future of the nutritional MLM sector is likely to be segmented. Companies that can demonstrate genuine product value, maintain ethical business practices, and adapt to technological advancements and changing consumer preferences are more likely to succeed. Those that remain entrenched in older models or fail to address concerns about transparency and recruitment may continue to struggle.
The success of Herbalife’s foray into AI-powered health technology, supported by a high-profile investor, could serve as a blueprint for other MLMs seeking to innovate. Similarly, Usana’s diversified approach, combining its core MLM business with successful DTC subsidiaries, suggests that a multi-pronged strategy may be more resilient.
The decline in overall revenue for the top nutritional MLMs compared to global economic growth serves as a critical indicator. It suggests that the industry, as a whole, needs to innovate and evolve to regain its former standing. The recent earnings reports from Usana and Herbalife offer a ray of hope, but the long-term sustainability of the MLM model in the nutritional supplement market will depend on its ability to embrace change, build trust, and deliver consistent value to both consumers and its network of distributors. The coming years will be crucial in determining whether this sector can truly emerge from its slump or if the current positive indicators are merely temporary fluctuations in a broader, ongoing transformation.