Ponzinomics & Predatory Business Models

When “Trust the Process” Isn’t What It Seems

A Deep Dive into MLMs with Robert L. FitzPatrick

When I first joined a multi-level marketing company, it felt like destiny. Freedom. Empowerment. Community. So much so that I tattooed “trust the process” on my body as a daily reminder. But the deeper I got, the more I noticed the cracks: emotional manipulation, magical thinking, and an almost religious silencing of doubts.

If you missed last week’s episode here is the deep dive of my own experience.

That’s why I’m thrilled to share this week’s podcast interview with Robert L. FitzPatrick. Robert has been sounding the alarm on MLMs for decades, long before it was common to describe them as cult-like. He’s the author of Ponzinomics: The Untold Story of Multi-Level Marketing, co-author of False Profits, and a respected expert cited by the BBC, The New York Times, and courts alike. For years, he’s been giving people the tools (language, data, and perspective) to recognize MLMs for what they truly are: predatory business models, not opportunities.

Here is the image of the “Airplane Game” we reference in the interview

In this episode, we cover:

  • The Spark: Robert’s first encounter with a scam-like business in the 1980s, which pushed him into decades of research on MLMs and fraud—mirroring the way my own personal MLM experience prompted deep self-examination.
  • Why “Not All MLMs” Is a Myth: The business model itself is designed to funnel money upward, making it impossible for the vast majority to succeed, regardless of the company or product.
  • Puritan Theology & Prosperity: How old ideas linking wealth to virtue evolved into the prosperity gospel, and how MLMs exploit that mindset.
  • Cultural Hooks: From hustle culture to self-improvement mantras and spiritual undertones, MLMs borrow heavily from mainstream culture to recruit and retain followers.
  • Narrative Control: How pre-scripted objections, emotional manipulation, and silencing tactics maintain loyalty and block critical thinking—something I’ve noticed both in MLMs and high-control religious groups.
  • The Hard Numbers: Realistic odds of success are brutal—most recruits lose money, almost all quit within a year, and mandatory purchases like “Healthy Mind and Body” programs or the Isabody Challenge trap participants financially and emotionally.
  • Legality & Political Protection: If MLMs are fundamentally unfair, how are they still legal? And what protects them politically?
  • Beyond the MLM Mindset: MLMs don’t just drain your wallet—they reshape identities, fracture communities, and erode trust in yourself and others.

This conversation is essential for anyone curious about MLMs, whether you’ve been drawn into one, have friends or family involved, or are simply interested in understanding how these systems work under the surface. Robert’s insights give us not just the numbers, but the language and tools to recognize the scam and the courage to break free from it.

Tune in for an eye-opening conversation that goes beyond the hype and digs into the real human cost of MLMs.

Links 

rfitzpatrick@pyramidschemealert.org

www.pyramidschemealert.org

Twitter: @pyramidalert

FB: @ponzinomicsthebook

Further reading: 

Goodbye FTC 

Quiz: How Many MLMs Are There? 

Institutional Support for Multi-Level Marketing in America Is Cracking

Taste0ftruth Tuesdays Previous blogs on MLMs

The MLM Illusion: Selling a Dream or a Trap?

Why MLMs Exploit Magical Thinking

Uncover how MLMs and high-control religions exploit narratives to control and isolate you

Lottery Odds vs MLM: Which Poses a Higher Financial Risk?

Previous Interviews:

Deconstructing Deception: MLMs, Exploitation & Online Influencers

From Serendipity to Scrutiny: The Truth Behind MLMs and Coercive Control

The Dark Side of Manifestation and MLMs

✨Let’s talk Manifestation & MLMs✨

In recent decades, the Law of Attraction has become one of the most influential belief systems in wellness, self-help, and multilevel marketing (MLM) circles. Its premise is seductively simple: your thoughts shape your reality. Think positively, and abundance will flow; dwell on negativity, and you’ll attract misfortune.

We have discussed the pitfalls of Law of attraction in a previous episode, you can find here.

🎙️ Another throwback episode is linked below, where I unpack my journey from wellness fanatic within MLM into a high-control religion. Together, we explore the wild “crunchy hippie to alt-right pipeline.” 🌿➡️🛑 social media, influencers, and wellness hype quietly nudge people toward extreme ideas, and in this episode, we break down exactly how. 🎧🔥

This modern doctrine of “mind over matter” is often traced to The Secret (2006) by Rhonda Byrne, but its genealogy is much older. It reaches back to New Thought philosophy of the 19th century, where figures like Ralph Waldo Emerson, Phineas Quimby, and later Mary Baker Eddy (founder of Christian Science) claimed that divine thought itself was the engine of reality. These Mind Cure and faith healing movements linked spirt and matter together. Disease, poverty, and suffering were seen as products of “wrong or stinking thinking.” Salvation was not just spiritual but cognitive: change your thinking, change your life.

and so again I say: It is shockingly right instead of shockingly wrong of you to be prosperous. Obviously, you cannot be very happy if you are poor and you need not be poor. It is a sin. –Catherine Ponder (The Dynamic Laws of Prosperity)

In fact, it is the search for spiritual healing of the body that led to what is known today as prosperity consciousness or in Christian evangelism, it’s prosperity theology.

That intellectual lineage matters because it shows how the Law of Attraction has always been more than a harmless pep talk. It represents a cosmology of control, one that locates all responsibility (and blame) within the individual mind. As we have discussed many times before, Jonathan Haidt observes in The Righteous Mind, belief systems serve a dual function: they bind communities together and blind them to alternative explanations.

In this sense, the Law of Attraction doesn’t just inspire positive thinking; it narrows. By framing success and failure as purely mental vibrations, it obscures structural realities like economic inequality, physical health and genetic limitations, racism, or corporate exploitation.

And that narrowing is precisely what makes it the perfect handmaiden to MLM culture.


When Positive Thinking Becomes a Business Model

Robert L. FitzPatrick, in False Profits and Ponzinomics, describes MLMs as “endless chain” recruitment schemes. What sustains them isn’t product sales but the constant influx of hopeful recruits. Yet these schemes require something more than numbers: they require belief.

Here, the Law of Attraction becomes the MLM’s best salesman. Distributors are told:

  • Failure isn’t about the structure of the business; it’s about your mindset.
  • Doubt is “negative energy” that will block your success.
  • Quitting is not just a business choice but a moral failing.

In the Amway training program, the “ABCs of Success” are “Attitude, Belief and Commitment.” Attitude was the key which must be guarded. Don’t let anyone steal your attitude. Negative was defined as “whatever influence weakens your belief and commitment in the business” -False Profits

This is where Norman Vincent Peale’s “positive thinking” gospel dovetails with MLM. In his 1948 book Positive Thinking for a Time Like This, Peale popularized the phrase

“Let go and let God. Let Him take over your life and run it. He knows how.”

While originally a call to spiritual surrender, the phrase has since been weaponized in countless contexts from Holiness movements to Alcoholics Anonymous to prosperity preaching. At its worst, it functions as a silencer: don’t question, don’t resist, don’t think critically. Just “let go,” and trust that outcomes (or uplines) will provide.

Eastern Orthodox Christianity has a word for this: prelest. It’s the belief that human beings are so easily deceived that any private sense of spiritual progress — a feeling of clarity, joy, empowerment, even a mystical experience — can’t be trusted on its own. Without humility and the guidance of a spiritual father, you’re told it may just be pride, delusion, or the devil in disguise.

That’s the trap: you can’t trust your own mind, heart, or gut. The only “safe” option is obedience to the system. Which is exactly how MLMs and other high-control groups operate — undermining self-trust to keep you dependent.

Nietzsche would have called this a kind of slave morality, a belief system that encourages resignation to suffering rather than rebellion against unjust structures. The Law of Attraction, framed in this way, doesn’t challenge MLM exploitation; it sanctifies it.

More powerful than any product, charismatic leader, or compensation plan, the MLM mindset materials (the tapes, courses, and “personal development” kits) are the prime tools used to recruit and control distributors. Once you’re in the system, you’re encouraged to buy these materials week after week, keeping you invested emotionally and financially while feeding the company’s bottom line.

I went back through my Facebook to find some goodies for you! 😜This photo says “My energy creates my reality. What I focus on is what I will Manifest.” Here is the original caption so you can hear how brainwashed I was. “💥🙌🏼Belief is a feeling of certainty about something, driven by emotion. Feeling certain means that it feels true to you and therefore it is your reality. 💥🙌🏼 💪🏼 What you focus on you find 💪🏼 👀 You’ve got to believe it, to see it 👀”

Flashback to my first corporate event Aug 2016. My upline purchased my flight basically forcing me to go.

My caption at the time: 🤮

🔥IGNITE YOUR VISION! 🔥
⚡Attended an event that changed my life. Showed me the massive vision of this company.
🤗Join our passionate, growing team of 18-35-year-olds striving for extraordinary lives and ownership of health, dreams, and contributions.
🤩Returning to this LIFE CHANGING event soon! Nashville, TN—let’s learn, grow, and celebrate!

Sounds inspiring, right? Except what they’re really selling is mandatory product purchases, endless hype, and a community that keeps you chasing the next status milestone. That “massive vision” isn’t about your health or dreams—it’s about the company’s bottom line.

Words like passionate, extraordinary, innovators, ownership are carefully chosen psychological nudges, making you feel like life itself is on the line if you’re not on board. And the countdown to the next “life-changing” event? Keeps you spending, attending, and emotionally hooked.

This is exactly what FitzPatrick calls out in Ponzinomics: the sales rep is the best customer. Only a tiny fraction of participants earn anything; the rest are paying to stay inspired.

More flashback images from my cult days….


The Psychological Toll

When these elements collide the New Thought inheritance of “mind over matter,” Peale’s positive thinking, religious community networks and MLM compensation plans… the result is a high-control environment dressed in empowerment language.

The outcomes are rarely empowering:

  • Blame and guilt when inevitable losses occur.
  • Anxiety from the demand to maintain “high vibrations.”
  • Suppression of doubt, lest skepticism be mistaken for weakness.
  • Financial harm disguised as personal failure.

In wellness communities, this logic extends beyond money. If essential oils don’t heal your illness, it’s because your mindset was wrong. If the diet doesn’t work, it’s because you didn’t “believe” enough. Structural realities (biology, medicine, inequality) are flattened into personal responsibility.

As Haidt warns, morality (and by extension ideology) can both bind and blind. The Law of Attraction, when paired with MLM, binds participants into a shared culture of hope and positivity while blinding them to exploitation.


Connecting the Dots: Bodybuilding, Metabolism & Team Isagenix

A couple weeks ago on the podcast, I shared about my bodybuilding years and the metabolic fallout I still live with today. I had forgotten how much of that season was actually entangled with my Isagenix obsession. My upline (the couple who enrolled me) were a part of Team Isagenix®, and I craved the validation of being “seen” as a successful athlete inside that community.

The requirements were brutal: placing in the top three of multiple competitions in a short span of time. So, between May 2017 and October 2018, I crammed in four shows in just 18 months. No off-season. No recovery. Just constant prep cycles. My metabolism never had a chance to stabilize, and I pushed myself past healthy limits. I wrecked my body and I’m still paying the price.

This is why I push back so hard when people insist that success is all about having a “positive enough” attitude to manifest it. My mindset was ironclad. What I lacked the conscious awareness that valued human health over recruitment and body image. That drive wasn’t just about stage lights and trophies. It was about proving my worth to an MLM culture that dangled prestige as the price of belonging. Team Isagenix® made the bar steep, and I was determined to clear it, no matter the cost.

And if you need proof of how deep this “mindset over matter” indoctrination goes, look no further than my old upline…now rebranded as a Manifestation Coach. Picture the classic boss-babe felt hat, paired with a website promising “signature mindset tools for rapid results.” According to her, if fear or doubt was “shrinking your dreams,” this was your moment to “flip it.” She name-drops 8-figure companies, influencers, and visionaries (the usual credibility glitter) while selling memberships, live events, and 7-day challenges.

It’s the same pitch recycled: your struggle isn’t systemic, it’s your mindset. If you’re not living your “life you truly love,” it’s because you haven’t invested enough in flipping the script (with her paid framework, of course). The MLM grind culture just got a new coat of “manifesting” paint.


🧠 Isagenix Programs & Their Psychological Impact

  • Healthy Mind and Body Program: A 60-day “mindset” initiative framed as holistic wellness. In practice, it ties product use to personal development, creating behavioral conditioning and binding members into a sense of shared identity and belonging. 🚩
  • IsaBody Challenge: A 16-week transformation contest requiring regular Isagenix product purchases. Completion comes with swag and vouchers; finalists are paraded as “success stories,” gamifying loyalty and dangling prestige as bait. The grand prize winner earns $25,000 but most participants earn only deeper entanglement. 🚩
  • Team Isagenix: Marketed as a prestige group for elite athletes with current national certifications, offering exclusivity and aspirational branding. This elevates certain members as “proof” of the products’ legitimacy, fueling both loyalty and recruitment. 🚩
  • Product Consumption: Isagenix requires 100 PV every 30 days just to remain “active.” This equates to about $150/month you HAVE to spend. On paper, bonuses and ranks promise unlimited potential. In reality, most associates struggle to recoup even their monthly product costs. Personal development rhetoric and community belonging often eclipse these financial realities, keeping participants cycling through hope, debt, and blame. 🚩

🤮🐦‍🔥 “Transform Your Life with Isagenix | Empowering Wellness and Wealth” 🐦‍🔥 🤮

Watch closely, because this is where the magic happens: the company paints a picture of limitless opportunity, but as Robert L. FitzPatrick lays out in Ponzinomics, the secret is that the sales rep is the best customer. That’s right… the real profits aren’t coming from your vague dreams of financial freedom; they’re coming from the people who are already buying the products and trying to climb the ranks.

The numbers don’t lie. According to Isagenix’s own disclosure: the overall average annual income for associates is $892. Among those who actually earned anything, the average jumps to $3,994. Do the math: $892 ÷ $3,994 ≈ 0.223 — meaning only about 22% of associates earn anything at all. The other 78%? Zero. Nada. Zilch.

And before you start fantasizing about that $3,994, remember: that’s before expenses. Let’s run a realistic scenario based on actual product spend:

  • $150/month on products or promotional materials = $1,800/year → net ≈ $2,194 − $1,800 = $1,194 before other costs.
  • Factor in travel, events, or socials? That $1,194 could easily drop to near zero…or negative.

The point: the so-called “income potential” evaporates fast when you account for the mandatory spending MLMs require. The only thing truly transformed is the company’s bottom line, not yours.

No wonder the comments are turned off.

Apparently, nobody actually crunches the numbers while the marketing spiel promises energy, strength, and vitality as if a shake could fix financial exploitation, metabolic burnout, and guilt-tripping at the same time.

My story is just one case study of how these tactics play out in real lives: I was recruited through trusted connections, emotionally manipulated with promises of transformation, pressured into relentless product use, and left with financial strain and long-lasting health consequences. That’s the “empowerment” MLMs sell and it’s why scrutiny matters.


Cultural Ecosystems That Enable MLMs


MLMs don’t operate in a vacuum. They flourish where belief structures already normalize submission to authority, truth-claims, and tightly networked communities. Evangelicals and the LDS Church provide striking examples: tight-knit congregations, missionary training in persuasion, and a cultural emphasis on self-reliance and communal obligation create fertile ground for recruitment.

Companies like Nu Skin, Young Living, doTERRA, and Melaleuca have disproportionately strong followings in Utah and among Mormon communities. FitzPatrick notes that MLMs thrive where trust networks and shared values make persuasion easier. The kind of environment where aspirational marketing and “prestige” teams can latch onto pre-existing social structures.

In short, it’s not just the products or the promises of positive thinking; it’s where belief, community, and culture all collide… that allows MLMs to hook people and keep them chasing elusive success.


Beyond Magical Thinking

The critique, then, is not of hope or positivity per se, but of weaponized optimism. When mantras like let go and let God or just thinking positive to manifest it are used to shut down discernment, discourage action, or excuse exploitation, they cease to be spiritual tools and become instruments of control.

Nietzsche challenged us to look beyond systems that sanctify passivity, urging instead a confrontation with reality even when it is brutal. FitzPatrick’s work extends this challenge to the world of commerce: if we truly care about empowerment, we must be willing to see how belief systems can be manipulated for profit.

That’s why MLMs and the Law of Attraction deserve scrutiny. Not because they promise too much, but because they redirect responsibility away from unjust structures and onto the very people they exploit.


Coming Up: A Deeper Dive

Next week on the podcast, I’ll be speaking with Robert L. FitzPatrick, author of False Profits and one of the world’s leading experts on MLMs. With decades of research, FitzPatrick has testified in court cases exposing fraudulent MLM schemes and helped unravel the mechanisms behind these multi-billion-dollar operations. He’s seen firsthand how MLMs manipulate culture, co-opt spirituality, and turn belief itself into a product.

Stay tuned. This is a conversation about more than scams, it’s about the machinery of belief, and how it shapes our lives in ways we rarely see.

Taste0ftruth Tuesdays Previous blogs on MLMs

The MLM Illusion: Selling a Dream or a Trap?

Why MLMs Exploit Magical Thinking

Uncover how MLMs and high-control religions exploit narratives to control and isolate you

Lottery Odds vs MLM: Which Poses a Higher Financial Risk?

Previous Interviews:

Deconstructing Deception: MLMs, Exploitation & Online Influencers

From Serendipity to Scrutiny: The Truth Behind MLMs and Coercive Control

References/Suggested Reading

  • Byrne, Rhonda. The Secret. New York: Atria Books, 2006.
  • Eddy, Mary Baker. Science and Health with Key to the Scriptures. Boston: The Christian Science Publishing Society, 1875.
  • Emerson, Ralph Waldo. The Essential Writings of Ralph Waldo Emerson. Edited by Brooks Atkinson. New York: Modern Library, 2000.
  • FitzPatrick, Robert L. False Profits: Seeking Financial and Spiritual Deliverance in Multi-Level Marketing and Pyramid Schemes. Charlotte, NC: Herald Press, 1997.
  • FitzPatrick, Robert L. Ponzinomics: The Untold Story of Multi-Level Marketing. Charlotte, NC: Skyhorse Publishing, 2020.
  • Haidt, Jonathan. The Righteous Mind: Why Good People Are Divided by Politics and Religion. New York: Vintage Books, 2012.
  • Nietzsche, Friedrich. On the Genealogy of Morals. Edited by Walter Kaufmann. New York: Vintage Books, 1989 (originally published 1887).
  • Peale, Norman Vincent. Positive Thinking for a Time Like This. New York: Prentice-Hall, 1948.
  • Quimby, Phineas P. The Quimby Manuscripts. Edited by Horatio W. Dresser. New York: Thomas Y. Crowell, 1921.
  • Wallace, David Foster. “Consider the Lobster.” In Consider the Lobster and Other Essays. New York: Little, Brown, 2005. (Useful on consumer culture critique, if you want a modern edge.)