Is Piphany a Scam or Pyramid Scheme? [Review 2021]!
Welcome to my Piphany review 2021!
Piphany claims that it helps women creating a home-based fashion business by selling beautiful clothes at pop-up boutiques and live social media parties throughout the United States.
Before going further, I must assure you that I am not connected with Piphany in any form. Instead, my purpose is to share with you honest info about this company.
Is it really that easy for Piphany to fulfill its promises? Is it worth your time? And most importantly, is Piphany a scam or a legit choice?
That’s all I will be covering in this review.
So let’s start;
Piphany Review Summary 2021!
Summary: Piphany is an MLM company that was previously operating with the name of Honey & Lace and last year they rebranded itself with a new name. They have reduced their upfront cost and relax you in maintaining inventory.
If you have a love for passion, this system can work for you, but I request to wait for few months to see if there are any unbiased reviews to be written by customers about its products.
What is Piphany?
Piphany was previously known as Honey & Lace, the company was founded by Dianne Ingram in 2013 and is located in California.
Dianne started as a hobby selling maxi skirts with and then it flourished into an apparel company presenting gorgeous styles for women of all shapes and sizes. The Company used the direct sales model for marketing its products through a network of consultants.
In 2017, the company rebranded as Piphany.
The name derived from the "epiphany" their founder had back when she was selling maxi skirts at home parties when she understood this was a business all women could do.
There are many other multi-level-marketing companies in the clothing industry, but I like to show you two names;
- LulaRoe (founded by DeAnne Stidham who is the sister of Dianne Ingram)
- Dot Dot Smile (by Nicole Thompson who is the niece of Dianne Ingram)
- Agnes & Dora
- Matilda Jane Clothing
- Ruby Ribbon
The key to Piphany is that it is more of an offline business and you need to build a relationship with the people and involves in face to face and direct marketing.
The Company only deals in clothes which it has a diverse catalog that includes tops, bottoms, dresses, cardigans, and skirts with popular items such as Laguna leggings and Brea dress.
Nearly all of their clothes are made in the US with unique prints that include solids, floral, stripes, and geometrics. Different sizes are available from XS to 3XL.
Pricing is relative to what you’d find with Buskins clothing or Legging Army.
Let's see the below price list, and as a disclaimer; please don’t take these prices as current or absolute. For current pricing, you will have to contact a Piphany consultant.
If the collection is not good in quality then why we need to waste time here?
However, as the Company is new, it is difficult to find an honest opinion about the new styles and prices. Though I have found a few ones, it looks to me more of a distributors views.
How to Become Piphany Consultant?
The cost to become a Phiphany Consultant/Stylist is $199, and it will provide you with access to your back office and advertising media in the form of pamphlets and brochures.
There is a $29 monthly fee to cover the costs of website maintenance and selling tools.
However, that $29 fee is waived if a Stylist sells at least ten pieces per month from the website and orders at least ten pieces for their personal inventory.
To remain active (Stylist) in this system, you must purchase/sell a minimum of 10 pieces per month to maintain active status. For higher ranks, there are also higher purchasing or selling requirements.
Ranks in Piphany
- Advanced Stylist
- Senior Stylist
- Fashion Leader
- Senior Fashion Leader
- Fashion Director
- Senior Fashion Director
- Executive Fashion Director
The advancement in ranks comes from recruiting new Stylist and maintaining a certain level of Personal Volume (PV).
Let's see the below video to understand the compensation plan.
What Makes Piphany Different?
Here's what makes Piphany different:
No need to carry inventory!
Previously, you need to maintain inventory at your stores and it not only cost you much, but also it takes good space as well. With the launch of Piphany, you don’t need to worry about any such thing as it offers free drop shipping.
You can simply order them, and they will send directly from the warehouse to your customers. So you have more time in styling and engaging with your customers.
However, if you like, you can carry some stock in your boutique. Carrying some inventory can be useful for your local customers, letting them try on the various styles and learn what works for them.
Be the first to try new styles
Using their sample program, you can order the new releases every week. It will be 12 days before they're released to the general public.
This provides you the chance to try the new styles first and share knowledge with your shopping community about the fit, the fabric, and how to style the pieces.
Earn up to 50% commission on your sales
Your commission will be determined from your rank and how many items you sell. However, it starts at a rate of 25% and can reach up to 50%.
If you grow your team, it will allow you to participate in the compensation plan. This is how every MLM company works, and you need to recruit people to earn money.
Low Monthly Minimums
Sell at least ten items a month to remain active; sell at least twenty items, and your service fee ($29) is waived.
Pros & Cons:
1. New Styles
The styles and prints are always changing with Piphany instead of offering the same styles over and over in different prints; their styles are constantly evolving.
The frequent shifting of styles and new patterns being introduced means a stylist can order frequently, and frequently be offering new items to the Company’s customers.
2. No Inventory Cost
This is a great step taken by Piphany, and unlike previous version and other companies, you don’t need to maintain inventory.
Piphany's new model will let consultants have access to inventory to sell without having to buy it first.
Vanished are the days of taking out loans and gaining large debt to start your new boutique business.
This new sales model is the first of its kind on this type of clothing sales business.
2. Put More Focus on Retail Sales
Though it is an MLM company, still the Piphany focus is more on retail sales rather than recruiting.
If you read the definition of pyramid schemes, they always focus more on recruiting and due to the power of recruiting they are generating revenue from customers.
Piphany is opposite from this.
1. Change in Name Did Affect the Members
As I said earlier, the Company rebranded itself into Piphany. Though changing only the name doesn’t matter much, but it has also changed its policies and terms.
I know they have come up with better policies, but it did affect the people who were Consultant at that time.
They had bulk on the stock with them, and the Company refunded only 85% of the price of the items.
So, 15% of the price is their loss. Also, member’s had faced many other issues in the form of refund and merchandise transport cost.
2. Totally Dependent on The Company
This is a common issue of an MLM company as you are still dependent on a single company or product.
People often think that by opening a franchise they have found a business, which in some sense true. But they have to be prepared that the company dictates the supplies, the prices, the marketing strategies, the hours of operation, etc.
So, it is not what really you are thinking about your own online business.
So if the MLM Company makes any change in the supplies, price, compensation structure and anything else… you have to be ready for this, or quit.
If you quit are forced by the company to quit, you are giving up your source of income and a downline that you have built over time. And now all of this belongs to the Piphany and your upline.
3. High Upfront Cost
Though the Company came with new policies and tried to facilities its members, still the upfront cost is on a higher side.
Piphany is less costly to get started than Agnes & Dora & LulaRoe for example, but it’s not cheap either.
You need to pay $199 fee per year. Also, you need to pay $29 per month to cover the cost of website and other tools access. Also, you need to have some inventory in your shop and incurred logistical costs as well.
So, if you are a newcomer, you shouldn’t expect an early breakthrough in your business. That’s why the cost would add up very quickly.
4. Newly Company
The Company is new, and there are many popular brands out there in the market. So, you must expect fierce competition in the market.
If you have money back up plans to survive for few months, then you can get out of this situation, but if are solely relying on this business, I would be very tough to get some early success.
5. Limited Earning Potential
Despite the time and effort, you put in Piphany, at the end you only have few bucks in your hand.
Though Piphany is one of the trusted network marketing company dealing in clothing, still this issue is with it.
You can get a paycheck of a few hundred dollars at the end of the month, but it takes a lot of work.
If you have a boutique with a large customer base, that is how you can make a decent income each month, but also you need to take it as a full-time business. There is another ancillary cost that you should be ready to invest.
Is Piphany a Pyramid Scheme?
Everyone has a different concept about pyramid schemes but what I believe;
- The pyramid scheme doesn’t offer real products to sell. However, most of them pretend to offer a product with no value just to hide their pyramid scheme behind that product.
- Pyramid scheme offers you to make money based on the number of consultants you recruit and your sales to them.
If we look at the Piphany, the Company offers real products in the form of cloths, and you can make a decent income without recruiting other people.
However, if you recruit, it will also allow you to participate in the compensation plan as well.
Therefore, there is no need to bother about Piphany that it is a pyramid scheme.
Is Piphany a Scam?
After reading my Piphany review, you have now come up answer to this question, Is Piphany a Scam?
Definitely, it is not a scam as it provides a legit opportunity to those who want to get 20% to 50% commission by selling clothes.
The Company is also very popular among women’s, and they find their stuff very useful.
If you have a passion for fashion or love selling clothes and already have a boutique, I think this is a decent opportunity for you.
You don’t need to carry inventory and to take care of shipping, invoicing, returns and many other issues and you can devote your full effort on sales.
Piphany also allows people to take part in its compensation plan if you are good at recruiting.
Despite legitimate, I don’t recommend this for someone who;
- Have no passion for fashion
- have no money to afford
- doesn’t like face to face marketing
- is new in this field.
This type of business has a high upfront cost, and also you need to maintain a certain inventory level put on Pop Up Boutiques.
Can Piphany become your cash cow and fulfill its promises? I would ask this question to you…..
For me, there are cheaper options out there when it comes to making money online.
Though Piphany is a legit MLM company, my suggestion is to start your own online business rather than working for someone else behalf.
But for earning a sustainable and consistent income, I recommend my favorite business model called as, Affiliate marketing, which is the only method I suggest to make money online.
Let’s look at the reasons why I prefer affiliate marketing over MLM;
- Unlike Piphany, you don't have to recruit anyone to make money
- It gives you control and ownership that Piphany doesn’t
- Don’t need to be involved in face to face marketing
- Apart from selling clothes, you have the license to sell other things you like
- It's Free to get started
If you want to learn affiliate marketing where I have also learned my self and created a full-time business from home, I recommend you to see my #1 recommendation.
What's your thoughts on my Piphany review 2021 (aka Honey & Lace) and still it is right question to say, Is Piphany a Scam?