Friday, March 9, 2012

The BBB And Amway?

Over the years, I have seen literally hundreds (if not more) blogs and testimonials about Amway. Most of them decry the pitfalls of being an Amway IBO. Most of the complaints cite the fact that Amway in general has higher prices than comparable retailers and the fact that the system consisting of voicemail, books, cds and seminars ate up any profits the IBO may have made and resulted in net losses for most. One particular Amway apologist bemoans the fact that the internet is full of bad testomonials about Amway. The reason why there are so many negative testimonials about Amway is because over the years, thousands, possibly millions either had a bad experience for the reasons I cited above, or personally know of someone who had a bad experience. The bad behavior of some Amway IBOs were apparently not dealt with decisively by Amway, thus a bad reputation marked the Amway name.

Amway defenders will often cite the fact that many IBOs sign up and "do nothing" as their defense to this. But I will easily point out that I haven't seen anyone say they signed up, failed to do anything or order products, quit and started blogging about a bad experience in Amway. These defenders will also compare Amway to the gym where people sign up and "do nothing". Whether true or not, I also do not see people who sign up and "do nothing" complain about not receiving health benefits by simply signing up. It is a very weak defense. Conversely, I have seen numerous accounts of folks like myself who did put in effort, some for many years, who did what upline advised and did not see the financial rewards that is promoted in "the plan". I would also guess that most do not sign up and "do nothing". Rather, they likely get started, try to contact and invite, try to sell products, but get overwhelmed by the flawed system, get discouraged, and quit. Maybe they achieve nothing, but I doubt that so many take the time to see the plan, spend money to get started, and then actually "do nothing".

Amway defenders will then try to justify themselves, saying that the better business bureau (BBB) receives few formal complaints about Amway. I will agree with this. Many IBOs never bother to file formal complaints to the BBB or to Amway because in many, probably most cases, the person who quits and may have had a bad experience, was sponsored into the business. The sponsor was often a friend or family member of the IBO who left the business. Many will simply leave and forget the episode and chalk it up to a learning experience in life. Some will complain, but really have to ne venue to voice their remorse about joining. Some of us have found the interent to be quite effective in sharing our experiences and our opinions on why the business did not work. This is what one Amway defender calls the "internet war". What I have pointed out is that critics most often simply point out what the IBOs themselves have done. In many cases, the IBO is his own worst enemy. Afterall, critics didn't deny Amway and Quixtar had a connection, nor did critics make up claims about perfect water, etc.

It would appear that most of the problems has a root in the AMO systems, such as WWDB, BWW, LTD, or N21. Now, not all upline leaders are unethical, but it appears that many are, and new IBOs have no way to identify the good from the bad. It also appears that some of these upline leaders will issue bad avice. Advice that is detrimental to the IBOs, but financially beneficial to themselves, such as telling IBOs to never miss a function, or to buy more cds. In many cases, these unethical uplines do not care about IBO success, their goal is just to move as many support materials as possible, so they can fund their "diamond" lifestyle. Sadly, it is also apparent that the diamond lifestyle may be a facade in some cases. An illusion of wealth portrayed as a recruiting tool.

If you recognize some of these warning signs, ask tough questions of your potential sponsor and visit this or some of the blogs linked to this one for more information.

24 comments:

Anonymous said...

I think you need to get over your bitterness towards Amway. It takes years of trial and error and failure to become a success. Success is not always for everyone. I signed up to just use the product and If I make money great. If I do not thats okay too. Quit making being a millionaire your focus. Think about it. In a normal career it takes years of hard work and dedication to rise to the top. Some never make it. Some people just get lucky. Amway is a good way to make extra money as a side job. Especially for single woman like me. Stop cutting it down.

Anonymous said...

some bullshit...

Anonymous said...

What is obvious to me is that you haven't really bothered to do your homework. Therefore presenting yourself as an expert, or as having any credibilty at all, is bogus. The cost of functions and support materials offered by the World Wide Group are offered at deep discounts compared to the costs one would fork out for simimlar training outside the association with WWG. The notion that the organization's leaders profit from income derived by attendance at functions and training resources is pure bunk. Get a life by some other means if you can. Your not very good at this.

Paul Cook
Amway IBO
Belgrade, MT

Joecool said...

I've never said I was an expert. This blog is my experience and my opinions.

Anonymous said...

go build your business, kooky paul.

Anonymous said...

Actually, you are wrong about the upline leaders not profiting from the sales of tools (books, CDs, etc.) and attendance at functions. In reality, it is an extremely lucrative source of income for the Diamonds! There has been more than one lawsuit filed against Diamond organizations regarding the sales of tools and functions. One, in particular, that involved my own upline Diamond organization centered around the fact that a "leg" of that organization had "gone around" a Diamond leader in between themselves and the more successful upline Diamond with respect to the purchase of tools and attendance at functions. The reason was simply that the downline "leg" leadership did not agree with or appreciate the "philosophies" being espoused by the in-between leadership. Apparently, the upline Diamond leadership had even suggested and encouraged this go-around. The end result was that the in-between leader was essentially cut out of his "profit" for the tools and functions. He filed a suit against both the downline leg and the upline leader accusing them of eliminating him from the "cash flow" of tools and functions income. The whole organization fell apart as a result of that one, single lawsuit. There have been other lawsuits concerning the "profits" gained by the sales of tools and attendance at functions, as well. I know these things because I am in the legal profession and these things come across my computer all the time.

Anonymous said...

So you think every IBO joins their family thats why they never complain to the BBB..Amway is a #1 company and they would always be because of their products and business oppurtunity... There are IBO's who meet random people that they don't know who join there business.. stop suggesting things that are not true. keep your opinions to yourself. Its your fault if you wasn't sucessful..

Joecool said...

Learn to read. I did not say every IBO joins their family. But yes, many people do not file complaints against family and friends. Many are just too embarrassed or can't bother to file complaints over a business they didn't spend a lot of money on.

timothy strait said...

Amway doesn't work. The minute someone hears the name they walk away! wanting nothing to do with it

Anonymous said...

Hey Anonymous....stop being Anonymous! It's luck of the draw I have relatives who have been doing it fo 7 yrs now neglected their family for cult like meetings, conventions, and scoutings. And now are very young grandparents racking up them points on
diapers and still not retired yet!! Some people got it and others don't.

Anonymous said...

I would love to see the statistics on how many people who join are successful. And how much success. Im sure if we knew there would be less people interested. Be honest, this is designed to take a sucker for his money knowing he will just lose his investment.

timothy strait said...

I thought about Amway, but not too much anymore. People I've seen in it were a little bit flakey. Most are too much into themselves, rock on.

timothy strait said...

I totally agree!!!!

James Tong said...

Do you have more info on all those organizations you listed? I don't know what AMO is but I recognize World Wide.

James Tong said...

Amway may not be good but they seem good enough to last for so long. Mind you, they were pioneers in this industry and have a lot of money.

I find it interesting that there are all these different organizations that sell training materials and even a shopping portal. Why doesn't Amway do all that themselves directly?

Joecool said...

James, AMO = Amway Motivational Organization. That includes Worldwide, BWW, N21, URA, LTD and others.

Amway and the AMO's have a symbiotic relationship. Amway provides the opportunity and the AMO provides the recruiting of new distributors, and teaches product loyalty, etc.

justin anderson said...

You literally do not know what you're talking about. Being a part of Amway I was told flat out that it wasn't going to be easy or overnight to be successful , like any other business you have to set realistic goals and actually work for them the honest truth is that many ppl who fail would rather blame others than themselves it's not a difficult fact to ubderstand , every meeting I've ever attended has cost about five to ten dollars, less than what I would spend on a single visit to taco Bell, I've been to the mansions of Amway diamonds met their families pet their dogs, I've met ppl who are younger than me who are making very good money through this thanks to the help of their uplines. I've never paid for a single CD or tape or book, they've just been given to me for free in the hope that I will actually be successful using the advice and examples of ppl who have been there and done it. I've made only one payment to Amway to get Incorporated and have my website established (for a ridiculously cheap price and practically no effort when you consider the typical costs and obstacles to doing such things) Of course not everyone is successful, consider how many ppl you know that own a business of their own compared to the number that work for others, now consider how many private business owners are filthy rich compared to the number that are struggling to keep above water.
And about neglecting your family and friends that's a personal choice, not a demand on behalf of Amway. Try climbing the corporate ladder in any business and see if it doesn't require you to spend more time working than at home.
You wouldn't buy into the subway franchise and then not try to sell subs to make money, you wouldn't try to do it all by yourself either would you? No you hire employees to sell the subs and manage the store for you , mostly everyone who I've heard bad mouth Amway don't actually consider what it takes to run a business in reality they just parrot what they hear or read like they know it as a personal fact, then they retreat back to comfortable mediocrity and lives of quiet desperation .

Joecool said...

Justin, you must be new at Amway. You'll be loaned cds and things for now but eventually, you'll be told that you're a "business owner" and must invest in your own tools. You'll be the one buying extra cds to give to your downline and prospects.

They don't tell you that you can be successful "overnight", but obviously, being "free" in 2-5 years is getrich quick.

Sadly, the vast majority of people make nothing or lose money. Even those who work hard fail because that's how Amway is designed.

Anonymous said...

To Justin Anderson --

What kind of business organization asks its members to pay ten dollars to come to a meeting? And if ten people show up, where do the $100 go? Who pockets that money?

You're not going to be getting those free cds, tapes, and books for very long. Soon your up-line will demand that you pay for them, and they will run you a considerable monthly fee.

And wait until they start demanding that you attend "functions." Do you have any idea how much THAT will cost? Be prepared for a shock.

You're a young kid, and you're inexperienced. Be very glad that you found this blog, and keep consulting it to get a different perspective on Amway than the bullshit your up-line is feeding you.

Victor Ledezma said...

Cheryl Rhodes aka "Joecool" partnered with Amway multiple times each time didn't do anything and still writes a blog saying that's a weak argument against not seeing results? LOL

Joecool said...

As usual, the ambot is misinformed. Cheryl is AKA Anna Banana, not Joecool.

Anonymous said...

What's an upline

Anonymous said...

What type of tough questions?

emptycagegirl said...

Amway is a well-known scam on the low end of the pyramid. Those with half a brain stay away. Their products are laughable I would never buy them. I'm pretty surprised they are still running their pyramid scheme and people are still falling for it. My poor cousin was suckered in and wound up so in debt trying to buy all of their marketing tools and over-priced products. We viewed him as flat out annoying as he tried to get us to buy his shit at family gatherings. Guess what, if you are pressuring your friends and family to buy Amway junk because no one wants this crap YOU TOO ARE ANNOYING. My cousin's pestering became so annoying that he was only allowed to attend family holiday events if he didn't bust out the tacky Amway shit on us.. HILARIOUS!