Vietnam's MLM Sector Sees Revenue Plummet 9% in H1 2025
Vietnam's multi-level marketing (MLM) sector experienced a significant downturn in the first half of 2025. Total revenue dropped by over 9% to VND7 trillion ($265.33 million), with Herbalife accounting for about 53% of the sector's total revenue. Meanwhile, the number of participants decreased by 13.4% to 634,567.
The sector's contraction was driven by a net loss of 28,017 participants, with 101,876 new entrants offset by 130,893 exits. Despite this, MLM firms contributed VND1.3 trillion ($49.28 million) in taxes to the state budget in the first half of the year. Dietary supplements and cosmetics made up about 92% of the total revenue.
Regulatory actions were taken to address fraudulent activities. The National Competition Commission inspected five MLM firms and imposed fines of nearly VND1.2 billion ($45,484) for administrative violations in the first eight months of 2025. Additionally, the commission referred two suspected unlicensed MLM cases to the police.
As of August 2025, 16 licensed MLM businesses were still operating in Vietnam, with about 768,000 participants. Despite the decline in participants and revenue, the sector continues to contribute significantly to the state budget. However, the presence of fraudulent schemes and unlicensed operations highlights the need for continued vigilance and regulation.
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