From Korea to the World: The Phenomenal Rise of Riman


Riman, a Korean-based cosmetics distribution company, has rapidly gained recognition as a top beauty MLM company.

The company has solidified its top position in Korea and is now expanding its reach to the United States and globally. With its impressive revenue and diverse portfolio of affiliate companies, Riman has secured a spot on the global top MLM companies list.

We examine the company’s key achievements and provide insights into its market strategies.

Insights

  • Riman, a Korean-based cosmetics company, has gained significant recognition domestically and globally, with a diverse portfolio and impressive revenues.
  • The company has successfully implemented a multi-level marketing strategy with “Beauty Planners”, promoting product visibility and distribution.
  • Through a strong focus on natural ingredients, Riman offers high-quality products, with multiple awards testifying to their commitment to customer satisfaction.

Section 1 – The Company

Our objective in this section is to provide a fair and impartial view of the company, presenting both its strengths and weaknesses. We’ll present the performance data and expert analysis to give a balanced perspective.


Overview of Riman (Video)

Riman Korea Co. Ltd. (Riman Inc. in the US) is a Korean-based cosmetics distribution company established in 2018. With its premium skincare brand, Incellderm, and personal care brand, Botalab, Riman has gained massive recognition and popularity.

Incellderm even won the prestigious ‘2021 Premium Brand Award Chosen by Female Consumers’ for three consecutive years, solidifying its top position in Korea.

With success at home, Riman is set to make a mark in the U.S., bringing the beauty secrets used by Korean women combined with modern science and natural ingredients.

Their K-Beauty products in skincare and hair care, are designed to offer smooth, bright, and near-perfect skin without the need for heavy makeup.

Market

Riman has secured its position as a major player in the global market. According to the DSN 2023 Global 100 List, it ranked 22nd with an impressive revenue of $545 million in 2022. This follows their previous year’s 23rd spot with $550 million in revenue in 2021.

The company has a diverse portfolio of affiliate companies, and overseas subsidiaries in the US and Taiwan. Domestically, it has branches in various regions such as Songpa-gu and Jeju.

In 2021 alone, Riman accumulated 320,000 members and sold 24 million products. With its collection of unique products and sales force through its direct selling model, Riman remains a formidable force in the market.

History

Established in 2018, Riman has rapidly emerged as a prominent player in the beauty industry. Initially starting with sales support centers in eight locations, the company quickly expanded its reach. Under the leadership of CEO Kim Kyung-Jung, appointed in 2019, Riman experienced further growth, boasting sales support centers in 14 locations.

In 2020, the company made significant strides in brand recognition by signing famous actress Kim Tae-hee as the representative of their esteemed Botalab brand. Additionally, they achieved an impressive milestone by selling over 10 million cumulative units of their Incellderm product.

The year 2021 proved to be another remarkable year for Riman, with sales of Incellderm surpassing 22 million cumulative units. This achievement further indicated the brand’s popularity.

In 2022, Riman made a significant international stride by establishing Riman, Inc. in the United States, to tap into new markets and cater to a broader customer base.

Riman logoPin

Riman’s Top Leadership and Headquarters

In 2019, Riman appointed Kim Kyung-Jung as its CEO.

Other top directors include:

  • Choi Bae-Gyeon
  • Ki-choon Kim
  • Kim Ik-Seong

The head office of Riman Korea Co. Ltd. is located at 5F, 6F, Riman Tower, 86 Dongdaegu-Ro, Suseong-Gu, Daegu.

And the Riman Inc. office is located at Equitable Life Building #2080, 3435 Wilshire Blvd, Los Angeles, CA 90010.


Section 2 – Business Model

Here, we take an in-depth look at Riman’s business model, analyzing the strategies and methods used to generate revenue and create value.


How Riman Market Its Products

Riman utilizes multilevel marketing to amplify the company’s visibility and increase product distribution channels.

To expand its reach and generate sales, Riman harnesses the power of Beauty Planners. These individuals have joined Riman’s Opportunity, enabling them to market and resell products to customers. Moreover, Beauty Planners have the added advantage of enrolling other Beauty Planners into the business, creating a network effect.

The company also has a customer reward program that encourages repeat purchases and fosters a sense of appreciation among its customers.

The Number of Riman Beauty Planners

The company has provided data on the Beauty Planners it has in Korea.

Here is the 2022 data:

Earning LevelNumber of Salespersons
100+ million won1
50 million won to 100 million won4
30 million won to 50 million won18
20 million won to 30 million won43
10 million won to 20 million won197
5 million won to 10 million won457
1 million won to 5 million won4,859
500,000 won to 1,000,000 won3,498
1 to 500,000 won59,449
No earnings1,218
Total69,744

How to Make Money on Riman

Riman offers earning opportunities for its two main categories of members: Beauty Customers and Beauty Planners.

Beauty Customers are individuals who purchase products and create customer accounts in the system. However, they are not eligible to resell products or participate in the Riman Compensation Plan. As a perk, Beauty Customers can earn Reward Points, which provide a 5% credit on their purchases and can be used as a payment method for future product purchases.

On the other hand, Beauty Planners can market and resell products. They can also enroll other Beauty Planners.

Beauty Planners are eligible to participate in the Riman Compensation Plan, which offers several ways to earn income, including:

  1. retail commission
  2. sponsorship commission
  3. team commission
  4. team incentive
  5. achievement incentives
  6. management incentive
  7. leadership incentives
  8. LAS incentives
  9. executive contribution incentive

Riman’s Compensation Model Explained

Riman has a comprehensive compensation model that rewards Beauty Planners through commissions and incentives.

First, you need to achieve specific ranks for particular earning opportunities.

Position Achievement Requirements

Beauty Planners advance within the Riman organization and unlock higher levels of compensation through the following positions:

  1. Planner: To become a Planner, you need to submit the Beauty Planner application and pay a registration fee of $20 annually.
  2. Manager: Achieving the Manager position requires a personal team sales volume of over 3,000BP and having three or more active customers in the last three months. It’s important to note that a maximum of 50% of the required BP can come from a single leg.
  3. Senior Manager: Aspiring Senior Managers can reach this position by either having a personal team sales volume of over 6,000BP and three or more active customers in the last three months as a Planner; or by having a personal team sales volume of over 3,000BP and three or more active customers in the last three months as a Manager. Similar to the Manager position, a maximum of 50% of the required BP can come from a single leg.
  4. Team Leader: To attain the Team Leader position, members must achieve a personal team sales volume of over 50,000BP, a frontline sales volume of over 30,000BP, and have three or more senior manager legs with ten or more managers or higher in the organization in the last five months. The maximum allowed contribution from a single leg is 50% of the required BP.
  5. Director: Directors are required to have a minimum team sales volume of 600,000BP in the most recent three-month period. Additionally, they must have three or more Team Leaders or higher legs.
  6. Senior Director: Senior Directors need to maintain a minimum team sales volume of 300,000BP per month, with a maximum of 100,000BP per Director’s leg. Furthermore, they must have two or more Directors or higher legs.
  7. National Director: National Directors are expected to maintain a minimum team sales volume of 500,000BP per month, with a maximum of 100,000BP per Director’s leg. Moreover, they must have four or more Directors or higher legs.
  8. Executive: To become an Executive, individuals must achieve a Leadership Active Score of 20 points and be approved by Riman, Inc.

Commission and Incentive Structure

Riman offers various types of commissions and incentives to reward its members for their sales performance and team-building efforts.

Here are the different categories:

1. Retail Commission

  • Planners: Receive a 10% commission when selling to both retail customers and Beauty Customers.
  • Managers: Earn a 25% commission when selling to retail customers and a 20% commission when selling to Beauty Customers.
  • Senior Managers: Receive a 30% commission when selling to retail customers and a 25% commission when selling to Beauty Customers.
  • Team Leaders, Directors, Senior Directors, and National Directors: Earn a 45% commission when selling to retail customers. However, for these positions, Riman Inc pays sponsorship commission instead of retail commission when selling to Beauty Customers.

2. Sponsorship Commission

Sponsorship commissions are based on the sales volume of frontline members. Here’s the breakdown:

  • Planner: Earns a 5% commission based on the sales volume of their frontline Planners.
  • Manager: Receives a 15% commission based on the sales volume of their frontline Planners and a 5% commission based on the sales volume of their frontline Managers.
  • Senior Manager: Earns a 20% commission based on the sales volume of their frontline Planners and a 5% commission based on the sales volume of their frontline Managers or Senior Managers.
  • Team Leader: Earns a 45% commission based on the Team Leader’s group sales volume minus the total commission and Reward Points of the Team Leader’s group.

3. Team Commission

For Senior Managers, Riman Inc. pays a 5% commission based on the Senior Manager’s Group Sales Volume.

4. Team Incentive

Riman, Inc. pays a team incentive when the sales volume of the member’s own Team Leader Group and the 1st Team Leader Group exceeds 30,000BP. However, a minimum of 10,000BP of sales volume must come from the member’s own Team Leader Group. In this case, Riman, Inc. pays 50% of all the senior manager’s Team Commission in their own Team Leader Group.

5. Achievement Incentives

Riman, Inc. offers achievement incentives based on sales volume achievements. When the sales volume of the member’s own Team Leader Group and the 1st Team Leader Group exceeds 30,000BP, they receive $1,800. If the sales volume exceeds 30,000BP again, an additional $900 is paid.

6. Management Incentive

For Team Leaders, Riman, Inc. pays 50% of the 1st generation Team Leader’s Achievement Incentive when the sales volume of the member’s own Team Leader Group and the 1st Team Leader Group exceeds 30,000BP, with a minimum of 10,000BP of sales volume coming from the member’s own Team Leader Group.

7. Leadership Incentive

Leadership incentives are based on the member’s Director Group sales volume. The breakdown is as follows:

  • Director: Receives a 1% commission based on the sales volume of their own Director Group.
  • Senior Director: Earns a 1.5% commission based on the sales volume of their own Director Group.
  • National Director & Executive: Receive a 2% commission based on the sales volume of their own Director Group.

8. LAS Incentive 1

For Directors, Senior Directors, and National Directors, incentives are paid from 3% of the total Beauty Planner sales volumes minus the Leadership Incentives. The amount paid is determined by the score assigned to each position among the highest level directors per leg within the 3rd generation.

The score breakdown is as follows:

  • Director – 2 points
  • Senior Director – 3 points
  • National Director – 4 points
  • Executive – 6 points

9. LAS Incentive 2

As an Executive, incentives are paid out of 2% of the total Beauty Planner sales volume. The amount paid is determined by the score assigned to each position among the highest level directors per leg in the 3rd generation, following the same score breakdown in LAS Incentive 1.

10. Executive Contribution Incentive

Riman, Inc. provides an Executive Contribution Incentive of $10,000 monthly when a member builds one Executive Leg. An additional $10,000 is paid monthly per new leg.

Minimum Monthly Requirements for Beauty Planners

Riman has established specific criteria for its Beauty Planners to maintain their active status and receive benefits.

To begin with, all Beauty Planners must adhere to the “70% Rule,” which necessitates providing purchase information for over 70% of their customers. Failure to meet this criterion will result in withheld payment.

For Managers and Senior Managers, the qualification is to maintain over three active personal customers. Failure to achieve this requirement will also result in withheld payment.

Team Leaders have more comprehensive requirements. In addition to maintaining over five active personal customers, they must also ensure their team leader group achieves a sales volume exceeding 10,000BP. Failure to achieve this requirement will result in withheld payment.

There are also specific qualifications to maintain a position.

Directors must achieve a minimum of 100,000 BP in director group volume per month, with a maximum allowance of 10,000 BP from a director’s leg. Furthermore, they must have three or more team leader legs.

Senior Directors must meet a minimum team sales volume of 300,000 BP per month, with a maximum of 100,000 BP per Director’s leg. At least 100,000 BP must come from their Director group volume, and they must have two or more Director legs.

National Directors, the next level up, must achieve a minimum team sales volume of 500,000 BP per month, with a maximum of 100,000 BP per Director’s leg. Similarly, they must obtain at least 100,000 BP from their Director group volume and have four or more Director legs.

Finally, the highest position, Executive, requires a minimum of 15 LAS PT at least 11 times a year.

It is important to note that if any of these positions achieve their qualifications in the middle of a year, their annual review period will be extended until the end of the following year. And they must fulfill over 50% of the review period.

How Much Money Can You Make With Riman?

The 2022 data from Riman Korea Co. Ltd. shows the following payment distribution for all salespersons:

Percentage of SalespeopleTotal Payment (KRW)Average Payment per Salesperson (KRW)
1%7,831,334,05011,235,773
5%8,410,042,3202,411,827
24%6,039,985,540360,833
30%487,579,63023,304
40%118,174,1804,236
100%22,887,115,720328,159

Requirements and Cost to Join Riman

You can join Riman as a Beauty Customer or Beauty Planner.

In the US, to become a Beauty Customer, you must be a United States resident aged 13 or older. Simply visit the Riman website and click on the “Sign Up” button. After confirming and agreeing to the terms and conditions, you can proceed with the enrollment process by providing your personal information.

On the other hand, if you aspire to be a Beauty Planner, you need to be an adult resident of the United States, aged 18 or older, and possess a valid Social Security Number (SSN) for registration. Along with your personal details, you’ll also be required to enter the ID of your referring Beauty Planner.

For the Beauty Planner enrollment, in addition to your application, you’ll need to pay a registration fee of $20 annually.


Section 3 – Products

In this section, we delve into the diverse range of products offered by Riman. We uncover the aspects that make the products exceptional and present their top-rated items.


What Riman Sells

Riman is making waves in the beauty and skincare industry with its focus on harnessing the power of natural ingredients. The company’s range of brands includes Incellderm, Botalab, and Lifening.

Incellderm, a flagship brand, specializes in revealing youthful cells and providing deep skin rejuvenation, as stated by the company. The Incellderm Dermatology First Package EX, priced at $90, and the Incellderm Active Cream EX, priced at $60, are among their best-selling products. Additionally, the Incellderm brand offers a wide range of items such as the Vieton Oil Mist, Multi Stick Balm, Calming Balance Gel, and Snow Enzyme Cleanser EX.

The Botalab brand focuses on botanical and vegan hair and body care products. Similarly, Lifening offers all-natural products.

Products sold by Riman MLMPin

Product Testing and Certification

Various awards received by Riman are an indication of the company’s dedication to excellence. For instance, the Grand Prize for Premium Brands Chosen by Female Consumers was awarded by Hankyung Business from 2018 to 2021. Riman also received the prestigious Best Brand of the Year Grand Prize from JoongAng Ilbo in 2018.

The company also secured the National Consumer-Centered Brand Awards for both 2020 and 2021, further reinforcing its customer-centricity. The brand’s excellence extended to the Hwahae Beauty Awards, where Riman’s product emerged as the Best New Product in the second half of 2020.

Additionally, Riman’s exceptional performance garnered the prestigious Korea Top Brand Awards in 2020, solidifying its position as a leading brand in the industry. In 2021, Riman further cemented its popularity by achieving the first position in consumer preference in Korea, as recognized by Weekly Donga.

Lawsuits and Independent Reviews

Although being a renowned Korean brand, this company has found itself facing instances of lawsuits and negative reviews.

One prominent issue is cases of the brand’s discounted product prices in the market from the actions of certain former salespeople, who resort to pouring excess stock into online shopping platforms.

This stems from the accumulation of inventory by salespeople aiming solely for high-ranking positions.

To combat this, Riman now strictly prohibits online distribution and sales, resorting to terminating contracts with anyone caught violating these policies.

Various salespeople also find the demanding performance standards set by Riman to be a bit too burdensome.

Consequently, some found themselves compelled to spend personal funds just to sustain their positions.

These cases raised concerns within the industry about the legality of Riman’s business structure, with suspicions of illegal multi-level marketing practices. And, in 2019, Riman Korea faced an investigation for potential violations of door-to-door sales laws. Similarly, in 2021, the Fair Trade Commission initiated its own inquiry.

However, these investigations failed to result in any charges or prosecutions.

In an effort to prevent excessive stockpiling by salespeople, Riman Korea strictly limited the monthly purchase limit to 1 million won. The company takes immediate action when it detects salespeople engaging in stockpiling practices. Furthermore, the company has implemented an aggressive return policy.


Section 4 –Doubts and Misconceptions about Riman

This section aims to provide a balanced and authoritative account of Riman, using well-researched facts and impartial reporting.


Is Riman an MLM?

Yes, based on the company’s compensation model, Riman exhibits characteristics of a multi-level marketing (MLM) company.

However, it’s registered as a “sponsored door-to-door sales business” by the Korea Fair Trade Commission (KFTC), rather than an MLM company. Note that this classification is different from a purely “door-to-door sales business”.

Who is the Owner of Riman?

The company’s ownership details aren’t readily accessible publicly.

However, CEO Gi-Chun Kim and CEO Bae-Gyeon Choi are mentioned as the two founders of the company in online sources.


Section 5 – FAQs And Recap

In conclusion, we summarize some key concepts by answering frequently asked questions about Riman


What is Riman and what are its key achievements?

Riman is a Korean-based cosmetics distribution company recognized for its premium skincare brand, Incellderm, and personal care brand, Botalab. It has solidified its position in Korea, is expanding globally, and has secured a spot on the DSN Global 100 List.

What is the business model of Riman?

Riman utilizes a multi-level marketing strategy, leveraging “Beauty Planners” who market and resell the company’s products. They also implement a customer reward program to encourage repeat purchases and foster customer loyalty.

What are the popular products of Riman?

Riman offers a range of skincare and personal care products, with Incellderm and Botalab as their flagship brands. The Incellderm Dermatology First Package EX and the Incellderm Active Cream EX are among their best-selling products.

Has Riman received any awards or certifications?

Yes, Riman has received several awards including the ‘Premium Brand Award Chosen by Female Consumers for three consecutive years, the National Consumer-Centered Brand Awards for two years, and the Best Brand of the Year Grand Prize in 2018.


Sources

Credits (images)

  • Riman Official
  1. Nature & Co
  2. Atomy
  3. Oriflame

Author: Victor Nyorani

Victor Nyorani - Network Marketing Start

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