Many people consider the platinum level in Amway as a significant achievement in Amway. While it may be nice to achieve that level and gain recognition from the Amway corporation, I will point out that there was a study done in Wisconsin where the attorney general analyzed and found that platinums on average, lost money. The study is somewhat dated, but I will also point out that today, there are MORE expenses associated with running an Amway business than before. (Voicemail, books, functions, standing orders, shipping). I would guess that it's possible that platinums lose more today than when the Wisconsin study was done.
A typical platinum group often has 100 or more downline IBOs. Thus a logical conclusion is that less than 1% of IBOs can reach that level. It is also, apparently rare to maintain that level. Factoring in people who quit, one can conclude that only a fraction of 1% ever reach platinum. My former upline diamond had 7 frontline platinums in his heyday. Actually, 6 of them were ruby level. None of them hold the platinum level today. So you have a less than 1% chance of reaching platinum and then you are unlikely to be able to maintain that level.
What serious prospective business owner would even consider opening a business where you have such a tiny chance of success? Even those who achieve platinum are likely to lose that level. If platinums cannot maintain their level, then it's easy to see why there are former diamonds as well. It seems that people are willing to take a chance on an Amway business because the start up cost is low. But what is the point of doing all of that when the chance of making money is negligible?
To compound the problem, many IBOs spend a lot of time and money building an Amway business that is unlikely to give them any return on their investment. I'd guess that the average serious IBO would spend $250 a month or more on tools. That money invested over a number of years in mutual funds would give you a much better chance of achieving some dreams. Even putting the money in the bank would make you better off than the vast majority of IBOs. A serious business owner would want to know their realistic chance of making money. For some strange reason, prospects and IBOs seem to ignore this reality. They dream of only the best case scenario or what is possible. They seem to ignore what is likely.
It is because uplines are in the business of selling tools and distributorships. They are not truly interested in your long term sustainable success. If you don't believe me, try to stop purchasing standing orders and function tickets and see how much longer you are edified and given help from upline. Seriously, would a real business owner be interested in a less than 1% chance of success?
To help substantiate this discussion, simply take a look at pictures posted on scamway Twitter, Facebook, and web accounts. Look carefully to see if you can find any middle-aged or older persons participating (other than those one or two levels below the leader of the business "growth" organization such as LTD). The young persons participate and then fall out after a short time. You do not see many, if any at all, moving up the levels.
ReplyDeleteThey also describe their activities as "selflessly giving". HA! They are providing the event and items simply to continue their own income. Ridiculous. I wish more people would simply walk away. . .
Thanks for sharing. I've been commenting on Amway for about 10 years now and I can tell you that I've seen so many IBO's come and go. They start out good and act cocky and then a few months or a year later they disappear.
DeleteMy upline was dan yuen and he turned diamond in 92. In 22 yrs he only had one diamond. Who fell out of qualification and downgraded to emerald. Heard him and other cult leaders say they'll break 100s of diamonds in the next 10-20 yrs. Its fun seeing his group go nowhere.
DeleteHi Joe,
DeleteIn my opinion, Platinum rank is actually just the beginning. If someone would really want to get more profit in Amway. They should aim for Diamonds and above. If someone is able to sustain their Platinum level securely, i doubt they would have problems in the future unless someone decides to fall off. I just tried this business (no harm) but maybe it's because of my group of people are more to friendly other than those who just ask you to do sales and recruitment. I feel it's a bit close than other company that i have seen.
P/S: I saw a lot of post bout Amway, I'm not biased or anything but i'm just speaking up to my opinion. Thank you and have a nice day. Sorry for any mistakes in my English.
-Brian
Hi Brian,
DeleteIf platinum is just the beginning, that's not very good. Only a fraction of 1% ever reach platinum and even then, this platinums often fall out of qualification because of attrition.
Even diamonds often fall out of qualification but Amway still recognizes the diamond pin, even if the diamond bonuses are gone.
For that reason, residual income is very unlikely.
Joe, do the ex diamonds still go on the speaking circuit in wwdb? Wonder if their system income cut or % remain the same? Even if they fall out of diamond qualifications
DeleteLast I heard, diamonds in WWDB has 2-3 years to re-qualify if they dropped out of qualification but I'm not sure if that's still in play. Amway recognizes a diamond pin forever, even if that person is no long receiving diamond bonuses. Some other groups allow speakers to keep going even without qualifying.
Delete