Rodan + Fields Explained: Why the Brand Dumped the MLM Model

Rodan + Fields Explained: Why the Brand Dumped the MLM Model

If you’ve spent any time on Facebook or Instagram over the last decade, you’ve seen it. That perfectly lit selfie of an old high school friend holding a blue bottle of Lash Boost or a yellow tube of Unblemish. For years, Rodan + Fields was the undisputed heavyweight champion of the social selling world. It was the "Proactiv doctors" brand. It was the skincare giant that turned stay-at-home parents into "Lash Queens" and "Skinfluencers."

But things look a whole lot different today.

Honestly, the landscape of direct sales has shifted so fast it’ll give you whiplash. In late 2024, Rodan + Fields did something most people thought was impossible for a company of its size: they effectively killed their multi-level marketing (MLM) structure. If you’re looking to join because you want to "build a downline" or "earn overrides" on a massive team of recruits, you're about two years too late.

The Big Pivot: No More Recruiting Commissions

Starting September 1, 2024, Rodan + Fields officially transitioned to an affiliate-powered, direct-to-consumer model. This wasn't just a minor tweak to the compensation plan. It was a total teardown.

In the old days—the "true" rodan fields multi level marketing era—a Consultant’s path to the big bucks was through recruiting. You didn't just sell face wash; you sold the "opportunity" to sell face wash. You’d get a percentage of everything your "downline" sold, and a percentage of what their recruits sold. It was the classic pyramid-shaped incentive structure that defines an MLM.

That's gone.

Now, the focus is almost entirely on personal sales. If you are an R+F Consultant (or "Brand Consultant" as they call them now), you earn a flat 30% commission on the products you actually sell to customers. You don't get a check because your friend Sarah signed up and started selling too. This move was designed to "streamline" the business, but it also conveniently removes the company from the crosshairs of regulators who have been breathing down the necks of MLMs for years.

Why the Change? (The Tea Nobody Wants to Spill)

Companies don't just abandon a multi-billion dollar sales model because they’re bored. There were real, heavy pressures at play here.

First, let's talk about the money. Or rather, the lack of it for most people. According to the company's own 2022 Income Disclosure Statement, the vast majority of Consultants were barely making enough to cover their own skincare habit. About 56% of paid Consultants earned a median annual income of just $20. Not $20,000. Twenty dollars. Total. For the year.

  • Class Action Lawsuits: The company faced significant legal heat in California. A lawsuit (Dann v. Rodan + Fields) alleged that the company misclassified consultants as independent contractors rather than employees. While the company denied wrongdoing, these battles are expensive and bad for the brand's "empowerment" image.
  • Credit Rating Woes: In mid-2024, S&P Global Ratings downgraded Rodan + Fields LLC to a ‘D’ rating. That’s "D" as in Default. The company missed interest and amortization payments on its loans. They had to restructure their debt just to stay afloat.
  • The "Anti-MLM" Movement: YouTube and TikTok are flooded with creators like Hannah Alonzo who pull back the curtain on the "girlboss" culture. The social stigma of being "that person" in the DMs became a major hurdle for recruitment.

Basically, the old way of doing business was breaking.

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Is It Still a Pyramid Scheme?

People love to throw that term around. Technically, a pyramid scheme is illegal because it relies only on recruitment fees with no real product. Rodan + Fields always had real (and very popular) products. However, the MLM model was often criticized for being "pyramid-shaped" because the wealth was concentrated at the very top.

By moving to an affiliate model, the company has distanced itself from the "scheme" accusations. If there’s no commission for recruiting, the "pyramid" part of the math disappears. You sell a bottle of serum, you get 30%. It’s more like being a specialized influencer than a "team lead."

What Most People Get Wrong About the "New" R+F

A lot of folks think the brand is dying. It’s not. It’s just shrinking and changing. They still claim to be a top-selling premium skincare brand in North America. They still have their loyalists who swear by the Redefine regimen for wrinkles or Reverse for sun damage.

But the "culture" has shifted. You don’t see the same level of "Lexus earners" posts because the math for reaching those levels changed when the multi-level commissions were cut. The company even laid off about 100 corporate employees during the 2024 transition to lean out their operations.

The Cost to Join Today

If you’re thinking about it in 2026, the barrier to entry is way lower than it used to be. You used to have to buy "Business Kits" that could cost over $500. Now? It’s basically a **$9.99 annual fee** to be an affiliate in the U.S.

That’s a huge difference. It turns the "business opportunity" into a low-stakes side hustle rather than a major financial investment.

Does the Skincare Actually Work?

Look, I’m not a dermatologist. But the founders, Dr. Katie Rodan and Dr. Kathy Fields, are. They’re the same duo that created Proactiv, which basically defined acne treatment for a generation.

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The products are "regimen-based." This means they want you to use four different steps in a specific order. Is it better than drugstore stuff? Many users say yes, especially for stubborn issues like adult acne or melasma. Is it overpriced? Probably. You’re paying for the brand, the research, and that 30% commission for the person who sold it to you.

The 2025 "Back to Skin" campaign really doubled down on this "derm-backed" science to try and move the conversation away from the MLM drama and back to the actual bottles on the shelf.

Actionable Insights: Should You Get Involved?

If you're looking at Rodan + Fields right now, you need to treat it like a retail job, not a "get rich quick" scheme. The "golden era" of MLM recruiting is over.

  1. Check the Math: With a 30% commission, you have to sell $1,000 worth of product just to make $300. How many people do you know who will spend $200 on a skincare set every two months? Do the actual numbers before you pay your ten bucks.
  2. Product First: Only join if you actually use and love the stuff. It is incredibly hard to sell a $150 regimen if you’re secretly using a $12 moisturizer from the grocery store. People can smell the inauthenticity from a mile away.
  3. Watch the Debt: The company’s financial restructuring is still a "watch this space" situation. While they are operating normally in 2026, a company that has hit a 'D' credit rating in the past is one you should monitor closely before tethering your professional reputation to it.
  4. Ignore the "Team" Hype: If anyone tries to sell you on "building a massive organization" within R+F, they haven't read the new terms. The incentive is now on customers, not consultants. Focus your energy on finding people with skin concerns, not people looking for jobs.

The "New" Rodan + Fields is trying to be a modern e-commerce brand that happens to have a lot of fans who get a kickback. It's less "cult-y" and more "corporate." For some, that’s a relief. For those who wanted to build a recruitment empire, the party ended in 2024.