Is Scentsy Going Out of Business? Here’s the Truth

Since 2024, rumors about Scentsy shutting down have been circulating online. Layoffs, a warehouse listing, and consultants announcing they’re stepping away have all added fuel to the speculation. But rumors and reality are rarely the same thing.

This article cuts through the noise. Here’s what the evidence actually shows about Scentsy’s current status — and what recent changes really mean for customers, consultants, and anyone following the story.

Scentsy Is Not Going Out of Business

The short answer: no, Scentsy is not closing. As of mid-2026, there are no credible reports of bankruptcy filings, shutdown announcements, or plans to wind down operations. Multiple business analyses have explicitly concluded that the company is not closing in 2025 or 2026.

The company continues to launch new products, expand licensed partnerships, and recruit consultants. In 2024, Forbes named Scentsy one of America’s Best Midsize Employers — the fifth time it has received that recognition. That’s not the kind of press a company in its final chapter tends to generate.

What is true is that Scentsy is a smaller business than it was at its pandemic-era peak. That’s a meaningful distinction, and it’s worth understanding exactly what changed.

What the Layoffs and Warehouse Sale Actually Reflect

Two developments in particular have driven the shutdown rumors: a round of layoffs and the listing of a large warehouse for sale. Both are real. Neither signals the end of the company.

The Layoffs

Scentsy cut roughly 11% of its workforce, framing the move as a return to pre-pandemic staffing levels. That framing makes more sense when you look at the revenue timeline.

During the pandemic, demand for home fragrance products surged. Scentsy’s revenue peaked at around $1.02 billion in 2021. As life returned to normal, that demand pulled back — significantly. By 2023, revenue had declined to approximately $579 million. By 2024, it was around $472 million.

That’s a real contraction. But it also follows a pattern seen across many consumer brands after COVID. Think of home fitness equipment companies, baking supply brands, or any business that rode a pandemic wave and then had to right-size when conditions normalized. Pulling back workforce to match lower demand is a standard business response — not a precursor to closure.

According to a 2026 business analysis, Scentsy went through its main restructuring phase in late 2024 and early 2025. The company reportedly maintains around 1,800 corporate employees today, with no mass layoffs reported in 2026.

The Warehouse

In June 2026, Scentsy listed a 210,000-square-foot warehouse in Meridian, Idaho, for sale or lease. The company explained that growth had “normalized” after COVID, making the extra space unnecessary.

Scentsy’s Meridian campus includes 10 buildings. Only one warehouse is being marketed. The company stated it remains well-positioned within its existing facilities to support current operations and future growth.

Think of it this way: a retailer that rented extra storage during a demand surge and then released the space once orders normalized is consolidating — not collapsing. The core operation stays intact.

Why the Closure Rumors Keep Spreading

Understanding the source of the rumors helps explain why they persist even without supporting evidence.

Consultants Closing Their Own Businesses

Scentsy operates on a direct-selling model. Independent consultants run their own Scentsy businesses, and any consultant can exit at any time — for personal reasons, low sales, life changes, or new priorities. When consultants leave, they often post about it publicly.

A Scentsy director with nine years of experience recently announced she was closing her personal Scentsy business. Another consultant cited low sales and a desire for more family time as her reasons for stepping away. These are individual decisions. They reflect the realities of direct selling, not a signal that the parent company is shutting down.

The comparison to a franchise model is useful here. A franchisee closing their location doesn’t mean the parent brand is disappearing. The same logic applies to Scentsy consultants.

Online Anxiety and Pay Plan Changes

Reddit threads with posts like “ARE WE CLOSING?” show real anxiety among consultants about pay plan adjustments and lower post-pandemic sales. That anxiety is understandable. But anxiety shared in an online forum is not the same as verified news, and many of these threads lack any official confirmation of what they’re describing.

Discontinued Products

Scentsy regularly retires products into what it calls the “Scentsy vault.” A Disney collection discontinued on July 31, 2024, and several curated bundles removed on September 30, 2024, were part of routine product lifecycle management.

Brands retire products regularly. A clothing retailer phasing out a seasonal line isn’t announcing it’s going under. The same principle applies here. Discontinued products are a sign of inventory management, not a company in distress.

How the Business Has Changed and Where It Stands Now

It’s worth being honest about Scentsy’s current position rather than painting an overly reassuring picture.

The revenue decline from over $1 billion to $472 million is significant. That’s not a minor dip — it represents a major reset from pandemic highs. The company is operating in a more competitive fragrance market and in a direct-selling industry that faces ongoing scrutiny and variable earnings for consultants.

At the same time, there are clear signs of ongoing activity. In 2024, 33,338 new consultants joined Scentsy globally. The company launched multiple new collections, including Disney and Star Wars collaborations, and partnered with Walt Disney World Resort on a signature wax collection. Scentsy also held its World Tour 2024 events and hosted a Christmas Lights Ceremony at Scentsy Commons.

On the strategic side, Scentsy is shifting to an Annual Perennial Catalogue starting March 1, 2026, moving away from the traditional seasonal catalog format. The company is also reportedly incorporating AI marketing tools and expanding licensed partnerships. These are the moves of a business adapting its model — not one preparing to wind down.

Leadership also appears stable. Dan Orchard has served as CEO since August 2022. In April 2024, the company appointed Susan Firth as President for Europe, Australia, and New Zealand — a hire that suggests long-term regional investment.

What This Means for Customers and Consultants

If you’re a Scentsy customer, the main practical impact is that some products get retired periodically. New collections continue to launch, and the catalog is evolving. The brand is still operating and taking orders.

If you’re a consultant or considering joining, the picture is more nuanced. Post-pandemic sales have declined, and competition within the direct-selling space has increased. The restructuring has made some consultants nervous about the stability of the pay plan and product lineup. Those are legitimate concerns worth factoring into any business decision.

What the evidence doesn’t support is the idea that the company itself is closing. Scentsy has around 1,800 corporate employees, tens of thousands of active consultants, ongoing product launches, and a headquarters campus that remains largely intact.

For broader context on how companies navigate post-pandemic restructuring, Focal Business covers similar business trends across industries.

The Bottom Line

Scentsy is not going out of business. It is, however, a different company than it was in 2021. Revenue has declined sharply from pandemic-era highs, the workforce has been trimmed, and excess facility space is being released. These are real changes that reflect a business adjusting to a post-COVID market.

What’s driving the rumors is a mix of individual consultant exits, product discontinuations, and online anxiety — none of which, on their own or together, constitute evidence of a corporate shutdown. The company continues to operate, recruit, launch products, and earn external recognition.

If you’re following this story, keep the distinction clear: a business contracting is not the same as a business closing. Right now, the evidence points firmly to the former.

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Zoe Bennett
Zoe Bennetthttps://focalbusinessmag.com
I discovered the power of strategic clarity while earning my Master’s in Strategic Management at Georgetown University. During my years as a corporate consultant, I repeatedly watched promising ventures fail due to over-expansion and lack of focus. Wanting to help leaders cut through operational noise, I created Focal Business Mag. My publication centers on core competency alignment, streamlined operations, and disciplined execution. Today, as a corporate alignment expert, I work with CEOs and founders to eliminate distractions, refine their core offerings, and direct their resources toward their most profitable business activities.