Saturday, May 5, 2012

Amway And "Get Rich" Systems

Based on my experience in Amway, my blogging experience, and observations of other people who give financial advice such as real estate gurus who teach you to buy property with no money down, or others such as Robert Kiyosaki for that matter, all show testimonials of sucessful people. Obviously they do not show you the vast majority of people who try their systems and fail. They only show the best case scenario which might account of a fraction of 1% of the people who participate in their systems.

It is my informed opinion that whether it is Amway, WWDB, BWW, N21, real estate or the cashflow business, the vast majority of people who try these systems do not make any kind of significant income, if any income at all. Sure, some do, and those are shown as the possibilities. But if you watch infomercials, you will see in small print on the bottom of the screen, "unique experience", your results may vary. I believe that a similar message used to be at the end of Amway diamond recordings as well.

These systems in general do not work for various reasons. Many people simply do not have the acumen to work the system. Or the system has too many variables for the system to work, or the system calls for things beyond your control. For example, success in Amway generally requires you to sponsor others, something that is beyond the control of most people. Add in the lazy and people who are hoipng for a quick score and it is understandable that most will fail. But these systems are often set up where the majority simply cannot all succeed. Nowhere is that more true than the Amway business where the pyramidal compensation plan nearly guarantees failure for the lower level IBOs. People should also note that the common 6-4-2 Amway plan has 1 platinum with 78 downline. Most if not all of these downline will be losing money.

So what can someone do? Well, it may not be as sexy or attractive but a part time job and investing and saving might be something to think about. Even a part time business where you focus on selling products for a profit might work. It just seems prudent to avoid these "systems" as the primary beneficiary of these "systems" are the ones who directly profit from them. Do your due diligence!

2 comments:

Anonymous said...

here is the FACTS about Amway. Its honest, its legal, it CAN BE exciting. Here is the down part: .0058% ever reach diamond. and .01% make it to the Platinum level. Very very grim prospects for making any decent money. This tells me that either the Company has a very very bad business plan, or the leadership in EVERY GROUP has not figured out how to make it work for 99.99% of the IBOs. And Amway has been around since 59, only to produce those GRIM results. Theres got to be a better way for the 99.99%, doestn there?

Anonymous said...

yep. move on! :)