Amway - How Does A Diamond Make Their Money?

I remember seeing my diamond drive to functions in a Mercedes Benz and seeing various functions where incredible displays of wealth were shown. WWDB has a function called Dream Nite where diamonds parade around in fancy suits and clothes, show off slide shows of fabulous vacations, mansions, sports cars, jets golf memberships and other luxuries. They would say "do what we do and you can have what we have". They would also tell the audience to hurry up and join them.

At the time I was an IBO and had no idea how much income a diamond made or how much money it took to run an Amway business. I was just excited and determined to become one of the guys on stage urging on the new kids on the block. However, as I progressed in pin levels, I never did see the profits that upline spoke of. All I saw was my hard earned profits being invested into more and more tools. As I got more volume, my tool expenses seemed to get higher and my upline expected more and more commitment from me. I never thought about how a diamond made their money in Amway.

After I left Amway and eventually began blogging, I learned about the tolls income. As I IBO, I was told that the tools had no profits. Profits were simply reinvested to pay for functions. I know that Amway reported that the average diamond earns about $150,000 s year from Amway. Of course business structure and the number of months a diamond qualifies is a factor. A founder's pin can earn significantly more than a non founder's pin. However, I also know that a founder's diamond or above is the exception and not the rule. Thus a diamond will earn Amway bonuses and volume from downline.

The reason why a diamond apparently seemingly never quits is because they need to keep working and replacing downline who quit. Seems that about 2/3 of IBOs never renea after a year and 95% og IBOs are gone in less than 5 years. With that kind of attrition, you basically can never walk away from Amway and sit on the beaches while the cash rolls in. What I didn't know as an IBO was my upline was earning income from tools. I'm sure they are earning several dollars a month from the standing orders, voicemail and some others tools. I believe the bulk of tool income is from the functions where there is a huge potential to earn significant cash. Nobody can pinpoint exactly how much someone earns from tools because you would have to know the breakdown of profit from each tool, and you would need to know how many diamonds and other pin levels get a share of the income. It is my informed opinion that a diamond would make about two thirds of their income from tools sales and the rest from Amway bonuses.

I base that opinion on the concept that the tools have a much larger profit center than the Amway products. Amway's bonus is about 33% or so but is split up in layers. The tools can have several 100% profit with fewer people getting a share. For example, a major function might cost $35 to $40 per person while the uplines charge $125 an up. A cd might cost 50 cents to make but upline charges $7.50 or $2.50 if you pay a monthly membership fee of $50. Based on some former diamonds statements, it is fair to conclude that a diamond might make only a thrid of their income from diamonds.

Does that seem fair when diamonds push tools on their downline?