Premier Designs Jewelry Review – The Pearl of MLM’s or Fake Diamond?

Disclaimer:
Please note, I am not a member of Premier Designs Jewelry. This review has been researched with information and testimonials that are available online in the public domain. Any conclusions drawn by myself are opinions.

Premier Designs - Who Are They?

You might think that Premier Designs sells jewelry… and you’d be partially right. Their core business however, is selling lifestyle. Their purpose, as stated on the Premier Designs website is to “enrich every life they touch. Provide people a way to find identity and meet their personal and financial needs.”

On the outside, Premier Designs is a direct sales jewelry distributor. On the inside however, you will find an MLM family of distributors trying to build a life of freedom and independence.

It was the year 1985, in Texas, where Joan and Andy Horner founded Premier Designs. Based on Biblical principles, they first envisioned it as an opportunity for single Moms to stay home, as well as a way to support ministries around the world and the US.

What I’m going to say may be controversial… but in my opinion, multi-level-marketing and Biblical principles don’t go together very well. I’ll explain why in a moment.

How Does It Work?

Before you embark on your journey to freedom, you must purchase one of three boutique packages.

The least inexpensive option is the Simple Sparkle for $395.00. It includes,

• $300 in jewelry.
• $50 in business essentials, and…
• 3-month trial website subscription.

Next up is the Bling It On package which is $595.00. You get,

• $1,000 in jewelry.
• $75 in business essentials.
• 3-month trial website subscription.

Finally, there is the Luxe Launch boutique option for $795.00.

• $1,500 in jewelry.
• $100 in business essentials.
• 6-month trial website subscription
• Extra one-time jewelry discount.

It’s also worth mentioning here that there is a $350 annual renewal license.

Premier Designs is not the most expensive home-business to start, but it’s not cheap either. You can go with the entry-level Simple Sparkle package but it won’t be long before you are spending money on fuel, possibly parking, supplies for style shows (home parties) and additional show inventory.

With a lucrative compensation plan, your sales should cover your expenses... but they are still important to include in your budget.

In addition to the financial cost, Premier Designs suffers from what most (if not all) MLM’s suffer from. They are best suited to people who are good at selling and recruiting.

If that does not describe you, it won’t be the cost of getting started that holds you back.

Like trying to stay on a diet that makes you miserable… you'll be held back by the frustration of having to do something you don’t like doing. You can sell and recruit for awhile, but if you don't enjoy it, building your business will be difficult to sustain.  

Making Money With Premier Designs

Of course, the goal isn’t to spend money, but to earn it, and Premier Designs does not disappoint. At least, not as far as commission rates go. You earn 50% of the jewelry you sell at retail value.

That’s a big number for physical products. You can look at that in one of two ways. Get excited about it, or... question what the real cost of the jewelry is if they can afford to pay you 50%.

But the commissions don't stop there.

This is of course an MLM, and your ultimate goal (if you want to create passive income) is to recruit distributors into your downline… a process referred to here as building a Premier family.

And in addition to the 50% commissions (on your own sales), you also earn 10% on sales from your first 3 levels of distributors… also called Jewelers.

Premier Designs has labeled this the 10-10-10 plan, and it’s quite impressive.

Do The Numbers Add Up?

As they say… the devil is in the details, and this is when I first became skeptical of their Biblical principles claim.

On the surface, it appears as though you receive 10% from all the products sold by your first 3 downline levels. If that’s true… that means your upline is also getting 10% from your first and second level. Your downline is getting 10% from your second and third level.

In all… 30% is being paid out, right? That's the 10-10-10 plan.

Thirty percent (30%) in addition to the fifty percent (50%) the actual seller (you) are receiving… totals 80% in commissions!

But, we're not done paying people. What about Premier Designs? They need to make money too.

How much do they keep? There’s only 20% left (after 80% in commissions have been paid out). Let’s say they keep 10% as well.

That means... unless my math is wrong... 90 out of every 100 dollars is going to pay sellers. (50% to you + 30% to you and your upline/downline + 10% to Premier Designs).

That’s leaves $10 to cover the cost of the product, the packaging, the shipping and the handling. And what about support for ministries around the world and in the US? 

Is it fair to say (if those numbers are correct) you might be selling a product worth five-dollars (a trinket really) to your friends and family for a hundred bucks?

That doesn’t seem right does it? There has to be some financial trickery going on here…

As I mentioned above... the devil is in the details. Your commissions are based on Commissionable CV… which includes sales from Jewelry Shows, Individual Orders and Catalogue Purchase Plan Orders.

And when you get into the finer print you find this…

I may be misinterpreting this policy, and if anyone reading this can clarify please do in the comments section below. 

But, it seems to me that the 10% commission has a maximum of $100 per Jeweler in your downline. Is that a game changer? What are your thoughts?

They’re not necessarily lying about the 10-10-10 plan, but are they being completely honest? These may be mild deceptions that you might expect from most MLM’s… but as I mentioned above, it’s my opinion that MLM’s and Biblical Principles don’t go together very well.

And, I need to be clear, this is NOT a condemnation... although the math seems straightforward to me, I could be missing something here. I'm only adding up the numbers and asking the question.

Premier Bonuses

In addition to earning commissions, like most MLM’s, we get into a complex matrix of levels, bonuses and requirements.

I won’t spend too much time on these because they probably won’t mean too much at this stage. In fact, considering the vast majority (some studies say 99%) never make money in multi-level-marketing once expenses are accounted for... so many of these extra goodies will be out of reach for most.

Jewelry Show Club Awards

These are achievement level awards for doing Jewelry Shows 

• 25 Jewelry Shows (in any 120 consecutive days) -  Jewelry Show Club Charm
• 100 Jewelry Shows (no time period) - $250.00 Retail Jewelry Certificate, 100 Jewelry Show Club Charm
• 250 Jewelry Shows (no time period) - 250 Jewelry Show Club Charm
• 500 Jewelry Shows (no time period) - 500 Jewelry Show Club Charm
• 750 Jewelry Shows (no time period) - 750 Jewelry Show Club Charm
• 1,000 Jewelry Shows (no time period) - 1,000 Jewelry Show Club Charm, Plaque awarded at National Rally

Crown Jewel Program Awards

The purpose of the Crown Jewel Program, is to inspire Jewelers to build a balanced business through selling and recruiting. 

Level CV Requirement Award

• Level - Amethyst
  Requirement - $3,000 Qualifying CV in any 30-consecutive-day period  
  Award - $200 Retail Jewelry Certificate Amethyst Level Award Charm
• Level - Sapphire
  Requirement - $6,000 Qualifying CV in any 60-consecutive-day period
  Award - $400 Retail Jewelry Certificate Sapphire Level Award Charm
• Level - Ruby
  Requirement - $9,000 Qualifying CV in any 90-consecutive-day period
  Award - $600 Retail Jewelry Certificate Ruby Level Award Charm
• Level - Emerald
  Requirement - $12,000 Qualifying CV in any 120-consecutive-day period
  Award - $800 Retail Jewelry Certificate Emerald Level Award Charm

Century Club

The purpose of the Century Club is to give recognition to the high achievers in their personal Jewelry Show business. Jewelers who hold 100 Jewelry Shows in a calendar year are awarded membership into the Century Club for that year.

Beyond this point you get into the Founder’s Club, the Founder’s Circle, as well as Designers, Executives, Executive Directors, and several Diamond levels.

Is it A Scam or A Pyramid Scheme?

Although scams and pyramid schemes share similar characteristics, they are different.

A scam is defined as “a dishonest way to make money by deceiving people”.

Premier Designs has been in business since 1985 and they are a member of the Direct Selling Association which has a specific code of ethics that members must follow. They are not a scam.

Having said that, as with all MLM’s, the potential to be a scam exists as independent distributors (or “Jewelers”) going "rogue" so to speak, can use deception and dishonesty to gain a person’s trust and take their money.

And, it's not always deliberate. It’s common in multi-level-marketing to repeat what your upline tells you. And, your upline is often repeating what they’re upline told them. It’s easy for things to get miscommunicated along the way.

A pyramid scheme on the other hand is defined  as “a business model that recruits members via a promise of payments or services for enrolling others into the scheme”

These can be both legal, and illegal, as you probably know. Again… having been in business for thirty plus years, Premier Designs operates within the legal boundaries.

Those legal boundaries however, are always being pushed (not necessarily by Premier Designs, but by MLM’s in general) and there are some things to watch out for;

“Unfortunately, extravagant income claims and compensation plans that reward recruiting over sales continue to plague the MLM industry,” said Jessica Rich, Director of the FTC’s Bureau of Consumer Protection. “MLM companies must ensure that their promotional materials aren’t misleading, and that their compensation programs focus on selling goods or services to customers who really want them, not on recruiting more distributors.”  

So Premier Designs Jewelry is neither a scam, nor an illegal pyramid scheme.

Premier Jewelry Home Parties (Style Shows)

If you’d rather not become a Premier Jewelry consultant, you can still earn (free jewelry) by hosting home parties... or “style shows” in Premier Designs' lingo.

And, as a consultant (or jeweler), these style shows will be a valuable sales tool.

Simply ask a friend to host a Premier Jewelry party (I say simply… but we know that’s not always true) and she can earn free jewelry, as well as 50% off of several items.

When show sales exceed $200 in retail sales, your friend (family, neighbor, etc.) earns 30% of her style show’s retail sales in free jewelry. In addition, she will receive 50% off of (up to) 8 items… depending on total show sales.  

The Jewelry

There is a quote on the Premier Designs website (and in their Jeweler Handbook and Facebook Page) attributed to Proverbs 16:11, which states that “God demands fairness in every business deal”.

There are actually over 50 variations of this particular verse from Proverbs, and you have to dig pretty deep to find this version.

But, getting back on topic… for every business deal to be fair, the customer needs to walk away feeling satisfied as well. 

Unfortunately, as I read reviews about Premier Designs’ jewelry it became clear that not everyone thought the deal was fair. 

And, considering the lucrative commissions mentioned earlier (which could potentially add up to eighty or even ninety percent)… it seems reasonable to assume that people are overpaying for jewelry that's cheaper in quality than the price suggests.   

The online Premier Jewelry catalog lists anklets, bracelets, charms, earrings, necklaces, rings, watches, enhancers and pins, as well as men’s jewelry, key chains and styling tools.

So what are people saying?

Premier Jewelry Reviews

The quality is subjective of course, and I’m only sharing what others have been saying (examples below). Before passing judgement, I highly recommend that you find a local Premier Designs Jeweler to show you some pieces. 

Not all are bad reviews though. Here are some positive ones as well.

What I Like About Premier Designs

• I’m torn about the high commission rates. If the quality lives up to the retail price and your customers are happy, then the high commissions are a good thing. If it turns out to be costume jewelry at premium prices, however, those commissions are a problem.
  My suggestion would be to purchase a few items through regular channels before joining to see if the service and the quality is something you could recommend to others.
  
  
• You will require some show inventory, but your sales orders are shipped for free, direct from Premier Designs. Customers can also place orders using the online Premier Jewelry catalog. You won’t be stocking product, shipping it, or delivering it… which leaves you more time to focus on selling.
  
  
• They’ve been in business for more than 30 years, and despite the negative reviews and accusations of being a scam… they must be doing something right to have endured that long.

• 60-day manufacturer guarantee against defects.  

What I Don’t Like

• Like all MLM’s, success is rarely achieved unless you have a rare outgoing personality, enjoy speaking in front of people, and possibly begin with previous experience or unique circumstances that give you access to many people. A community leader for example, or local business owner.
  
  
• They have restrictions when it comes to selling online. The internet is a valuable tool for home-based businesses… especially if you’re not the sales and recruiting type.
  However, according to the Premier Designs handbook, “Jewelers are not permitted to use the internet to sell or auction products.”  This isn’t the opportunity for those looking to start an online business. There are better options if earning an income online is what you’d rather do.
    
• Continuing the topic of rules and restrictions, this brings up an important point.
  It’s a misconception to call an MLM business… YOUR business. When joining a multi-level-marketing business you are signing a contract. Not only are you bound by their rules, your income is coming from a single company and brand.
  It’s not unlike your job. If you decide to quit or move on to a new opportunity, you are leaving this one behind and starting from scratch.