Wednesday, February 25, 2015

The Amway Motivational Scam?

Based on my experience in Amway, my blogging experience, and observation 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. It is just like the Amway leaders who edify some downline who "drove the miles" or made sacrifices and achieved some level such as platinum. Sadly, for each minor success in Amway, there are probably hundreds or people who tried and failed, despite earnest efforts.

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. Sure, some do (although extremely rare), 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", you results may vary. I believe that a similar message used to be at the end of Amway motivational recordings as well. A real business owner would want to know what is the likely result, not just the "best case scenario". Unlike some Amway leaders say, the facts do matter and should not be ignored.

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, or to sell a lot of product. Many of these vital factors are beyond the direct control of most people. Add in the lazy and people who are hoping for a quick score and it is understandable that most will fail in Amway. I don't understand why apologist either deny or try to minimize this fact.

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 vast majority of lower level IBOs. You can only have one platinum for approximately 100 downline IBOs. Unless IBOs are somehow moving large amounts of volume, you need more IBOs to reach these levels. A diamond is six of these groups, all of which are churning through prospects and IBOs each month. Replacing people who quit is a massive undertaking. The common 6-4-2 plan consists of 79 IBOs all moving enough volume to earn a bonus. That scenario is highly unlikely to downright impossible.

So what can someone do? Well, it may no 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. Kiyosaki and the diamonds likely earn most of their money selling tools and training and not by doing what they proclaim.


Anonymous said...

I don't know which is more sad, the new hopeful Ambot who obviously and palpably lacks the energy, resources and skills to even get to first base at this scam or the one who has just enough to get in deep and waste the rest of their life chasing that false hope those Amway hucksters are selling.

Joecool said...

It's sad that these hucksters manage to sell their systems on the hopes and dreams of people who wish for a better life but will not get it from the Amway business.

Anonymous said...

All the cases are sad. Ambot Peer Pressure (APP) and Amspeak Psycho Babble (APB) caused someone I know to REJOIN after he was unsuccessful the first time. An Ambot friend of his jokes with him about how his life would be better if he could build a big Amway business. Mind you that this Ambot buddy is unsuccessful at Amway and basically lives off the income of his hard working fiancé. He is the epitomy of the Amway hypocrisy as he continues to try and recruit by flat out lying and miss informing about success in Amway. He drives vehicles that look like they came off the set of The Road Warrior after the final climatic crash scenes all flame scarred and coughing smoke. Now I give the guy some credit because the guy who rejoined, out of spite probably, signed under one of the faster growing groups and they still maintain somewhat of a dysfunctional friendship. The guy who rejoined sponsored 1 person his first time around. Through the grace of God apparently they smelled the cyanide in the kool-aid and quit and got a refund. That event caused him to quit the first time around. Now this fellow who rejoined works at 2 fast food services making 8 bucks an hour, receives state aide for medical and possibly living expenses due to a moderate disability issues and drives a scooter because he cannot posses a driver's license. I'm all for the under dog and if this guy makes a successful Amway Empire it would rival the movie Rudy and really piss off his buddy. However, what disturbs me the most is the fact that while he may get some positive out of books or tools (which he can get better anywhere else) , the fake cheesy upline will continue to take any extra income this fellow needs knowing he hasn't got a snowballs chance on Peter Island to make a thin dime. Why not help him in other ways since Amway upline are supposed to by "helping" good Christian folk. It's the worst type of sham. The use of thought and information control, passive aggressive bullying tactics and at times downright psychological abuse and verbal attacks. This type of behavior comes from the tools. It conditioned one, Ambot who sucks at building an Amway business to gode an Ex-ambot back into the business. The only ones making anything are the cheap suits running the local hotel meeting 2 times a week at the hotel. I'm sure they get a cut of the 5-10 dollar tickets and CD's at the sign in table. They are also the towns biggest growing groups leaders and push function tickets on the downline after each meeting. I'm not even in Amway and I understand how this shell game works. What's wrong with these people you might ask.... It's the mental poison in the tools. Amway has whored itself out to the Toolbags and ruined it's own image. I for one wouldn't shed a tear if this FlimFlam Carpetbagging outfit gets shut down. Better yet would be that Amway develops a system for the sales force and kills the tool income so people who truly try and run an Amway product business can make decent income and get products they enjoy.

Anonymous said...

If they're going to allow Amway to keep selling that snake/soap oil the law should at least require them to dress their motivational pitchmen to dress up and carry on the mannerisms of the old snake oil salesmen of the 1800s early 1900s. Imagine the guy with cane and tap shoes, top hat and long pointed mustache... "Have I got the business opportunity for you (tap dance) Yes, guaranteed to pile your wealth through the clouds and beyond to the heavens above (wave the cane) ... And widen your smile from the snowy caps of the majestic Mount Everest (wave hand) to the sun kissed shores of the Hawaiian Islands where your kingly yacht awaits you my friends...Yes Amway will do all this and your marriage, help your friends...LOL.

Joecool said...

LOL, the image you paint is funny! In reality, these Amway "peddlers' are ruthless businessmen wearing nice suits.