Thursday, August 25, 2011

Your Upline's Dreams Fulfilled At Your Expense?

One of the issues I have with the Amway plan is that the newest IBO, possibly the one who does the most "Work", receives the smallest compensation. Amway pays about 32% of their income back in the form of bonuses. An IBO who does 100 PV receives a 3% bonus and somewhere, uplines and sponsors receive the rest. Some of the upline may not have even met the IBO who actually did the work. Is that really fair and is that a level playing field? What do some of these uplines do to deserve the lion's share of the bonus you worked to get? Yes, the upline diamond may show the plan in an open meeting, which may help you, but then again, you pay for entrance into that meeting.

Many uplines will talk about dreams and fulfilling your dreams. But if an IBO would stop and think for a moment, you can easily see that you are building the dreams of your upline, and not your own. You receive a tiny portion of the bonus for the volume that you move, and then in addition, if you are on the system, then you are also paying upline in the form of tool purchases for the priviledge of giving them bonuses with your product purchases.

It is why your upline diamonds can parade around on stage with designer suits and show you their fancy cars and mansions and other toys. It is because they are cashing in on your efforts. You are making their dreams come true. Your dedication to moving volume and purchasing standing orders are fulfilling dreams. The upline dreams. Yes, someday you can hope to have your own group of downline to exploit for your own benefit, but unless you are adding members to your group regularly, you will never achieve the kinds of dreams that uplines talk about. In the meantime though, you are definitely helping someone upline achieve their dreams with every function you attend. Ironically, the upline leaders will tell you to never quit, even if they don't know your personal circumstances and/or how your business is progressing.

Here's a challenge for IBOs and/or prospects who are being recruited into the Amway business. 100 PV will cost around $300 a month and dedication to the tools system will cost you around $150 to $250 a month on average. Would you not be better off simply writing a check to your upline for $100 and not even joining? Would you not be better off staying home and watching television instead of joining? If you read all of the information available on this blog and still decide to join, good luck to you, but remember this: Whose dreams are being fulfilled by your participation?
Yours or your upline?

39 comments:

Marcus said...

You do not understand the Amway compensation plan or how money is made in a business. Everyone starts at zero and depending upon your work effort (eg: how you plan, how you work, how you grow your business, etc) the results can't surpass both, your vision and work ethic. I know this because I already am self-employed working from home. I know what it takes to move my self-employed business ahead and it's tough work compared to building an Amway business. The logistics of the Amway business are already taken care of by someone else, all I need to do is to put the plan in action to generate business. In my self-employed business I have to take care of the logistics too. Your statement that the newest IBO who does the most work and receives the smallest compensation is absurd at best. If that were the case, Amway would be a scam and shut down. Yet, I see people who start at zero and while it is true that they work hard in the beginning, they go ahead, reaching new milestones and new income brackets while I also see people who start at zero just like them, they are around for a season and then they quit. So, it really is up to the individual to reach whatever level in Amway he or she chooses. You Mister, by your own stupid statements, are not qualified to discuss anything Amway or business-wise related. Keep living the corporate experience!

Joecool said...

Marcus said: Your statement that the newest IBO who does the most work and receives the smallest compensation is absurd at best.

Joecool says: Say an IBO busts his back selling and moves 100 PV. Amway will pay about $90 in bonuses. The IBO who did the work gets $10 and upline gets the rest. Do you know math?

Marcus said...

Joe don't get smart with me, it doesn't level out. Let me clarify it to you and let this be the last time I have to reply to you. Every IBO is part of a network. Each IBO who chooses to, builds his own business network and as such, every network level sees some form of bonus being paid where it applies. However, this bonus is structured based on an IBO's overall business structure (personal width is crucial as it results in profitability) and overall business volume. So, let's say that if an IBO named Mr. X sits at the top of his own network and he has developed a strong business structure and solid business volume, he certainly will get the chunk of the bonus. It's only fair because he has developed his business to that level by mentoring others to do the same and by working with them. Therefore, he is entitled to the bonus. Now, what would you expect? Maybe the guy who just got started is entitled to make the chunk of the bonus? Sorry, it doesn't work like that in the world of business whether you like it or not! In business, the one who does most of the work and sacrifices the most, has the results to show for and thus, the right reward. So, if you are new and did 100 PV, your reward is $10. That's your work, there's your reward. Fair enough! If you have a problem with that then go in the street and boycott the business world because Mr. Joe thinks it's unfair towards the working class. And to conclude this post let's look at a traditional franchise. You have two people; the franchisor and the franchisee. The franchisor owns the franchise and all the locations where the franchise operates. The franchisee owns only one location where the franchise operates. The franchisee's gross profit including bonuses where applicable is based on that franchise's location business. The franchisor's gross profit including bonuses where applicable is based on all his active franchise business locations. Therefore, the franchisor makes a profit off every location and hence, his bonus included is greater than that of any of his franchisee's. The same applies to your Amway business. How well are you running your Amway business? As for you, there's no need to answer that in detail, your answer is thankfully short and that saves you a lot of breath and energy. You got your reward. So, I stop here to redirect my own energy towards more meaningful activities rather than conversing with an individual who is not my type. Cheers!

Joecool said...

Marcus (aka anon from Canada): the one who does most of the work and sacrifices the most, has the results to show for and thus, the right reward.

Joe says: Reading comprehension issues? Say an IBO busts his back selling and moves 100 PV. Amway will pay about $90 in bonuses. The IBO who did the work gets $10 and upline gets the rest. Do you know math?

That's why Amway sucks. The guys doing the work don't get paid. What makes it worse is the lower lelel IBOs doing the work often get sucked into the tool scam, making things even worse.

Joecool said...

Amway is not a franchise and just because someone sponsors a downline should not give the upline a right to take a part of the downline's commission for life. Why do you think people call Amway a pyramid?

Anonymous said...

So what has the anon from Canada accomplished in Amway? 100 PV?

Anonymous said...

marcus, go to hell.

**proud Amway hater**

Anonymous said...

Hey Joecool, Marcus explained to you how money is made and who gets the most money in a franchise. Do you even bother to read what people write to you or do you just spout random shit? The point was made clear that the owner gets the most money by taking a part of the profit from each store he owns but that's too hard or dishonest for you to accept. Why don't you tell everyone that franchises are scams? True, Amway is not a franchise but it seems that franchises are scams so attack them first because they rip way more people off daily than Amway does in a month.

Joecool said...

Hey Anon, why do you and "Marcus" have the same IP address from Canada?

Yeah, the money is made by scamming downline into joining an unprofitable business. And then to make things worse, these unsuspecting folks are sold useless tools that do nothing except make money for the diamonds.

Legitimate franchises are not scams. Take Mcdonald's. Nearly 100% of their owners make money. Contrast that to Amway where less than 1% make any money - now you have a scam.

Seriously, IBOs must have a deficiency in evaluating business plans.

Anonymous said...

No one guarantees that anyone makes money in either Amway or McDonald's. It takes work and effort in either case. Now, it's funny that some people would think that running a McDonald's franchise is serious business but running an Amway business is just a hobby. That's how many see it and treat it as so I wouldn't be surprised why less than 1% make any money in Amway. You're a great example why you didn't make any money in Amway.

Joecool said...

The difference is that when you work hard in McDonald's. you make money. You can bust your butt in Amway and still lose money. In fact, most IBOs who work hard do lose money.

Anonymous said...

So, what's your solution to make Amway a better opportunity for hard working IBOs to not loose money?

Joecool said...

Criminy jickets, I help to prevent IBOs from losing their shirts and I'm supposed to provide them a better opportunity? Well, doing nothing, or panhandling, or working for minimum wage are all far more lucrative than Amway.

Anonymous said...

Oh yeah, you better provide a better opportunity or solution to help IBOs build their Amway business. Just spotting problems and not providing help leaves a lot to be desired from that person. Did you just say panhandling or doing nothing? Is that some kind of shitty joke or the rather typical you?

Joecool said...

Most IBOs on the system LOSE MONEY, so yeah, doing nothing is more lucrative.

Anonymous said...

looks the rather typical ANON has resurfaced with the rather typical BS that has polluted all the other threads. go crawl into a hole somewhere and rot, you low-life piece of scamtrash!

**proud Amway hater**

Anonymous said...

Joecool, how can an IBO lose money if he is on the system? The system works, you have to work the system to see the results. Again, how is doing nothing more lucrative than properly building an Amway business?

Joecool said...

How to lose money? Voicemail = $30 a month.

100 PV = $10 bonus from Amway? That equals a loss.

If you do nothing you have zero, if you do Amway, you lose money.

Anonymous said...

$30 a month voicemail is a liability? Excuse me? Maybe you pay less for your monthly phone bill but let's be objective here, some businesses pay way more for their telephony needs in a month than you pay for the Amway voicemail. Unless you're flat broke that you can't afford $30, don't use it. Use your existing voicemail. Unless, you're not going to be serious about your business, don't use it. In that case, it's better to do nothing about Amway to avoid losing money. But for those who're serious about building an Amway business, their work will pay off. They won't complain about $30 a month for voicemail even if they don't use it in favor of another service.
Besides, you don't max out at 100 PV. Who told you that? There's no limit on the PV or on how much you can earn from Amway. It seems to me that you don't understand the Amway compensation plan yet you're an expert on Amway. How about that? Any reasonable explanation?

Joecool said...

What do you have? Shit for brains? The voicemail alone makes most IBOs operate at a loss. That was my point. Add in standing orders, books, functions. Now 99+% of IBOs operate at a loss. I fully understand the compensation plan, that's why I can say with confidence that Amway sucks.

Anonymous said...

By the same reasoning your personal voicemail makes you operate at a loss. You don't make money using it but only spend money on it when your cellphone company sends you the next billing invoice. Wouldn't it be nice if your cellphone company shared some of that profit with you for using its voicemail and telling others about it?

Joecool said...

Tell us anon, how much do you get back for using KATE (voicemail)?

Anonymous said...

The investment I get in my business will net me out the next potential Diamond. What about your investment? You'll get exactly what you put in long term. So again, if an IBO uses the tools at his disposal how does an IBO loose money? I don't see it.

Joecool said...

Haha, you will net out as the next diamond? If I had a dime for each time I heard that I would be retired walking the beaches of the world now. LOL

Anonymous said...

So again, if an IBO uses the tools at his disposal how does an IBO loose money?

Joecool said...

Simple, you spend more on tools than you make from Amway. Capiche?

Anonymous said...

No, no capisco. What do you mean you spend more on tools than you make from Amway? Are you saying that there's a limit on how much you can make in Amway? Where does the business plan say that there's such limit?

Joecool said...

Okay anon from Canada, now you're just being a stupid asshole. You know that the average business building IBO probably spends at least $200 a month if they are sold on the system. AMWAY says the average IBO income is $115 a month.

Of course "some" IBOs will be able to earn more than they spend on tools, but very few of these IBOs are around.

Anonymous said...

I'm not spending $200 a month, I'm spending around $60 a month on my subscriptions and other business tools. What, is that too much or not worth it? I believe you spend that much on your monthly cable tv subscription and get a lot of junk programming, that's not worth it. I don't watch tv for that reason plus tv doesn't grow my bank account. About the $115 average income per IBO per month, that is calculated from the IBO's personal circle, not his whole team, it's impossible to do an average based on that because each IBO's team is different but it is possible to do it for your own circle because that circle never changes, it stays the same what changes is how you grow your team. It's called being practical. Yes, there are few of those IBOs around who go diamond, but don't you want to be one of them? For that you have to earn it by work. You didn't work it, you were too quick to quit and now are bitter about it.

Joecool said...

So what? I would rather spend $60 a month on cable instead of useless Amway tools. You spend $60 plus your time and you get back $10 a month. It's still a net loss.

IBOs are a bunch of rubes. They cannot do math and they cannot properly evaluate a business opportunity.

Anonymous said...

Again, WHO THE HELL told you that one is limited to $10 a month max profit from Amway? Either you don't understand the Amway compensation plan or you know too well that there are tones of money to be made from Amway but feel so guilty about it that you stick to the $10 figure in self denial because you never made it past that. So what? I would rather spend $60 a month on Amway tools than on junk tv programming.

Anonymous said...

Every time you quit, someone else gets your prize. Every time you make a mistake, you get closer to yours. Said by Robert Kiyosaki, not by me and not by Amway. But since it sounds too much like Amway, they're both scammers. Where's your monetary wealth Joecool?

Joecool said...

Anon at 8:51 (from Canada), the Amway plan itself shows that the majority of IBOs will be in the 3% bracket, which pays about $10 a month. Your complete lack of understanding of the compensation plan supports my assertion that IBOs cannot properly evaluate a business.

"Everytime you quit, someone else gets your prize" That's total BULLSHIT. There is no prize. Kiyosaki and some of these diamonds are scammers who want you to keep buying tools to your detriment.

My monetary wealth? I am fine thank you. My future is secure and I own a home with no debts except a mortgage that will be paid off in a few more years.

Anonymous said...

But Joecool the majority does not imply 100% can't you see that there are people who succeed in becoming financially free? It's a choice you make. Sadly, you've chosen to be in the 3% bracket and then decided to quit.
Why is Kiyosaki a scammer? Kiyosaki is a wealthy man and recognized for his contribution. His wealth is legal and his advice is wisdom.
You say that you are wealthy too. Can you teach me and share your wealth if you call yourself a Christian?

Joecool said...

Who's financially free? All the diamonds I know of are still slaving away. How do you know if Kiyosaki is wealthy? Ever saw his financials? I believe he is just like the diamonds, making his money selling useless materials to people who dream of getting rich.

I never said I was wealthy. I said I am secure and don't have to worry in my older years. Amway sucks as a business opportunity and the same goes for Kiyosaki's teachings.

If not, prove me wrong and show some bonafide financial statements to prove that he is wealthy. Showing off pictures of wealth doesn't make you wealthy.

Anonymous said...

Why don't you then take their place and do a better job?

Anonymous said...

he already has. what planet have you been living on?!

ST said...

You're the only one who mentioned an income limit. It's a straw man and you're a dumbshit.

Anonymous said...

+1