Talk:Vector Marketing

Latest comment: 9 months ago by Erranna in topic "Not a pyramid scheme"

Los Angeles Times source edit

I wanted to explain a bit why I edited the article to downplay the Los Angeles Times source. I have no connection to Cutco or Vector Marketing, and in fact I think their recruiting practices are a bit scammy, but Wikipedia was using the LA Times to claim that Vector "meets the Federal Trade Commission's exact definition of a multi-level marketing company". However, this was sloppy reporting by the LA Times at best, and willful misrepresentation at worst. It's true that the FTC source cited by the article says MLM companies sell their products or services through person-to-person sales, and that Vector sells Cutco knives through person-to-person sales, but the FTC article never claimed that was the definition of an MLM, it was just using it to describe MLMs. It's like quoting an article that says "Tuna live in the ocean, eat small fish, and can weigh up to 1500lbs" to claim that bottlenose dolphins meet the exact definition of tuna. To prove that the FTC never intended that to be the definition of an MLM, one just has to look at the page at https://www.ftc.gov/tips-advice/business-center/guidance/business-guidance-concerning-multi-level-marketing, where it says:

Direct selling is a blanket term that encompasses a variety of business forms premised on person-to-person selling in locations other than a retail establishment, such as social media platforms or the home of the salesperson or prospective customer.

Multi-level marketing is one form of direct selling. Generally, a multi-level marketer (MLM) distributes products or services through a network of salespeople who are not employees of the company and do not receive a salary or wage. Instead, members of the company’s salesforce usually are treated as independent contractors, who may earn income depending on their own revenues and expenses. Typically, the company does not directly recruit its salesforce, but relies upon its existing salespeople to recruit additional salespeople, which creates multiple levels of “distributors” or “participants” organized in “downlines.” A participant’s “downline” is the network of his or her recruits, and recruits of those recruits, and so on.

In other words, the article cited by the LA Times was using the definition of direct selling to describe how MLMs operate, and while this is accurate because MLMs are a form of direct selling, it doesn't mean that all direct selling companies are MLMs. In the case of Vector/Cutco, there are no multiple levels or downlines. The do seem to offer referral bonuses for recruiting people, but frankly so do most companies these days (an no one's claiming Uber or DoorDash are MLMs). We should be describing Vector/Cutco as they actually are, a somewhat predatory single-level direct selling company with a controversial history of misleading business and recruiting practices, not as an MLM. --Ahecht (TALK
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"People also ask" on Google edit

For the search "Cutco Scam", one of the questions: "Is vector Cutco a pyramid scheme?" Links to this page, but only pulls this paragraph.

"Vector claims they are a single-level direct selling marketing company, not a multi-level marketing company, and **they are not a pyramid scheme** as its detractors claim."

  • double asterisk indicates the bold sentence.

It is unknown if this was intentionally edited this way to manipulate the Google searches, but it should be investigated. 135.180.154.77 (talk) 05:29, 26 February 2023 (UTC)Reply

We don't control how Google pulls and shows results. But no, that wasn't written with Google's searches in mind. In fact, I can't think of any part of Wikipedia designed with Google in mind. I'm not sure what you'd suggest we change? CaptainEek Edits Ho Cap'n! 06:00, 26 February 2023 (UTC)Reply

"Not a pyramid scheme" edit

The final sentence of the lead ("Vector claims they are a single-level direct selling marketing company, not a multi-level marketing company, and they are not a pyramid scheme as its detractors claim.") seems a little confusing and perhaps should be clarified. It's not clear if the final clause ("and they are not a pyramid scheme as its detractors claim") is being attributed to Vector or not. I assume that it is. In that case, a better version might read "Vector claims that they are a single-level direct selling marketing company, not a multi-level marketing company or pyramid scheme as its detractors claim.) I didn't just make the edit because this topic seems contentious and I might be misinterpreting something. Erranna (talk) 21:23, 2 July 2023 (UTC)Reply

@Erranna Done, good suggestion. CaptainEek Edits Ho Cap'n! 02:49, 3 July 2023 (UTC)Reply
@CaptainEek Thank you! Erranna (talk) 16:41, 3 July 2023 (UTC)Reply