spirosgyros.net

The Great Wellness Deception: Unpacking the Multi-Billion-Dollar Industry

Written on

For a segment of the American populace, the answer to the societal challenges of 2020 is crystal clear: Essential Oils.

Extracted through the distillation of certain plants, essential oils are potent concentrates believed by some to offer health benefits via inhalation (through aromatherapy) or topical application.

In 2018, the essential oil industry generated $7 billion, with projections suggesting it could reach $14.6 billion by 2026—assuming it doesn't collapse first. Young Living, the leading essential oil producer, reported revenues of $1.5 billion in 2017.

This fascination with essential oils is a minor facet of the broader Natural Wellness or “Naturopathy” Movement, a lucrative industry that aims to convince healthy individuals that they are unwell, pushing them towards alternative medicines and natural remedies to maintain a “holistic” lifestyle.

It’s important to note that there is nothing inherently wrong with adopting a more health-conscious and natural lifestyle. However, discussions about “wellness” often overlook the significant role that personal wealth plays in individual health outcomes.

Recently, the Naturopathy Movement has become linked to Multi-Level Marketing (MLM) companies that promote products such as diet supplements, nutrient shakes, superfood vitamins, skincare items, and, notably, essential oils.

Many of these offerings exploit our cultural insecurities regarding body image and fitness, epitomizing “magical thinking.” (For instance, any product marketed as a means to “detoxify” the body is likely a scam).

In my view, the Naturopathy Movement responds to two pervasive issues in American society:

  1. Women's healthcare in the U.S. is profoundly inadequate. As the healthcare system increasingly fails women, the allure of “alternative medicine” and the chance to take health matters into one’s own hands grows. It’s no surprise that most naturopathy products (like essential oils and herbal remedies) are targeted primarily at women.
  2. Although modern medicine has eradicated numerous diseases and significantly increased life expectancy, the myth that “things were better in the past” persists. This notion, rooted in privilege and collective forgetfulness, fosters a prideful “anti-establishment scientific illiteracy” that is easily exploited by misinformation campaigns.

Yet, the situation is far more nuanced. Economic instability and eroding trust in institutions contribute to the rise of “wellness” MLMs, coupled with two distinctly American traits: a penchant for “get rich quick schemes” and a well-documented tendency to fall for quack science and miracle cures.

# Nothing New Under the Sun

The phrase “snake oil salesman” dates back to the 19th century, typically describing a fraudster selling bogus medical remedies.

For millennia, ancient cultures relied on shamans, medicine men, and witches for herbal treatments and protections against ailments—often seen as manifestations of malevolent spirits or angry deities.

Before the advent of Germ Theory in the 19th century, doctors resorted to an array of bizarre “natural cures” for various conditions, including “water cures,” bloodletting, and “pelvic massage therapy.”

The original “snake oil” came to the U.S. in the mid-1800s with Chinese laborers working on the Transcontinental Railroad. They used the oil from Chinese water snakes to alleviate joint pain after long days.

This oil, rich in omega-3 fatty acids, did possess anti-inflammatory properties. However, as its popularity grew, unscrupulous entrepreneurs capitalized on the trend.

Soon, itinerant salesmen began hawking “snake oil” in small vials, claiming it could cure everything from typhoid to erectile dysfunction, often backing their claims with dubious “ancient Indian recipes” for legitimacy.

William Rockefeller Sr., father of John D. Rockefeller, amassed a fortune selling patented “miracle cures,” such as a “pink elixir” that purported to treat all illnesses. Another notable fraudster, Benjamin Brandreth, marketed a “vegetable pill” said to detoxify the blood and cure the flu, later serving as a New York State Senator.

The absurdity of these miracle cures eventually prompted the government to intervene, leading to the passage of the Pure Food and Drugs Act of 1906, which aimed to prohibit the sale of unsafe and mislabeled products. This act laid the groundwork for the FDA.

However, the FDA could not quell America’s fascination with pseudoscience and miracle oils.

For instance, in the 1990s, emu oil gained significant popularity in Texas, touted for its supposed ability to treat arthritis, lower cholesterol, and slow aging. Texas ranchers quickly acquired the large, flightless birds, only for the emu oil bubble to burst, leaving them with unwanted flocks.

Then came Gary Young, founder of Young Living Essential Oils, whose backstory is notably controversial.

In a 2017 article for The New Yorker, Rachel Monroe details Young's ascent from obscurity to Naturopathy icon—an essential read.

According to Young Living lore, he overcame a severe spinal injury by drinking lemon juice and water over several months.

In 1982, Young opened a health clinic and birthing center in Spokane, Washington. That same year, he attempted to deliver his daughter in a whirlpool, resulting in her tragic death after being submerged for “an hour.” Young was arrested, but charges were dropped, with the death classified as accidental.

The following year, Young pleaded guilty to practicing medicine without a license, prompting the closure of his Washington clinic. He subsequently opened a clinic in Tijuana, Mexico, offering a “$2,000-a-week detox program,” and later another clinic in Chula Vista, California, which was shut down for fraudulent medical practices.

Young became captivated by the therapeutic potential of essential oils, spending time in France learning lavender distillation. Upon returning to the U.S., he purchased land in Idaho to cultivate lavender and peppermint, co-founding Young Living Essential Oils in 1993 with his third wife.

In 2000, he established the Young Life Research Clinic in Utah, which was closed in 2005 following multiple controversies, including hiring a pediatrician with a history of manslaughter charges and a lawsuit involving a woman claiming a Vitamin C injection nearly killed her.

In another incident in 2000, a distillery tank at Young Living Farms in Utah exploded, resulting in the death of an employee. Utah’s Occupational Safety and Health Division found that none of the tanks had pressure release valves, leading to fines for multiple safety violations.

In 2008, Young Living's main competitor, doTerra, emerged, founded by former Young Living executives, including the previous COO.

Despite these setbacks, Young Living's trajectory remained upward. Between 2007 and 2017, the company experienced tenfold growth, with revenue increasing by 800% over five years, and four consecutive billion-dollar years since 2015.

Never one to rest, Young established the Young Living Foundation in 2009, a nonprofit aimed at enhancing living conditions in developing nations.

He resigned as CEO in 2015 and passed away in May 2018 after suffering strokes. Young Living claims to have 2 million “active” consultants, although 63% of its total members are considered inactive.

# The Nectar of the Gods

Let’s address this directly: Some essential oils can indeed provide temporary relief for certain conditions.

For instance, a peer-reviewed study on lavender indicated that post-surgery aromatherapy could slightly increase pain tolerance. Similarly, a double-blind study on lemon balm suggested it may help reduce agitation in dementia patients.

However, there is a significant distinction between alleviating symptoms and treating infections or preventing diseases.

While some oils possess mild antimicrobial and antifungal properties (like clove), none are effective against viruses. In other words, essential oils do not kill or prevent viral infections. Thus, cleaning your home with Thieves oil may slow bacterial growth, but it won't eliminate viruses.

Because they operate in an unregulated gray area, companies selling essential oils are not permitted to market them as treatments for known conditions. This is why essential oil companies often utilize vague “New Age” terminology like “balance,” “wellness,” “vitality,” and “wholeness” in their marketing—these terms are subjective and cannot be legally contested.

In 2014, the FDA issued a warning to Young Living regarding misleading claims made by some consultants that certain oil combinations could prevent Ebola. doTERRA received a similar warning on the same day.

Yet, in our world rife with conspiracy theories, one might argue that this is precisely what the pharmaceutical industry would prefer the public to believe.

If any legitimate health benefits from essential oils existed, I assure you Big Pharma would have already exploited that opportunity.

A common application of essential oils is through aromatherapy, where an oil or blend is diluted in water and diffused into a mist.

A 2012 peer-reviewed study examined the impact of essential oil aromatherapy on conditions like depression, anxiety, hypertension, and pain. However, the responses were not significantly different from those observed in patients exposed to placebo scents, leading researchers to conclude, “the evidence is not sufficiently convincing that aromatherapy is an effective therapy for any condition.”

This does not mean essential oils lack value. If you find a particular scent enjoyable (like lavender) and associate it with relaxation, you might naturally feel calmer when exposed to that scent in the future.

This phenomenon exemplifies a Pavlovian Response. Ivan Pavlov, the early 20th-century Russian physiologist, famously conditioned dogs to salivate at the sound of a bell. Essentially, it’s not the oil that relaxes you; it’s the mental connection your brain has made with that scent.

While some essential oils may provide topical relief (often via a “cooling sensation” on joints or temples), they do not enter the bloodstream to combat infections or neutralize viruses in the body.

In summary, if essential oils help you unwind after a hectic workday or if you enjoy the aroma of Digize, then by all means! Just avoid the misconception that they serve as a more effective substitute for antibiotics, the flu vaccine, or an air ionizer.

Historically, peppermint has been recognized for its potential to relieve nausea (albeit sometimes causing other digestive issues), and certain scents may temporarily lessen headache severity. However, applying a bit of Thieves oil on your foot will not cure the flu or soothe a sore throat.

(And remember, anecdotal confirmation bias is a powerful influence.)

In the Naturopathy Movement, there exists no enforceable definition of “natural.” The FDA does not regulate such claims. After all, rattlesnake venom, poison ivy, mercury, and carbon monoxide could all be marketed as “natural.”

As stated on the FDA website:

> “Sometimes people think that if an 'essential oil' or other ingredient comes from a plant, it must be safe. But many plants contain materials that are toxic, irritating, or likely to cause allergic reactions when applied to the skin.

(Caution is advised with any product advertising itself as “chemical-free.” Water is a chemical. Often, this is simply a tactic to justify higher prices.)

Most essential oils are considered safe when used judiciously, but due to their often “self-administered” nature without oversight, high concentrations can lead to allergic reactions, chemical burns, and respiratory issues. A study published in the New England Journal of Medicine found that topical exposure to lavender and tea tree oil could induce breast development (prepubertal gynecomastia) in young boys.

Additionally, certain popular essential oils—like lavender, peppermint, wintergreen, and ylang-ylang—can be toxic to humans and animals if ingested or inhaled in high amounts.

In his work Denialism, journalist Michael Specter writes:

> “Any chemical, whether derived from a tree root or your medicine cabinet, can cause serious harm. It depends on how much you take. This is why a fundamental principle of medicine asserts that 'the dose makes the poison.'”

While it’s true some individuals may have sensitivities or allergies to common chemicals found in cleaning products, detergents, deodorants, and body washes, it’s crucial to be aware of what we apply to and ingest in our bodies.

Ultimately, essential oils are merely another chemical compound. They are not miracle cures and will not resolve diseases. They can be integrated into your daily regimen—just be cautious not to exaggerate their benefits or deceive yourself based on anecdotal evidence.

# The Mystery of the Pyramid

While often used interchangeably, multi-level marketing companies (MLMs) and pyramid schemes are not quite the same.

This distinction is crucial, as pyramid schemes are illegal in the United States. In a classic pyramid scheme, new recruits pay an “entrance fee” and are encouraged to recruit additional members to form a “downline” (the base of the pyramid), allowing more money to flow to the “upline” (the top).

MLMs, such as Mary Kay, Amway, Tupperware, Avon, Herbalife, and Young Living, navigate around the legal definition of pyramid schemes by identifying as “Direct Sellers.” In this model, representatives (or consultants/distributors) serve as the primary means of product distribution to consumers.

Typically, a consultant in an MLM must purchase a product (often referred to as a “starter kit”) to sell to customers. Joining as a consultant often includes perks—such as personal discounts, early access to event tickets, and the opportunity to earn commissions on the sales made by recruits. The more products sold or consultants recruited, the greater the benefits and commissions one can accumulate by advancing in rank.

(For an example of this process, examine Young Living’s intricate compensation structure.)

The demarcation between an MLM and a pyramid scheme is incredibly vague. In essence, an MLM prioritizes product sales, while a pyramid scheme emphasizes recruitment. Many well-known MLMs do not technically qualify as pyramid schemes since more products are sold externally to customers than internally by consultants.

However, as illustrated in a memorable moment from The Office, selling products and recruiting sellers are characteristics of both MLMs and pyramid schemes.

MLMs have gained immense popularity—and present significant risks. Approximately 1 in 13 Americans have engaged in an MLM, with around half dropping out within a year (90% exit by year five).

A 2018 AARP study revealed that 73% of participants in MLMs either “lose money or earn nothing.” Of those who do make money, 53% earn less than $5,000 annually. According to an analysis by the Federal Trade Commission (FTC), 99% of participants ultimately lose money when factoring in the time and effort needed to sustain a successful recruitment strategy.

(Young Living’s 2018 Income Disclosure Statement indicated that 88% of their consultants earned an average of $4 for the entire year.)

Many of these companies specifically target young women and stay-at-home mothers, exploiting their vulnerabilities tied to motherhood and femininity (a popular quip suggests MLM stands for Moms Losing Money). Approximately 78% of direct sellers are women. In an eye-opening article for Huffington Post, journalist Casey Bond notes:

> “Perhaps the most insidious marketing strategy MLMs employ with stay-at-home mothers is exploiting feelings of loneliness. Being home with kids all day can feel isolating, and MLMs promise a supportive upline of sponsors as they embark on their business journey.”

The social media feeds of many MLMs showcase soft lighting, clean designs, pastel colors, minimalist aesthetics, and uplifting feminist slogans. Consultants receive pre-written social media posts and email templates, and are encouraged to establish personal business pages and host product demonstration parties (which they must fund).

In an effort to soften the cold capitalism of MLMs, sales pitches are framed as empowering invitations: “Join my team!” “You were the first person who came to mind!” “Be part of a movement!” “I want to share this exciting opportunity with you!” “Be a #GirlBoss and earn income from home!

Benefits of joining an MLM are sometimes couched in pseudo-spiritual language disconnected from the product being sold: “Be the best version of yourself!” “Live life to the fullest!” “The only thing stopping you is yourself!” “Join me on a journey to physical and spiritual wellness!” Major annual conventions (which consultants pay to attend) feature trendy motivational speakers and opportunities to purchase additional products.

In many respects, the insular self-help culture of MLMs mirrors religious fundamentalism: Dismiss doubt and critical thinking. Surround yourself with like-minded individuals. If issues arise, blame yourself, not the system. Above all, recruit more people into the fold.

Regrettably, this passive-aggressive evangelism strains consultants’ personal relationships. In a Washington Post article titled “How MLMs are Hurting Female Friendships,” Laura Richards states:

> “The structure of MLMs contributes to the influx of ‘Let’s catch up!’ messages filling your inbox. The more recruits or team members your friend brings in, the more money she earns. This phenomenon is known as ‘building a downline,’ referring to the practice of recruiting others to sell under you.”

In essence, MLMs exploit existing social relationships to generate profitable income streams. Religious communities are particularly susceptible to their influence.

In a Relevant Magazine article, Rachel Givens writes:

> “Multi-Level Marketing thrives within religious communities, where trust and relationships are paramount—and promises are expected to be honored. Churches, with their tight-knit networks and trust-based hierarchies, are uniquely positioned to facilitate the growth of multi-level marketing companies.”

Considering the high proportion of stay-at-home mothers and family-oriented Mormon communities, it’s no wonder many MLMs originate and flourish in Utah.

I do not intend to suggest that all MLMs operate as illegitimate business ventures selling fraudulent products. It is indeed possible to earn supplemental income through an MLM (though rarely worth the time and effort), and purchasing genuinely useful products from friends and family can be acceptable.

At the same time, it is essential that our critiques of MLMs do not devolve into demonizing those entangled in them. For some, their MLM “tribe” may represent the only supportive community they have ever encountered. For others, it could simply serve as an enjoyable distraction from the monotony of home life.

In an era of the “side hustle,” MLMs are regrettably one avenue through which individuals attempt to navigate the rising cost of living. From my observations, many involved in MLMs genuinely believe in the products they promote.

Nonetheless, in most cases, MLMs exemplify predatory economic practices, where a staggering majority of participants lose money or earn no profit. They commodify friendships and promote lifestyles rooted in pseudoscience and magical thinking. They represent a flawed mathematical model cloaked in a self-help façade.

In the mantra-driven realm of MLMs, it might be prudent to adopt one more motto (originally coined by astronomer Carl Sagan) to keep in mind: “Extraordinary claims necessitate extraordinary evidence.

# For Further Exploration

Articles

  • The Sickening Business of Wellness — Yvette d’Entremont (The Outline)
  • How Essential Oils Became the Cure for Our Age of Anxiety — Rachel Monroe (The New Yorker)
  • MLMs Are a Nightmare for Women and Everyone They Know — Casey Bond (Huffington Post)
  • Heaven and Sell — Rachel Givens (Relevant Magazine)

Videos

  • “How To Spot a Pyramid Scheme” — Stacie Bosley (TedTalk)
  • “Dr. Oz and Nutritional Supplements” — YouTube (Last Week Tonight with John Oliver)
  • “Multi-Level Marketing” — YouTube (Last Week Tonight with John Oliver)
  • “Vaccines” — YouTube (Last Week Tonight with John Oliver)
  • “Why Detox Cleanses Are a Rip-Off” — YouTube (Adam Ruins Everything)

Other

  • The Dream — (Podcast Series on MLMs and Wellness Schemes)

Share the page:

Twitter Facebook Reddit LinkIn

-----------------------

Recent Post:

The Enigmatic Journey of Liquor: History Meets Science

Explore the fascinating history and science behind liquor production, from ancient distillation methods to modern craft distilleries.

Unlocking Your Potential: How to Conquer Procrastination

Discover how an ancient mantra can help you combat procrastination and unleash your true potential.

Voyager's Journey: A Reflection on Humanity's Limits in Space

A look at Voyager's mission and the realities of human space exploration beyond our solar system.

Healing Father Wounds: Finding Peace This Father's Day

Explore ways to heal from father wounds and find peace on Father's Day.

Unlocking Your Potential: Anyone Can Become a Data Scientist!

Explore how anyone, regardless of their background, can become a data scientist with the right skills and determination.

Navigating the Straight Path vs. the Wandering Path in Life

Explore the distinction between the heart-led straight path and the mind-driven wandering path for a more fulfilling life.

Understanding the Impact of ChatGPT on Education and Learning

Explore how ChatGPT is set to revolutionize education through personalized learning and innovative teaching methods.

Unlocking AI Potential: 6 No-Code Tools to Boost Efficiency

Discover six powerful no-code AI tools to enhance productivity without programming skills.