Friday, February 8, 2013

Amway IBOs Are In Denial?

One thing that appears to be common amongst IBOs is how IBOs are in denial. They truly believe that their uplines are working in their best interest and that upline wants their success. I don't believe that to be true. If uplines were truly making a fortune from Amway, why would an downline IBO have to pay for practically every bit of help they get from upline leaders? Why would IBOs be advised to spend more on tools than they take in from sales or bonuses? Why would they need more tools when sales are not increasing? Why is this advice being given to IBOs?

To show the plan, you would need to pay to attend an open meeting, and pay for your guests, even if they do not register as a result of the presentation. You pay for voicemail to communikate with your upline and downlines. You pay for standing orders and you may end up paying twice if you were in attendance at the function when the standing order was recorded. You pay for books and other materials as well. These tools, along with your personal use products can add up to a nice amount of money at the end of the month.

What's more, many IBOs turn their heads when ugly facts rear their heads. For example, some IBOs deny that a prominent triple diamond was involved in bankruptcy proceedings. They continue to edify and pay for financial advice from someone who could not even manage his own finances. They believe that Amway saves marriages even when the leaders who speak this may be getting divorced. It's like upline simply revises history and downlines buy it without question. Many IBOs do not even see it as a problem that some upline boldy lied and said there were no profits from tools in the past. I find this odd because tool profits are still shrouded in secrecy and downline simply believe that they will eventually get a cut, even without a written compensation plan and agreement.

I believe too many IBOs are simply in denial. They give upline their trust and upline abuses it. IBOs are told they are successful for attending a function even when they might be losing money month after month. They may be told that the Amway business is not about money but about making friends. They may be told that they are nicer people because of their participation in Amway. What too many IBOs do not see is that they are in denial about their business. Most IBOs are losing money, a little at a time, perhaps $100 or $150 a month. For the hardcore, maybe more. But they are taught to ignore these simple facts and deny that there is a problem.

It is my hope that exposure of some of these tactics will be beneficial to information seekers and perhaps new IBOs who have not yet been fully indoctrinated. I encourage people to ask tough questions, demand answers and use due diligence when checking out this oppportunity. The fact is that very few people every make a profit and people should know this before getting involved. Don't deny the obvious.


Anonymous said...

From a previous post if 2012 amway sales grew 4% and amway says there are 3 million distributors then i assume the no of distributors also increased by about 4% or say 150000. I expect about that number also quit or became inactive. This would suggest omething like 300000 new recruits. While i feel its almost impossible to make money at this , the leaders have figured out a message that keeps people rolling in. All though those at the bottom of the pyramid will never make anything , they will continue to contribute to the incomes of those at the top. Hence there will always be a handfull able to tout the dream becoming reality and the masses chasing after it.

Anonymous said...

Im an ex ibo who quit 30 years after getting to platinum in 9 months. I figured out to make money in this you needed a mass contacting process to get 50 prospects a month and plan showing facilities to show the plan to 10 people a day. Few people can do this and i reckoned i was not one of them. I figures only a hadfull would do it over a 20 year period. I was right i think. I now think only a hadfull will do it over the next 20 years. Lets see. So ask yourself if you can do that. Bill britt was a great example. He contacted 14000 people , showed the plan to about 1000 , sponsored about 60 who worked it, built 9 legs that made him a millionaire and 3 legs that made him a multi millionaire. You could do less than that and be ok. Holly chen and a few others did it also. But dont kid yoursel that showing the plan to a few friends and a few cousins will get you anywhere. This is a serious business where the big pins operate with extreme professionalism and skills. The rest are just there to contribute to the uplines success. They move in , then out and are replaced rapidly. The uplines dont even bother to try to keep them as customers. Its easier and more lucrative to recruit. I saw on an income listing there are about 16 people in the usa earning 1million a year from amway. I would expect over 10 million joined amway. That shows how rare success is. And remember if you are not at a very high pin you will not last long. You need to have both the width and dept to be sustainable. So thats why i think this is just an impossible task.

Anonymous said...

So, a sponsor found me, he has invited me to a few functions, and I have met Chris & Christi, and mainly Brad Duncan. Brad Duncan really wants to get to know me. He is "excited" and finds me "very interesting". I also met his 19 yr old son, apparently will retire at a 22.
Anyways, I am looking to run my own business, be a leader, manage people to work towards success.
But I am very unsure whether or not I should get involved. I have an amazing work ethic, so I could show the plan easily like 30 times away. I don't have a problem working, making mistakes, etc. And I don't feel I need their books, cd's, video's to learn. I do my own studies. They want me to go to a leadership class for $125 and have John Maxwell speak. I would like some insight.

Anonymous said... email with input please

Anonymous said...

It seems to me the higher pins upline do in fact make fortunes because it comes from the ibo paying for tools and functions.

Joecool said...

If you have an amazing work ethic, you can succeed in many things.

Of course they want you to attend that $125 class. That's how the REAL money is made in Amway.

Anonymous said...

The Amway Motivation organisations is where the money comes from check out how much it cost to rent a room for a meeting, duplicate a tape/CD, buy books wholesale and sell at full retail. your direct will get a break on the books and tapes and other higher pins get a better cut pus a cut of the meetings/functions. The plan will not generate a high icomes but the system surely does

ExAmbot said...

@Anon @February 12, 2013 at 3:46 AM

It's not a business. It's a self-consumption model. The law says to remain legal an IBOs/MLMers must retail 70% of their amway products purchases to outside customers not involved in amway. IBOs are notorious for zero to negligible retail sales. They simply consume the products themselves. Emphasis is heavy on on recruiting in order to "build a big business." Thus, the numerous meetings, conferences, etc that teach little on retailing than they do on recruiting.

Ask your potential sponsor to show you their retailing activities for the past three months. S/he likely won't. Expect some some excuse because the numbers are dismal.

Say a group of people 1 to 10 each contribute $10/m. The money is shared between them thus, the oldest membership gets the biggest share, the next the least, etc, eventually there won't be any $$$ left for the last guy. Because there's no money being generated from without the group from sales. Unless s/he recruits new members as they have zero to negligible sales to outsiders. Essentially really these people are simply passing their cash on up to the next guy, via the central collection entity X (this entity will issue membership numbers and terminate them at wish.) If you throw in an overpriced product in exchange for the $10 would you still call this a business for those members or is it a business for the entity X? Does that not render these members simply as entity X's customers and not business owners? The product is a clever ploy to obfuscate the illegal flow of $$$ from the the eye of the law & the public, the potential recruits. Throw in a lobby group that lines up congressional members' pockets and wham it's legal because there's enough votes in the house.

The $$$ circulating have to come from somewhere and it's the people at the bottom while they hope to go up to diamond.

The truth that has come to light due to the internet is these diamonds make 2 to 3 or more as much money from the support organizations than they do with amway. Yet the latter is supposed to be the only business or "business". This is achieved from that $125 x thousands who attend x so many of these functions around the country, sale of CD's, books, and more meetings that produce the same CD's that are sold to unwitting IBO's, ad infinitum.

Besides no one retires in amway. They just quit one job and engage in another and glam that process as "retired." Those diamonds have to work to maintain their people. IF they don't the people quit and it falls apart. If you are on top of Duncan, you have better chance of it not falling apart sooner than if you were not. But work yep is a must.

Before you decide yes or no you should read the free ebook (Google) "Merchant of Deception" by Eric Shiebeler. This is part of doing your "due diligence." He achieved emerald level (one level below diamond) and wrote about his experience. It's a recommended read for potential recruits so you know both sides of the story. Let us know what happens. Good luck!

ExAmbot said...

You got it! Your BS meter/antenna is really good! Me like it. Wish I had met you back then.