Monday, February 9, 2015

Why Amway Doesn't Work?

1. The Amway products are too expensive to compete with other brands. While IBO's claim high quality, that is subjective and for most consumers, Amway products are not well known and seen as generic in nature with a premium price. Many people consider Amway products "satisfactory" or "average". Some people do enjoy Amway products, but overall in the US market, it clearly indicates that price is a factor and people apparently choose Costco or WalMart. Also, person to person advertising is not as effective as national advertising such as Proctor and Gamble. While Amway did some advertising recently, they are too far behind in the game and their spotty reputation precedes them.

2. The compensation plan is very unfair to new IBO's. The new guy does the work but gets only a tiny fraction of the generous bonus Amway pays out. A new IBO who moves 100 PV would get back $10 or so while layers of uplines split up the remaining $90 or so on bonuses generated by the 100 PV. The only way an IBO can increase volume is to sponsor downline and hope that they will also buy into the system and dedicate themselves to moving volume consistently. But this will also fail due to reasons #3 and #4.

3. Amway's reputation is so bad that sponsoring downlline to build a group is nearly impossible. Even getting people to see the plan is a tough sell. It is why building a business without some deception is nearly impossible. It is why many uplines begin to teach that Amway saves marriages, or that you become nicer by building an Amway business, or that the Amway business is about friends and not money. That is a bunch of BS, business is about making money. If not you have joined a social club.

4. The uplines push the tools scam on their downline while they make handsome profits from these books, voicemails, standing orders and functions. What's more, these tools do not help an IBO build a business because of the reaons listed above. In fact, I believe that any IBO who actually succeed, does so in spite of the system and not because of the system. There is zero unbiased evidence to indicate that the system tools have any relationship to IBO success. And most systems are more alike than not, despite what they may claim.

It is for these reasons that I believe Amway is not a good business opportunity for the vast majority of people. When you factor in the system expenses, you almost assure yourself of a losing proposition. Do the math and do the research. Your conclusion should be clear.

8 comments:

Anonymous said...

@Joecool "Do the math and do the research". Yup, the math is the silver bullet and the research is the wooden stake that will hopefully slay this ugly beast which has scammed so many good people. I don't know if anybody is following this thread right now but I know that greater public awareness of what pyramid marketing (franchises selling franchises perpetually) really is all about will be the end of it. That's why the members are told not to mention the name Amway to the poor suckers oops I mean potential members just like the Moonies.
I would have no problem with Amway or any other cultlike MLM if they were honest and actually had a real code of ethics instead of that phony disclaimer they made up to give themselves a thin veneer of legitimacy.
The honest Amway sales pitch: "Hi there, how are you doing today? Actually I don't give a shit about you, I'm just trying to initiate a conversation with you so as to lead in to my pitch to get your money. Now I could b.s. you right here but what I'd REALLY like to do is to lure you to a meeting where they are really really good at bullshitting you in a very practiced very contrived cultlike atmosphere. There I can better try to sign you up right away. This is crucial, because if you actually take any time to think about it or do any research you will run like hell. If you stay around long enough to let the hook sink in you can do what I"m doing right now which is looking for other suckers just like myself. Of course that's only after you've tried selling the overpriced product and gone through all your friends trying to recruit them. Just think of all the benefits! You can have your garage filled with boxes of product you can't sell, throw all the money you can afford and more into the business, screw your friends, spend all your spare time in public places cold selling b.s. to strangers, and go to the cult meetings where you can meet lots of nice people losing money just like yourself and are happy about it because they think things are going to get better. Just don't ask them how much money they are actually making because that is considered bad form. Don't spoil the fun atmosphere with "negative" things like the truth. That's about it so whaddya say?

Joecool said...

Thanks for your comment. If only people would look at Amway with a critical eye before they get sucked into the hype and signing up, most would be better off. I got caught up in the hype but I started to see through the inconsistencies of our upline teaching and eventually, I began to ask questions and saw through the scam and all the hypocrisy of our leaders.

Luckily I got out without suffering major losses. Sadly, many get sucked in and do not get out without big losses.

Anonymous said...

The world gas been brainwashed by walmart. Soo many ghetto ratchet ass hoes

Joecool said...

Yes, Walmart says "Live better, save money". We do save money shopping a WalMart. Amway's slogan is "Now you know". LOL

Anonymous said...

I don't like Walmart either because of its corporate policies but the relevance here is to point out to any potential Amway suckers, excuse me I mean recruits, that if you compare the prices (not of just a few selected items) it is immediately obvious that Walmart gives the consumer FAR more bang for their buck than Amway. There does not exist any realistic business plan to convince the public to change their shopping habits to pay more money to place an order, add shipping and then wait for the overpriced product to arrive. In the vast majority of cases you can make much more money panhandling than selling Amway. Plus, panhandling is more honest than Amway because the panhandler isn't selling you false hope.

Joecool said...

You are spot on. If people did a realistic price comparison between WalMart and Amway, WalMary wins hands down. Not to mention, Amway diamonds want to sell you training that will help convince you that paying more for products and functions is a good idea.

False hope, unfortunately, sells well at times.

Anonymous said...

All businesses are pyramid schemes. It's why you start at the bottom and work your way up. That's how a job goes regardless what type or business, so I find that excuse moot. After all, does your boss not get paid more than you, is there not a higher up boss that controls it all and gets paid the most? Of course there is: in every single business in the world. Duh. Only difference is your trying to achieve that status by beginning your own business like every other rich guy had to do when they started theirs, such as Walmart, Target, etc. So you don't have guaranteed pay cause its your job to get the word out and convince people yours is the best, just like every other store, product, and even people themselves do when applying for jobs. So stop with the pyramid schemes excuse. Now, for the products, I find them to be unique and overpriced, but all products with some high name brand are Overpriced. Honestly, for example, urban decay or clinique make up brands sell for about $60 per one small item. Artistry has every right to overpriced the items as well when they are an exclusive brand. Everyone keeps saying how they lost more than gained in this business so I really wonder, first: how long were you in it, second: how hard did you try and on what, third: why did you buy the tools, go to the conferences, buy the books, etc, when they were not forced on you and you can find free versions/reviews/videos etc on google? You put yourself in that situation when it wasn't necessary, sure they say oh no one's made it to diamond without attending every conference, well think about this: how did anyone after the first diamond then attend every conference before they were recruited? Not like they can go back in time. I believe getting the vibe and stories from who did go is good enough. Plus, your mentality towards this is always the main factor regardless. So yes, these conferences and such are to convince you this is worth it, but so is every single advertisement, and store you go to. There is no difference between amway as it is and every other store in the world In those regards. I believe amway is more for those looking to build their own business, the real dreamers. It teaches you failure, brains, interactions, scheduling, work, attitude, and most of all, the ability to stick to it and not give up if you really want to achieve your goals. After all, how the heck do you think all these other businesses or products were ever made well-known and publicly sought out? Time and work and starting from the bottom. Doesn't happen overnight.

Joecool said...

All businesses are not pyramid schemes. If you have a job, you can be the lowest guy on the totem pole but you'll get a paycheck at the end of the month and have money to spend. That doesn't happen in Amway. The functions are a total scam designed to take money from people who need it the most.