Monday, January 17, 2011

Less Than A 1% Chance Of Success?

Many people consider the platinum level in Amway as a significant achievement in Amway. While it may be nice to achieve that level and gain recognition from the Amway corporation, I will point out that there was a study done in Wisconsin where the attorney general analyzed and found that platinums on average, lost money. The study is somewhat dated, but I will also point out that today, there are MORE expenses associated with running an Amway business than before. (Voicemail, books, functions, standing orders, shipping). I would guess that it's possible that platinums lose more today than when the Wisconsin study was done.

A typical platinum group often has 100 ore more downline IBOs. Thus a logical conclusion is that less than 1% of IBOs can reach that level. It is also, apparently rare to maintain that level. My former upline diamond had 7 frontline platinums in his heyday. Actually, 6 of them were ruby level. None of them hold the platinum level today. So you have a less than 1% chance of reaching platinum and then you are unlikely to be able to maintain that level.

What serious prospective business owner would even consider opening a business where you have such a tiny chance of success? Even those who achieve platinum are likely to lose that level. If platinums cannot maintain their level, then it's easy to see why there are former diamonds as well. It seems that people are willing to take a chance on an Amway business because the start up cost is low. But what is the point of doing all of that when the chance of making money is negligible?

To compound the problem, many IBOs spend a lot of time and money building an Amway business that is unlikely to give them any return on their investment. I'd guess that the average serious IBO would spend $250 a month of more on tools. That money invested over a number of years in mutual funds would give you a much better chance of achieving some dreams. Even putting the money in the bank would make you better off than the vast majority of IBOs. A serious business owner would want to know their realistic chance of making money. For some strange reason, prospects and IBOs seem to ignore this reality.

It is because uplines are in the business of selling tools and distributorships. They are not truly interested in your long term sustainable success. If you don't believe me, try to stop purchasing standing orders and function tickets and see how much longer you are edified and given help from upline. Seriously, would a real business owner be interested in a less than 1% chance of success?

20 comments:

Anonymous said...

no. that's why amway is a cult.

Joecool said...

Certainly some of the groups out there like WWDB have cult like qualities. All that wouldn't be so bad but they do it to get their downline to fork out money for useless training.

Anonymous said...

It takes about 100 IBOs to make a platinum... so the stat is not bad. It just is what it is. Joecool, give it a rest. This business is not the lottery or Las Vegas. You do not become platinum with the roll of a dice. You get there by working at it.

Joecool said...

Right, Amway is not a game of chance. So if it's not a game of chance, shouldn't the predictable results be much better? Why are the results of miserable that you have just as good a chance of winning the powerball lottery?

Anonymous said...

Again... it takes 100 IBOs to make a platinum. That's about 1% Platinums... and you can't compare to powerball... come on... Again... effort vs chance is not a comparison.

Joecool said...

And how many IBOs sign up and quit or do nothing? How many IBOs must someone go through to reach the diamond level? How much effort os required as compared to spending a few bucks and a few minutes at a convenience store to buy a ticket? Yes, Amway's not a game of chance but if you can control your outcome, why are there so few success stories?

I'm not comparing Amway to the lottery. I'm comparing the results of Amway.

Joecool said...

Keep in mind that the lottery can also have smaller winners along the way/ Not everyone who plays wins 100 million or nothing,

Anonymous said...

Amway isn't 100 million or nothing either. You can make a couple hundred to couple thousand a month before going platinum. Sorry, Joecool. I'm not buying your comparison. You have control and input over your success (in ANYTHING!)... the only control you have in the lottery is buying a ticket.

Anonymous said...

Statistically speaking you do have a much better chance of winning the lottery than becoming diamond (only approximately 10 new Diamonds in 10 years in North America)and approximately 1,136 people win $1 million or more playing North American lotteries every year.

***Former WWDB Lemming***

Anonymous said...

Here's another interesting stat considering the Amway business failure rate is 99% meaning only 1% will achieve Platinum level in the business but will not always be able to hold that level. This is evident by the amount of qualified Diamonds (approximately 600) out of 6000 that have qualified in the past 45 years. 5400 all eventually failed to survive and walked away from Amway.
Now, compare that to a real business.
According to Industry Canada, Business failure statistics show that about 96 percent of small businesses (1–99 employees) that enter the marketplace survive for one full year, 85 percent survive for three years and 70 percent survive for five years (Key Small Business Statistics - January 2009, Industry Canada).

***Former WWDB Lemming***

Joecool said...

"Anonymous said...
Amway isn't 100 million or nothing either. You can make a couple hundred to couple thousand a month before going platinum.:

Joe says: But those who are below platinum are more than likely losing money to the system. Former WWDB is right, there are far more lottery winners than Amway winners.

Anonymous said...

A 70% success rate after 5 years in a real business Versus a 1% chance you will even make platinum in Amway and good luck achieving that level in 5 years. One would think that those real statistics alone would be enough to make anyone with any common sense think twice about joining this cult yet there will be brainwashed Amway defenders who will twist this all around with preprogrammed Tape Speak.

***Former WWDB Lemming***

Anonymous said...

wow, anon from canada, you just keep getting proven wrong again and again. how embarrassing. give it up already!

Anonymous said...

I'm glad that you find yourself embarrassed by me doing the very things which you are embarrassed of doing.

Joecool said...

Ah, anon from Scarborough Canada resurfaces once again. You keep getting schooled, isn't that why you're embarrassed? Or was it because you got caught masturbating in the public library? :-)

Anonymous said...

I'm not embarrassed for I know no limits and gladly daily live life as such :)

Anonymous said...

whatever that means...

Anonymous said...

anon from canada, just shove it.

Anonymous said...

Why don't you actually shove it yourself as you seem delighted by saying it? I'm sorry but I won't do that because I'm not a homosexual!

Anonymous said...

could have fooled me...