Japan’s multi-level marketing industry is on the rise, and it's a perfect opportunity for entrepreneurs to capture the market early. Especially, the cosmetic and personal care segments are projected to witness the highest growth.
But, is establishing an MLM company as easy as it seems on paper? No, it’s not because product sales and growth rely on distributors, which makes designing an attractive business opportunity challenging. The growth depends directly on how well individuals understand the compensation and how confident they are in promoting your products.
However, some of the top MLM companies in Japan have decoded the path to success. We have listed the best Japan MLM direct selling businesses and explained their workings.
This Article Contains:
Best MLM Companies in Japan At Glance
We’ve listed the top Japan MLM companies that have performed exceptionally since their launch in the nation. We evaluated each business based on factors such as its revenue, market share, reputation, quality of distributor support, and regulatory compliance.
We made sure to add only those companies that are still actively using the MLM model and have not shifted to other business models. We’ve listed businesses that have perfected their growth strategy and have sustained well.
| S.No | Company Name | Founder & CEO | Headquarters | Year Founded | Revenue |
|---|---|---|---|---|---|
| 1 | Naturally Plus | Takashi Tajima | Tokyo, Japan | 1999 | $208 Million |
| 2 | BearCere Ju | Masahiro Sasahara | Kyoto, Japan | 1992 | $163 Million |
| 3 | Thanks AI | Makoto Fujiwara | Kumamoto City, Japan | 2009 | $57 Million |
Explore the Top Japan MLM Companies in Detail
Let’s now learn how these companies operate, their compensation plans, and what makes them leaders in the Japanese MLM market.
1. Naturally Plus
Naturally Plus is one of the earliest established businesses. It has secured its place as one of the top MLM companies in Japan because of its solid product line and compensation plan. The company offers premium nutritional products and started its journey with its flagship supplement, Super Lutein.
It became one of its highest-selling products and helped the company expand to over a dozen countries. To sell these products, it created a compensation plan that focuses on distributor benefits while abiding by the rules of Japan.
Naturally Plus provides distributors with commission to sell products and not just to recruit new members, making it a legitimate MLM and not a pyramid scheme. Plus, it has no retail pressure or forced inventory policy that helps associates grow at their own pace.
The team growth system is straightforward, where a distributor can bring in two people who will further bring in two more, making the total four. Now these four people can bring in three more, and so on. Therefore, they earn from their own sales and from their downlines' sales. Plus, once a distributor has 25 people on each leg, they reach the “Full Cycle” stage, which makes them eligible to earn an extra $500/month.
There are seven bonuses attached to the compensation plan that boost earning potential:
Daily Cycle Bonus: It rewards volume performance on two downlines of the distributors and is paid weekly, up to a maximum of $800/day.
Leadership Bonus: A 25% match bonus when a distributor’s direct recruits complete a full cycle.
Frontier Bonus: Distributors can get a share of 1% of global product sales if they directly sponsor 10+ active members. Also, the distributor should have 10,000 points through personal product purchases.
Spirit Bonus: A higher-tier volume bonus shared among leaders building deeply in the Asia-Pacific regions.
All in all, Naturally Plus has designed a comprehensive compensation plan that has multiple payment streams available for people ready to work hard. If you plan to launch an MLM business, you can use a similar flexible model that helps distributors earn more, and in turn, you get to scale your business consistently.
2. BearCere Ju
BearCere Ju is a prominent Japanese MLM company known for its health and daily-use personal care products. BearCere Ju has scaled its business by empowering distributors through a flexible compensation plan.
Its MLM structure is deeply rooted in consistent product usage, customer satisfaction, and leadership development. This approach also aligns with Japan’s strict MLM regulations under the Act on Specified Commercial Transactions.
BearCere Ju offers three distinct income opportunities that work together to promote both product movement and leadership cultivation:
Retail Profit: Its members can earn from the price difference between the product’s suggested retail price and their personal member price. This encourages direct selling and builds early-stage income without depending on recruitment, a key factor used by the brand to differentiate itself from a pyramid scheme.
Override Commissions: When members sponsor others and those recruits start building their own teams, the sponsor earns an override based on the difference in rank-based pricing. This incentivizes mentorship and leadership over mere enrollment. This is a smart structure that future entrepreneurs can adopt to ensure growth without reputational risk.
High-Level Bonuses: For those who mentor new leaders, especially those reaching the rank of President Director, BearCere Ju pays separate leadership bonuses.
Importantly, BearCere Ju reinforces this structure through strong after-sales and educational systems. It organizes monthly campaigns offering exclusive bonuses, sample products, and incentive items to the distributors.
Plus, it encourages its distributors to attend the academic lectures they organize, which product developers lead, so they can recommend products backed by scientific credibility. For entrepreneurs, this underlines a key lesson: if you want your distributors to promote your product confidently, give them resources that build trust, such as education, peer-reviewed support, and verified product claims.
Additionally, the company reinvests unused high-level bonus funds into campaigns and training initiatives, demonstrating a commitment to community enrichment rather than profit hoarding. BearCere Ju even provides training trips that are intentionally designed for distributors' learning rather than vacations.
Entrepreneurs can learn the following from BearCere Ju: offer everyday products that people genuinely need, tie compensation to leadership and service, not just enrollment, and build infrastructure that supports trust and sustainable growth. This will help you stay in business for a long time and expand to more countries.
3. Thanks AI
Thanks AI is operating within Japan's stringent MLM framework because its business model is aligned perfectly with the mandatory legislation. It currently offers health, beauty, and wellness products in Japan, such as Perfect Mineral AI Powder, Kawaii Essence AI, and Joyfil.
To sell these products, Thanks AI has developed a multi-tier MLM system that provides five types of bonuses:
Sponsor Bonus: Distributors earn this immediately when a new member registers and purchases products.
Pair Bonus: Granted when at least one directly sponsored member on each leg of the distributor’s binary tree places a qualifying order.
Global Bonus: This bonus is shared among high-ranking leaders of Thanks AI (Triple Gold and above), representing 1% of the global company sales.
Season Bonus: Thanks AI rewards consistent Gold-rank achievers twice a year through this bonus.
Furthermore, the unique aspects of its compensation plan include the strict resale and recruitment rules. It doesn’t allow distributors to resell or cross-recruit and encourages people to use products strictly for personal consumption. It also requests associates to avoid exaggeration in testimonials or earnings claims to avoid legal complications.
How MLM Works in Japan?
Multi-level marketing (MLM) businesses are legal in Japan as long as they abide by the law. The Act on Specified Commercial Transactions is the primary law that governs the industry, which is subject to stringent government oversight. In order to prevent consumer exploitation and fraudulent schemes, this law defines and regulates "Multi-level Marketing Transactions" and places restrictions on them.
One important distinction in Japan is that MLM is not to be confused with pyramid schemes, which are illegal. Therefore, you should be well aware of the difference between an MLM and a pyramid scheme, and you must represent the same in the market to avoid confusion.
In Japan, Pyramid schemes are explicitly banned under the Act on Prevention of Pyramid Schemes. Any compensation structure based primarily on "head-hunting," that is, recruitment rather than product sales, is considered a violation.
The legislation in Japan mandates that every MLM company provide a 20-day cooling-off period to distributors who join a direct-selling business. Typically, the standard door-to-door sales cooling-off period is 8 days. However, for MLM, it has been extended due to the government’s concern that people joining must fully understand the MLM structure before committing financially.
The next operational rule you must follow to operate in Japan is regarding the nature of goods you’re planning to sell. The country regulates certain categories like health products, nutritional supplements, alcoholic beverages, tobacco, and rice. Plus, direct selling of insurance, securities, or other financial products via home visits is allowed only after obtaining formal government approval.
Further, before you advertise any claims, such as curing or treating a disease, ensure they comply with Japan’s pharmaceutical regulations. If they don’t comply, please refrain from presenting such claims to avoid legal complications.
Additionally, there are strong documentation obligations that every business must follow. The transactions of an MLM company involving installment payments must comply with the Installment Sales Act of Japan.
Current Statistics of Japan’s Direct-Selling Industry
Japan’s direct selling marketing will grow to a projected revenue of USD 41,818.2 million by 2030.
The direct-selling market of Japan will grow with an estimated CAGR of 7% from 2025 to 2030.
Japan’s direct-selling market revenue in 2022: USD 24,571.7 million.
In 2022, health & wellness was the largest revenue-generating segment.
During the forecast period, i.e., from 2025 to 2030, cosmetics and personal care will be the most lucrative product segments.
Japan accounted for 12.3% of the global direct selling market revenue in 2022.
Conclusion
The statistics listed above clearly demonstrate that Japan is becoming a major MLM business hub. Some of the top MLM companies in Japan have already tapped the market well, but there is still scope for new businesses as the market is projected to grow exponentially.
All it requires is to create a strong product lineup, which distributors can easily and confidently promote. Next is to build a rewarding compensation plan that stays compliant as per the Japanese rule book. Lastly, you need to educate your brand associates to stay within the rules while promoting products and recruiting new members. Once these three things are in place, your brand’s success is guaranteed.
Lakshay is a perceptive writer and strategist with deep-rooted expertise in network marketing dynamics. His analytical approach to industry trends and talent for translating complex sales methodologies into accessible insights make his work indispensable for professionals at all levels. Through meticulously researched content, he guides readers through the evolving world of relationship-based commerce, offering pragmatic strategies that balance growth with ethical practices. Combining data-driven frameworks with a nuanced understanding of consumer behavior, Lakshay equips entrepreneurs to build sustainable ventures.
FAQs
1. Is MLM legal in Japan?
Yes, multi-level marketing (MLM) is legal in Japan. However, it requires MLM businesses to follow strict rules, as the Japanese government constantly regulates these companies and penalizes them for breaking laws.
2. What is the best MLM company in Japan?
There is no definite answer for a company being the best in Japan, as it depends on various factors. However, based on our criteria, such as revenue consistency, brand presence, and market share, the company that came at the top is Naturally Plus.
3. What are the risks of MLM in Japan?
There are no certain risks of MLM in Japan as long as the companies are operating under the formulated policies, such as:
Differentiating themselves from a pyramid scheme.
Not relying on recruitment-based earnings.
Following the rules outlined under the Act on Prevention of Pyramid Schemes.
Providing cooling-off periods.
References
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Businessforhome.org
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grandviewresearch.com
Disclaimer: Global MLM Software do not endorse any companies or products mentioned in this article. The content is derived from publicly available resources and does not favor any specific organizations, individuals or products.
