We were recently introduced to Arissto – a coffee capsule company like Nespresso but differentiates itself by allowing you to rent their coffee machine for RM1/month instead of paying over RM500 to buy a Nespresso coffee machine.
Catching our interest from both as a way to reduce your daily expenses, and a way to make some good side income, we dug in deep to understand the business model to see if it's really as good as it's being marketed.
Like you, we were hesitant to believe what was being told on the internet so we went to their events, questioned a bunch of different people, threw a bunch of different scenarios at them and these were the responses they provided. After all that, we are very confident at the Arissto business model and believe that everyone has something they can get from this company.
But first, let's go into what Arissto coffee is all about!
- Arissto customer – benefits and shortcomings
- Arissto coffee ambassadors – is there an opportunity?
- Arissto iPartner – is it a good investment?
What is Arissto Coffee
As mentioned, Arissto coffee is like Nespresso in the sense that Arissto sells a coffee machine (rather, it allows you to rent the Arissto coffee machine for RM1 / month) and also sells its own branded Arissto coffee capsules which is sourced and produced in from places where some of the most famous coffee beans are located.
There are 3 different parts to the Arissto business model and depending on your interest, each business model is amazing.
The first part of the business is the customer. Arissto differentiates itself from all the other coffee capsule businesses by first allowing you to rent their coffee machine at RM1 / month (and have all the expenses of maintenance be put on them). Then, in order to keep your rented Arissto coffee machine, you will have to sign up for their monthly subscription which can be as little as RM20 / month and have coffee capsules delivered straight to your home (and in most cases, comes with free delivery). You can learn more about being an Arissto customer further down this post.
The second part of the Arissto business model is their Arissto Coffee Ambassadors. Instead of spending RM1,000,000+ in advertising, they have decided to create the Arissto Coffee Ambassador. As a coffee ambassador, your role is to find more customers who are interested in the subscription offering Arissto has to offer. This can be a great way to make some quick extra money, make some passive income and ultimately, learn how to operate your own small business. You can learn more about being an Arissto Coffee Ambassador further down this post.
The final part of the Arissto business model is the Arissto iPartner. As an Arissto iPartner, your role is to become an investor in the company. In return for your money, Arissto guarantees a minimum of 15% return each year and if you spent a bit more time getting more active in the business, you could easily earn more than that. You can learn more about being an Arissto iPartner further down this post.
As mentioned, we were hesitant with what people were telling us so we went to their event and questioned their senior team (those who have been actively part of the Arissto business in all 3 areas for 3+ years) and this is what we found.
Benefits and Shortcomings of Being an Arissto Customer
For those who want to save money on coffee / tea and still get pretty good quality homemade drinks, Arissto is the solution for you.
Arissto is a brand of capsule coffee that stands out from the competitors by allowing you to rent the Arissto coffee machine for RM1 per month. In return, you are required to order at least one box of Arissto coffee capsules (which is just 10 capsules).
The Arissto coffee capsules will be shipped directly to you (and you will get free shipping if you order over 4 boxes at once, which also qualifies you to be a customer for 4 months), making it one of the easiest things to be a part of.
To sum up what Arissto customers are eligible for:
- They can rent an Arissto coffee machine for RM1, making it essentially free to get coffee at home
- They will sign up for a subscription to get coffee capsules delivered to wherever they choose
- There will be free delivery of these coffee capsules so long as they decide to purchase 4 or more boxes of coffee capsules (each box contains 10 coffee capsules)
- The subscription is not monthly, but can be every 4 months
- Coffee capsules are as low as RM2, making it cheaper than all coffee shops
- They can from this program at any time
FAQ About Being an Arissto Coffee Customer
Q: How can I change the amount of Arissto coffee capsules I previously ordered as part of my subscription?
You can easily change your subscription quantity through your order form
Q: Will I ever be responsible for the maintenance of the Arissto coffee machine?
As a customer, you will never be responsible for the maintenance of the Arissto coffee machine so long as the machine is breaking due to wear and tear.
Q: Are there any contracts for being an Arissto customer?
There is no minimum term for being an Arissto customer. The only contract agreement is that you must order on average one box of Arissto coffee capsules a month in order to rent the machine at RM1 per month.
That said, you are free to cancel your subscription with Arissto at any time.
Q: How do I sign up to be an Arissto customer?
You can sign up to become an arissto customer through this link. But we suggest you attend an Arissto event and experience the coffee and tea yourself so you know what you would like to order.
Why we believe that becoming an Arissto customer is a great option
The biggest reason we believe that becoming an Arissto customer is a good thing to do is because they offer some pretty good quality coffee at a reasonable price (and if you compare it to getting coffee from a coffee shop, a superior price). Also, what makes Arissto a better option than one of their competitors is that they allow you to rent the coffee machine (and not have to worry about the maintenance of the machine) so that your upfront cost is minimal.
And of course, who can forget the fact that they will ship your coffee capsules to you!
So if drinking coffee or tea from some high end coffee shop is not something you want to spend extra money on, Arissto is a great alternative (and it can easily allow you to spend more on what really gets you excited!)
Arissto And The Arissto Coffee Ambassador Program
Because Arissto is trying to give people opportunities to make money, Arissto has what they call Arissto Coffee Ambassadors. These people are pretty much sales people for Arissto and are trying to find people (and companies) who are interested in signing up for an Arissto coffee machine. In return, they would get paid (a flat amount and a recurring amount) for each successful sign up.
Arissto Coffee Ambassadors can also recruit more ambassadors to join and would get a smaller income for each successful sign up their members recruit.
Normally this is the part where the business becomes a pyramid scheme but the reason why this isn't a pyramid scheme is because there is no cost to sign up (which means both the person who refers you and the company doesn't make any money from you joining). Also, Arissto has a filtering process where you must go through (and pass) their training, making sure that you will do a good job representing the company.
So to sum up the Arissto coffee ambassador benefits:
- You get paid RM50 – RM80 for each person who signs up to rent the Arissto coffee machine
- You get paid minimum RM0.10 for each capsule that the person who signs up purchases, making this a recurring income
- You can recruit more coffee ambassadors and be paid for each sign up they make
- You will get paid RM20 for each sign up your recruit makes
- You will get RM0.0065 for each capsule consumption that your recruit's sign up consumes
- You need to have a minimum of RM100 in order to withdraw
- There is no fee to become a coffee ambassador, but you do need to go through training
FAQ About Arissto Coffee Ambassadors
Q: What do you need to do in order to become an Arissto Coffee Ambassador?
In order to become an Arissto Coffee Ambassador, you will need to first become a customer of Arissto. Once you do that, you can register to become an Arissto Coffee Ambassador by filling out this form. Once you filled out the form, you will be allowed to attend the Arissto Coffee Ambassador workshop where you will be given all the information needed. Once you complete the workshop, there is a group interview session where you will go through the terms and conditions of being an Arissto Coffee Ambassador. Once you complete that, you are officially an Arissto Coffee Ambassador.
Q: What responsibilities do Arissto Coffee Ambassadors have?
As an Arissto Coffee Ambassador, you are responsible for servicing all your customers. That means if they have any question, you would be their first go to (of course, we can start listing out as many of those questions on this site with your help). It also means if their machine breaks down, you are responsible for picking it up and delivering it to a certified Arissto shop to get it fixed. You will also have to deliver it back to the customer. And if the customer ever decides to cancel, you would be responsible for picking up the machine.
Q: Are there ever any expenses for being an Arissto Coffee Ambassador?
Besides having the be a Arissto customer, you will have no other expenses (unless you have to travel to pick up your customer's machine).
Q: How do Arissto Coffee Ambassadors Get Their Commission?
In order for Arissto Coffee Ambassadors to get their commission, they must have made at least RM100 before the company will send you the money. You can easily see how much money you have by logging into your account.
Why we believe you should consider becoming an Arissto Coffee Ambassador
The biggest reason we believe being an Arissto Coffee Ambassador is a great thing is because we believe that the product that Arissto offers is amazing compared to people's current option. If they did not have a good product, we wouldn't want you to waste your time (and potential friendships) trying to sell for them.
Now that we can agree that they have a great product, getting paid to promote it isn't as bad. In fact, finding new Arissto customers can be a great side business because of the upfront money Arissto gives you for each new customer you sign on, and because of the passive income you get for each box of coffee capsules they purchase.
This makes Arissto a great way for you to learn how to build your own business and learn some basic sales and marketing (which goes back to our whole belief that honing in on skills is the best way to increase your income).
Arissto iPartner Program
The Arissto iPartner program is super interesting. The way we would describe it is that they allow you to invest in the business by 'buying' (on paper) some of their coffee machines and then give it to the company to rent out. In return, the company will guarantee you a minimum of 15% return annually based on the total cost of the machines you 'bought'.
There is also a 'license fee' which costs almost RM3000 and they claim that part of the money is used to pay for all maintenance of the machines (where the rest probably goes into growing their business).
The nice thing about becoming an Arissto iPartner is after your investment, you can be completely hands off and have your money come in each quarter.
To sum up the Arissto iPartner benefits
- You will be guaranteed a minimum of 15% return on the cost of your coffee machines (RM800 each) if you invest up to 9 machines
- You will be guaranteed a minimum of 20% return on the cost of your coffee machines if you invest over 10 machines
- If any of your machines is used more than the guarantee that Arissto makes, you will get additional income
FAQ About Arissto iPartner
Q: What expenses do Arissto iPartners have?
Although it is framed as if you buy the Arissto coffee machines, you are not responsible for servicing any of the machines, even if it breaks. As part of the license fee, the first 5 years of maintenance is covered. But after 5 years, you are responsible for paying the annual servicing fee (which is currently around RM30 per machine) and the company will take care of that for you. Besides that, you will not have any other expenses to pay.
Q: Is the license fee non refundable?
You can get the cost of your license fee back but in order to do that, you must sell your whole Arissto iPartner investment off to another person.
Q: How easy is it to sell my Arissto iPartner investment?
In order to sell your Arissto iPartner investment, you must find someone willing to buy your investment. However, as part of the terms of being an iPartner, you are not allowed to sell your machines and your license below the cost you bought them at.
Q: Why would someone want to buy my iPartner investment when they can buy their own investment from the company?
This is the question we really dug deep on. Afterall, depending on the answer, it can make or break the Arissto iPartner investment.
Their answer went like this: the reason why someone would want to buy your iPartner investment instead of a new investment is because either your return is higher than the minimum return guaranteed by the company (in other words, some of the Arissto customers who are using your machine buy more Arissto coffee capsules than what the company guarantees they will buy) OR because the cost of the machines and license has gone up since and so your license can be bought cheaper than what's currently available.
We understand the first option, but the second one is a little hard to trust. Because that means you are hoping that they raise their prices (and they have raised it a few times since they started operations 3 years ago). So we suggest that you do spend some time finding high quality customers so your investment instantly looks more appealing than the guaranteed return.
Our thoughts on becoming an Arissto iPartner
We're not going to lie, seeing a 'guaranteed return' in the double digits is hard to fathom, but at the same time, we know things like this exist (but are typically only available to the ultra wealthy). The biggest downside is that we don't know if the guarantee is contractual (we don't have any documents at the time of writing). Besides that, we're not sure how easy it will be to sell out in the future if that's what you want (unless you spend the time or partner with an Arissto Coffee Ambassador to find higher consuming customers) and of course, the risk that the company could just disappear tomorrow.
That said, we are going to personally continue exploring this investment option mainly because we can get a contract (or written documents) to read. As for selling out, we don't plan on taking a passive approach. Instead, we will attempt to make our investment stand out so that we make more money each month and so we can easily cash out in the future.
As for the company going bankrupt, we'll have to dig deeper in the management team and see if there is any news of them doing just that with previous companies.
But overall, we do see this as a great opportunity to diversify money that doesn't need to be touched ever.