Thursday, October 17, 2013

Amway Is Fair?

One of the things my upline always taught was how the business was fair. Everyone starts at zero, we were told. Everyone does start at zero, but it is hardly fair when you break down the compensation and the layers of people between you and your uplines. I will also speak about how the sponsoring is somewhat cloudy as well. Despite the claim that you will be paid if you "do the work", it is not necessarily true. These are catch phrases that upline uses to make it seem fair.

The sponsoring system that Amway uses is a hit or miss. You could have tons of business acumen and insight on running a business, but your sponsor and others upline will always be your upline and will always profit on your efforts - simply because they were there first. In many cases, a sponsor has nothing to offer a downline. They are in no way shape or form able to advise or give sound business advice. But as long as they are in the business, they get to profit from your efforts. Does that sound fair to you?

Also, let's take a new IBO for example. If that new IBO sells and consumes 100 PV, that new IBO will receive a 3% bonus. Amway pays 32% to 33% of their take in bonuses. Thus the new IBO who "did the work" gets 3% and somewhere in the layers of upline, 29% to 30% gets split up among the upline. Some of the upline don't know that the new IBO exists, but they get a portion of the bonus, simply because they were there first. The new IBO has done the work and some of the uplines have done nothing to help this new IBO, but they enjoy a percentage of that IBO's bonus. Does that sound fair?

Tenured upline may also sell business support materials such as voicemail, websites, books, cds, and seminars. None of these materials have been proven to be effective in assisting IBOs in building a business. In fact, some of the biggest crown ambassador types built their Amway businesses before these materials existed. But because they were there first, they now claim to have the expertise on how to build a successful Amway business. Based on some numbers that Amway has provided, we can conclude that less than 1 in 240 IBOs ever reach platinum and out of those who reach platinum, less than 1% ever reach diamond. Not much evidence that the system works. Yes, I acknowledge that some people don't follow the system, but out of these ones who do follow the system, the success rate is still miserably low. If the system is so diffcult to follow and succeed, is it fair for IBOs to have to keep paying for a system that will not help them?

All of the above are reasons a new IBO has the deck stacked unfairly against them. Yes, some IBOs can overcome overwhelming challenges and succeed, but they are few and far between. Is this business set up in a fair manner? You decide.

9 comments:

Anonymous said...

How would you change MLM so that it would be "fair" for everyone that ever joined?

Anonymous said...

I'm new to MLM and was sponsored by my good friend who has been with WWDB and Amway for over a year. I've been to 2 meetings so far and at both I've been told that I can make more money than my uplines. Is this true?

Anonymous said...

If you are not willing to put an effort into what you want to achieve then you will not achieve anything. Remember your up-line was in the same place as you are or were when they started so if you don't do anything of course they will profit and you don't

Joecool said...

If your upline quits you can make more money. You will never make more than the diamonds who run the functions.

Anonymous said...

Yes you can make more than them, but instead of asking a group of people who are inexperianced, im pretty sure your sponsor of even someone higher in business can give you the correct facts.

Anonymous said...

They show it is possible, over and over, but don't show you how. The lack of specifics comes about, yet again.
In fact, if you study the system, it is apparent you CAN make more than your upline (but only your sponsor), if you completely disregard their advice. (look into the differentials)

Unfortunately, it is irrelevant, as the 99% who will quit will destroy your income, regardless. If you aren't but a few steps down from your diamond, you are just another statistic. It is up to you if you want to be the IBO with $2000 or $20,000.... in losses.

-Jerry

Joecool said...

They will only show the best case scenario, not what is likely. Just like showing only the lottery winners.

nolan van staden said...

This is so funny... My brother in-law has been in the business for a year and a half, and making a very good income for himself and his family.. I joined a few months after him, but I haven't made a cent. Why??

Its easy I didn't do the work and didn't follow the system, a week ago I went to a meeting, decided to try the system and follow the steps, and guess what, whit in my first week of actually being active in the business, I've made the money I put in to buy into Amway, back and then some... Now I did this in a week, imagine what I can do in a month, or even a year..

For the skeptics and the the people out there thrashing Amway/ N21, just cause you where to lazy to get off you fat lazy ass, don't pretend to know something about something you know nothing about..

Anonymous said...

please, post another bullshit comment!